Non-Ownership Thread: Who Cares Edition
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02-19-2013, 07:41 AM
Join Date: May 2010
Originally Posted by
Bettman promised the other 29 owners that they would not lose a dime on the league ownership of the franchise. They bought the franchise out of BK for $140M and wrote off another $30M in losses for that year. Hence the $170M price tag.
However I'm in agreement with Whileee that the price needed to be dropped to somewhere in the neighborhood of what the market is worth which Forbes had at around $138M. The reasoning is the NHL bought the franchise for the specific reason to protect the league's exclusive rights to determine where they place franchises.
Sometimes you have to pay to protect those rights. The city of Glendale never was ask to help protect those rights.... it's been forced on them by the very people who should be paying for it..
I think that the NHL owes Glendale, in a big way. I think that they were in a bind with Balsillie's gambit, and Glendale chose to support the NHL. In the video linked from the BoH, Judge Baum mentions that he explicitly asked Glendale counsel as to whether they would like to take a recess to consider Balsillie's offer of $50 million. He also noted how badly this worked out for Glendale when the NHL then dinged them for another $50 million to cover operating losses. This was all to the NHL's benefit. I think that they should have sucked it up, applied the Atlanta-Winnipeg transfer fee, dropped the price to $90-100 million, and seen if they could get a good owner on a long-term lease. They never did that, which is why the math has never worked. I am frankly quite surprised that there hasn't been more made of this in the media (especially in AZ). If the NHL never drops the price and then sells for relocation, then I think the NHL will have shamefully messed with Glendale. I know that this hasn't been a tradition in this saga, but I think it's time for Coyotes fans, Glendale and the local media to turn up the heat on the NHL.
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