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Things Really Heating Up (NHL)

Posted by calgARI '07 
Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 02:18PM

They are meeting right now in Niagara Falls. Players have finally gotten over their no cap stance and offered a cap yesterday. Either way, this thing is gonna be done soon.

[www.tsn.ca]
Edited 1 time(s). Last edit at 02/15/2005 03:11PM by calgARI '07.
 
Re: Things Really Heating Up
Posted by: jtwcornell91 (---.loyno.edu)
Date: February 15, 2005 03:07PM

Dude, can we flag the NHL threads [OT] or [NHL]? That's a pretty generic subject line.


 
___________________________
JTW

Enjoy the latest hockey geek tools at [www.elynah.com]
 
Re: Things Really Heating Up
Posted by: mjh89 (---.resnet.cornell.edu)
Date: February 15, 2005 04:36PM

:`(
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 15, 2005 04:45PM

[Q]calgARI '07 Wrote:

They are meeting right now in Niagara Falls. Players have finally gotten over their no cap stance and offered a cap yesterday. Either way, this thing is gonna be done soon.

Edited 1 times. Last edit at 02/15/05 03:11PM by calgARI '07.[/q]
And the owners have finally gotten over their insistance that player link their salaries to how well the owners do their job. Its also pretty major to see if the owners will actually commit to a serious revenue sharing plan.

So far the owners have put all the responsibility to save teams on the players. Yet if the owners were willing to revenue share a good amount, they could easily do half the job themselves (well, half is a random amount I made up, but a significant portion). The last owners revenue sharing proposal shared only an $80 million slice out of a $2 billion pie.

But the good news is that they finally have a shared structure where they can negotiate numbers rather than philsophies: salary cap with a lower luxury tax, no linkage, and revenue sharing.

We'll see.

On the flip side, I'll be sorry to loose the College Hockey TV time B-]
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 05:51PM

Sportsnet has learned that the National Hockey League is considering making a counter proposal off the NHLPA's initial salary cap offer of $52 million, perhaps as early as today.

One source close to the negotiations believes a deal can be reached now that the philosophical differences have been bridged, though there is still considerable work to be done.

"It's just a matter of crunching numbers now," a source said. "Now that linkage is out of the equation, the players don't have to worry about the league's books and trusting their numbers."

[www.sportsnet.ca]
 
Re: Things Really Heating Up (NHL)
Posted by: Trotsky (---.frdrmd.adelphia.net)
Date: February 15, 2005 06:03PM

Would somebody explain linkage, briefly, for those of us who have been out of the loop on this?
 
Re: Things Really Heating Up (NHL)
Posted by: ugarte (---.ny325.east.verizon.net)
Date: February 15, 2005 06:07PM

"Linkage" refers to a variation of what the NBA cap looks like: the cap for a given year is x% of revenues from the prior year.

Since the NHL (unlike the NBA) has refused to open its books (and non-NBA leagues are NEVER honest about their books), the NHLPA has told them to link that plan to their own asses.



 
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 06:14PM

[Q]Trotsky Wrote:

Would somebody explain linkage, briefly, for those of us who have been out of the loop on this?[/q]
Team A earns $70 million in revenue one year. Team A's salary cap is $38.5 million.

Team B earns $60 million in revenue one year. Team B's salary cap is $33 million.

I have to assume that a team's salary cap is connected to their previous years revenues. This presents numerous issues that the players had.
1) Owners do a crappy job generating revenue and the owners pay.
2) Not sure how individual contacts work, but I would have to imagine that individual contracts are tied to revenue too, so not only do players pay in general but they pay individually.
3) An audit of NHL books recently found about $10 million per team in undisclosed revenue, so the players don't trust the owners numbers.
4) Each team has a different cap so teams can't really be competitive for each other, and they can't compete for certain players.

And I'm sure there's more.

It was a big concession by the NHL, which finally opened this thing up.
 
Re: Things Really Heating Up (NHL)
Posted by: KeithK (---.external.lmco.com)
Date: February 15, 2005 06:28PM

They were seriously talking about every team having a different cap? I always assumed this meant xx% of the league revenues as a whole, divided by the number of teams (in other words xx% of average revenue). That makes sense from a financial and competitive balance standpoint. Linking to individual team revenues (if that's what they were talking about is ridiculous). To again bring up the baseball analogy (since I know the numbers well) it would be like saying the Yankees have a salary cap of $140 million based on revenues of $250M while the Expos have a cap of $25M.

A (league average) linkage makes sense to me, but because of the books issue it is difficult to trust the owners on this. So the logical answer is to negotiate fixed numbers, which the owners will presumably base on a percentage of revenue projections. it doesn't give the absolute certainty that owners want but business isn't a certain thing anyway.

BTW - not having a fixed percentage could actually benefit the owners if the sport grows faster than expected.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 06:31PM

Yup, they were seriously talking about every team having a different cap - with mins of $32 million and max of $42 million. I've complained about it on here before. For 6 months, up until yesterday, that's the only offer they ever put on the table.
 
Re: Things Really Heating Up (NHL)
Posted by: KeithK (---.external.lmco.com)
Date: February 15, 2005 06:32PM

[q] Yup, they were seriously talking about every team having a different cap - with mins of $32 million and max of $42 million. I've complained about it on here before.[/q]Well, you either didn't make it clear (or just as likely) I had such a clear conception of what I thought we were talking about that I didn't read closely. Different caps for each team is idiotic.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 06:39PM

[Q]KeithK Wrote:

Yup, they were seriously talking about every team having a different cap - with mins of $32 million and max of $42 million. I've complained about it on here before.[/Q]
Well, you either didn't make it clear (or just as likely) I had such a clear conception of what I thought we were talking about that I didn't read closely. Different caps for each team is idiotic.[/q]
Didn't mean to blame you, Keith :). Its a topic that the media glanced over and that the owners were more than happy to have them do so. Actually I don't remember if you responded on my threads, and have even less of an idea if you even read them :). Not everyone on here cares about the NHL and I barely do, except I lover the Stanley Cup playoffs and it'd be a shame not to have a draft.

