Coyotes fans

Booming NHL business a double-edged sword for low-revenue teams


Yesterday, the NHL announced a 12-year Canadian broadcast agreement with Rogers worth almost $5 billion in U.S. dollars.

Yeah, it was a pretty big deal.

Immediately after the news broke, people started to wonder what it would mean for the league’s 30 franchises. And in particular, they wondered about the clubs that aren’t considered among the financial powerhouses of the NHL, for which finances are always a concern.

For example, Yahoo! Sports columnist Nicholas Cotsonika was thinking about the Phoenix Coyotes, a team that very nearly relocated this past summer before finally finding new ownership.

Say you’re the Coyotes. You have been at or near the bottom of the league in attendance in recent years. You want to win, draw fans and make the business work on your own. But the cap and floor are more manageable. You don’t have to hit attendance targets to receive revenue-sharing anymore. Your cut of the Canadian TV revenue now is $4.75 million a year at the current exchange rate, but it will shoot up to an average of about $13.8 million a year over the next dozen years – a $9.05 million difference per year. Now factor in revenue from the American TV deal, the outdoor games, a World Cup, other international events, et cetera.

And now consider this: If the NHL does expand – to, say, Quebec City and Seattle – the owners will split hundreds of millions of dollars in fees between them, and they won’t have to share any of that money with the players.

That’s the positive spin. But here’s the potential negative side, from the CBC’s Elliotte Friedman:

The only thing to worry about here is the salary floor, if you love a low-revenue club. Article 50.5 b (i) of the CBA states “the magnitude of the Team Payroll Range shall never be less than $16 million … or greater than $28 million.”

The promise of this new agreement allowed Bettman to stabilize his three biggest trouble spots: Florida, New Jersey and Phoenix. No doubt the owners of those teams, like Leonsis in Washington, are thrilled by the television bonanza and updated revenue-sharing formula.

The true test of the new CBA will be how many teams can’t afford to go much higher than the floor because you know the revenue powerhouses can’t wait to flex their financial-steroid muscles.

That’s the only concern I see. It’s at $44 million this season, and a $60-million base – with the upper limit approximately $20 million higher – is not out of the question in the near future.

The Globe and Mail’s James Mirtle conservatively estimates the salary floor/cap will rise as follows throughout the course of the CBA:


It’s impossible to say for sure how current low-revenue teams like the Coyotes, Panthers, Predators, and Blue Jackets will fare in the next few years. Yes, there will be more national TV money coming in, and yes, there’s more revenue sharing under the new CBA. But paid attendance will still matter greatly for individual clubs, meaning much will continue to depend on their win-loss records.

An encouraging start for the Leafs, except for the blown leads

OTTAWA, ON - OCTOBER 12: Auston Matthews #34 of the Toronto Maple Leafs celebrates his first career NHL goal against the Ottawa Senators with team mates Jake Gardiner #51, Nikita Zaitsev #22 and Martin Marincin #52 at Canadian Tire Centre on October 12, 2016 in Ottawa, Ontario, Canada.  (Photo by Jana Chytilova/Freestyle Photography/Getty Images)
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The Toronto Maple Leafs are a young team, and they showed it last night when they jumped out to a 4-0 lead in Winnipeg, only to lose, 5-4, in overtime.

Winnipeg scored three times in the third and Patrik Laine completed his hat trick in overtime, marking the second time this young season that the Jets had won a game they trailed 4-1 after 40 minutes.

“They got better in the third and, in the end, you get what you get,” said Leafs coach Mike Babcock, per the Toronto Sun. “It’s disappointing, you want to shut the game down.”

Frederik Andersen had another tough outing. The Leafs’ starting goalie allowed five goals for the second time this season. After three starts, his save percentage sits at just .876. It’s still very early, and he did play well Saturday, but it’s a story worth monitoring given he’s signed through 2020-21 with a $5 million cap hit.

Overall, though, it’s been an encouraging start for the blue and white. Auston Matthews and William Nylander have been a dangerous duo offensively, even if Babcock would like them to be better defensively. Mitch Marner has shown well; he scored his first NHL goal on Saturday. The Leafs have had a chance to win all three of their games. They did win one of them; they blew third-period leads in the two others, falling both times in overtime.

Toronto plays again tonight in Minnesota, then finishes its road trip Saturday in Chicago.

Backup Jhonas Enroth is scheduled to be in goal against the Wild, his first regular-season start as a Leaf.

Auditions for Gaudreau-Monahan linemate in Calgary continue

CALGARY, AB - JANUARY 7: Johnny Gaudreau #13 (L) of the Calgary Flames confers with his teammate Sean Monahan #23 during a break in play against the Detroit Red Wings during an NHL game at Scotiabank Saddledome on January 7, 2015 in Calgary, Alberta, Canada. (Photo by Derek Leung/Getty Images)
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One of the most appealing — and vacant — forward positions in the league will have a new look on Thursday night, as Alex Chiasson gets his chance to skate with Johnny Gaudreau and Sean Monahan on Calgary’s top line.

