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2018-19 Salary Cap Projected At $78-82MM

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At the board of governors meeting today, the league shared projections for next season’s salary cap. According to Pierre LeBrun of The Athletic, that number is set to fall between $78-82MM depending on how the NHLPA uses their escalators. That’s an increase from this year’s $75MM ceiling, giving teams a little extra room in the budget for free agents and contract extensions.

The cap is based on projections of Hockey Related Revenue, a number that does not (and will not) include expansion fees. Those funds are given directly to the owners, and don’t necessarily filter down to the players. Still, it means that overall numbers are up for the league through inflation and growth, and will allow teams to spend a little more next season on their players.

It doesn’t necessarily mean every team will. There are currently eight teams with more than $10MM in cap room, including the Carolina Hurricanes and Arizona Coyotes, who have a combined $50MM in space. They, and others like them, will likely be closer to the salary cap floor once again next year, even with the new ownership in Raleigh.

Amazingly, there are also clubs like the Montreal Canadiens who usually don’t have trouble spending right to the cap but currently sit with over $9MM. While some teams like Toronto, Detroit and Chicago struggle to keep their rosters under the upper limit, Montreal has decided to keep quite a bit of room—perhaps for an offseason free agent pursuit?

The increasing cap will improve player salaries, but it will also make previous deals look more and more reasonable. Even Connor McDavid’s eight-year, $100MM extension could be surpassed by several players, as the maximum contract at an $80MM cap would be $16MM per season. John Tavares, Drew Doughty, Erik Karlsson and others could all push to be the highest paid player in the league over the next few years.

Poll: Fairness In NHL’s Fines And Suspensions?

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In a season where penalties are down, there has been a surprising amount of newsworthy fines and suspensions early on in 2017-18. The unfortunate thing for the NHL is the only common theme between these instances of league punishment seem to be inconsistency and a lack of sense.

Three players – Steven Stamkos, Kevin Hayes, and most recently Matt Dumba – have been fined $5,000 apiece this season for water squirting. It’s not exactly a lethal offense, but is probably worthy of a minor infraction. Except, Alex Killorn received the same $5,000 fine in the same game as Stamkos’ and Hayes’ water fight for viciously jabbing Hayes until he received a slashing penalty. J.T. Brown and Steven Kampfer then riled up the benches with a long, intense fight and received no additional penalty minutes outside their matching majors and no fines. In a separate instance the other night, Patrick Kane also received a $5,000 fine. His offense: this two-handed swinging slash on Nick Ritchie which could have been much worse had it landed cleanly.

The curious thing about all of these fines is that they are the maximum under the NHL CBA. This came up earlier in the season as well, when Robert Bortuzzo’s received the max fine of just over $3,000 for pinning down and repeatedly cross-checking Brock Nelson. So in summary, water squirting has been a fine-able offense three times this season, and for the same maximum amount as slashing and more than the maximum amount for cross-checking.

Then, there are suspensions. The ten-game ban for perennial bad guy Radko Gudas was well-earned, while the ten-game suspension for leaving the bench handed out to Luke Witkowski is a tried and true policy. Yet, Witkowski was responding to this jab from Matthew Tkachuk which more or less also happened off the ice. For that offense, Tkachuk received only a one-game suspension. As minor a “spear” as it might have been, Tkachuk still made contact with a player off the ice, but the NHL thought Witkowski stepping back on the ice to have words with Tkachuk was ten times worse? Tkachuk was back in the spotlight the other night, drawing a four-game suspension for Gabriel Landeskog, who NHL Player Safety even acknowledged was not intending to hurt Tkachuk, so much as get him away from the puck.

On it’s face, the NHL’s fines and suspensions – a product of both the league and NHLPA – seem inconsistent at best. But what say you? Do you think these are isolated incidents? Or a pattern of inequitable punishment?

[Mobile users click here to vote!]

Snapshots: Jagr, Iginla, Tatar

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The Prime Time Sports Management Conference, which was held in Toronto the past two days, featured several big names in the world of hockey including Commissioner Gary Bettman, IIHF President Rene Fasel, and of course, Calgary Flames President Brian Burke. With such a wealth of hockey knowledge and experience in one room, the interesting opinions and stories were constantly flowing. Yet, two tales stood out above the rest:

