Alexander Ovechkin Press Conference

Forbes list of NHL team values: 10 observations


For those with an interest in the business of the NHL, here are 10 observations about Forbes’ just-published list of franchise values. Other readers might find these observations boring. So let’s get right to it!

1. The Capitals have nearly doubled in value since 2004, from $115 million to $225 million. So say what you will about Alex Ovechkin underperforming his massive contract, he’s already made Ted Leonsis a pile of money on paper. No way Washington is worth as much without Ovi.

2. According to Forbes, the four teams carrying the most debt as a percentage of franchise value are New Jersey (144%), Dallas (126%), St. Louis (81%) and Carolina (77%). Forget the Stars, because they have a new owner now. But there’s a reason the Devils have reportedly been flirting with bankruptcy, the Blues are for sale, and the Hurricanes were forced to bring in a bunch of new investors. It’s a dangerous time to be highly leveraged.

3. The Winnipeg Jets are valued at $164 million. They were sold this summer for $110 million, plus a $60 million relocation fee paid to the NHL for the privilege of moving out of Atlanta. Now consider the NHL bought the Phoenix Coyotes for $140 million two years ago. Given the City of Glendale is covering annual losses up to $25 million, could the league end up making a profit on its purchase if the franchise relocates at the end of the season?

4. The Leafs’ operating income is estimated at $81.8 million, by far the most in the NHL. And that’s without any postseason revenue. Imagine if they actually make the playoffs this season. Tickets probably won’t be cheap.

5. The Flyers’ revenue fell by $10 million. Presumably the difference between making the Stanley Cup final in 2010 and losing in the second round last season.

6. Despite the economy, only seven teams are worth less today than they were last year. For those wondering why Gary Bettman makes a lot of money, there you go.

7. Over half the Islanders’ franchise value is attributed to its market, which Forbes says is worth $78 million. Nashville’s market, in contrast, is valued at just $52 million. Translation: the NHL will do everything it can to facilitate the building of a new arena that will keep the Isles where they are. You don’t walk away from affluent, densely-populated markets like Long Island without a fight.

8. The Rangers’ franchise value rose by $46 million over last year. The prospect of a renovated Madison Square Garden with all the additional revenue sources that come with modern arenas was a big reason why. They’re not sinking $850 million into MSG because it was looking a little drab.

9. The Toronto hockey market is estimated to be worth $254 million. Thus, the talk of adding a second team. Also, the reason the Leafs are so protective of their territory. The monopoly they enjoy comprises a huge chunk of their franchise value. Obviously they’ll want to be compensated if another team moves in.

10. The Detroit Red Wings are worth $336 million. Mike Ilitch bought them in 1982 for $8 million. Nice little investment.

Update: Wisniewski tore ACL 47 seconds into ‘Canes debut

James Wisniewski, John-Michael Liles, Elias Lindholm
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Last night, we passed along news that veteran d-man James Wisniewski — acquired from Carolina at the draft — suffered what looked to be a serious injury just 47 seconds into his ‘Canes debut, and was ruled out for the remainder of the night.

Now, he’s been ruled out for a lot longer than that.

From the club:

Ron Francis, Executive Vice President and General Manager of the National Hockey League’s Carolina Hurricanes, today announced that defenseman James Wisniewski will undergo surgery on his left knee after suffering a torn anterior cruciate ligament (ACL) during Thursday night’s game in Nashville.

Recovery time for the injury is estimated at six months.

This is, obviously, a tough development for both player and club. The ‘Canes were counting on Wisniewski to be a regular contributor on defense this year, and help improve last year’s middle-of-the-pack power play.

Wisniewski, meanwhile, was looking to bounce back from a disappointing ’14-15 campaign. He was shipped out of Columbus at the deadline to Anaheim but never made an impact for the Ducks, failing to see any playoff action as Anaheim made it all the way to the Western Conference final.

Jordan Weal to make NHL debut for Kings

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Two days after an uninspiring performance versus San Jose, the Los Angeles Kings will be getting an injection of youthful enthusiasm tonight versus Arizona.

Coach Darryl Sutter confirmed today that Jordan Weal will make his NHL debut at Staples Center.

A 23-year-old center, Weal is expected to replace Andy Andreoff and skate between Kyle Clifford and Jordan Nolan on the fourth line.

“It’s really exciting,” Weal told LA Kings Insider. “A lot of work has gone into getting to this part of my career, and the hard work’s just going to continue. It’s going to keep going, and I’m trying to do as much as I can in this game and keep improving from this game moving forward in trying to solidify a solid spot in the lineup.”

The 70th overall pick in 2010, Weal had 69 points in 73 games last season for AHL Manchester.

Related: Jordan Weal is looking to make the leap