Not every money-losing owner is a Leipold

24 Comments

Let’s start off with a little math:

If each team in the NHL had spent just enough to reach the salary cap floor in 2011-12, 57 percent of hockey-related revenue would’ve gone to the players.

Last year, 57 percent of hockey-related revenue was $1.87 billion.

On the other hand, if each team in the NHL had spent to the salary cap ceiling in 2011-12, 57 percent of hockey-related revenue would’ve gone to the players.

Last year, 57 percent of hockey-related revenue was $1.87 billion.

Sometimes it seems like not everyone understands this. Or, they’re choosing not to publicly.

“We’re agreeing to pay our players a certain percentage of our revenues. That’s a fixed dollar amount,” deputy commissioner Bill Daly told FAN 590 earlier in the week.

Again, “That’s a fixed dollar amount.”

In the new, yet-to-be-negotiated CBA, the NHL wants a reduction in the percentage of revenues going to the players because the league thinks 57 percent is too high. Such a reduction would result in the loss of salary for players via escrow, which is used to reconcile any “shortfall” or “overage” to the players as it relates to the revenue split.

Losing money to escrow would not be a new thing for the players. Five times since the 2005 CBA was introduced the players haven’t received as much as their contracts said they were supposed to receive.

Of course, twice they received more than their contracts said they were supposed to receive. You just don’t hear them talk about that very much.

Not once have the players received the exact amount their contracts said they were supposed to receive, because another contract – the CBA – overrides all.

So to those arguing it’s the damn owners that are paying the players too much, the owners, as a group, don’t have a choice. Last year, the players were going to get $1.87 billion, regardless of what total player salaries added up to on paper.

As individual teams, however, the owners have a choice. Take the case of the Minnesota Wild, which now boasts one of the league’s highest payrolls thanks to the massive contracts the club awarded Zach Parise and Ryan Suter.

That, for lack of a better term, may have been dumb. Minnesota is a mid-level market; it’s not Toronto or New York.

“Some clubs may spend poorly,” admits Daly.

But Wild owner Craig Leipold believed it was the kind of investment that needed to be made in order to reconnect with fans, get the team back into the playoffs and kick-start future revenue growth. And the only way he was going to get those players was to give them the kind of front-loaded deals the NHL wants to do away with.

Absolutely Leipold was hoping to claw back some of that salary in a new CBA. Was it distasteful? Perhaps. But Parise and Suter knew the score. So the players can spare us with the babe-in-the-woods routine (h/t FBI agent in Goodfellas).

From a public-relations standpoint, what Leipold did looked awful, and you can bet Gary Bettman wasn’t pleased. Most everyone would agree that owners who take massive financial gambles should have to feel serious financial hurt if they don’t work out. That’s business. And no owner should be guaranteed a profit every season.

But it’s unfair to throw Leipold in with all the other small- to mid-market owners that adhere to their self-imposed budgets. It’s those owners that need help, be it through more revenue sharing or reduced player expense. Chances are it will be through both. To which degree of each is the question.

Ultimately a new CBA won’t guarantee every team a profit, and nor should it. If an owner spends his money poorly, then that owner should lose money.

But as it stands, there are owners that could spend their money well and still lose money, and that’s not a sustainable model.

Fortunately, a deal is possible — this isn’t a broken industry.

Which is what makes all this so frustrating. We can see the deal through all the rhetoric and posturing and pandering to fans.

It just needs to happen.

This fight between Tom Wilson, Chris Stewart got downright gory (Video)

2 Comments

For those who decry the decline in fighting – in “blood and guts” hockey – Tuesday presented a bloody moment, one fairly high on this season’s Muta scale.

Also, for some, seeing it happen to Tom Wilson specifically may provide additional pleasure.

Anyway, as you can see in the video above, Minnesota Wild winger Chris Stewart bloodied the Washington Capitals pest in a fight. Whether you’re for, against or neutral toward Wilson, it’s quite the sight.

Wilson may be hurt, by the way. He missed some time but returned later in the contest.

Milestones: Matthews, Nylander break Leafs rookie records; Chara hits 600

Leave a comment

Auston Matthews likely ranks as the top reason that many Toronto Maple Leafs are starting to get the same feelings they had in better times, so it only makes sense that he broke a beloved Buds’ record on Tuesday.

With his 35th goal of a potential Calder season – but a brilliant debut either way – Matthews passed Wendel Clark for the Maple Leafs’ rookie record for goals in a season.

That goal was also meaningful for William Nylander, as he extended his point streak to 12 games with an assist. This team, fueled by young players, just keeps shattering first-year marks:

Switching gears, let’s go from new to (relatively) old: Zdeno Chara collected the 600th point of his outstanding career with an assist:

Yes, it’s true that most people think of his imposing size and all-world defensive instincts in praising Chara, but he’s been a respectable point producer, too.

U.S. women end boycott, will represent USA Hockey at worlds

Getty
3 Comments

The U.S. women’s national team voted in favor of accepting USA Hockey’s deal, so they’ll participate in the world championship tournament. USA Hockey recently made the news official with this press release.

The press release confirmed a report that the contract will last four years, while financial terms were kept confidential. (Team members had been seeking a living wage to represent USA Hockey.)

“Our sport is the big winner today,” Team captain Meghan Duggan said. “We stood up for what we thought was right and USA Hockey’s leadership listened. In the end, both sides came together. I’m proud of my teammates and can’t thank everyone who supported us enough. It’s time now to turn the page. We can’t wait to play in the World Championship later this week in front of our fans as we try and defend our gold medal.”

The U.S. women’s national team is scheduled to face Canada on Friday.

Here’s a screen cap of the press release for your convenience:

Logan Couture can at least speak and eat following horrifying mouth injury

Leave a comment

As much as many of us suffer during a trip to the dentist, few can fathom the horrors hockey players often go through when a puck, stick or fist finds their teeth/mouths. Consult this vintage PHT post from 2010 if you want to cringe, a lot.

Much like Eddie Lack “only” dealing with a neck sprain, it’s strange to be heartened to hear that Logan Couture can speak and eat after his own painful ordeal, but that’s the positive update from the Mercury News on Tuesday.

Couture, Wilson said, did not need to have his jaw wired shut after a deflected puck caught him in the mouth on Saturday when the Sharks played the Nashville Predators.

“Hey, he can speak and eat … and his jaw isn’t wired shut!” Yeesh.

To little surprise, Couture isn’t playing on Tuesday. As far as the Sharks next three games (Thursday, Friday and Sunday), that remains to be seen.

As an aside, consider this: on the same day Jonathan Drouin‘s celebrating his birthday after helping the Lightning win, Couture is lucky if he can force down some birthday cake. Life: it isn’t always fair.

PHT discussed his trip to the dentist on Monday.

More mouth pain: When David Backes felt like his face was falling off.