  • Burke, unsurprisingly, was the author of one of them. Burke told the crowd that Jaromir Jagr and Jarome Iginla, two future Hall of Famers who seemingly spent the summer with little attention paid to their free agent statuses, were in facts targets of the Flames all summer long. As we now know, Jagr was the end choice, as the 45-year-old signed on in Calgary in early October. Burke stated that the team evaluated and monitored both storied veterans throughout the off-season, waiting to see how things played out. Burke stated that, in the end, the team felt that Jagr had a much stronger 2016-17 season and brought a “charisma” to the team that they desired. It is no surprise that the team considered long-time captain Iginla, but after a difficult campaign where he looked lifeless at times, no one can blame the Flames for instead going with the ageless Jagr. In eight games thus far, Jagr already has a goal and four assists, as well as a +5 rating in Calgary.
  • The second intriguing story came from player agent Ritch Winter through sources at the NHL Players’ Association. It seems as though the current contract between forward Tomas Tatar and the Detroit Red Wings came much closer to not getting done than even the arbitration hearing time line indicated. The two sides went to salary arbitration this summer and were one of only a handful of cases to actually go to hearing. Yet, the two sides struck a deal prior to the arbitrator’s award – a four-year, $21.2MM bargain that even includes a no-trade clause beginning next season. Well, according to Winter, the fax from the arbitrator with his binding one-year decision came in to the NHLPA office mere minutes after the contract was signed. A few minutes earlier and any late agreement between the two sides would have been rendered null and void. It would come as no surprise if the Red Wings wish it had. Detroit filed at $4.1MM in arbitration, while Tatar’s side countered with $5.3MM. The eventual contract holds a $5.3MM AAV, meaning anything but an absolute finding for Tatar by the arbitrator would have resulted in a lesser cap hit than what the Wings are paying now. And what of the future? Yes, the long term deal keeps Tatar in Detroit longer, but with seven points in 18 games, the soon-to-be-27-year-old is on pace for the worst full season of his NHL career. The Red Wings may regret their long-term commitment and knowing they were only minutes ahead of a disqualifying decision only adds to the sting.

Gary Bettman Speaks On Olympics, CBA

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NHL Commissioner Gary Bettman took the stage today in Toronto at the PrimeTime Sports Management conference, and was asked a multitude of questions regarding the upcoming 2018 Olympic Games and the possibility of expansion in the future. Emily Kaplan of ESPN was there and reported on the highlights, including one particularly chilling Olympic answer.

One: [IOC President] Thomas Bach said if you don’t go to Korea, you can’t come to Beijing. Well, OK. Thank you. The second is, if the Winter Olympics comes back to North America, I’m not saying we’d go, but it’s a different equation.

Gary BettmanThe mention of Beijing of course refers to the 2022 Olympics set to be held in China, a Games that there is no guarantee the NHL will return for. There is clearly a desire from the players to go to the international tournament, as stars from Alex Ovechkin to Connor McDavid to Drew Doughty have all expressed their disappointment this year. Not every player gets many chances to represent his country at a tournament as highly-regarded as the Olympics, but perhaps the NHL is trying to change that. Bettman brought up the World Cup, a NHL-NHLPA owned event that had a so-so reception from the hockey world last fall. The league wants to hold that tournament every four years, which would essentially replace the Olympics in some sense.

It is interesting that Bettman mentioned the North American factor, as just today Calgary mayor Naheed Nenshi spoke to reporters including Donna Spencer of the Canadian Press about the city’s potential 2026 bid.

It’s council’s choice, it’s Calgary’s choice, but if we choose to bid, we’ll win. The question is, is it right for Calgary right now? If it’s right for Calgary, then we will go all guns in. I think that we will have an incredibly powerful bid and I think we’ll win.

The return of the Winter Olympics to Canadian soil would surely come with public outcry for the league to return, and Bettman has obviously already had discussions about that exact scenario. There is by no means a guarantee that Calgary submits a bid (in fact, today’s comments may lean towards them abandoning the project) but it is nice to hear that the league admits it would be a different situation should they come back to North America.

Interestingly, the current President of the IIHF Rene Fasel also announced that he will retire from his position in 2020 when his term is up. While there is no indication that would change anything between them, the IOC and the NHL, it could spark at least some more dialogue on how to get the best players in the world back competing.

Much of the Olympic and World Cup talk though revolves around what will happen in 2019 when both the NHL and NHLPA have opt-outs from the current CBA. That would cancel the agreement in 2020, meaning a possible work stoppage is again on the horizon. Bettman talked about how he hates work stoppages, but would do whatever is needed to secure a solid future for the game. With a dispute over escrow becoming the main talking point between the two sides, the next two years should be filled with hard-nosed negotiations and media mud-slinging. For fans of a sport that’s seen a season and a half already lost to work stoppages in the last 15 years, the possibility of another one is a crippling thought.

Photo courtesy of USA Today Sports Images

Vadim Shipachyov Retirement Official

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According to Steve Carp of the Las Vegas Review-Journal, Vadim Shipachyov’s deal with the NHL is official. After a negotiation between the NHL and NHLPA, Shipachyov will retire from the league and pay back almost all of his $2MM signing bonus. He’ll move to the voluntary retirement list and his full contract will be cleared from the Golden Knights salary cap. His NHL rights will be retained by Vegas until he turns 35, but will now be allowed to seek out a new contract in the KHL.

