NHL Lockout almost over?

[Blade]

http://tsn.ca/nhl/news_story.asp?id=127314

Report: NHL, NHLPA agree on cap formula

TSN.ca Staff with CP, Globe and Mail files

6/8/2005 2:06:13 PM

The Globe and Mail reports that the NHL and NHL Players' Association have agreed on a formula for a salary-cap system based on team-by-team revenue.

The salary-cap issue was seen as the biggest hurdle in talks for a new collective bargaining agreement.

According to the Globe's league and player sources, a salary floor and cap will based on a percentage of each NHL team's revenue. The paper adds that in the first year - based on revenue projections by both sides - the salary cap will range from $34 million to $36 million US, with the floor from $22 million to $24 million US.

The Globe also reports that the formula calls for a dollar-for-dollar luxury tax to kick in at the halfway mark between the floor and the cap. If the floor of the lowest team is $22 million US and the cap on the highest team is $36 million US, then the 'tax level' will be $29 million US.

The formula would allow wealthier teams to spend a bit more money, but would also bridge the large gaps in spending between higher payroll teams and lower payroll teams.

Small group labour talks between both sides ended late Tuesday night and resume today in New York with a larger group meeting.

Both sides have carried over the momentum from last week when 34 hours of talks were described as 'progressive' from both sides.

There are several issues to iron out, but sources in both camps believe there's a chance a deal could be done before July. Still, both sides also concede there are potential pitfalls that could prevent an agreement from being reached.

Today's session is the 21st meeting between the two sides since the season was cancelled Feb. 16.

NHL vice-president and chief legal officer Bill Daly and NHLPA senior director Ted Saskin declined to confirm or deny anything to The Globe and Mail.

[Lathum]

And why couldn't they have come up with this a year ago?

[CHEMICAL SOLDIER]

We will just have to wait till something happens. I dont think a majority of people, even die hard hockey fans care. But I HOPE both sides get their shit together and save their sport.

[hhiipp]

Does anyone still miss hockey? Not trying to troll, just honest curiousity, haven't seen a hockey thread in awhile.

[MJ4H]

I miss hockey.

[CHEMICAL SOLDIER]

Most people I guess have gone on with their lives.

[Blackadar]

Originally Posted by hhiipp

Does anyone still miss hockey? Not trying to troll, just honest curiousity, haven't seen a hockey thread in awhile.

Not really.

This sounds a LOT like what the owners were offering a year ago.

[Blade]

Do you think this will actually fix the problem, though? As an Oiler fan, I still don't see a lot of hope, considering a team like Detroit could still just have a payroll of $50 mil and pay the luxury tax...doesn't help the Oilers lure any bigger name players to town...

And for myself, as a huge hockey fan, didn't miss the NHL much at all...just watched a lot more NFL, and played more hockey myself.

[sabotai]

Originally Posted by hhiipp

Does anyone still miss hockey?

Very much so

[Karim]

Originally Posted by hhiipp

Does anyone still miss hockey? Not trying to troll, just honest curiousity, haven't seen a hockey thread in awhile.

North of the 49th, there are daily reports. My local sports' station is inundated daily with email and callers regarding hockey and the NHL. Over 1 million watched the Memorial Cup.

Hockey will never die here.

[Ksyrup]

I'm just watching a lot more baseball now, but yes, I missed hockey - especially between November and March.

[General Mike]

Originally Posted by Blade

Do you think this will actually fix the problem, though? As an Oiler fan, I still don't see a lot of hope, considering a team like Detroit could still just have a payroll of $50 mil and pay the luxury tax...doesn't help the Oilers lure any bigger name players to town...

And for myself, as a huge hockey fan, didn't miss the NHL much at all...just watched a lot more NFL, and played more hockey myself.

No they can't. 36M is the hard cap. 22M is the floor. 29M is the luxury tax threshold. The players association fucked up royally.

[Blade]

Originally Posted by General Mike

No they can't. 36M is the hard cap. 22M is the floor. 29M is the luxury tax threshold. The players association fucked up royally.

If $36 Million is the hard cap, then it makes me feel better as a fan of a small market team...

Why now, though...they couldn't have agreed upon this when the season could still be saved?

[JPhillips]

Now the real problem. Who wins the Sidney Crosby lottery?

[LionsFan10]

Originally Posted by hhiipp

Does anyone still miss hockey? Not trying to troll, just honest curiousity, haven't seen a hockey thread in awhile.

Not at all, hockey to me is worse than the NBA and I don't even like the NBA all that much either.

[General Mike]

Originally Posted by Blade

If $36 Million is the hard cap, then it makes me feel better as a fan of a small market team...

Why now, though...they couldn't have agreed upon this when the season could still be saved?

I don't know why now, but they need to get the deal done now so they can sell luxury boxes, advertising and regular season tickets.

[Travis]

Originally Posted by General Mike

No they can't. 36M is the hard cap. 22M is the floor. 29M is the luxury tax threshold. The players association fucked up royally.

