Phoenix LXXII: Send in the Clowns
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02-20-2013, 08:28 PM
bettman's a Weasel
Join Date: May 2009
Originally Posted by
Wouldn't that be similar to the Atlanta Thrashers situation not too long before they relocated?
It's similar in that Atlanta is a saturated, non traditional southern market. The thrashers were part of the Atlanta Spirit group, which also owns the NBA Hawks, and the arena, which allowed the Spirit group to profit from other arena events. The Spirit ultimately decided that the massive operational losses of the thrashers dwarfed any benefit that was derived from having the thrashers occupy 41 home dates per year at the arena.
The thrashers were sold to True North for $170 million, $60M of which was a relocation fee, which meant that the Spirit group recieved $110M of the sale price. They were extremely fortunate to have received that $110M. They're lucky that one of bettman's most important mandates is to perpetuate the illusion that some of his southern franchises actually have a monetary value. Bettman could have justifiedly said that the thrashers in Atlanta are worth nothing, and that the $170M sale would be for $0, plus a $170M relocation fee (which all goes to the nhl). That may seem extreme to some of you, but why would anyone think that a team that likely loses $10M - $20M per year is worth anything? In reality, they're not worth a dime in Atlanta. However, it would look very bad on bettman and his two bit league if one of it's teams sold for $0.
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