But yes, it is idiotic. And they're absolutely insistance on it for 6 months is why I mainly blame the owners for this shit. You see that as soon as they dropped the stupidity, things are moving along quite nicely. Its a shame that Bettman didn't drop the idiocy months ago.
 
Re: Things Really Heating Up (NHL)
Posted by: cbuckser (134.186.177.---)
Date: February 15, 2005 07:15PM

Fred, it has always been my impression (perhaps erroneous), that each team under the NHL's proposals would have the same salary floor and salary cap, both of which would be based on a fixed percentage of league revenues. For example, under the NHL's December counteroffer to the NHLPA's 24% rollback proposal, it appears to me that each team would have to spend between 51% and 57% of a 1/30th share of league revenues.

[nhlcbanews.com]

Where have you seen that a different salary cap would apply to different teams?
 
Re: Things Really Heating Up (NHL)
Posted by: KeithK (---.external.lmco.com)
Date: February 15, 2005 07:20PM

Fortunately or unfortunately I read just about every thread on this board. Work is no fun, after all. :-D

After a little bit of thought, it's not quite as idiotic as I originally thought to propose team specific salary caps. What they're basically saying is that they want every team to stick to a budget and not spend themselves into oblivion. Individually, owners certainly have a right to do this - it fits with the argument of "who put a gun to the owners heads and make them spend all that money?" If the league just unilaterally decided to do this as a whole the NHLPA would turn around and sue them for collusion and I assume would have a case under current law. So the owners are trying to negotiate this instead.

I still don't think it's a good idea. First off, it's bad for competitive balance in the way I outlined earlier. Second, it prevents a team from making investments - if an owner believes that spending a little more on salaries this year might result in a championship and lay the groundwork for future revenue growth this is a legitimate business decision. Then again, I'm assuming that it's reasonable to treat a professional sport as a traditional business.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 07:46PM

FINAL OFFER IS IN. GOODENOW HAS UNTIL 11 TOMORROW MORNING TO ACCEPT OR SEASON IS TOAST.

[www.tsn.ca]
Edited 1 time(s). Last edit at 02/15/2005 07:46PM by calgARI '07.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 07:56PM

Letter from Bettman to Goodenow:

[www.tsn.ca]
 
Re: Things Really Heating Up (NHL)
Posted by: Mike Hedrick 01 (---.arlngt01.va.comcast.net)
Date: February 15, 2005 08:00PM

I think the union will be shooting itself in the foot if they don't beat tomorrow's deadline. I doubt the league's concessions will remain on the table after the season is cancelled.
 
Re: Things Really Heating Up (NHL)
Posted by: Tub(a) (---.resnet.cornell.edu)
Date: February 15, 2005 08:05PM

[Q]Mike Hedrick 01 Wrote:

I think the union will be shooting itself in the foot if they don't beat tomorrow's deadline. I doubt the league's concessions will remain on the table after the season is cancelled.[/q]

From the article:

"'I know, as do you, that the 'deal' we can make will only get worse for the players if we cancel the season,' Bettman said in the letter. 'Whatever damage we have suffered to date will pale in comparison to the damage from a canceled season and we will certainly not be able to afford what is presently on the table.'"

I think we will probably see a counter-offer from Goodenow at about 48mil. I hope that Bettman isn't serious when he says this is non-negotiable, as they are so close.

 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 08:09PM

[Q]Tub(a) Wrote:

Mike Hedrick 01 Wrote:

I think the union will be shooting itself in the foot if they don't beat tomorrow's deadline. I doubt the league's concessions will remain on the table after the season is cancelled.[/Q]
From the article:

"'I know, as do you, that the 'deal' we can make will only get worse for the players if we cancel the season,' Bettman said in the letter. 'Whatever damage we have suffered to date will pale in comparison to the damage from a canceled season and we will certainly not be able to afford what is presently on the table.'"

I think we will probably see a counter-offer from Goodenow at about 48mil. I hope that Bettman isn't serious when he says this is non-negotiable, as they are so close.
[/q]
I have another thought. What if the players agreed to accept this for this season and next, with the agreement that the NHL and NHLPA will sit down to negotiate the final details for at least 10, 20 hours each month until a new deal is done - i.e. a short term deal to play this season and perhaps next, while they then continue the negotiations to their actual conclusion for the future.
 
Re: Things Really Heating Up (NHL)
Posted by: Tub(a) (---.resnet.cornell.edu)
Date: February 15, 2005 08:16PM

[Q]DeltaOne81 Wrote:

Tub(a) Wrote:

Mike Hedrick 01 Wrote:

I think the union will be shooting itself in the foot if they don't beat tomorrow's deadline. I doubt the league's concessions will remain on the table after the season is cancelled.[/Q]
From the article:

"'I know, as do you, that the 'deal' we can make will only get worse for the players if we cancel the season,' Bettman said in the letter. 'Whatever damage we have suffered to date will pale in comparison to the damage from a canceled season and we will certainly not be able to afford what is presently on the table.'"

