Doesn't look good for Upper Deck Redemptions

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Message From Union Says Upper Deck Owes Players


By MICHAEL S. SCHMIDT
Published: April 16, 2010

Major League Baseball’s players union told agents in an e-mail message on Friday that the trading card company Upper Deck was experiencing financial difficulty and had not paid a large number of players money it owed them.

The union said it was working with Upper Deck to ensure that the players would be paid. The union strongly advised players not to return to Upper Deck any autographs they had signed for the company or to enter into any new agreements with the company until the payments were made.

The e-mail message was from Evan Kaplan, the union’s director for trading cards and collectibles, and was sent to all player agents. A person who received the e-mail provided a copy of it to The New York Times on the condition that the person not be identified.

A spokesman for the union declined to comment. A spokesman for Upper Deck did not respond to an e-mail message.

About a month ago, Upper Deck settled a lawsuit by agreeing to pay Major League Baseball Properties a “substantial” but undisclosed amount for issuing three sets of cards since last year without a license. It also agreed to pay baseball $2.4 million to settle previous debts.

In the lawsuit filed in January, M.L.B. Properties accused Upper Deck of trademark infringement and asked that it be restrained from using teams’ uniforms, helmets and cap logos.

Last summer, baseball chose Topps as its exclusive licensee, leaving Upper Deck without a license for the first time since 1989.
 
Well, we've all heard rumours and hearsay of layoffs, cutbacks, and speculation of general financial difficulties for Upper Deck for some time now. Finally, we have information from a significant source that clearly demonstrates Upper Deck's financial situation, at least in my opinion.
Suddenly, the rumours of all products being on hold, which Upper Deck has denied, have a lot of weight to them, at least until the next few Upper Deck products actually make their way to store shelves.
 
Wow, this is all ironic since just a couple of years ago when Upper Deck had a monopoly on the hockey card market everyone was chiming in about how this would affect the hobby in a negative way and now it seems like everything has come back to bite UD in the butt. Will this financial situation affect the hockey redemptions in anyway? I have a Hasek SPX FF Spectrum jersey on the way. Thanks.
 
Doesn't look good. If the union sent emails to all the agents encouraging the athletes to not return anything to UD, then redemptions will be on hold for a while and may go way of Score Board. I hope UD live through the perfect storm.
 
i tried calling in to get a swap-out of ALL of my remaining redemptions and lo and behold, the phone system was down. how convenient.
 
I had an email yesterday from a UD guy, in response to my question if McW would sell his shares, saying that McW made a $400M offer for Topps 18 or 24 months ago, so why would he consider selling UD now?

Perhaps UD employees have had the wool pulled over their eyes too? Sounds like the end is near. Wow.
 
Finally got through yesterday after 2 days of getting the phone systems are down recording and then on the 3rd day got through waiting 33 minutes on hold to swap out my outstanding redemption's. If you have any, I would do it...asap.

Darren
 

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