Here’s why Gionee could lose more than 25 25 million from the Super-Max deal due to the result of the Antococci ompo COVID-19

Giannis Antatok oun Nmpo will become a very rich man. On Tuesday, the back-to-back MVP signed the biggest deal in NBA history, a five-year Supermax arrangement that will keep him in Milwaukee for at least the 2024-25 season. The deal is worth more than 45 45 million a year, making him the highest-earning player in the North American team’s game in terms of average annual value, and every penny in the deal is guaranteed. Antatok oun Nampo is set for life.

Yet if it weren’t for the coronavirus epidemic it could have been a good deal rich. This is due to the unique rules governing the maximum contract in basketball. Not the maximum dollar figure. That’s one percent of the salary cap. When a player signs a maximum extension like this, the dollar figures remain blank until the cap is determined for the season in which the deal takes place. As a compromise, the NBA and NBP settled on a pre-determined cap number for this season, 9109,140,000, which was also the number used last season. Going forward, the league will grow between three and 10 percent annually depending on how much revenue it generates.

From there you can see the figure of 8 228.2 million. The cap on the 109,140,000 dollar cap increases three percent to 11 112,414,200. As revenue is expected to be relatively low this season, there is a projected cap for next season, when new genius deals begin. The MVP Awards will qualify him for the designated P te status, as his new deal figure starts at 35 percent of that cap, and increases to eight percent annually. Add it all up and you get 8 228.2 million.

Again, this number is set in stone. If fans are able to return to the arena sooner than expected, the league will be able to generate more revenue than it expected. In a certain best-case scenario, the cap would rise 10 percent to $ 120,054,000. In that scenario, Giannis will earn an additional 15 15 million over the duration of his contract.

Still, this scenario is seen as very likely. The teams are working with that 2 112.4 million cap projection, which gives the value of the 228.2 million associated with the Giannis deal. Obstacles heavily indicate that it will create the same. If he had avoided the epidemic it would not have been what he would have created.

In September 2019, Shams Charania of Athletic The NBA has estimated a salary cap of 125 125 million for the 2021-22 season, the report said. If that had happened, the raw numbers on the Antelope contract would have been completely stunned.

To put this in perspective, remember that just two decades ago, Alex Rodriguez signed the largest contract in the history of the game in 10 years at 252 million. This agreement would not only exceed the total value of that one, but would have been done in half over many years. He would have paid more than 50 50 million a year to Giannis, and since the maximum salary of an individual player is never less than 105 percent of his previous salary, he set it to earn more than $ 60 million for the 2026-227 season. Det. Enough to command that. For a player to reach that salary organically, the cap will need to be increased to more than 17 1,171 million, which is 57 percent more than its current level.

Based on these numbers, we can project that Guinness should spend at least, 25,549,180, which is the difference between the figure of 3,253,750,000 and the 22 228,200,820 that it actually expects to achieve. There must be at least a “qualifier” because there is another pay limit that we need to accept, even if we can’t call it a special proportion: Escrow.

Under normal circumstances, 10 percent of players’ salaries are kept in an escrow account each season. This player is paid as a security guard in case the salary is more than 1% of the income related to basketball. If players make too much in a given season, owners can take up to 10 percent of some of them per player. Owners rarely need to use this option, and when they do, it’s never a full 10 percent.

But the league estimates that 40 per cent of the BRI comes from fans participating in sports at the arenas. That income, now gone, means ownership is almost certain to get the escrow money back. It will not be limited to 10 percent either. Due to the unique circumstances surrounding this season, players and owners have agreed to make many changes. First, to cover revenue losses, escrow hits for any season can be spread over several years (for the next two years). Second, the maximum cash for any season is now 20 percent.

There’s no guarantee that the league actually withholds 20 percent of players ’salaries, but let’s imagine a nightmare in which so much revenue has been made this season that it becomes necessary for the following two campaigns. The new deal will cost Guinness another, 16,367,507, bringing its take-home amount to about 2 212 million.

Again, these numbers have not been finalized, and again, Giannis will make a lot of money regardless. But the amount he has lost because of this epidemic is significant. Players like Magic Johnson, Larry Bird and Karim Abdul-Jabbar have not earned 40 40 million in their entire careers. Now, Jiannis is about to lose as much as possible from a contract due to the coronavirus.