Wrestling Observer Rewinder

August 16, 1999

Four new names have been inducted into the Observer Hall of Fame. Jushin Liger, in his first year of being eligible, received 95% of the vote which is by far the most ever in the short history of this HOF and will likely never be topped. The other 3 inductees are Lioness Asuka, Keiji Muto, and Jim Ross. Both Shawn Michaels and Shinya Hashimoto came just one vote short of being inducted as well. Mick Foley came 3 votes short, which surprises Dave. Last year, Foley was only 1 vote short and he just had arguably the biggest star-making year of his career so it's a surprise he didn't make the cut again this year. Dave figured he was a sure thing. Remember, people are voted on by a collection of past wrestling stars, current wrestlers, long-time wrestling historians, and reporters who cover wrestling. It's a mix of people from all over the world. The criteria is basically the same as the Major League Baseball HOF. Must get 60% of the vote to be inducted. Only eligible if you're at least 35 years old or have had at least 15 years in the business. etc. Voters and their picks is kept confidential due to the political nature of the wrestling business.
Lots of news coverage on WWF going public and holy shit I can already tell this is a long, complex story that I'm going to struggle to sum up. (Just one interesting thing here that I never knew before we dive into it. In the past, WWF has ventured into both movies and music. But I never knew the names of those subsidiary companies. Turns out the movie business was named Shane Productions. And the music side was called Stephanie Music Publishing, Inc.). Anyway, Dave talks about how WWF is currently at the all-time peak of its popularity (they've made more profits in the last 2 years than they made in the previous 15 years combined). Look, I'm gonna be real with y'all. I don't know or understand shit about this and I'm having a hard time writing it up. Dave starts dropping numbers everywhere and using terms like "stockholder equity" and "income tax profit level." I can't hang. Basically it's just listing all of WWF's numbers over the last few years, debts they have, profit margins, loans, operating costs, etc. and how it relates to their stock filing. If you're a stock market nerd, this would probably be super interesting to you. But I'm a wrasslin' nerd and this is putting me to sleeeeeeeeeeeeeeeeeeeeeeeeeezxlmkmsewoeqmc,sdewrw44443mdsaaaaa%aaaaa,kjjj
All of this does lead Dave to examine the state of the business and that's the kinda thing I can follow. Right now, the business as a whole looks like it's starting to fall. ECW has shown no growth in awhile. WCW is plummeting at an alarming rate. And WWF is still at its peak, but things seem to be leveling off. Things like TV ratings and buyrates are probably not going to get much higher than they already are now, which leaves only one direction to go. The addition of Smackdown could lead to over-saturation (there's already signs of that too, with shows like WCW Thunder and WWF's Sunday Night Heat beginning to show signs of it in the ratings). WWF is on top right now, but things can change quickly. NJPW was the top wrestling promotion in the world in 1995. WCW was the top in 1997 and half of 1998. Look at the shape of both of them now. In every genre of entertainment, it's not unusual for something to get really hot for awhile, and then cool off. WWF is hot right now but they don't seem to be getting hotter. Dave is pretty obviously predicting the downfall of the Attitude Era and the inevitable ratings decline that will come in the next few years. There's also some other interesting stuff about the numbers. Since WWF was legally required to open the books and reveal their real numbers, it confirms what Dave has been saying for years: WWF always lies about this stuff. For years, in interviews, news articles, and press releases, WWF has been claiming that they are a $500 million-per-year company. But these stock filings prove that those numbers are total bullshit and the real number isn't even half of that. Just things like that. Turns out you can lie to the public all you want, but you can't kayfabe the stockholders.
In their stock filing, WWF was required to list several potential obstacles and risks that could be downfalls of purchasing stock. Basically, if any of these things go badly, it could negatively affect for stockholders: Failure to create popular shows. Failure to retain key stars. Loss of Vince McMahon (either through retirement, disability, or death) and noted that the WWF does not have a life insurance policy on McMahon to protect the company in case he dies. Failure to keep current TV and PPV deals (Dave notes that the USA Network deal expires in Sept. 2001 but there are provisions that allow either side to terminate the deal a year earlier, in Sept. 2000....that becomes noteworthy in 2000). Failure to compete with WCW. An economic decline in the U.S. that would lead to fans spending less money. Possibly inadequate insurance coverage, meaning that WWF cannot assure stockholders that if someone were injured in the ring, that it would be covered fully by insurance (this became an issue back in the Marty Jannetty/Chuck Austin case years ago). Potential legal regulations (meaning if states start creating laws that makes it difficult for them to run shows). Potential scandals (WWF never has a shortage of those, and they never handle them well). And the possibility of year 2000 computer problems (lol Y2K).
