NBC/VS WIN new NHL TV Deal: $200MM/yr x 10 yrs, Exclusive Rights
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04-19-2011, 10:08 AM
Join Date: Apr 2009
Originally Posted by
Cap is based on previous year's revenue + a 5% escalator (if elected).
Escrow is what the NHLPA decided to keep based on their projected revenues.
Yes it is -- but in situations where there is known to be a 1-time increase in revenue beforehand (like a new, substantially larger TV deal), the NHL and NHLPA are supposed to come together to agree on an estimate for the increase in revenue and add it to the cap.
However, because the players are paying so much escrow (mainly as a result of too many teams above the midpoint), I suspect they'll agree to keep it at the 5% escalator.
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