I think we will probably see a counter-offer from Goodenow at about 48mil. I hope that Bettman isn't serious when he says this is non-negotiable, as they are so close.
[/Q]
I have another thought. What if the players agreed to accept this for this season and next, with the agreement that the NHL and NHLPA will sit down to negotiate the final details for at least 10, 20 hours each month until a new deal is done - i.e. a short term deal to play this season and perhaps next, while they then continue the negotiations to their actual conclusion for the future.[/q]


Bettman probably wouldn't take that. I don't think they will be looking to add any complexity to the negotiations at this point anyways.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 08:37PM

Probably true. I dunno. I bet the players will accept anyway. Its a pretty damn good deal compared to what they were offered just a few days ago. As has been discussed, the no linkage is huge - for accounting reasosn and future fluctuation reasons.

Some quick and dirty math shows me that the average team salary last year was somewhere around $42 million, so while this is a cut, its not a huge huge cut. I wish we had more details about the luxury tax structure and everything eles under this.

This would be good for competitive balance, good for the league, good for fans and pretty damn good for the players - especially compared to a few weeks ago, or even a few days. I'll go to bed tonight pretty sure that they'll be a season. I finally think that Bettman actually sat down and negotiated.

Let's play hockey.
 
Re: Things Really Heating Up (NHL)
Posted by: Josh '99 (---.bc.yu.edu)
Date: February 15, 2005 09:03PM

If these final negotiations do save the season, do Bettman and Goodenow keep their jobs? Because it'd be a shame if they did.
 
Re: Things Really Heating Up (NHL)
Posted by: atb9 (---.nycap.res.rr.com)
Date: February 15, 2005 09:05PM

[Q]DeltaOne81 Wrote:

Its a pretty damn good deal compared to what they were offered just a few days ago. As has been discussed, the no linkage is huge - for accounting reasosn and future fluctuation reasons.

[/q]

Hold on, let me duck while I ask this...

Anyone want to concede that if this goes through, Bettman did an amazing job for the owners? He low balled the players for months and made them desperate. It seems to me the owners created this horrific mess by signing players to those $10 million/year contracts (honestly, what were they thinking and what will those contracts do to the salary cap? Will the players renegotiate?) and Bettman saved them.

A cool little salaries database from USA Today [asp.usatoday.com]

 
___________________________
24 is the devil
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 09:14PM

Yup, that's the database I got my numbers from. If anything is wrong with my math is because I typed something into the calculator wrong and because I rounded each team to the nearest million. Here's a hint for that database. Chose a year and chose total payroll. Do NOT select a team, and you get every team's payroll last year.

Bettman did a good job for the owners, but I don't think that great. Remember that over 3 months ago, the players offered the 24% rollback and a dual-thresholded luxury tax at $40 and $50 millionish - the $50 million was including the 100% luxury tax revenue included after $40 million, so that's really $45 million.

So 3 months ago the owners had a $40 100% luxury tax, $45 million couple hundred percent (or something like that). 3 months later they get a $42.5 million cap. Is that really that much better? I mean its better, but not worth losing 3 months of hockey over. He did a good job, but they could have negotiated a deal very similar to this 3 months ago if he hadn't refused to drop the linkage until yesterday.

Edit: Only 2 years ago (01-02) the average NHL team salary was $36 million. Its a pretty good deal for the players right now. I'll say again, let's play hockey.
Edited 2 time(s). Last edit at 02/15/2005 09:24PM by DeltaOne81.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 09:50PM

Bettman will definitely keep his job. Goodenow is finished. The union already appears to be crumbling with different player factions putting forward proposals and commentary.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 09:51PM

[Q]calgARI '07 Wrote:
Bettman will definitely keep his job. Goodenow is finished. The union already appears to be crumbling with different player factions putting forward proposals and commentary.[/q]
No one was talking about Bettman losing his job, but way to spread unfounded rumors, Ari.
 
Re: Things Really Heating Up (NHL)
Posted by: Will (---.cable.mindspring.com)
Date: February 15, 2005 10:04PM

[Q]calgARI '07 Wrote:

Bettman will definitely keep his job. Goodenow is finished. The union already appears to be crumbling with different player factions putting forward proposals and commentary.[/q]

If this is the case, then good riddance to a former Harvard hockey captain. :-P

 
___________________________
Is next year here yet?
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 10:09PM

TSN reporting that Goodenow has replied with a $49 million cap. Not gonna happen.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 10:13PM

[Q]DeltaOne81 Wrote:

calgARI '07 Wrote:
Bettman will definitely keep his job. Goodenow is finished. The union already appears to be crumbling with different player factions putting forward proposals and commentary.[/Q]
No one was talking about Bettman losing his job, but way to spread unfounded rumors, Ari.[/q]

What are you talking about? Did I miss something? Someone asked or commented regarding the job security of Bettman and Goodenow and I gave my opinion on that. Not sure how I was spreading unfounded rumours. Never did I say I heard from a legitimate source or even any source at all that he was going to lose his job so it wasn't a rumour at all.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 10:14PM

They got 13 hours to negotiate. Let them use every minute of it. No one has to sleep tonight. Except me ;)
 
Re: Things Really Heating Up (NHL)
Posted by: Trotsky (---.frdrmd.adelphia.net)
Date: February 15, 2005 10:20PM

The N went from 40 to 42.5; the players went from no cap to 48. It sounds to me like they can just split the difference and save themselves immense headaches, but would that be too rational?
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 10:22PM

Goodenow's response to Bettman:

[www.tsn.ca]
 
Re: Things Really Heating Up (NHL)
Posted by: Pete Godenschwager (---.chem.cornell.edu)
Date: February 15, 2005 10:26PM

[Q] The union already appears to be crumbling with different player factions putting forward proposals and commentary.[/Q]

For example, Buffalo's player rep, Jay McKee, apparently didn't even know the union accepted a cap until some media person asked him about it. Certainly doesn't say much for solidarity.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 10:36PM

[Q]Pete Godenschwager Wrote:

The union already appears to be crumbling with different player factions putting forward proposals and commentary.[/Q]
For example, Buffalo's player rep, Jay McKee, apparently didn't even know the union accepted a cap until some media person asked him about it. Certainly doesn't say much for solidarity. [/q]
I don't see how that has anything to do with solidarity, especially with the union being the more generous entity. The concern is usually when individual players would speak out against the union's hard stance, that would be breaking ranks. A player not following the news about something the union had conceeded doesn't seem like a loyalty problem to me.