WWF also listed substantial legal liabilities that could prove to be problematic to stockholders. They specifically listed the Owen Hart lawsuit along with other lawsuits they're currently facing, including one from Ultimate Warrior, one from Demolition Ax, one from Moondog Rex, and two from WCW. The lawsuit from Ax is seeking $6.5 million based on a claim that WWF made a verbal agreement with him in 1991 to employ him for life and to compensate him for coming up with the Demolition tag team. Moondog Rex, who was one of the original Demolition members, also filed a lawsuit claiming he wasn't compensated for coming up with the Demolition idea. Ax and Rex's lawsuits have since joined together but they still haven't gone to trial. Warrior sued the company back in 1996 for $15 million which still hasn't been fully settled. And WCW filed a mostly frivolous lawsuit against WWF last year (which was basically a mirror image of the same lawsuit WWF filed against them in 1996). WCW filed another suit against WWF later in 1998 alleging that WWF was trying to block the release of Wrestling With Shadows and to prevent WCW from promoting it. Basically, all of those lawsuits are still pending and if WWF loses them, it could affect the stock, so they were required to report that info.
Lots of other possibilities coming out of this. Unionization? If it's ever going to happen, now is the time, but Dave doesn't think it will. But he once again points out how under-paid wrestlers are. You have lower-level major league baseball players making $1 million a year and the average person on the street probably couldn't even name them or pick them out of a lineup. Meanwhile, some of the most popular names in wrestling are only making $400,000 a year or so, even though wrestling does way bigger than baseball in TV ratings. Major league sports often pay 40% or more of their total income towards player salaries. In WWF, it's only 12% of their income. But the problem is, a lot of these wrestlers are used to making $500 bucks a week on the indies, so when they get to WWF and start making $5,000 per week, they feel lucky to have it, when in reality they're still grossly underpaid.
We get a long obituary for Japanese women's wrestling pioneer Jackie Sato who died of stomach cancer this week. She was the biggest women's wrestling star of the 70s and was the main influence behind all the 80s-era Crush Gals wrestlers who came along after. She was basically forced into retirement in 1981 because All Japan Women traditions were basically that they had mandatory retirement before age 25. But she came out of retirement in 1986 to be the top star for new rival promotion JWP but then her career ended a year later in one of the most brutal matches ever. Sato went against Shinobu Kandori, and during the match, Kandori was told to shoot on Sato (there was some backstage drama there) and she gave Sato a horrific beating. She never wrestled again. The story of that match became the central focus of a book called "Puroresu Shyo-jo Densetsu" (Legend of Girls Wrestling) written by Makiko Ida in 1990, which was a huge best-seller and won several awards (when I wrote this Observer up months ago, I had found a video of this match on YouTube. But it has since been deleted for copyright and I can't find it anywhere else).
Jerry Lawler is continuing to get a lot of mainstream coverage for his mayoral campaign in Memphis. He's been giving speeches talking about bringing in WWF wrestlers to speak at schools, giving away WWF tickets for students with good attendance and academic records and things like that. Considering the content of WWF television these days, that whole aspect of Lawler's campaign isn't exactly getting quite the warm reception he probably hoped for among people old enough to vote. In regards to all the gang violence in Memphis, Lawler also suggested setting up fighting rings for the gang members to fight it out with rules rather than violence in the streets. "I think I can help channel some of this violence into a productive way with these kids," Lawler said in Memphis newspaper. "They could still have a gang and still have a fight with a gang from another neighborhood, but we'll do it in a ring, and we'll give the winner a trophy instead of a tombstone." Also, due to equal time laws on television for mayoral candidates, Lawler has stopped appearing on Power Pro Wrestling's TV show, but is still working live shows. The equal time laws don't apply to his Raw appearances because they are on the USA network, a cable station which is not broadcast over federally regulated airwaves. Lawler makes $180,000 per year for his work on WWF Raw and WWF PPV commentary. He also earns another $25,000 per year doing local TV stuff in Memphis and another $10,000 yearly wrestling locally. Lawler plans to keep his WWF gig if elected and pointed out that even though being the mayor is a full time job (it pays $140,000 yearly), he can still do Monday nights and 1 Sunday per month for WWF. Local TV in Memphis, you say?