Do you have another source that has that listed as the final numbers? From how I'm reading this article, they're just using those numbers to illustrate a point (of where the luxury tax kicks in). They only say IF the low end is 22 million and IF the ceiling is 36.

It'll be interesting to see how this ends up numbers wise, but personlly, I still wish they had used a system closer to the NFL's with one set of cap rules for all teams, not a fluctuating cap that puts every Canadian team behind the 8 ball right off the bat, with the smaller Canadian markets really sitting in a bad spot. The idea of having a $25 million minimum team salary with a maximum of around $35 million for the entire league was about what I was hoping for. Again, my arguement could be a moot point depending on how the percentages work, but doing it team by team opens up the possibility for things to get just as unbalanced in the future.

Only advantage to this is that a team like the Rangers will only be able to attract half the overpriced hacks that they previously could and the remainder will get spread out to the other big markets.

Ah well, here's hoping.

[korme]

Dude, when I went to Canada this Spring Break '05, hockey was in lockout mode, but TSN's Sportscenter was seriously like 75% hockey. They love that shit.

[Travis]

Dola, deal got done now because sponsors for next season have apparently been flexing a lot of muscle on the NHL to get a deal done or a lot of money would have been walking right out the door, and with no big TV money assured, that could/would have been a crippling blow to the league.

And as mentioned, preparations for next season, the threat of Crosby going to Europe and playing his career there (as unlikely as that is) and all the rest would be pretty big factors as well.

[Blade]

Well, you would think cancelling an entire season of hockey and missing out on those revenues would be a big factor too, but what do I know?

[condors]

i miss hockey very much

[General Mike]

Originally Posted by Travis

Do you have another source that has that listed as the final numbers? From how I'm reading this article, they're just using those numbers to illustrate a point (of where the luxury tax kicks in). They only say IF the low end is 22 million and IF the ceiling is 36.
.

Originally Posted by from the article

The paper adds that in the first year - based on revenue projections by both sides - the salary cap will range from $34 million to $36 million US, with the floor from $22 million to $24 million US.

So if the floor ends up being 24 and the cap is 34 than the tax still kicks in at 29M. I guess if it's 24 and 36 the threshold could be 30M, but its not going to be higher than that based on the projections.

And, I still miss hockey. I didn't really miss it until the day after the Super Bowl, but then it really kicked in.

[ice4277]

Meh. I watched a lot of college hockey, and with the Pistons run, I haven't really thought about the NHL at all.

[sterlingice]

Originally Posted by Blade

Why now, though...they couldn't have agreed upon this when the season could still be saved?

It's always the case with these negotiations. One side or the other never has the foresight to see that they will invariably lose.

SI

[sachmo71]

Originally Posted by hhiipp

Does anyone still miss hockey? Not trying to troll, just honest curiousity, haven't seen a hockey thread in awhile.

I find I miss hockey more then I did before. Probably has to do with the fact that I am playing a lot of EHM. Or maybe I'm playing EHM because I miss hockey. Whatever is true, I want to professional hockey soon.

[st.cronin]

I was always more of a college hockey fan, but I do miss it, especially at this time of year when the Stanley Cup playoffs should be on.

[Maple Leafs]

Originally Posted by Shorty3281

Dude, when I went to Canada this Spring Break '05, hockey was in lockout mode, but TSN's Sportscenter was seriously like 75% hockey. They love that shit.

Wait, you were in Canada and didn't tell us?

[Pyser]

this cap will be fascinating. i mean, the rangers are just about over the cap with like 5 players.

my beloved "cost-conscious" devils are already nearly at the cap, too. i guess the 24% rollback is in effect but it wasnt mentioned. regardless, this is going to be WEIRD. we may see massive massive massive player movement if it is a hard cap in the mid $30s.

i cant wait to see how cheap season tickets are. if they are as chap as they should be, i just may try and snag some. or at least 10 game packages or something.

just drop the puck already!

[Blade]

Originally Posted by Pyser

i cant wait to see how cheap season tickets are. if they are as chap as they should be, i just may try and snag some. or at least 10 game packages or something.

Why do I have the feeling that the savings will not be passed on to the fans in regards to ticket prices...

[sterlingice]

Originally Posted by Blade

Why do I have the feeling that the savings will not be passed on to the fans in regards to ticket prices...

They will have to temporarily because they'll need to get some butts back in the seats. But it will be only temporarily.

SI

[Chubby]

Originally Posted by Blade

Why do I have the feeling that the savings will not be passed on to the fans in regards to ticket prices...

Sabres already had ticket price rollbacks in effect and I anticipate more of them after the lockout is over.

[KevinNU7]

It's hard to miss hockey when you go to a large amount of college games in the Boston area. I do however miss watching two NHL playoff games at once by putting two TVs in my living room for the playoffs

[Capital]

Don't you remember that the player's association could have had a cap the $42 million and saved the season. I bet a lot of players are wondering why they pay union dues.