Sure, there were a few players who spoke out saying the union should give up more - such as Roenick, who has always been a bit of a loose cannon when it comes to a lot of things.

But when you're dealing with 700 to 800 people, you're gonna have a few people speak out. Especially with a gastapo-ish gag order like Bettman put out.

Listen, I'm not a players fan boy here. If the owners reject the $49 million (which I'm sure they will) and put the $42.5 million back on the table, I still think the players should accept it, if it comes down to 10:45 am tomorrow, and if they don't, then I'd blame them. But pointing out that a few out of 700+ people used their freedom of speech to express an opinion, isn't a valid criticism.

But in the meantime, negotiate away.

$49 million may be a lot of money, but it also includes this:
Payroll Taxes - $40M - $43M (25%)
$43M - $46M (50%)
$46M - $49M (75%)
$49M - $53.9M (150%) only twice per team during 6 year term (instead of 3 times as offered before)
Increased arbitration rights for clubs, performance bonus limits

They have a structure of a deal and it'll get done.

Hmmm, $40 million, $52 million, $42.5 millino, $49 million... gee, where's this gonna go? $44, $47, $45... deal. And they have the time.

Or they could do an MLB scale thing, with the cap going $43, $44, $45, $46, $47, $48 million over the course of the deal. and payroll taxes adjusting proportionately.
 
Re: Things Really Heating Up (NHL)
Posted by: Josh '99 (---.bc.yu.edu)
Date: February 15, 2005 10:49PM

[Q]DeltaOne81 Wrote:
No one was talking about Bettman losing his job...[/q]Yes I was. nut
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 10:53PM

[Q]jmh30 Wrote:

DeltaOne81 Wrote:
No one was talking about Bettman losing his job...[/Q]
Yes I was. [/q]
How dare you sneak a 1 line post in a thread of long ones. Completely unacceptable and pure trickery! nut
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 10:56PM

The Fan 960 in Calgary is reporting the NHL has outright rejected the PA offer reiterating that their offer is their FINAL.
 
Re: Things Really Heating Up (NHL)
Posted by: Tub(a) (---.resnet.cornell.edu)
Date: February 15, 2005 11:04PM

[Q]calgARI '07 Wrote:

The Fan 960 in Calgary is reporting the NHL has outright rejected the PA offer reiterating that their offer is their FINAL.[/q]

:-(

I've been on their side through this crap, but they will look like idiots if they don't negotiate this out.

 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.bos.east.verizon.net)
Date: February 15, 2005 11:04PM

Do we have any detail on the NHL's offer like we do the NHLPA's? Luxury taxes, etc? Revenue sharing? Are those there?
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 15, 2005 11:06PM

Flames play-by-play man Peter Maher, who is one of the highest up in NHL media, just commented that he really believes something will get done. He is "95% sure" there will be a deal.
Edited 1 time(s). Last edit at 02/15/2005 11:07PM by calgARI '07.
 
Re: Things Really Heating Up (NHL)
Posted by: Steve M (4.29.49.---)
Date: February 16, 2005 12:33AM

It's too bad the fans don't have an organization that could effectively force the firing of both Bettman and Goodenow if they fail to work out a deal. We are the paying customers after all. I don't have any problem with rumors being spread about the canning of either of these guys, and I wish Bettman were not from Cornell.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 16, 2005 12:36AM

www.nhlfa.com

not much power but over 27,000 members including myself. the president's have been emailing both Bettman and Goodenow throughout the process. here's a copy of tonight's letter to Goodenow:

The following letter was sent to the NHL Players' Association tonight on
behalf of the NHLFA:


February 15, 2005

Bob Goodenow
Executive Director
National Hockey League Players’ Association
777 Bay Street, Suite 2400
Toronto, Ontario
M5G 2C8


Dear Mr. Goodenow:

After reviewing Commissioner’s Gary Bettman’s letter delivered earlier today
to the NHL Players’ Association, the membership of the NHL Fans’ Association
(NHLFA) appeals to you in the strongest possible terms to accept this
proposal and put NHL players back on the ice.

It has never been the desire of the NHLFA to take sides in this dispute; our
role is to present to you and to the NHL the views of hockey fans who
support the National Hockey League and pay your members’ salaries. We
believe the revenues coming into professional hockey are more than enough
for both players and owners to receive fair compensation.

However, the majority of our 26,700 members feel the NHL Players’
Association must be willing to concede to reasonable terms, which we believe
have been presented to you, by the NHL today.

Remember, this conflict has taxed fans’ generosity and patience to the limit
and there will be serious consequences if your association chooses not to
accept the NHL’s offer.