Vadim ShipachyovThe two sides didn’t seek a mutual termination, because Shipachyov would have first needed to pass through waivers and then could have technically been signed by another team in the league. Obviously, the Golden Knights didn’t want to lose the asset to another team for nothing, so a different agreement was made. Like Ilya Kovalchuk, Shipachyov’s retirement will keep him out of the NHL for at least five years though it’s more likely that he’ll never return. After three games and a single goal, the $9MM experiment is over. Interestingly, Vegas GM George McPhee admitted today that they did have a deal in place for Shipachyov to go somewhere else in the NHL, but the player didn’t want that. Shipachyov instead wished to just return to the KHL.

Whatever you think of how this situation was handled, at least Shipachyov can now return home to a league where he wants to play. He obviously didn’t want to suit up any longer in the AHL, and the Golden Knights clearly no longer had him in their top-6 plans up front. Incredibly though, he’ll actually go down with some impressive small-sample stats. Shipachyov scored just the lone goal, but attempted eight shots towards the net and actually won nine of 12 of the 21 draws he took. He’ll finish his three-game NHL career with positive possession stats and at 57% in the circle. Fans will be left wondering if that impact could have been carried out for the entire season, or if he wasn’t ever going to fit in perfectly with the North American game.

It wouldn’t be surprising to see him quickly sign with SKA St. Petersburg again, the team he helped to a Gagarin Cup victory last season. SKA is off to an incredible 28-1 record this season, led by Kovalchuk and Nikita Gusev with 36 points each. Gusev is a name Vegas fans should remember, as his NHL rights are also owned by the Golden Knights. They were acquired as part of the trade from Tampa Bay to get the Golden Knights to select Jason Garrison in the expansion draft, and will be a big story going forward. Gusev is just 25-years old, but has now watched his teammate and countryman go through a trying experience with the expansion team.

Gusev’s KHL contract isn’t up until April 2019, but there was some hope that he would terminate it early in order to jump to the NHL. A seventh-round pick because of the fear he would stay in Russia, Gusev is obviously talented enough to play in the NHL. Last season he scored 94 points in 75 games for SKA, and dominated the World Championships with 14 points in 10 games including a tournament-leading seven goals. You have to wonder how the Shipachyov situation will affect Gusev’s decision down the line.

Photo courtesy of USA Today Sports Images

Vadim Shipachyov Still Waiting On Paperwork

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We learned this weekend that the NHL and NHLPA have agreed on a resolution to the Vadim Shipachyov scenario, but still we haven’t been given anything official. According to Steve Carp of the Las Vegas Review-Journal, that’s because the two sides are still working on the paperwork to allow Shipachyov to “retire” from the NHL, with an official announcement not expected until Wednesday.

The deal will have Shipachyov pay back most of the $2MM signing bonus and leave the league, much like Ilya Kovalchuk did previously. His current contract will be voided, but the Golden Knights will retain his rights until he turns 35. That means, if he wants to make a comeback at some point he would need to sign a new deal with Vegas—which seems very unlikely after how this situation has played out.

It seems ever more likely that the one goal he scored this season will be the first and last he’ll ever tally in the NHL, a disappointing ending for a player who was expected to be one of faces of the league’s newest franchise. Now most of the intrigue surrounding Shipachyov will be whether he is selected to play for Russia in the Olympics, something he’s never done previously.

Latest On Vadim Shipachyov

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Saturday: The NHL and NHLPA have agreed on a solution that will allow Shipachyov to leave the Golden Knights and return to the KHL, Pierre LeBrun of TSN and The Athletic reports.  It’s expected that this will be finalized on Monday with Shipachyov filing voluntary retirement papers instead of going through the contract termination process.

Friday: The saga of Vadim Shipachyov still hasn’t come to any sort of conclusion, with the suspended forward back in Russia awaiting some sort of resolution in the fight over his contract. While he’s made his decision to leave the Golden Knights and their AHL team, Vegas has been looking for a guarantee that he won’t be claimed or re-sign with any other team in the league before they grant him a mutual termination.

Now, LeBrun reports on TSN’s Insider Trading that this is more than just a fight between Shipachyov and Vegas. Because Shipachyov would need to pay back almost all of his $2MM signing bonus—something that he’s apparently willing and able to do—the NHLPA is involved. The players’ union is “not big on players paying back bonuses” according to LeBrun, and don’t want to necessarily set a precedent like this.

None of this lends itself to the idea that Shipachyov will play in the NHL this season, but it certainly could take a little longer to get an official release. The 30-year old Russian center was a failure in Vegas, though he wasn’t given all that long of a leash in the first place. In just three games with the team, he scored one goal. Perhaps it will be the only one he’ll ever score as an NHL player.

