Diamond Sports Group, the largest owner of regional sports networks, would only be able to broadcast one Major League Baseball team game next season.

During a hearing in the US Bankruptcy Court in Houston on Wednesday, the operator of Bally Sports’ regional sports networks indicated it will dissolve the seven teams it has under contract for the 2025 season.

As part of his reorganization plan, Diamond plans to void the contracts of the Detroit Tigers and Tampa Bay Rays and attempt to rework the deals of the five franchises that partially own their regional sports networks – the Cincinnati Reds, Kansas City Royals, Los Angeles Angels, Miami Marlins and St. Louis Cardinals.

The Cleveland Guardians, Milwaukee Brewers, Minnesota Twins and Texas Rangers have contracts that expire at the end of the regular season.

This would leave the Atlanta Braves as the only franchise whose contract would remain unchanged.

Lawyers for Diamond said at the hearing that the company has made proposals to the 11 teams that are out of contract, have rejected deals or are joint ventures.

Diamond Sports has been in Chapter 11 bankruptcy proceedings in the Southern District of Texas since it filed for protection in March 2023. The company said in a financial filing last year that it had debts of $8.67 billion.

“Today marks an important step forward for Diamond with the filing of a baseline plan to enable us to emerge from bankruptcy as a viable, forward-thinking company before the end of the year,” Diamond Sports said in a statement. “We are confident that through our linear and digital offering we have created the best economical and fan-friendly engine for all our team partners.”

Diamond lawyer Andrew Goldman said during the 30-minute hearing that discussions with all teams are continuing.

MLB attorney James Bromley said he was surprised by the reorganization plan and said they were “sandbagged” because they only learned about it less than two hours before the hearing was scheduled to start.

“We have no information about what is being done,” Bromley said. “We have not had an opportunity to review and now we are in court and being asked to make our comments.”

Over the past two seasons, Major League Baseball has had to take over the broadcasts of the San Diego Padres, Arizona Diamondbacks and Colorado Rockies after no agreements could be made.

Goldman also said during the hearing that Diamond is “on track to get a new naming rights partner, which is a big development for the company, as well as a commercial agreement with one or more streaming partners regarding the digital rights the company has. will possess.”

Diamond also has the rights to thirteen NBA and eight NHL teams.

Judge Christopher Lopez has scheduled a follow-up session for Oct. 9, with a final hearing on the reorganization plan scheduled for Nov. 14.

Diamond Sports Group and Sinclair Broadcast Group purchased The Walt Disney Co.’s regional sports networks. for nearly $10 billion in 2019. Disney was required by the Justice Department to sell the networks to acquire 21st Century Fox’s film and television assets. approved.

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