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12-11-2012, 11:15 PM
  #420
Krishna
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Quote:
Originally Posted by Twilight Sparkle View Post
Contract those 6 teams and you slash total player salary by roughly 20% or 310 million per year. (the total salary of the contracted teams)

New cap midpoint would be 63 million instead of 61 million (assuming 57% HRR split). Players would pocket 2 extra millions per remaining team (2 * 26) = 52 million.

Moral of the story: the NHL is subsidizing player salaries with the old structure. Players would lose over a billion with contraction over 10 years. Since the NHL teams are largely flat when it comes to revenue (save the top 6 or so teams) then contraction is a bad game to play for everyone and it's why that word isn't coming out of the PA.

Solution: 50-50 split. League grows to 36 teams by 2022, players win across the board, owners make money, everyone is happy.
Your system is flawed in that you think the teams all have even revenue streams.

Taking the bottom 6 hour would probably only maybe 150-200m in revenue.

That would raise the midpoint to just about 68m. Floor would be 60m and ceiling would be 76m

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