The Business of HockeyDiscuss the financial and business aspects of the NHL. Franchise sales, valuations, TV contracts, ratings, expansion, relocation, the CBA and work stoppage discussion goes here.
Coyotes could break even, or even profit, if there are no games
Simply owning a hockey team costs more than just the player salaries, even if the team isn't playing. How much are Mike Nealy, Don Maloney, Brad Treliving, and the rest of the Coyotes front office and scouting staff making collectively? I bet even pro-rated for half a year, it's more than the CoG is going to be paying out to Jamison.
so, of course, this will mean the coyotes will have to contibute to the revenue sharing fund and help subsidize those teams with massive fixed overheads that will surely lose money this year - you know, the real teams like toronto and montreal and new york ... the same teams that have kept this joke of a franchise on life support for 16 years.
sunnuck actually seems to be rejoicing in this perverted situation. i fully expect joyce clark to quote the article as proof that the team is profitable and that hockey can and does work in the desert.
I bet even pro-rated for half a year, it's more than the CoG is going to be paying out to Jamison.
I rather doubt that. The NHL has on an ongoing basis cut expenses to the bone in Glendale, Nealy, Maloney/Treliving, Tippett et although being paid well enough are certainly far from the likes of a Brian Burke or whomever else in the league. Massive cuts were made in sales, marketing, media relations, admin etc, skeleton staff. Jamisons set to receive app $15M (sliding scale) per annum, roughly 3X's and then some the going rate for Arena Management Services, no clause's that he cant sub-contract them out.
He could simply run with existing personnel & overhead, pay himself of course, with plenty left over for whatever. Thats if, IF it ever gets that far, which I dont believe it will nor should, as clearly the deal is in direct breach & contravention of Arizonas' Gift Clause, a Direct Subsidy, and I fully expect the Goldwater Institute to act in January when the deal is supposed to close with the NHL.... a shame, because I do believe Phoenix is salvageable & worth saving, but not like this, not under these terms & conditions.
Meanwhile, the players lose 100% of potential salaries while being locked out... As unfair as it may be, the smartest move for the PA is to accept the best offer they can and still play 82 games. Missed that chance!
Meanwhile, the players lose 100% of potential salaries while being locked out... As unfair as it may be, the smartest move for the PA is to accept the best offer they can and still play 82 games. Missed that chance!
They're all getting quality family time this year because as I've read here and other places over and over again, it is much more important than money.
I rather doubt that. The NHL has on an ongoing basis cut expenses to the bone in Glendale, Nealy, Maloney/Treliving, Tippett et although being paid well enough are certainly far from the likes of a Brian Burke or whomever else in the league. Massive cuts were made in sales, marketing, media relations, admin etc, skeleton staff. Jamisons set to receive app $15M (sliding scale) per annum, roughly 3X's and then some the going rate for Arena Management Services, no clause's that he cant sub-contract them out.
He could simply run with existing personnel & overhead, pay himself of course, with plenty left over for whatever.
As in the Panthers arena discussion, what he might make from the arena isn't involved when we talk about whether or not the team makes or loses money. Although I would say that someone pulling in an overall profit in that situation is more willing to overlook the fact that hockey ops lose money.
Also, between those 3 guys, we are talking about at least $2m, probably closer to $3m that these guys are owed for half the year. Add in Tippett too for maybe another half million. Did they lay off everyone on their front office page? A skeleton crew is still going to cost more than $4m. Particularly if they're still employing any semblance of an active amateur scouting department.
Doug MacLean has stated on XM that the Blue Jackets lost $17m in the last lockout despite having no player expenses. No matter what, I highly doubt the Coyotes are going to lose significantly less than that.
I wonder how much revenue the league generates during a lockout... they still sell some merchandise and a few other revenue streams
Apparently NBC is still going to pay them. I've read here, the league will just tack on a freebie year to the end of the contract. By the way how is that going to workout for the players no NHL TV HRR that last year?
I would consider freedom of movement to be a basic human right.
If players don't like NHL rules they are free to move to another industry, or a different league within the same industry. That right has not been infringed upon.
If players don't like NHL rules they are free to move to another industry, or a different league within the same industry. That right has not been infringed upon.
Yeah I agree with that to an extent. I don't really have a problem with exclusive service contracts or limits on them. But in a dispute over movement rights, the employees are always going to try to have as much freedom of movement as possible. It's just an extension of the point you quoted.
As usual, Sunnucks misses out on the economics of this one. However, given that many on this board have joked that the BOH is indeed his only source, it's probably time we get our story straight. The reason why less than $11M will be paid out for this year, as the Glendale spokeswoman correctly points out in the article (but which the reporter obviously missed), is that it is prorated i.e. it's essentially a $916k/month management fee, regardless of what actually happens in the arena, NHL, non-hockey events, or neither.
am i the only one whose blood boils a tiny bit when i read the word 'profit' in the context of a welfare recipient?
Just shows how pathetic the whole situation is.
Up until this season, the best season the Coyotes had financially was the last time the NHL cancelled a season. And now the Coyotes are looking to bounce back and maybe break even with another cancelled season.
Although I'm sure Jamison and friends are a nice bunch of guys.... you have to be brain dead to buy a business where the only time you "might" make money is when it is shut down.
Then again... a $320M gift eases the pain a little bit.
