It says here Players talking of $60 million luxury tax threshold
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09-06-2004, 05:29 PM
Join Date: Oct 2002
Originally Posted by
the problem is, that for the New York Rangers and Some other teams, they are making "smart moves" because they can afford giving huge salaries, it makes it unfair to lower teams that have to overspend to survive.
I would argue that although it screws mostly ever other team, what Dolan is doing is best for his business and makes him the most money. As long as he can sell out MSG and have good ratings for local TV, it's smart for him to go out and create a sense of excitement(trade for high priced players).
The Luxury tax would even it out for lower level teams, while still allowing Dolan to go out and overpay players.
It's amazing how many fans around hockey follow this so closely and just do not know how many big markets teams lose revenue and how bad things really are.
Outside of Toronto no big market makes revenue. If Colorado does they have not taked about it.
The selfish actions of some owners willing to just bleed money to win created this player market watered down things for everyone and put the game where it is today which is at a point where it's smarter for them not to play. People hate Bill Wirtz and the Bruins owner but this is where big market teams should be operating in a sport that really is hardly a major sport any longer.
One of the biggest misconceptions around hockey today is that the Rangers are this big market team that make money and has revenue to share and sellout games, it's just not true. Writers in other markets do not follow what happens, meanwhile the Rangers play in obscurity in the New York sports market today, their high priced team of name players are invisible in the media here because baseball drives the market and the other teams take the rest of the attention span year round. There is only one fan demographic that goes to hockey games here. Hockey is not a major sport in this area.
The Rangers were mentioned this week as a team losing revenue at these league meetings and have been for a few seasons. The garden does not play to sellouts many games and their network lost a ton of revenue, cut programming and laid off employees. Dolan also has to cut his fans back ten percent of ticket prices.
The Islanders at 13 million a year for Msg to own their broadcasts rights may be doing better than the Rangers. The entire NHL got only 60 million for their new deal.
Same goes for Philadelphia, Detroit, Dallas, St.Louis, San Jose, Los Angeles and even Tampa Bay, all of who claim to have lost money this year. Detroit's owner claims he must go to a final to break even. Ed Snyder claims his team will ice a 35 million dollar product because they lost too much, this is a team that always plays to capacity.
It's not working.
Problem is these owners want/need an advantage to make up for their weak management and cannot contain themselves when they see a name. Which has driven up the market and put the game where it is today.
I'm not in favor of any luxury tax because a few of these owners will attempt to exploit it one way or another. If it comes down to one it has to be strict to a point
where it's like signing restricted free agents, no one will bother with a contract because it's too high. Dollar for dollar match for every dollar over 35 million. First round draft pick compensation for every five million a team is over the cap.
No cash exchanged in deals.
But Bettman wants no hard cap at all and I respect his motives. He knows some of these owners are all for themselves, not the business and cannot be trusted to act for the good of the league and put things where they are today. He's right.
And a lot of these owners come and go.
Last edited by NYIsles1*: 09-06-2004 at
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