Sincerely,
Jim Boone
Co-founder
NHL Fans’ Association
www.nhlfa.com
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 16, 2005 12:44AM

Goodenow's response to Bettman:

[www.tsn.ca]
 
Re: Things Really Heating Up (NHL)
Posted by: Steve M (4.29.49.---)
Date: February 16, 2005 12:53AM

I'm glad the they're at least putting pressure on one side, but in this labor dispute I'm much more on the side of the players than the owners. NHL hockey players are overpaid, but at least they have made concessions unlike the ridiculously spolied babies that cancelled the World Series just over 10 years ago. Goodenow is correct that Bettman's argument is bogus (all teams will never simultaneously spend up to the cap), and I think it would have been better if the Fans' Association had sent a letter to both Bettman and Goodenow to compromise. That has the most chance of success IMO.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 16, 2005 10:57AM

t-minus 3 minutes...

they both had to dig in right at the end, didn't they
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 16, 2005 10:57AM

Sportsnet is reporting that the NHL will budge off of their final offer.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (---)
Date: February 16, 2005 10:58AM

[Q]DeltaOne81 Wrote:

t-minus 3 minutes...

they both had to dig in right at the end, didn't they[/q]

The deadline is 1 PM ET
 
Re: Things Really Heating Up (NHL)
Posted by: Trotsky (---.cust-rtr.swbell.net)
Date: February 16, 2005 10:59AM

But Bettman said his deadline for a deal was 2 hours before the conference, i.e., 11 am. 1 minute from now. ;-)
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (205.232.74.---)
Date: February 16, 2005 11:05AM

Bettman also said on Friday that a deal had to be done by Sunday or no season.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 16, 2005 11:06AM

[Q]calgARI '07 Wrote:

Bettman also said on Friday that a deal had to be done by Sunday or no season.[/q]
Haha... very true :-D
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (205.232.74.---)
Date: February 16, 2005 11:22AM

TSN reporting Bettman has sent memos to every team indicated that no contact between the two sides has been made since last night.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (205.232.74.---)
Date: February 16, 2005 12:12PM

Modano just interviewed on the Score and said he has heard rumors that both sides moving off their stances.
 
Re: Things Really Heating Up (NHL)
Posted by: Mr. Timekeeper (132.236.144.---)
Date: February 16, 2005 12:23PM

Good article from the N.Y. Times:

------------------------------------------------------------------------

February 16, 2005
SPORTS OF THE TIMES

Goodenow Would Not Surrender to Cap, Until He Did
By DAVE ANDERSON

IF I were a National Hockey League player, I'd be ready to cross-check somebody.

Anybody, actually.

Anybody who has been involved all these months in what is now apparently the sudden-death-overtime negotiations in the labor dispute over the N.H.L.'s demand for a salary cap - no matter if there is a last-minute deal or if the season is canceled.

And if I were a player, the first guy I would cross-check would be my own union boss, Bob Goodenow.

Why did it take Goodenow all this time to finally offer a salary-cap number, $52 million a team, that he and the union could live with? He knew all along that if he did, Commissioner Gary Bettman would come back with a lower number and Bettman did, $40 million a team, but at least each would have a number to negotiate from.

It would make sense for the union and the league to split those numbers down the middle, at $46 million, in time to create, say, a 28-game season before the Stanley Cup playoffs. Bettman has since increased his original number to $42.5 million, and the union countered with $49 million.

But unlike a wrist shot or a kick save, making sense is not a skill the union leaders seemed to possess. Long before the negotiations began, Bettman said the league needed a salary cap. Goodenow had to know that he was not bluffing, that enough owners stood firmly behind him, but Goodenow kept insisting that he would never surrender to a salary cap.

Until he did.

What took Goodenow so long? What is so terrible about a salary cap when two of the other three major sports in North America have one, and the third has a luxury tax on player payroll?

For the last decade, the National Football League has boomed more than ever with a hard cap total that rises each season.

The National Basketball Association has thrived with a cap that is softer but still restricts clubs' spending. Major League Baseball doesn't have a cap as such, but it has a luxury tax on player payroll that George Steinbrenner and the Yankees know only too well.

Instead of realizing that the N.H.L. owners needed a cap to make money, Goodenow refused to surrender. Until he did.

In the process, he not only deprived his players of most of the season, but he also deprived them of most of their season's salary.

Hockey players are not factory workers, who over their long careers can eventually make up the money they lose during a labor dispute. With a cap, most rank-and-file hockey players, and certainly the multimillion-dollar superstars, won't ever make up what they have already lost in salary during this lockout.

Even with what was an average salary of $1.83 million last season, most hockey players know that they're going to make that kind of money for only a few seasons before some hot-shot kid takes their job.

Another question for Goodenow: Why wasn't he talking to Bettman long before last fall's deadline date? Talking continually is why the N.F.L. has had labor peace since the dispute in 1987, when replacement players were used for three games. Commissioner Paul Tagliabue maintains a dialogue with Gene Upshaw, the executive director of the union.

Pro football's salary cap has also made it a better game, as Tagliabue mentioned during his Super Bowl news conference.

"I think it works," Tagliabue said of the cap, noting that it can be complicated but that it "has proved to work very well to keep teams together."

He added, "We thought the system would allow for great competition and repeat winners, and that's what's turning out to be the case."

Like the New England Patriots, who have won three of the last four Super Bowls.

Most hockey players would probably have accepted a salary cap long ago, but instead of letting the union members vote, Goodenow just kept saying he would not surrender to a cap. Until he did - coincidentally on the 25th anniversary of the week leading to the 1980 United States Olympic hockey team's upset of the mighty Soviets and subsequent gold medal at Lake Placid.

During a conference call yesterday, Jim Craig, Jack O'Callahan and Rob McClanahan, members of that Olympic team who went on to play in the N.H.L., were asked about the labor dispute.

Craig, a goaltender, spent parts of three seasons in the N.H.L., one with his hometown Boston Bruins. He mentioned how "it's affecting a lot more people than just the players and the owners," meaning not only the fans, but also people and businesses connected to the game, like arena workers and nearby restaurants.

O'Callahan, a defenseman who played seven seasons with the Chicago Blackhawks and the Devils, talked about how that Olympic victory propelled the growth of hockey.

"It's somewhat humorous to me how you now have billionaires and millionaires arguing," he said, referring to the owners and the players. "They need to go back 25 years. Be a little more thankful, a little more humble; give the game back to the fans."

