Saturday night, April 18, was supposed to be a big night for UFC. In the midst of the nationwide sports shutdown occasioned by the coronavirus pandemic, UFC 249 was scheduled to be televised as a pay-per-view event in conjunction with ESPN.
The price tag was $64.99. The promotion would have had America's live sports spotlight all to itself. Then reality intervened, dealing a harsh blow to UFC and its parent company, Endeavor.
Endeavor is a global entertainment corporation whose holdings include WME (a talent agency), WME IMG (an entertainment, sports, and fashion subsidiary specializing in event planning and marketing), and On Location Experiences (event hospitality packages). In 2016, it purchased UFC in a highly-leveraged transaction for an amount reported to be slightly more than $4 billion.
As of August 2019, Endeavor had a long-term debt of $4.6 billion. It planned to raise money through a public stock offering the following month but cancelled the offering because of insufficient interest in the marketplace.. The recent industry-wide halt in film production and postponement of live sports and entertainment events wreaked further havoc with its balance sheet. On April 13, S&P Global lowered Endeavor's credit rating from B to CCC+ with a "negative" future outlook. It's unclear how Endeavor will pay the interest on its debt, let alone repay the principle.
In 2018, ESPN contracted to pay $1.5 billion for the right to televise thirty UFC fight cards a year for five years on its cable-TV platform and streaming service. The deal was subsequently extended by two years as part of an agreement that gives ESPN the exclusive right to distribute UFC pay-per-view events in the United States.
The income from these events is crucial to Endeavor's financial wellbeing. But UFC events scheduled for March 21, March 28, and April 11, of this year were cancelled because of the coronavirus pandemic. Within this framework, UFC 249 loomed large on the balance sheet.
UFC 249 was originally scheduled for Barclays Center in Brooklyn on April 18. But public safety dictated a halt to competitive sports events, as was recognized by most leagues and states. UFC president Dana White bridled at the restriction and sought a way around it.
On April 7, the New York Times reported that UFC was planning to stage fights at the Tachi Palace Casino Resort in Lemoore, California, starting with UFC 249 on April 18. The casino had announced on March 24 that it was suspending all gaming operations to “prioritize the health and wellness of guests and staff amid concerns about the spread of the coronavirus [and to] assist public efforts to reduce exposure to the virus." However, the casino is on Tachi-Yokut tribal land. Because of this, it was debatable whether the State of California had the authority to enforce its statewide shelter-in-place order and preclude UFC 249 from happening.
UFC produces its own events and would have provided television production personnel for UFC 249. Because the Tachi-Yokut tribe doesn't have its own athletic commission, UFC would have also overseen regulation of the fight card. No members of the general public were to be allowed on site as spectators.
"I locked up this venue for two months," White told ESPN. "I’m going to continue to pump fights out. Anyone who shows up to this event and who is a part of it will be safer than anyone who is sitting at home in their house. They’re going to have access to the best medical attention, the best doctors, the best treatment that they can possibly get. You’re safer being at this event with me than actually being at home or going to the grocery store.”
White also told ESPN that he had secured a private island where he would soon be able to promote UFC shows for athletes who were barred from entering the United States
"I've got an island," he explained. "The infrastructure is being built right now. We're going to do all of our international fights on this island. If I keep putting up fights in the US with US fighters, I’m gonna run out my talent very soon. This is a global sport. We had a lot of fights scheduled internationally. Those will continue. I have an island where, hopefully, we can fly everyone into by mid-May.”
On April 8, Endeavor president Mark Shapiro told the New York Times, "Dana knows that he can pull this off in a very safe and controlled way that will keep his fighters and the crew safe.”
A source says that there had also been discussions about Donald Trump "giving a shout out" to UFC during one of his press briefings: "It would have fit with the president's message about reopening the country and sure as hell driven pay-per-view buys."
Initially, ESPN was supportive of the plan to stage UFC 249 at Tachi Palace. It wasn't lost on senior management that the undercard would draw huge ratings because of the dearth of live sports on television and that there was a likelihood of substantial pay-per-view buys.
White played into this theme when, just prior to Tachi Palace being confirmed as the site, he was asked by Mike Greenberg on the ESPN morning show Get Up where the fights would be contested.
“We’re gonna be live on ESPN," White answered. "It doesn’t matter where the fight is going to happen. First of all, no fans can come to the fight. The only place that you can watch the fight in the United States is ESPN. I know several news sources are putting out places where they think it is. ESPN is where it is.”
