Why Paul Kelly thinks expansion would help end NHL lockout
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11-02-2012, 02:01 PM
Join Date: May 2009
Location: New Orleans
Originally Posted by
Got it. Increased revenue is bad, so forget about teams that can make a healthy profit.
Marginally profitable or
teams are more desirable.
Phoenix's soultion? Move the Leafs to Atlanta. Cap will decrease, all problems solved.
No one really disputes that the Coyotes will be better off somewhere else, or that the league's configuration wouldn't be better if they moved; or that they would be more profitable in Quebec or elsewhere.
We're merely stating that moving Phoenix doesn't solve the economic issue that has us bogged down in a lockout.
It's really easy to scapegoat the teams losing money, but the fact is: The system is WHY they're losing money.
The league had a lockout because the players were getting 70% of HRR, and the owners all said "We can only go as high as 57%"
But 57% of HRR for someone like NYI, PHX, STL, CBJ, etc is only $44 million and the floor was slated to be at $62.4 million. That's like 80% of HRR for someone like NYI.
Another CBA solution would be to make an option for the floor be:
$8 million less than 57% of Average HRR (current floor) OR 57% of your team's HRR, whichever is lower.
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