Tag: contract signing

Drew Doughty

Kings and Drew Doughty agree on 8-year, $56 million contract


After months of negotiating and a stress-filled summer for Kings fans all over California, the waiting (and worrying) has finally come to an end. According to TSN’s Bob McKenzie, the Los Angeles Kings and restricted agent Drew Doughty have at last come to terms on an 8-year, $56 million contract. And not a moment too soon.

In an official press release, the Kings announced that the two sides had come to a verbal agreement.  Needless to say, the announcement ignited celebrations for hockey fans in Los Angeles; and shouts of denial from opposing fans who still  held out hope that their team would sign the restricted free agent an offer sheet.

“The Los Angeles Kings have reached a verbal agreement with restricted free agent defenseman Drew Doughty on a multi-year contract, Kings President/General Manager Dean Lombardi announced tonight.”

By all measures, the two sides came together on a deal at the last minute. The Kings finally budged after insisting that he average cap hit of any deal would not exceed Anze Kopitar’s team high $6.8 million per season. From Doughty’s side, the young defenseman accepted an eight-year deal—a longer term than he may have preferred. The $7 million average salary per season will make him the third-highest paid defenseman—trailing only Shea Weber’s one-year contract and Brian Campbell’s ridiculous $7.1 million per season. Kings’ governor Tim Leiweke praised GM Dean Lombardi for getting a deal done that works for the team.

“Dean did a good job here. Dean is unbelievable with the budget and the forecasting and, as you know, he’s a professor when it comes to the boxes and forecasting where we’re going long-term. So he was passionate about protecting ourselves with some flexibility here. I feel good about the fact that we have someone that has the vision that Dean has, long-term, and is keeping the nucleus together. But he’s also smart, and he knows eight years is eight years. And this kid is 21 years old. He’s going to 29, and still in his prime, when he’s done with this contract. That’s a good thing for the franchise. The guy that isn’t mentioned here, Mr. Anschutz, he has broken the bank here. We are sending a very strong message to our fans. We’re committed to winning, and we just proved it again.”

Three weeks ago, there were reports that the Kings had offered the 21-year-old defenseman a 9-year deal worth $6.8 million per season.

From the Kings point of view, it’s easy easy to understand their excitement. The 8-year deal will eat up four of Doughty’s valuable “unrestricted years,” at a reasonable $7 million per season. One of the difficult parts of the negotiating process is that there’s no real comparable salary for a player like Doughty. He’s already become the second youngest player to be nominated for the Norris Trophy and proved he belonged among the league’s elite at the 2010 Winter Olympics in Vancouver.

The timing also worked out for Los Angeles as well. There were plenty of artificial deadlines; but both sides understood that a deal needed to be reached by the end of the week or Doughty would miss regular season games. The Kings have two more preseason games in North America before leaving for Europe on Saturday night. People around the organization said they hoped to sign him in time to participate in a couple of preseason games before the regular season started in Berlin. With tonight’s deal, the team will decide if they want him to play in Saturday’s preseason game against the Avalanche before heading to their final preseason game on Tuesday in Hamburg, Germany.

For Doughty, he instantly becomes one of the highest paid defensemen (and players) in the NHL. He successfully skipped his “second contract” and jumped right to his huge payday at the tender age of 21. $7 million per season will buy quite a few cocktails for the man who recently reached the legal drinking age.

Symbolically, it shows that the organization realizes he’s an crucial piece to their puzzle. He’s now the highest paid player on a team that not only has playoff aspirations, but Stanley Cup dreams. No pressure there kid.

Now comes the tough part. As weird as it may sound after this prolonged three month ordeal, someone may want to tell Doughty that negotiating the contract is the easy part. Now he’ll have the next eight years to prove that he’s worth it. With that kind of money and the type of team the Kings have assembled this season, individual statistics may not be enough to justify that kind of contract.

All the sudden, the stakes have been raised for Drew Doughty and the LA Kings. A Norris Trophy? He has eight years. Legitimate playoff performer? He has eight years. Stanley Cup?

You get the idea…

Leafs lock-up Luke Schenn for 5 years

Toronto Maple Leafs v New Jersey Devils

The restricted free agent signing frenzy continued late Thursday night/early Friday as the Toronto Maple Leafs and Luke Schenn agreed on a five-year contract. TSN’s Bob McKenzie broke the news and subsequently sent all of Leafs Nation into celebration. This is all it took:

“Luke Schenn has agreed to terms with the Toronto Maple Leafs. No further details at this point but he will report to camp Friday.”