But the venture became more controversial than UFC thought it would be.
On April 6, the Association of Ringside Physicians released a "Letter from the Board" that declared, "The Association of Ringside Physicians has been actively following the recommendations of the CDC as well as other professional medical societies concerned with the spread of COVID-19. Sporting events across the world have been canceled in response to the increased risk of infection and transmission by participants, fans, officials, and support staff. It is our recommendation that all combat sporting events be postponed until further notice. This includes any and all events, regardless of the number of people involved. Any combat sport taking place during this global pandemic places the athletes, officials, and anyone else involved in the event under unnecessary risk of infection and transmission of Covid-19. In addition, combat sports athletes often require medical attention after a bout, and we do not wish to see any additional strain on an already overwhelmed medical system."
Dr. Nitin Sethi is widely respected within the boxing community for his service on a parttime basis as chief medical officer for the New York State Athletic Commission. In recent weeks, he has put aside much of his regular practice as a neurologist to serve on the front lines in the battle against COVID-19. Responding to UFC's plan, Dr. Sethi wrote to his colleagues, "Even if an event is held behind closed doors and all those present (not just the athletes) are tested for the coronavirus, the risk of transmission from person to person remains. Controlling the spread of the COVID-19 pandemic is far bigger than any boxing or MMA event. It is a matter of social responsibility and an obligation to act for the benefit of the society at large."
The Association of Boxing Commissions was in uncharted waters when it came to UFC 249. Unfortunately, those in charge steered the ship on a zig-zag course until it landed on jagged rocks.
An April 7 statement issued in the name of the ABC (and riddled with typographical errors) read, "The Association of Boxing Commission and Combative Sports (ABC) Board of Directors are very concern with an event being on tribal land without the regulation by a tribal/state athletic commission. The ABC concurs with the Association of Ringside Physicians that it’s a very trying time for the entire world. Fighter safety is paramount. If the fight occurs, it will be considered a non-sanctioned event since a state/tribal commission will not be present. All officials that decide to participate in the event, they may be sanctioned on a tribal/state level."
The following day, ABC President Brian Dunn issued a statement to ESPN and several other news outlets backing away from this position: “I have discussed the matter with the ABC Board of Directors and officials from the UFC. They agreed to increase medical presence and regulate the event by international standards. The official ABC position is neutral on the matter, as we do not have jurisdiction.”
Then, on April 9, Dunn turned 180 degrees away from the ABC's April 7 statement and announced, "After speaking with UFC officials, the ABC board of directors determined this event could be listed as sanctioned. When the UFC does international events, they regulate themselves using Nevada Athletic Commission inspectors, and this event on sovereign land is no different. There will be no sanctions imposed by the ABC for any athletes or officials involved in the event. If the UFC continues to properly regulate future events, which I am sure they will, future events will be treated the same. We would treat events held on mystery islands the same as well.”
Here, it's worth noting that the ABC Medical Committee was not consulted before any of these three statements were issued. Nor was the ABC Legal Committee.
After the third statement was issued, Greg Sirb (executive director of the Pennsylvania State Athletic Commission) told BoxingScene.com, "The ABC needs to meet a few more times [via video-conferencing] so we can fully grasp what was before us. And we should do that sooner rather than later."
Pat English (a member of the ABC legal committee) was more direct, telling BoxingScene.com, "I think that holding this event is sickening when you consider the number of people necessary to stage the event and the strain on medical resources that exists today, particularly in California."
The California State Athletic Commission took a dim view of the proceedings. California at the time had more reported cases of coronavirus than all but four other states.
In the past, the CSAC has regulated events at Tachi Palace. But on April 7, the commission issued a press release that read, "First and foremost, the Commission’s priority is the health and safety of fighters and the public. With that in mind, the Commission cancelled all events through May 31 based on guidance issued by California Governor Gavin Newsom and the California Department of Public Health to help flatten the curve against the spread of COVID-19. The Commission will not participate in the UFC event on April 18, regardless of the event location."
Attention then turned to the Nevada State Athletic Commission, which was said to be willing to provide ring physicians, inspectors, and other regulatory personnel to oversee the event. NSAC executive director Bob Bennett spoke to this point in an interview with BoxingScene.
