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[1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] [15] [16] [17] [18] Jonathan Kovler is an American businessman and investor that was born and raised on the South Side of Chicago, Illinois. He is the grandson of Harry Blum and son of Everett Covler, two influential figures in the distillation and distribution of Jim Beam bourbon whiskey. Though Jon Kovler was a descendant of the legendary liquor empire, he is best remembered as former part owner of the NBA's Chicago Bulls for 13 years. In the year 1972 at the age of 25, Jon Kovler became part of an ownership consortium that purchased the Bulls from original owners Richard Klein and Elmer Rich. Heading this consortium was Chicago Stadium owner and Chicago Blackhawks patriarch Arthur Wirtz. Amongst other notable investors were highly respected financier Lester Crown and New York Yankees czar George Steinbrenner.
Out of all the various investors that collectively purchased the Chicago Bulls, Wirtz was the majority stakeholder above all others. Arthur Wirtz despite having majority ownership was more attentive and devoted to the Chicago Blackhawks as owner of that franchise also. Jonathan Kovler on the other hand was a highly devout basketball fan who took a very sincere interest in the Bulls. At the time, the everyday basketball operations were handled by then head coach Dick Motta. A few years after Kovler's investment into the Bulls, he was also granted the title of managing partner and chief executive over basketball operations. Kovler now had complete autonomy in the Bulls basketball operations. When examining the entire ownership group, most of the investors were really nominal owners who displayed a minute interest in the Bulls. This was because they had other prioritized ventures and obligations. Jon Kovler out of all the owners was actively involved in the organization.
For 13 years, the Bulls ownership group operated in a quite complex manner. It was really an ownership by committee with decisions made through voting and teleconferencing. Though Arthur Wirtz [who died in 1983] and his subsequent estate were technically the principal owners, the inner running's of the organization were left to others. Jonathan Kovler though having a minority stake was the face of the Bulls and really functioned as the de facto owner to the general public. He exercised complete control over the basketball aspect and served as a liaison to fellow stockholders while Lester Crown presided as chairman of the board. The Bulls investors made decisions generally in unison as the executive board, but were often absent elsewhere except for Jon Kovler. The ownership structure was deemed unorthodox, dysfunctional and confusing at times. Some of the stakeholders even expressed a desire to divest their stake in the club because of the loss of profits. This was attributed to the fact that as time went on, the Bulls team became an NBA laughingstock which of course resulted in poor home game attendance.
During the 1970s, the Bulls under both Dick Klein's ownership and the successive ownership association did enjoy a considerable measure of success. A few of those teams were highly competitive, nearly advancing to the NBA Finals. However, as the 1970s drew to a close and entering the early 1980s, there was a gradual, steep decline into mediocrity and futility. There were draft picks that some deemed questionable such as the infamous Quintin Dailey draft selection in 1982. There were also trades that many felt were ill advised with other potential ones vetoed by Kovler that fans thought would improve the quality of the team. The Bulls teams of the early 1980s featured players though talented, were highly underachieving and personally troubled. As a result, Chicago Stadium became a half empty wasteland averaging slightly over 6,000 fans per game. Many amongst the media and fans blamed Jon Kovler for the Bulls failures. Yet despite any criticism, he proved to be instrumental in what can be termed the biggest decision in the history of the Chicago Bulls franchise that would reverse the organizations misfortunes.
On June 19, 1984, the Chicago Bulls selected shooting guard Michael Jordan out of the University of North Carolina as the third overall pick. This was done under the oversight of both Jonathan Kovler and then Bulls general manager Rod Thorn, the latter being hired back in 1978. Early into Jordan's rookie season in the winter of 1985, more organizational changes would take place that would greatly affect Jon Kovler's position with the Bulls franchise. In February 1985, an investment syndicate purchased Bulls ownership interests belonging to the Arthur Wirtz estate and George Steinbrenner. Leading this investment group was Chicago White Sox co-owner, attorney and real estate investor Jerry Reinsdorf. Amongst other investors unloading their shares were Walter Shorestein and Philip Klutznick. This buyout made Reinsdorf the Bulls controlling and principal owner with over a 56 percent stake. A few investors from the preceding ownership did retain their stake in the franchise.
Lester Crown, then the Bulls chairman who had a considerable ownership percentage retained his stake. Jon Kovler for the time being retained his interest, which was 7 percent. Lamar Hunt, the NFL trailblazer and long time Kansas City Chiefs owner was a founding investor with Dick Klein. He decidedly retained his shares under both the Wirtz/Kovler consortium and the new Reinsdorf ownership syndicate. Now with Jerry Reinsdorf as the new principal owner and also chairman of the board, the previous ownership by committee arrangement was now eliminated. It did not matter who was considered an owner or investor, there was no confusion as to who made the final decisions. All other Bulls shareholders would be completely subordinate to Reinsdorf. Upon his taking the reins, the new Bulls owner would make a decision that would effectively diminish the authority that Jon Kovler once had.
In March 1985, Rod Thorn was terminated by the Chicago Bulls chairman as general manager being immediately replaced by Jerome Krause, who was now the chief basketball executive as vice president and GM. Kovler for quite sometime under the old regime was self-autonomous as a minority owner, managing partner and vice president. Now with Jerry Krause appointed as the new basketball operations chief, this was no longer the case under the new regime. How this developed was ironic because Krause was previously a Bulls employee in two separate stints under the first two ownership structures. On both occasions he was relieved of his duties, but now was given responsibilities Jon Kovler once had. Kovler though still an owner with a seat on the board of directors now had very little input in the Bulls everyday functionalities as he once did. Now critical and dissatisfied with the Bulls new direction, Jon Kovler shortly thereafter sold his ownership stake, officially signaling his exit from the organization after 13 years. Reinsdorf's ownership stock as a result increased even further to over 63 percent.