McClanahan, a forward who spent five seasons with the Buffalo Sabres, the Hartford Whalers and the Rangers, said simply, "I don't have a problem with the salary cap." Which is probably what most N.H.L. players would have said if Bob Goodenow had asked them.
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (205.232.74.---)
Date: February 16, 2005 12:32PM

The Score reporting that unless the PA calls in the next 30 minutes, season canceled.
 
Re: Things Really Heating Up (NHL)
Posted by: atb9 (---.nycap.res.rr.com)
Date: February 16, 2005 12:38PM

[Q]calgARI '07 Wrote:

The Score reporting that unless the PA calls in the next 30 minutes, season canceled.[/q]

This sounds like a Junior High relationship...Get off of your sulking arse, Goodenow, and make a deal.

 
___________________________
24 is the devil
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (205.232.74.---)
Date: February 16, 2005 12:44PM

Flames play-by-play man reporting that the PA is trying to negotiate. Better hurry up.
 
Re: Things Really Heating Up (NHL)
Posted by: atb9 (---.nycap.res.rr.com)
Date: February 16, 2005 12:47PM

[Q]calgARI '07 Wrote:

Flames play-by-play man reporting that the PA is trying to negotiate. Better hurry up.[/q]

I don't understand what there is to negotiate. It sounds like the owners and Bettman are completely calling the shots.

 
___________________________
24 is the devil
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 16, 2005 12:49PM

I find it to be pretty poor journalism / editorializing for all those articles not to mention that Bettman's dropping of the tie to revenue is what kickstarted this whole thing. Whether you give him credit for doing it, or blame for not doing it sooner, is your call. But that article makes it sound like the union just said $52 million cap out of nowhere, where all along the union had said "we will not accept a salary cap tied to revenues". Reports may have loved to summarize that as "no salary cap", but that wasn't what the majority of union's statements actually said.

Then a guy writes a whole article blaming Goodenow for refusing to move to a cap earlier and doesn't even once mention that it was Bettman's eventual offer to remove the linkage that held the whole process up and his elimination of that instance that actually, finally ended the stalemate. Blame him for it or credit him for it, but get your facts straight.
 
Re: 1pm
Posted by: atb9 (---.nycap.res.rr.com)
Date: February 16, 2005 01:01PM

Bettman just took the mic

 
___________________________
24 is the devil
 
Re: Things Really Heating Up (NHL)
Posted by: calgARI '07 (205.232.74.---)
Date: February 16, 2005 01:02PM

It's over.
 
Re: Things Really Heating Up (NHL)
Posted by: atb9 (---.nycap.res.rr.com)
Date: February 16, 2005 01:11PM

"We will immediately begin planning for a 2005-2006 season"

"We will pursue a collective bargain agreement with the players"

"It wasn't as close as people were speculating"

"An arbitrarily negotiated number (salary cap) put all of the risk on the clubs."

"We couldn't be in the fifties or high forties."

"We were stretching to get there ($42.5 million) because we knew we would lose money for the next two years."

"When they came back with 49, we knew we couldn't make a deal."

"$6.5 million difference multiplied by 30 is actually a $200 million difference."

"It's a difficult process when the other side doesn't know your numbers. We have asked them to audit our books for five years."

 
___________________________
24 is the devil
 
Re: Things Really Heating Up (NHL)
Posted by: Steve M (---.fluor.com)
Date: February 16, 2005 01:23PM

When they finally get around to reaching an agreement, the fans should boycott the NHL until both Bettman and Goodenow resign or are fired.
 
Re: Things Really Heating Up (NHL)
Posted by: KeithK (---.external.lmco.com)
Date: February 16, 2005 01:27PM

I'm actually glad that this is over. And not because I'm (much) more of a college fan than a pro-hockey fan. I hate the idea of playing something like a 25 game season and then going to playoffs that may last longer than the season itself. Why mess with a broken product at this point? OK, we've cancelled the season. Now sit down, continue to work at it and get something in place for next season, when we can start fresh.

Of course, the fresh start assumes that bargaining can/will continue once the deadline is removed and that nobody moves the goalposts as a result of the cancellation (Bettman in particular).

I wonder if the cancellation, which guarantees no paychecks for this season, will cause the players union to fracture. I've read reports (opinions maybe) that third and fourth line players are very unsatisfied with the union negotiators. If true then today's events could cause them to speak out. Then again, I heard plenty of speculation along these lines in the last baseball negotiations and nothing came of it (admittedly there were no missed paychecks in MLB '02).
 
Re: Things Really Heating Up (NHL)
Posted by: jkahn (216.146.73.---)
Date: February 16, 2005 01:31PM

Bettman regarding the draft - "Before we play again there will need to be a draft. We haven't focused on that."

 
___________________________
Jeff Kahn '70 '72
 
Re: Things Really Heating Up (NHL)
Posted by: mjh89 (---.pac.mannlib.cornell.edu)
Date: February 16, 2005 01:59PM

Great idea.......no
 
Re: Things Really Heating Up (NHL)
Posted by: atb9 (---.nycap.res.rr.com)
Date: February 16, 2005 02:01PM

Okay, my hour of mourning is over...LGR!

 
___________________________
24 is the devil
 
Re: Things Really Heating Up (NHL)
Posted by: Pete Godenschwager (---.twcny.res.rr.com)
Date: February 16, 2005 02:01PM

Bettman also said the current offer is now off the table (obviously off the table since the season is cancelled but also off the table as a start for future negotiations). He also said he doesn't see a deal without linked revenue.
 
Re: Things Really Heating Up (NHL)
Posted by: mjh89 (---.pac.mannlib.cornell.edu)
Date: February 16, 2005 02:03PM

Yea, the players may have to settle for a worse deal than the one they were offered today.
 