"Let me clarify the role of Nevada in this because there have been a number of misstatements about it," Bennett said to BoxingScene.com. "UFC contacted a number of Nevada officials - referees, judges, inspectors, doctors - and asked them to work the show. To the best of my knowledge, none of them agreed to work the show. Some of them were considering it. But I want to make this very clear. The fact that UFC might have used Nevada officials would not have meant that the event was sanctioned by the Nevada commission. Under Nevada law, our officials are independent contractors. California law is different. [California State Athletic Commission executive director] Andy Foster can tell commission employees not to work a show and refuse to use them again in Califiornia if they do. Under Nevada law, our commission can't do that. We can't tell our officials what they can and can't do out of state. We had a problem last year with Julio Cesar Chavez Jr. He wouldn't take a PED test so we refused to license him in Nevada and the promoter took the fight to Arizona. Several of our officials worked the undercard for that fight. They had a right to do so."
As for whether or not UFC 249 should proceed as planned, Bennett declared, "You're asking me about this fight card, so I'll tell you what I think. We've always had a productive professional relationship with UFC but we couldn't accommodate them on this. It ran counter to the guidelines that have been established for public safety in the State of Nevada. They were going to test everyone involved with the show, but there aren't enough tests to go around where they're really needed. They were going to have special equipment to sanitize the arena. But we need that equipment in hospitals and essential businesses. People should follow the science. They should listen to Dr. Fauci and Dr. Birx and do what the science dictates. The guidelines are there for a reason and everyone should try to work within them. The science should dictate where we go next."
On April 9, United States Senator Dianne Feinstein (D-CA) issued a statement that read, “I’m concerned by reports that Ultimate Fighting Championship plans to hold a pay-per-view event in California in defiance of the state’s shelter-in-place order. This event would involve dozens of individuals flying to California and driving to a casino for a purpose no one can honestly claim is essential. I understand this event is scheduled to take place on tribal land and therefore is not subject to state law. However, at best, this event ties up medical resources and sends a message that shelter-in-place orders can be flouted. At worst, participants and support staff could carry the virus back to their home communities and increase its spread. I call on Ultimate Fighting Championship and the Tachi-Yokut Tribe to reconsider this event and delay it until a later date. We have to be responsible and mindful of all local, state and federal public health guidelines. Going ahead with this event is not the right move.”
Then the other shoe dropped. California governor Gavin Newsom spoke directly with high-ranking Disney officials and asked that the fight be cancelled.
The Walt Disney Company (which owns eighty percent of ESPN) ordered ESPN to not be involved. Endeavor (which, as previously noted, owns UFC) didn't want a war with Disney.
Thus, on April 9, Dana White told Brett Okamoto of ESPN, "Today, we got a call from the highest level you can go at Disney and the highest level at ESPN. And the powers that be there asked me to stand down and not do this event on Saturday."
White also told Okamoto that all other UFC events had been postponed indefinitely but added that UFC would go ahead with plans to conduct fights with international fighters on a private island at some time in the not-too-distant future.
Later that day, ESPN issued a statement that read, "ESPN has been in constant contact with the U.F.C. regarding U.F.C. 249. Nobody wants to see sports return more than we do, but we didn’t feel this was the right time for a variety of reasons. ESPN expressed its concerns to the U.F.C. and they understood.”
So . . . What happens next?
On April 9, Dana White told Brett Okamoto, "Fight Island is real. It’s a real thing. The infrastructure is being built right now. That thing is going to happen."
Former UFC heavyweight champion Randy Couture had his say on that when he appeared on Weighing In. After telling hosts Josh Thomson and John McCarthy that he had "mixed feelings" about the matter, Couture declared, "Everybody else is on lockdown. Why do you think it’s okay to go out and try and put on a show and put athletes in harm’s way, potentially, with so many unknowns? I felt like there was some selfishness going on in pushing this as far as they did. Now, we’re still hearing talk about ‘Fighter Island’ and all of this other crazy stuff. ‘Pandemic Island’ is what we should call it."
But the likelihood is that fight fans will see UFC on television before Fight Island is open for business. White is now targeting May 9 for UFC's next telecast at a site to be determined.
If UFC had slated UFC 249 for a Native American reservation in Oklahoma or Mississippi (whose governors have resisted calls for a shutdown), there wouldn't have been an appeal from the state capitol to Disney to shut down the fights and the event probably would have preceded on April 18.
Will Disney now support a UFC card held in another state?
