Many of you lament Amare Stoudemire and his uninsured contract everytime he gets a head cold. Let me make this perfectly clear, signing Amare Stoudemire was the smartest thing that James Dolan has done since owning the Knicks.
If they gave out trophies for owners of NBA franchises ability to generate revenue and profits, James Dolan would win the title virtually every year. In 2010-11 Dolan's Knicks generated 121 Million dollars in profits (that is profits not revenue). Dolan made more money off the Knicks than the two next most profitable NBA franchises combined (Lakers 64 million, Heat 30 million). James Dolan has never reported a loss in any year he has owned the Knicks, his profits have stemmed from a low of 36 million in 2002 to a high of 156 Million in 2000. Put another way the Knicks have been a huge cash cow for the Dolan's, since "Jimmy" began running the show for his daddy in 1999.
Dolan literally makes more money off the Knicks than league rules allow him to spend on the team. So when the opportunity to sign a player as talented as Amare Stoudemire presented itself, Dolan was smart to jump at the chance. Amare's contract cannot be insured because of his Micro-fracture surgery. It is ironic that some of the players Knicks fans want to trade Amare for also do not have insurable contracts. All that means is if Amare suffers a career ending injury that the Knicks would have to pay out the remaining funds on Amare's contract, instead of getting an insurance company to pay Amare. There isn't any additional liability to the Knicks salary cap than say if an insured player like Carmelo Anthony were to have a career ending injury. NBA rules allow a team to have the remainder of a player's salary come off the cap one year after the player retires for injury reasons. The real issue is who pays the injured pays the rest of the players salary. In Amare's case that is the Knicks. Given that Dolan actually is sitting on a mountain of cash if he had the pay out the remaining 63 Million on Amare's deal he would not blink at it.
One of the things that has always boggled my mind about Dolan is why he does not use the Knicks superior cash position more to benefit the team. Signing Amare, which would be a risky proposition for a cash strapped franchise, was a smart way to flex his superior money muscles. Sarver balked at re-signing Amare, because the Suns frankly do not generate the revenue that the Knicks do, therefore he literally couldn't afford Amare's contract. Dolan, Reinsdorf, and Arinson can afford to pay out of pocket if they have to and that is why those three teams were the ones most interested in signing Amare.
Now I must correct some BS about Amare being injury prone. Amare had the Microfracture surgery in the summer of 2005 after playing 80 regular season games and 15 playoff games the 2004-05 season. Why did Amare have microfracture surgey? To correct an arthritic condition in his knees that was genetic. While Amare did not miss games he did experience swelling in his knees after games. The condition was diagnosed as a form of early onset arthritis and the surgery was recommended to prolong his career. Amare never suffered a "knee injury." Those of you who are Giants fan's may know that Kenny Phillips had a similar condition and had microfracture surgery to correct it during his rookie season. Amare's only severe injury occurred during the 2008-09 season when he suffered a partially detached retina after getting poked in the eye. Now that is not an uncommon injury among NBA big men, who often get poked in the eye while jostling under the boards for rebounds. Moses Malone had a similar injury which led him to like Amare wear goggles the rest of his career. Other than that Amare's injuries have been the typical wear and tear injuries that basketball players suffer whether they are in the NBA or weekend warriors, sprained ankles and other parts, pulled muscles and such. The kind of things rational people expect athletes to get during the course of a season. Even his latest back injury is not uncommon especially for big men. David Robinson suffered a bulging disc in his back in 1992. Two years later he was league MVP. Kareem, Hakeem, Tim Duncan, Kevin Garnett, Rasheed Wallace, and Karl Malone are all guys who have had to deal with the bulging disc issue during their careers. Most were fine after and played some of their best ball.
So when I read all of this stuff from you guys concerning Amare and his contract at least have facts. For James Dolan to be sitting on an ever growing mountain of cash, and to act like he has Michael Jordan's bankroll would be stuck on stupid, even for Dolan. The Knicks were able to acquire one of the most talented Power Forwards in the NBA because Dolan wised up for once and put his deep pockets to good use.