Re: Things Really Heating Up (NHL)
Posted by: CUlater 89 (64.244.223.---)
Date: February 16, 2005 02:18PM

[Q]mjh89 Wrote:

Yea, the players may have to settle for a worse deal than the one they were offered today.[/q]

Or not. How many times during negotiations did the league say "you're not going to get any offers better than this one," yet they were willing to offer something better after all?
 
Re: Things Really Heating Up (NHL)
Posted by: Steve M (---.fluor.com)
Date: February 16, 2005 02:41PM

I'm not the only one who feels this way....

[sports.yahoo.com]
 
Re: Things Really Heating Up (NHL)
Posted by: Tub(a) (---.resnet.cornell.edu)
Date: February 16, 2005 02:45PM

[Q]Steve M Wrote:

I'm not the only one who feels this way....

[/q]

Uhhh Barry Melrose and Don Cherry don't care about themselves?


Good article, and a pretty fair analysis of both sides.

Good luck to the players ever getting anything close to that deal and good luck to the NHL ever getting fans back.

yark
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 16, 2005 03:33PM

Good article, good points. The only conflict of priorities that Barry would have on any issues if is his hair was somehow brought into the negotiations.
 
Re: Things Really Heating Up (NHL)
Posted by: Jordan 04 (12.42.45.---)
Date: February 16, 2005 03:57PM

[Q]Tub(a) Wrote:

Steve M Wrote:

I'm not the only one who feels this way....

[/Q]
Uhhh Barry Melrose and Don Cherry don't care about themselves?


Good article, and a pretty fair analysis of both sides.

Good luck to the players ever getting anything close to that deal and good luck to the NHL ever getting fans back.

[/q]

Barry Melrose only cares about one thing: his mullet.

 
Re: Things Really Heating Up (NHL)
Posted by: Trotsky (---.cust-rtr.swbell.net)
Date: February 16, 2005 04:03PM

Hmpf. A Nickerson on both their houses. Let the game go back to Canada, keep the O-6, and fill out the other 30 franchises from places like Kelowna and Lethbridge. Hell, give Ithaca a franchise.
 
Re: Things Really Heating Up (NHL)
Posted by: RichS (---.dyn.optonline.net)
Date: February 16, 2005 04:23PM

Oh wow, a "Nickerson"...that's funny...rolleyes

Ithaca a franchise? Yeah, it's more desireable than Tampa Bay!

Seriously, is anyone listening to Goodenow's press conference? This guy can really shovel it! :-D
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 16, 2005 04:47PM

Re: Things Really Heating Up (NHL)
Posted by: mjh89 (---.resnet.cornell.edu)
Date: February 16, 2005 07:03PM

[Q]CUlater 89 Wrote:

mjh89 Wrote:

Yea, the players may have to settle for a worse deal than the one they were offered today.[/Q]
Or not. How many times during negotiations did the league say "you're not going to get any offers better than this one," yet they were willing to offer something better after all?[/q]

Many, but Bettman also said that the package without linkage is gone. With so many things uncertain, whenever hockey resumes, the owners may demand linkage to ensure they dont lose millions and millions.
 
Re: Things Really Heating Up (NHL)
Posted by: KenP (---.abrfc.noaa.gov)
Date: February 17, 2005 09:15AM

I can see both sides of the story. Most of my sympathy for the players was due to the league's reluctance/inability to produce honest, reliable financial statements. A co-worker of mine, though, said on several occasions the league offered to open their books up to an independent audit. Is this true?
 
Re: Things Really Heating Up (NHL)
Posted by: nyc94 (---.ny325.east.verizon.net)
Date: February 17, 2005 09:20AM

[Q]KenP Wrote:
A co-worker of mine, though, said on several occasions the league offered to open their books up to an independent audit. Is this true?[/q]

That's what Bettman said during his press conference. I'm not sure which set of books they were going to turn over.
 
Re: Things Really Heating Up (NHL)
Posted by: Nate 04 (---.raytheon.com)
Date: February 17, 2005 09:33AM

[Q]nyc94 Wrote:

I'm not sure which set of books they were going to turn over.
[/q]
I bet not the "How To Negotiate For Dummies" ones they are using.

 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 17, 2005 09:43AM

I had a thought I wanted to toss out there. I don't think linkage is necessarily the problem, but merely the way the league presented it. How many people here would take a job if the boss said "we'll pay you $xxxxx, but if our revenue takes a 5% hit, you lose 5% of your salary". Its unappealing, insulting, and hurts you for what could be other people's failures (bosses, coworkers, etc).

Now how would you feel if the boss said "we're having a tough time, so we may have to cut back some benefits, but we hope to restore and even increase them if we can turn this around." Sure, not saying you'd like it, but it'd just feel more reasonable, even if monetarily it worked out to the same thing.

The difference in the second scenario is that the effect is stepped. Its not "we lost 2%, so you lose 2%". They should work out some deal, where the league can get linkage, by saying that if the revenue declines more than, say 3% in a season, the cap/tax threshold(s) decrease $1 million. If its more than 5%, they decrease $2 million, or something like that. So the players know that any change will be gradual and it feels more like a temporary correction to adjust for current problems, rather than a paycut for someone else's problems.

Also, here's another thought, Bettman has been pretty much saying that a salary cap draws teams up to the limit. That setting a maximum would pull most teams up towards it, cause they should be spending that amount. If he really feels that way, then shouldn't he prefer *not* to have a cap? Wouldn't he prefer a strong luxury tax, which MLB seems to show is an effective way to set a soft ceiling but yet not draw people up to it.

The the union wants a luxury tax with no linkage, the league wants a cap with linkage - what about a strong tax with stepped linkage?

