Charitable foundation to spin off from Clippers sale, source says
(CNN) — The $2 billion sale of the NBA’s Los Angeles Clippers would allow for up to 10% of the price — or $200 million — to be spun off into a charitable foundation that Shelly Sterling would essentially run, a source familiar with the negotiations has told CNN.
Shelly Sterling and her husband Donald Sterling, who co-own the team, agreed last week to sell to Microsoft CEO Steve Ballmer.
The source said Shelly Sterling and Ballmer would be co-chairs of the foundation, which would target underprivileged families, battered women, minorities and inner city youths.
The source said Shelly Sterling’s attorney, Pierce O’Donnell, suggested the idea to the NBA, which was receptive.
Donald Sterling bought the team in 1981 for $12 million. His recorded racist remarks to his companion, V. Stiviano, spawned outrage among pro basketball fans, players and executives. The NBA banned him from the league and terminated his ownership rights in the franchise.
By Brian Todd and Ralph Ellis