tom webster Posted April 7, 2010 Report Share Posted April 7, 2010 I never believed all the doom and gloom predicted by management anyway but the rising Canadian dollar almost guarantees that the cap will once again go up and maybe even enough for Chicago to keep their team together. Bettman had already softened the rhetoric and if his promises of a new tv deal bear fruit, TG will have to decide if the increased revenue will justify the increase in payroll or if it is time to sell. Link to comment Share on other sites More sharing options...
inkman Posted April 7, 2010 Report Share Posted April 7, 2010 Inflated Canuck dollar or not, it's hard for me to make sense of this. The NHL isn't exactly booming... Link to comment Share on other sites More sharing options...
tom webster Posted April 7, 2010 Author Report Share Posted April 7, 2010 Inflated Canuck dollar or not, it's hard for me to make sense of this. The NHL isn't exactly booming... Actually, according to the little czar, nhl revenues were better then other 3 "major" sports in relation to the previous year's business. Link to comment Share on other sites More sharing options...
inkman Posted April 7, 2010 Report Share Posted April 7, 2010 Actually, according to the little czar, nhl revenues were better then other 3 "major" sports in relation to the previous year's business. If he's accurate, which I question, he has to be referencing percentages and not actual $$$. If the NHL revenues went up from $5 million to $10 million, hey they went up 100%. In turn the NFL could have gone from $500 million to $600 million, but hey they only went up 20%. He's definitley not giving the whole story. Link to comment Share on other sites More sharing options...
tom webster Posted April 7, 2010 Author Report Share Posted April 7, 2010 If he's accurate, which I question, he has to be referencing percentages and not actual $$$. If the NHL revenues went up from $5 million to $10 million, hey they went up 100%. In turn the NFL could have gone from $500 million to $600 million, but hey they only went up 20%. He's definitley not giving the whole story. Its definitely in terms of percentages and he wasn't trying to say anything else. The point is that the NHL is still growing revenue streams while other sports have dipped a little. Link to comment Share on other sites More sharing options...
nfreeman Posted April 7, 2010 Report Share Posted April 7, 2010 I don't think TG will sell anytime soon. If they make it into the 2nd round this year, the team will probably have a modest but respectable profit (maybe $8-10MM?) -- so while it's not a cash cow for him, it's not burning big piles of money and making him wanting to fire-sale it. More importantly, someone would have to come along with the means and desire to buy the team at a good price in order to make it worth TG's while. I don't think there will be much in the way of debt financing available in the near term for a purchase of the Sabres, so any buyer would have to have the cash available. Now, if the cap goes up by, say, $5MM, I don't think the Sabres' payroll will rise by that much. But I've been wrong about their willingness to spend to the cap before. Link to comment Share on other sites More sharing options...
Taro T Posted April 7, 2010 Report Share Posted April 7, 2010 20% of the league's teams seeing their revenues appreciate ~25% will likely translate into modest gains in the salary cap. The system is rigged to keep it pretty rare for the salary cap to go down. Significant depreciation of the C$ or having the CBC contract shrink would be the major opportunities for it to go down. I don't see either of those happening this year. Link to comment Share on other sites More sharing options...
tom webster Posted April 7, 2010 Author Report Share Posted April 7, 2010 I don't think TG will sell anytime soon. If they make it into the 2nd round this year, the team will probably have a modest but respectable profit (maybe $8-10MM?) -- so while it's not a cash cow for him, it's not burning big piles of money and making him wanting to fire-sale it. More importantly, someone would have to come along with the means and desire to buy the team at a good price in order to make it worth TG's while. I don't think there will be much in the way of debt financing available in the near term for a purchase of the Sabres, so any buyer would have to have the cash available. Now, if the cap goes up by, say, $5MM, I don't think the Sabres' payroll will rise by that much. But I've been wrong about their willingness to spend to the cap before. Like in any recession, the "smart" rich are making gobs of cash. There will be plenty of suitors for sports franchises across the board. Link to comment Share on other sites More sharing options...
nfreeman Posted April 7, 2010 Report Share Posted April 7, 2010 Like in any recession, the "smart" rich are making gobs of cash. There will be plenty of suitors for sports franchises across the board. I agree with the first sentence, but not the 2nd. The smart rich like to buy things with mostly borrowed money, and I don't think it'll be available to buy the Sabres. I'll even extend that prediction to say that over the next year, we will see very few sports franchises change hands in "normal" sales (i.e. excluding distressed sales like the Coyotes). Link to comment Share on other sites More sharing options...
PASabreFan Posted April 7, 2010 Report Share Posted April 7, 2010 Like in any recession, the "smart" rich are making gobs of cash. There will be plenty of suitors for sports franchises across the board. And LQ didn't admit, in his typical word-parsing way, that he was entertaining offers on behalf of OSP, but that the team was not actually "for sale." (No sign out front.) I believe this was back in 2008. Then again, I just took all of my meds, stirred into my dinner applesauce. Link to comment Share on other sites More sharing options...
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