With the former 6th overall pick in the mix, the Leafs will feature a top 4 with Schenn, captain Dion Phaneuf, John-Michael Liles, and Mike Komisarek. Newly acquired Cody Franson, Keith Aulie, and Carl Gunnarsson will compete over the final two spots—with the loser getting an all expense paid trip to the press box. Oh, hypothetically speaking, there’s Jeff Finger in the mix as well.

Schenn’s stats are never going to blow anyone over. The stay-at-home defenseman only has 12 goals and 53 points in 231 career games. But that’s not Schenn’s job in Toronto. He’s paid (and paid well nowadays), to prevent the other team from scoring, get under the opponents’ skin, and protect his teammates. This is a guy who was compared to Adam Foote when he was a first round draft pick in 2008. Colorado (or Columbus) never paid Foote for the points he was going to put on the board, right?

An important point to factor into the financial terms of the contract is that the five-year deal accounts for one of Schenn’s unrestricted free agent years. The good news for Leafs fans is that he won’t hit the open market after his seventh season in the league. However, the bad news is that he’ll hit the open market when his contract expires after his eighth NHL season.

The extra year on the contract undoubtedly bumped up the average salary per season. Even without solid contract figures, the boys over at Pension Plan Puppets wasted no time figuring out Schenn’s new contract comparables.

“A cap hit between $3.4M and $3.6M puts Schenn among the following company: Rob Scuderi, Johnny Oduya, Kris Letang, Ryan Suter, Roman Hamrlik, Nick Schultz,Willie Mitchell, Cory Sarich, Brent Burns, Matt Carle, Niklas Hjalmarsson, and Viktor Hedman.

Now the Leafs (and their fans) can stop worrying about contract negotiations and start worrying about their team next season. With the likes of Schenn, Phaneuf, and James Reimer trying to keep the puck out of their own net, newcomers Tim Connolly and Matthew Lombardi will attempt to help Toronto improve upon the 2.60 goals per game. If both can stay healthy, they should provide a boost to the team that was in the bottom third in the league in scoring.

Scoring woes are a different problem for a different day though. The continued maturation of Luke Schenn will be imperative for the Leafs to improve next season. As much as their offense struggled at times last season, the defense was the weaker part of their overall game. The only teams with worse goals against averages were the Blue Jackets, Islanders, Oilers, Thrashers, and Avalanche. Needless to say, those aren’t exactly perennial Stanley Cup contenders.

It’s Schenn’s job to turn those numbers around—he’ll have five years to figure it out.

Last minute deal: Josh Bailey signs two-year deal for $2.1 million

Josh Bailey

On the eve of training camp, Josh Bailey and the New York Islanders have reached a two-year agreement that will pay the 21-year-old forward a total of $2.1 million. Anyone who was holding their breath that Bailey and the Isles wouldn’t be able to get a deal done in time for training camp can now breathe a sigh of relief. Needless to say, this wasn’t like any of the other restricted free agent negotiations around the league.

Most teams and restricted free agents have rather flexible deadlines for getting a deal done before the season. Obviously, it’s best to get a deal done sooner than later, but they are unbound by artificial due dates that dictate the process. Some teams and players are able to reach an agreement during the previous season. Some get it done during the dead of the offseason and some get it done as training camp approaches. Still, they get it done whenever it works best for the GM and the player.

Josh Bailey and the New York Islanders didn’t have that luxury. Katie Strang explains:

“Per Islanders team policy, any player unsigned by the start of training camp forfeits the entire season while the team retains his rights.

And it was no empty threat.

The Islanders exercised the aforementioned policy with Finnish winger Sean Bergenheim in 2006. Unwilling to accept what the Islanders were offering him, Bergenheim was forced to play the 2006-07 season in Europe.”

The new deal comes with a $1.05 cap hit per season for the Islanders. To put that in perspective, Bailey is the 10th highest forward on the team—making about 200k less than P.A. Parenteau this season. Yet at the end of the day, it doesn’t matter. His NHL salary surely looks a lot better than Sean Bergenheim’s European contract in 2006.

The Islanders have been busy over the last few days. It was widely reported that the team and superstar-in-making John Tavares reached an agreement on Wednesday—a deal he signed on Thursday afternoon. Afterwards, the team turned their attention to a more pressing matter as they worked to hammer out Bailey’s contract. One may question the order in which they signed the former first round draft picks, but the team was able to get both players under contract before training camp started. All’s well that ends well.

Now that the off-ice issues of the offseason are finally behind them, the Isles organization can look forward to molding their young players into a competitive team. Bailey may not be a star on the team, but he provides decent depth and will use the next few years to mature into a productive NHL player for the future. If he can improve on that 29 point average he’s put up over his career, the next contract will make $2.1 million look like a stepping stone.

Right. Because $2.1 million is a stepping stone nowadays.