Stan Hansen, realizing his wrestling career is nearly finished, has been talking about getting into coaching football.
Bruno Sammartino was hospitalized this week with diverticulitis and is being given a lot of antibiotics. Brock Lesnar is a pussy. He had diverticulitis and had to retire from UFC. You didn't hear about Bruno Sammartino retiring from UFC did you?! Damn right you didn't. Because he wasn't no bitch.
Remember Andre Verdun, the 17-year-old kid who got locally famous a few months back for doing hardcore backyard wrestling shows and the media picked up on it? He's signed a deal with a production company to produce 8 full-length backyard wrestling shows. And the E! network is also doing a feature on backyard wrestling, focusing on Verdun. Anyway, as for his new shows he'll be filming, Verdun will get $2 for every tape sold after the first 500 are sold, plus 30% of the profits if the matches ever air on PPV ("stop laughing," Dave says).
ECW is getting a ton of mainstream publicity leading up to their debut on TNN this week. Entertainment Weekly had a story on ECW, with a picture of Spike Dudley going through a flaming table. The story talked about ECW being more brutal than WWF and WCW. Eric Bischoff was quoted in the story saying, "If they bring that formula to TNN, and TNN doesn't discipline itself, I think wrestling in general will suffer." Most insiders do believe ECW will have to be significantly toned down but ECW can't publicly admit that without alienating their core fanbase, who will surely accuse them of selling out. Basically, it all depends on the ratings. "If the ratings are bad, Paul Heyman will be viewed by TNN as irresponsible and impossible to deal with. If the ratings are good, he'll be an eccentric genius."
Taz was negotiating with WWF this week but as of now, it's believed he's staying in ECW (about that...)
TV Guide ran a big story on WCW, pretty accurately portraying them as a struggling company that's losing the ratings war.
Ric Flair missed Nitro, allegedly due to a back injury. But he was also asked to put over Shane Douglas clean during the show and balked at that, saying Douglas hasn't gotten over and doesn't deserve it. Most everyone in the locker room hate it when the old guys don't want to put over the new talent, but in this case everyone is siding with Flair because he's always been willing to put over almost everyone in the past. And secondly, because most people don't see any business reason for Flair putting over Douglas, and most see it as Bischoff's way to attempt to humiliate Flair since Bischoff still hasn't gotten over his dislike for Flair and knows how he feels about Douglas. Flair has actually talked about wanting to be taken off TV but still wants to work house shows, which is the total opposite of all the other big names.
Notes from Nitro: The crowd was nuclear hot for whatever reason which helped the show. ICP teamed with Vampiro for a match. ICP are passable indie-level workers. Raven was at ringside with face paint on. Curt Hennig was given new entrance music because he's a heel and "Rap Is Crap" was getting too over (it had even been getting radio play) and god forbid WCW ever allow someone to get over. Speaking of changing music, Goldberg was given terrible new music (that doesn't last long). Last week on Thunder, Randy Savage promised to reveal on Nitro who was driving the hummer that ran into Nash's limo awhile back. Anyway, Nitro is here and....Savage didn't reveal anything and it was never mentioned by him or the announcers. Country singer Chad Brock performed, leading to more than 350,000 homes changing channels to Raw. Dennis Rodman was there and Dave talks about how it's funny that Rodman (who is a legit 6'6) is so much taller than Hogan (who is billed at 6'8). Rodman cut a promo, saying Gorgeous George was his bitch, which led to Okerlund pulling the microphone away. Hulk Hogan brought the old red and yellow gimmick back which got an insane pop. Even Goldberg looked stunned by the crowd reaction to Hogan.