I swear there's a middle ground there, but I don't know why I bother :-P
 
Re: Things Really Heating Up (NHL)
Posted by: nyc94 (---.ny325.east.verizon.net)
Date: February 17, 2005 10:05AM

[Q]DeltaOne81 Wrote:
I had a thought I wanted to toss out there. I don't think linkage is necessarily the problem, but merely the way the league presented it. How many people here would take a job if the boss said "we'll pay you $xxxxx, but if our revenue takes a 5% hit, you lose 5% of your salary". Its unappealing, insulting, and hurts you for what could be other people's failures (bosses, coworkers, etc).[/q]

I don't think it is that insulting if you consider that most other people in the seven figure income range have compensation linked to revenue. Actors and CEOs come to mind. Granted, their incomes rarely go down although it's relative to where you start. A $20 million a picture actor might take $10 million upfront or even nothing for a cut of the box office. If the movie is a stinker and the total compensation comes in less than $20 million then you could call that a pay cut. Or consider guys on Wall Street that usually receive bonuses that are several times their base salary. They don't know exactly how much they are going to get at the end of the year. They might be able to estimate but in the end their compensation is linked to company (or division) performance. I'm sure they don't plan strikes on their weekends in the Hamptons.
 
Re: Things Really Heating Up (NHL)
Posted by: Jacob '06 (---.twcny.res.rr.com)
Date: February 17, 2005 10:38AM

The players major issue with the linking from what I understand is its short-term effects on team composition. For example, a team that just picked up a bunch of talent, but hasn't gotten molded together quite well yet might not have the best revenue that year, but the next year they'll be great. However, since their ticket sales sucked that year they all have to get a pay cut or get traded. I think having a teams salary cap change year to year is kind of ridiculous, and it would make it much harder for the teams to keep a consistent roster year to year. Unless of course they are one of the teams that consistently has a pretty high revenue because they are in a big hockey town.
 
Re: Things Really Heating Up (NHL)
Posted by: Trotsky (---.cust-rtr.swbell.net)
Date: February 17, 2005 10:52AM

[Q]RichS Wrote:
Ithaca a franchise? Yeah, it's more desireable than Tampa Bay![/q]
FWIW, I'd give Potsdam a franchise, too.

The CTHL:

Eastern Conference

Boston A
Boston B
Burlington
Capital District
Ithaca
Orono
Potsdam-Canton


Western Conference

Ann Arbor
Denver
Grand Forks
East Lansing
Madison
Minneapolis-St. Paul
Upper Peninsula
 
Re: Things Really Heating Up (NHL)
Posted by: Lauren '06 (---.citlabs.cornell.edu)
Date: February 17, 2005 11:45AM

So we're all sure Cornell wouldn't be able to fill a 5,000-capacity rink, and that's serious business, but it's okay to joke about dropping a pro franchise in Ithaca? nut
 
Re: Things Really Heating Up (NHL)
Posted by: KeithK (---.external.lmco.com)
Date: February 17, 2005 12:08PM

[q]I had a thought I wanted to toss out there. I don't think linkage is necessarily the problem, but merely the way the league presented it. How many people here would take a job if the boss said "we'll pay you $xxxxx, but if our revenue takes a 5% hit, you lose 5% of your salary". Its unappealing, insulting, and hurts you for what could be other people's failures (bosses, coworkers, etc). [/q]Lots of people are in this situation and while they might bitch about the loss of income I doubt it's considered insulting. The difference is that the portion of income that gets cut is called a "bonus", while the fixed portion is labelled salary. Sports teams do this as well with performance bonuses.

I think an ideal system (in terms of "fair" compensation, not necessarily for the players or owners) would be one where a large portion of players salaries is performance related or team results related. This greatly reduces the risk of some lousy player getting a big payout because of one career year, but also rewards players and teams for doing well. It also, removes cost certainty for the owners, but that's not a problem in my hypothetical world. :-)
 
Re: Things Really Heating Up (NHL)
Posted by: nyc94 (---.ny325.east.verizon.net)
Date: February 17, 2005 12:30PM

[Q]KeithK Wrote:
Lots of people are in this situation and while they might bitch about the loss of income I doubt it's considered insulting. The difference is that the portion of income that gets cut is called a "bonus", while the fixed portion is labelled salary. Sports teams do this as well with performance bonuses.[/q]

I have yet to meet a Wall Streeter that doesn't factor in a minimum expected bonus. When it is expected it becomes a bonus in name only. My point was that most people wouldn't quibble if their bonus is $200,000 or $210,000 because they are already out the door to the Porsche dealer or their real estate broker. If they have a problem it is more likely that the guy down the hall got more than they did rather than faulting the management for making the entire bonus pool too small.
 
Re: Things Really Heating Up (NHL)
Posted by: DeltaOne81 (---.raytheon.com)
Date: February 17, 2005 02:13PM

This is what I'm saying, kind of. That its all about how you phrased it. If the league came to the players and said we want a new contract structure where you get minimums, and bonuses depending on team (or league) revenue, I think it would sound much more reasonable. Or that the salary cap will *slowly* adjust to match revenues.

But to say that, "if our revenue drops 50%, you only get half your pay", is going to turn anyone off. Even if in reality, that scenario is extraordinarily unlikely.

I'm saying that at least in part, its how you say it. Sure, structure all contracts to give minimums plus revenue bonuses. Put a salary cap on the minimums or something. Bettman could have sold it a lot better than he did. It really is all about how you say it, more than what you say.

This works the other way around too. The union could have presented the luxury tax better, cause luxury taxes can be very effective salary controls as well. Although I suppose they made that argument.
Edited 1 time(s). Last edit at 02/17/2005 02:15PM by DeltaOne81.
 

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