[RPI-Fan]

Originally Posted by Pyser

this cap will be fascinating. i mean, the rangers are just about over the cap with like 5 players.

my beloved "cost-conscious" devils are already nearly at the cap, too. i guess the 24% rollback is in effect but it wasnt mentioned. regardless, this is going to be WEIRD. we may see massive massive massive player movement if it is a hard cap in the mid $30s.

i cant wait to see how cheap season tickets are. if they are as chap as they should be, i just may try and snag some. or at least 10 game packages or something.

just drop the puck already!

A good ticket price for me would be one that costs less than the drive to the game. If that's the case, I could see myself going to a few.

(The Island is 3.5 hours or so from me, and $30 or so in gas, and Boston is 3 hours & $25). We'll see how it turns out.

~rpi-fan

[Travis]

Well, ticket prices won't go down in markets like Edmonton because they've been operating at this sort of cap already. That'll be the interesting thing in markets like ours where fans will start to get on the owners that ticket prices aren't coming down, when in reality, for teams like the Oilers, they'll continue to operate as they always have, now they *might* be able to hang onto some home grown talent for a few extra years, or be able to plunk a bigger name free agent into the mix with the same expenditure levels.

Now as far as the bigger markets go, well that's the truer test.

[Kozure]

I miss hockey. I can't wait until everything gets back up and running again. And the 2 million difference in cap room for bigger market teams isn't too big of a deal. I think teams like the Rangers have proven that money doesn't always turn into wins.

[General Mike]

Originally Posted by RPI-Fan

A good ticket price for me would be one that costs less than the drive to the game. If that's the case, I could see myself going to a few.

(The Island is 3.5 hours or so from me, and $30 or so in gas, and Boston is 3 hours & $25). We'll see how it turns out.

~rpi-fan

Maybe you shouldn't live in the middle of nowhere. For me it costs about $12 + parking to go to Philly, about $14 + parking to go to the Meadowlands and whatever a train ticket to NY costs (its ~13 on the weekend, not sure about weeknights)

[kingfc22]

NHL? what is that

[Logan]

Originally Posted by Pyser

this cap will be fascinating. i mean, the rangers are just about over the cap with like 5 players.

Actually that's not true. With the rollback, the Rangers are at $18.5 million for 6 players (you may have your number so high because of Jagr's salary, but Washington is paying a large portion of it. He would only count approximately $4.18 million towards the Rangers cap).

[GroundCat]

NHL with a salary cap is going to be the cat's tits.

[GroundCat]

Man, GroundCat can't wait for the first NHL game with the cap included!

[Pyser]

Originally Posted by Logan

Actually that's not true. With the rollback, the Rangers are at $18.5 million for 6 players (you may have your number so high because of Jagr's salary, but Washington is paying a large portion of it. He would only count approximately $4.18 million towards the Rangers cap).

interesting.

of course, thats kind of shady, isnt it? other teams paying for players that arent on their roster, counting towards their cap?

but maybe im just too used to the nfls cap.

[Chubby]

Originally Posted by Pyser

interesting.

of course, thats kind of shady, isnt it? other teams paying for players that arent on their roster, counting towards their cap?

but maybe im just too used to the nfls cap.

yeah i wonder how that is going to work...

[TazFTW]

Isn't it the same as how they calculate A-Rod's contract with the Yankees?

The Rangers pay for part of A-Rod's salary and the Yankees are only charged with $18+ of the $25 million.

[Karim]

Neely made the hall! So did Kharlamov. Then why hasn't Henderson?

Glenn Anderson should also have been in by now... :

And Mikey missed out...

Back to your regularly scheduled programming...

[Logan]

Originally Posted by TazFTW

Isn't it the same as how they calculate A-Rod's contract with the Yankees?

The Rangers pay for part of A-Rod's salary and the Yankees are only charged with $18+ of the $25 million.

Exactly.

[RPI-Fan]

Originally Posted by General Mike

Maybe you shouldn't live in the middle of nowhere. For me it costs about $12 + parking to go to Philly, about $14 + parking to go to the Meadowlands and whatever a train ticket to NY costs (its ~13 on the weekend, not sure about weeknights)

Well, I would go with at least one person to defray the cost a little. It does suck living so far away from the NHL teams, though... at least I have RPI hockey!

[SackAttack]

Originally Posted by Pyser

this cap will be fascinating. i mean, the rangers are just about over the cap with like 5 players.

my beloved "cost-conscious" devils are already nearly at the cap, too. i guess the 24% rollback is in effect but it wasnt mentioned.

The article I read mentioned the rollback, but pegged it at 34%. That's either a typo or a fairly huge change that hasn't been mentioned.

Apparently benefits and performance bonuses would also count towards the cap, which is a fairly significant change.

[ISiddiqui]

Well, looks like the NHL broke the players' union. Good for the sport in the long run, IMO.

[General Mike]

Originally Posted by ISiddiqui

Well, looks like the NHL broke the players' union. Good for the sport in the long run, IMO.

I knew they would. Now we have to see if the rest of the players try to get them decertified.