During Thunder, when Sid did a run-in, you could hear a big explosion in the building. It actually sounded like a gunshot. The announcers never referred to it on the air. Anyway, turns out it was a malfunction with the pyro and both of the guys who handle the pyro for WCW were injured and hospitalized with burns. There was no more pyro used for the rest of the show.
Dustin Runnels is expected to return to WCW soon, fresh off leaving WWF recently.
Gene Okerlund's WCW contract is due up soon. He tried to get an offer from WWF to use as leverage, but they weren't even interested in talking to him, so that didn't work out.
Torrie Wilson is expected to be paired up with Kidman soon (in more ways than one, as it turned out).
Steve Austin missed a few shows due to a shin injury and Debra was off the road too, since apparently her deal now is that if Austin doesn't go on the road, she doesn't either since they're dating. Dave thinks that's some WCW shit. Also, Austin recently refused to work TV matches against both Billy Gunn and Jeff Jarrett, feeling neither of them were over enough to deserve the rub.
Notes from Raw: Jesse Ventura made his return to WWF, cutting a promo putting himself over as a Navy SEAL and subtly shitting on Hogan and had a face-to-face with Triple H to build Summerslam. Ventura also did commentary later in the show. Kane was handed a mic and spoke his first real words since debuting almost 2 years ago, saying "Suck it." Test is getting over and improving in the ring.
Oh yeah, there was one other notable thing....some guy named Chris Jericho made his WWF debut. It happened during the Rock's promo, when the countdown clock came on the screen. He gave a very good heel promo, basically describing WCW (boring TV, buyrates plummeting, etc.) but claimed to be talking about WWF. Rock had a great comeback promo also. Dave thinks it was a really good debut and linking Jericho with Rock is smart because it immediately establishes him as a bigger star than WCW ever promoted him to be. But Rock is so charismatic and has so much presence that, by the end, Rock's promo had mostly overshadowed Jericho's big debut.
At the tapings for next week's Raw, Erin O'Grady debuted as Bob Holly's cousin Crash Holly, with his hair dyed to look like Holly. Jericho interrupted an Undertaker promo, claiming Undertaker was boring everyone "which, in fact, he was," Dave adds. And the Summerslam main event was changed to a three-way, with Mankind added.
Stevie Richards has signed with WWF. The Dudleys haven't signed yet but it's reportedly just a matter of finalizing the paperwork so they should be in soon.
Rena Mero appeared on TSN's Off The Record and on Howard Stern's show. On Off The Record, she said that her husband Marc Mero has retired from wrestling and won't be going back to WCW (pretty much true. He never went back to WCW. In the next few years, he worked a handful of matches for XWF and TNA but that's it. He really did pretty much retire from the biz after leaving WWF). She said both of them are out of the wrestling business, but said never say never when asked if she may return some day. On Howard Stern, he tried to coax her into revealing how much money she got in the WWF settlement but she wouldn't bite. A few days later on the show, Stern was making fun of her for claiming she wanted to be an actress and said she delivers lines like a robot.
It's said that long term plans are for Vince McMahon to return to TV eventually and do an angle to turn Austin heel (still a couple of years away and still a terrible decision).
Vince Russo will no longer be writing for WWF Magazine and will only be doing TV. Dave thinks it's too bad because some of Russo's "nonsensical rants" in the magazines were entertaining.
Road Dogg was interviewed in a newspaper recently and basically gave his thoughts on some of his coworkers, which was interesting.
On Billy Gunn: "A great athlete, bad attitude."
On Shawn Michaels: "Ditto for Billy, but he's worse. I think he's the best wrestler I have ever seen."
On Triple H: "I think Triple H infiltrated the Kliq because I don't think he belongs in that category. I think he's a better guy than a wrestler."
On Rock: "Got a big huge shove and let it go to his head."
On Austin: "He's a heckuva guy, and he's a good wrestler. He's smarter about the business than he is a great wrestler. If you can be the man and still have everybody's respect, it's unheard of, incredible."
On Foley: "He's a real smart man; crazy for some of the bumps he takes."
On McMahon: "I think Vince is a genius. He's a genius businessman, which in turn makes him a jerk."
On Bret Hart: "I just never understood the Bret Hart phenomenon. He was just good, not great."