Tuesday, September 18, 2012

NHL Team profit and losses - Forbes Article - NHL Lockout fodder.

In doing some research on the NHL lockout I thought I would see just exactly how well these NHL Owners are doing on the bottom line given they are squeezing the players.

Yikes.  I wouldn't want to be an NHL Team owner unless I could have the Maple Leafs, NY Rangers or Candiens.  Not a pretty picture.

Here are the Forbes NHL Valuations and Operating Profit and Loss for 2011

Interesting.

Would you want to be an NHL Owner or an NHL Player?

Would you rather be an NHL Owner or an NHL Player?  If you watch twitter @nhllockout the sentiment sure seems to be for the players and against the owners.   The thinking I believe is that the owners are a bunch of profit seeking misers trying to do anything to make a buck and the poor players are suffering.  Well it is probably at least partly true, the owners do want to make a profit but I don't believe players are anywhere near suffering. 

If I bought an NHL team (aren't the Coyotes always for sale) for $150 Million with the spare cash I had lying around I would want to make some money and I sure wouldn't want to lose money.  Check out this article, it is estimated the LA Kings have lost over $100Million dollars since 1995.  

http://www.scpr.org/blogs/economy/2012/09/14/9964/nhl-lockout-it-wouldnt-help-la-kings-already-iffy-/

Would you rather be Anze Kopitar earning a risk free $6.4Million a year or risk losing who knows how many million a year.    

I would rather be an NHL player than a NHL Owner that is for sure.  Too much risk being an owner.  

The vast majority of NHL franchises are bad to very bad investments except maybe the Maple Leafs, The Canadiens, NY Rangers and our own Winnipeg Jets!   

Players Stance per Mathieu Darche (Canadiens)

Mathieu Darche of the Montreal Canadiens explains the NHL player's stance.
OK.  I can kind of support his comments that it is the principle of the thing, that is about the only reason that kind of makes a bit of sense.

At the same time, having just read about the Winnipeg Jets signing Evander Kane (who I love) to a $31.5M contract, it is still hard to support the players.  I mean when I was 21 years old I was making $21,000 a year and I paid to play hockey on a rec team!