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12-11-2012, 11:26 PM
  #430
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.
Redid your stuff

Using forbes' stuff here :
http://www.forbes.com/nhl-valuations/list/
Revenue comes to 3.374b

With the last 6 teams removed, that brings revenue to 2.966b

2.966b-60m for pensions : 2.906b

2.906b*.57 : 1.656b for the players share

Over 24 teams, that brings the number to : 69.017m

Cap floor :
61m

Midpoint : 69m

Ceiling : 77m


If you want me to remove the teams losing the most money :

3.374b for revenues with 30 teams

Brings it to 2.874b

2.814b after pensions

1.638b for the players

cap would be :

Floor :
60.25m

Midpoint :
68.25m

Ceiling :
76.25m

edit :

Since the cap would rise 4 to 5 million, just sort by losses and then tack on another 4 - 5m.

13 teams losing money now.

Afterwards : 11

Not a good solution

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