Florida governor Ron DeSantis is taking a position that's very different from the position that Gavin Newsom took. DeSantis has stubbornly resisted social distancing. He refused to close Florida's beaches during spring break in the face of the burgeoning coronavirus crisis and has touted hydroxychloroquine (an unproven drug) as an effective treatment for COVID-19.
On April 9, Florida amended its list of "essential services" to add "employees at a professional sports and media production with a national audience including any athletes, entertainers, production team, executive team, media team, and any others necessary to facilitate including services supporting such production - only if the location is closed to the general public." On April 13, DeSantis declared that WWE (which is a theatrical production, not a sport) is an "essential business."
DeSantis might even go so far as to lobby Disney (which has extensive holdings in Florida including the Walt Disney World Resort) to televise future UFC events that occur in his state.
So let's look at the food chain. UFC will do what a cash-starved Endeavor tells it to do. ESPN can be dictated to by Disney. And Endeavor-UFC will be responsive to the dictates of Disney-ESPN.
As of this date, Florida ranks in the top ten nationally in both confirmed coronavirus cases and deaths as a consequence of the coronavirus.
It's also worth noting that, if UFC's contract had been with FOX rather than ESPN, it's likely that UFC 249 would have proceeded as planned. Given its political leanings, FOX probably wouldn't have pulled the plug. That should be considered in the context of what the future holds for Premier Boxing Champions telecasts on FOX.
How should one evaluate the propriety of what UFC tried to do in California and intends to do in another state?
There will be a lot of talk in the weeks ahead about how UFC is "doing this for the fans" and to "provide entertainment for people who are confined to their homes." That's nonsense. Everyone knows why UFC is doing this. For the money. That's not a bad thing, but let's be honest about it. We're not talking about a noble effort to provide entertainment for sports fans who are starved from the lack of watching people beat each other up. We're not even talking about free television. We're talking taking money from the pockets of "little people" (pay-per-view buyers) and putting it into the coffers of ESPN (Disney) and UFC (Endeavor).
All sports are looking for ways to reboot. But in pursuit of this goal, UFC tried - and is continuing to try - to circumvent protocols that have been put in place for the public good.
It's a given that, despite precautions, some people who are working onsite at future UFC events will contract the coronavirus. As a statistical matter, some of the people who are onsite would have contracted the coronavirus in the course of their daily lives had they stayed close to home. But each person who contracts COVID-19 as a consequence of being at a UFC event and returns home risks spreading the virus and putting more people at risk.
Also, each UFC event will divert medical resources that are urgently needed elsewhere.
Dana White has sought to allay fears regarding the danger to individuals who participate in future UFC events with the promise, “They’re going to have access to the best medical attention, the best doctors, the best treatment that they can possibly get."
But let's look at what that means.
Which of the people involved with UFC promotions will be tested for COVID-19? Fighters? Their cornermen? Fight night officials? Hotel workers like food handlers, housekeepers, and security personnel? TV production crews?
It's a matter of record that test kits are in short supply. Too many people who are dying can't get tested. Police officers, postal carriers, bus drivers, and other truly essential personnel can't get tested. And UFC is planning to commandeer hundreds of test kits to promote fights.
Having doctors administer pre-fight medical examinations and be onsite with paramedics and ambulance drivers for UFC events will divert medical personnel from emergency situations.
Also, fighters inflict damage on each other. Suppose a fighter is hurt and has to be taken to an emergency room?
People in combat sports like to talk about the health and safety of the fighter. Here, the health and safety of everyone involved with the promotion and, by extension, an exponentially greater number of people will be at risk. This risk might be worth the reward for UFC. But not for society at large.
The coronavirus crisis won't end quickly. People won't suddenly wake up on a warm sunny morning and go out to mix and mingle and hold hands. Recovery will be a long slow incremental process.
Meanwhile, not having sports right now might be one of the best things this country has going for it because it impresses upon people just how serious the coronavirus pandemic is. When Adam Silver suspended the NBA season indefinitely on March 11, it got everyone's attention and sent a powerful message.
Learning to live without sports is better than dying with them.
Thomas Hauser's email address is thomashauserwriter@gmail.com. His most recent book – A Dangerous Journey: Another Year Inside Boxing – was published by the University of Arkansas Press. In 2004, the Boxing Writers Association of America honored Hauser with the Nat Fleischer Award for career excellence in boxing journalism. In December 2019, it was announced that he has been chosen by the electors for induction into the International Boxing Hall of Fame.