That spot was initially held by Kris Versteeg, who turned down a contract in Edmonton partly because of the opportunity to play with Gaudreau and Monahan. Versteeg got his shot, but didn’t have much success — no goals, just one assist through the first four games — and was replaced by Chiasson during Tuesday’s 4-3 OT win over the Sabres.

Chiasson, 26, is an interesting candidate. He broke into the NHL with Dallas under current Flames head coach Glen Gulutzan — scoring six goals and seven points in seven games — and has, at times, shown offensive promise.

He scored 13 goals and 35 points for the Stars during the ’13-14 campaign, and 11 goals and 26 points for Ottawa two years ago. The Boston University product fell on hard times after that, though — his offense really dried up for the Sens last season, and he was flipped to Calgary in exchange for d-man Patrick Sieloff.

The goal, it would seem, is to find the next Jiri Hudler. The veteran Czech winger enjoyed a terrific year playing with Gaudreau and Monahan in ’14-15, scoring a career-high 31 goals and 76 points.

NHL, NHLPA launch program to ‘help players reach their full potential on and off the ice’

TORONTO, ON - SEPTEMBER 29:  Bill Daly and Mathieu Schneider present Sidney Crosby #87 of Team Canada with the World Cup of Hockey Championship trophy after his teams win over Team Europe during Game Two of the World Cup of Hockey final series at the Air Canada Centre on September 29, 2016 in Toronto, Canada. The Team Canada defeated Team Europe 2-1.  (Photo by Bruce Bennett/Getty Images)
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The NHL and NHLPA have launched a program designed to help players plan their post-hockey careers long before they hang up their skates.

The Core Development Program will give players avenues to further their education, network and find out what jobs they may be suited for, such as finance and broadcasting. League and NHL Players Association officials say the program announced Thursday targets young players, not just those in the twilight of their careers.

“The sooner they can start focusing on the longer term, the better off they’ll generally be – as much in their careers as after their careers,” deputy commissioner Bill Daly said by phone.

This new endeavor is independent of the NHL Alumni’s Break Away program that focuses on player transitions once they retire. Most professional leagues have a similar process, but the NHL and NHLPA believe their program for current players is unique.

The voluntary program was spawned from player feedback. Several retired players have said they wished something like this existed.

Former player Mathieu Schneider, now the NHLPA’s special assistant to the executive director, hopes the program benefits players on the ice, too.

“There have been studies done that show that players that are prepared for life after sports, after their careers, actually perform better during their careers,” Schneider said. “Maybe it alleviates the anxiety or the some of the pressure that might come normally. I think generally guys just have that awareness that, yes, it is an important part of the development of pro athletes.”

Some players have taken their own initiative in establishing non-hockey interests during their playing days, such as Boston Bruins captain Zdeno Chara getting his real estate license. Longtime forward Jeff Halpern, now an assistant coach for the American Hockey League’s Syracuse Crunch, said examples such as Chara are the best ways to sell this program to current players.

“I think it’s great because a lot of guys, I think, are just scared of what happens after they’re done playing,” said Washington Capitals defenseman Nate Schmidt, who’s currently studying for his real estate exam. “Even for a guy that has a college degree, I’m kind of nervous for when that day might come.”

Dumba to be healthy scratch for Wild, is ‘trying to do too much’

Minnesota Wild defenseman Mathew Dumba (55) dumps the puck behind Los Angeles Kings left wing Dwight King (74) during the second period of an NHL hockey game in St. Paul, Minn., Wednesday, Nov. 26, 2014. (AP Photo/Ann Heisenfelt)
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Matt Dumba turned 22 in July, so he’s still pretty young for an NHL defenseman. But for a seventh overall draft pick, the Minnesota Wild might’ve expected him to be making more of an impact by now.

Alas, Dumba will be a healthy scratch tonight at home against Toronto. He’ll be replaced by AHL call-up Mike Reilly.

“Dumba is going to be a really good player,” said coach Bruce Boudreau, per Michael Russo of the Star Tribune. “He is right now. He’s trying to do too much. We just want him to calm it down.”

The 2012 draft was notable for the eight defensemen that were taken with the first 10 picks. Four years later, some of them have panned out, like Morgan Rielly (fifth overall) and Hampus Lindholm (sixth). Some of them haven’t, like Griffin Reinhart (fourth). But for most of them, it remains to be seen what they’ll ultimately become. Dumba is in that boat, along with Ryan Murray (second), Derrick Pouliot (eighth), Jacob Trouba (ninth), and Slater Koekkoek (10th). Even Reinhart may figure it out, though it doesn’t look good right now.

Dumba signed a two-year, $5.1 contract extension over the summer. It was the kind of deal that highly touted young players sign when they still have something to prove, which Dumba clearly does.