Morning Notes: Jets, Karlsson, Horvat

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Elliotte Friedman of Sportsnet is hearing that there are incoming extensions for GM Kevin Cheveldayoff and head coach Paul Maurice, keeping the duo in Winnipeg for the next few years. The Jets came closer to the playoffs than many remember last year, finishing ninth in the Western Conference with 87 points. With a young group of forwards led by Mark Scheifele, Patrik Laine and Nikolaj Ehlers, the Jets will be a tough contender in the battle for the playoffs once again. With Steve Mason in net, perhaps they’ll finally get the goaltending required to take the next step.

In terms of Cheveldayoff, his biggest task in the near future could once again be Jacob Trouba. After a holdout last season that leaked into November and came with a trade demand, Trouba eventually signed a two-year $6MM contract with the Jets and went on to have an excellent season in an increased role. Trouba’s complaints were mostly about playing time and future, and it seems that he’s now passed Tyler Myers on the depth chart in Winnipeg. We’ll have to wait and see if that’s enough to get Trouba to sign a long-term deal next summer, or if the young defenseman again wants out of town.

  • Erik Karlsson hasn’t resumed skating according to Pierre LeBrun of The Athletic, and still isn’t sure if he’ll be ready for opening day. Karlsson underwent surgery on his foot and ankle in June and was given a four month timeline for recovery. Karlsson is part of the media tour for the NHL and NHLPA’s Declaration of Principals, which hope to help establish guidelines for inclusivity from minor hockey to the professional ranks. Dan Rosen of NHL.com has the entire Declaration, which apparently was the brainchild of Pat Lafontaine and Luc Robitaille after a trip to the Vatican. The announcement even included a letter from the Pope endorsing the program.
  • Bob McKenzie of TSN returned from his summer vacation to give us a bit of information on the ongoing Bo Horvat negotiations. He believes the two sides are closing in on a deal, and speculates it would be in the range of six or seven years at a salary between $5-6MM. We’ve heard that the Vancouver Canucks and Horvat have discussed everything from a bridge deal to an eight-year contract, with the latter seeming less likely. Horvat is one of several high profile free agents left to sign, but there never seemed to be much doubt that a contract would eventually be signed.

NHL Players Finally Paid For 2016 World Cup of Hockey

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Earlier this week TSN’s Rick Westhead reported that NHL players finally received their share of the 2016 World Cup of Hockey profits. The World Cup ended in September 2016, and while prize money was doled out on time, the profits only just became available to players. The delay in paying players was first raised by NHLPA Executive Director Don Fehr this summer during the NHLPA’s annual charity golf tournament.

The NHL and the NHLPA agreed to split profits 50/50. After calculating all costs and expenses, the partnership garnered $44MM USD in profits. The NHLPA was entitled to $22MM of those profits, and would divide them amongst the players. That is slightly above previous calculations made by the Hockey News in November 2016.

Westhead reports that players who participated in the World Cup received $86K USD (before taxes) while those who did not received $10k. According to Westhead, after taking into account taxes, some players netted less than $5K (non-participants) or less than $50K (participants). That essentially works out to a 70/30 split between participants and non-participants.

Morning Notes: Tavares, World Cup, Krushelnyski

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The New York Islanders continue to be the center of attention when it comes to 2018 free agency. As we creep closer to training camp and the start of the regular season, many are questioning why superstar center John Tavares hasn’t signed an extension yet. Tavares is set to become an unrestricted free agent next summer but doesn’t seem worried about the lack of a deal. He told Arthur Staple of Newsday that “there’s really no rush” and that he’d take as much time as he needs.

He did admit that he’s keeping an eye on the Islanders’ search for a new home, but that those things are out of his hands. It’s interesting that Tavares so publicly stated his attachment to the arena search, and will drum up a new round of speculation over whether he’ll leave if a permanent home isn’t found within the next 10 months. There’s obviously much more going into his decision, but the Islanders need to soon find some stability on and off the ice.

  • Rick Westhead of TSN reports on the financial take from last fall’s World Cup of Hockey, announcing that the NHL and NHLPA split a $44MM profit. Though that may sound like a big number, players who participated earned just $86K while others got $10K. Both of those numbers are pre-tax, meaning many of the players earned even less. $86K may seem like a lot to some, but for the top players who gave up much of their training camp and put themselves at risk of injury it doesn’t seem like enough. While both sides want this event to continue, it’ll likely take a bigger paycheck to have it run long-term.
  • Alex Krushelnyski is back in the AHL, after signing with the Lehigh Valley Phantoms today. The 26-year old played 43 games for the Binghamton Senators last year, recording just seven points. Krushelnyski has been an outstanding scoring threat in the ECHL but has had trouble finding his footing in the upper minor league. He’ll join the Philadelphia Flyers’ affiliate as they look to repeat their 48-23-5 season from a year ago.

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