View Single Post
01-07-2004, 07:24 AM
Join Date: Aug 2003
[QUOTE=Digger12]Can EDM afford an NHL team? Sure.
I consider the models of the Nucks and Sens as ones the Oilers should be trying to emulate, but even with superior trading and drafting those teams still pump around 5 to 8 million more into player salaries.
And this year (and last year) they look like excellent models on the ice but correct me if I a wrong but it seems to me that the Canucks have been for sale for 3-5 years and have lost millions over that time frame and of course the Senators went bankrupt which everybody will tell me was because of excessive debt load etc. as though that debt was accumulated on a whim rather than out of necessity. Doubtful. People who buy assets at 10 cents on the dollar often make things work that the original owner couldn't but such people never actually start things so the business never gets started without somebody going broke and this is a successful business model to sell? I read the first few pages on the CanucksCorner site that Mizral posted a link to on another thread here (too lazy to look it up) between the guy in LA that looked the Kings books and some guy in Vancouver who was trying to argue that why should he care if incompetent owners and management spend more money than they earn? The answer is that there is always a balance. You don't want the business so fat that incompetence has no repercussions and you don't want the business so thin that only 5% of the franchises are actually making money in any given year. Anyway I apologize for taking this thread way off topic but my response to you Speeds about whether or not Edmonton can afford an NHL franchise is - only if the NHL changes the rules so that they make economic competition amongst ownership a non-determining factor regarding on-ice results. You cannot have the Wal-Mart in St. Albert consistently running loss leader sales to drive the Wal-Mart in Castledowns out of business. You can only do that in sports franchises apparently.
View Public Profile
Find More Posts by theoil