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So much for the new CBA ‘stabilizing’ the upper limit

NHL commissioner Gary Bettman offered a bullish assessment of the NHL's financial health during his "State of the Game" speech on Wednesday, and, in an analysis of Evgeni Malkin's contract, the Globe and Mail's James Mirtle suggests that the NHL's revenues are likely to continue climbing to the extent that the salary cap is going to stabilize for a few years, and then rise dramatically:

By my estimates, hockey-related revenues will only have to reach $3.4-billion next season in order to have an upward effect on the cap, a 3-per-cent revenue bump that shouldn’t be hard to attain.

Heck, they might sell $100-million more in popcorn at the half dozen outdoor games they’ve scheduled.

From there, however, continued growth will push the cap up more dramatically, with $80-million a very reasonable target by 2018 when Malkin is only halfway through his deal.

By that point, a $9.5-million cap hit will look far more reasonable than it does now, even if it’s dedicated to a 31-year-old player.

Mirtle provides a chart of educated revenues-versus-payroll-ranges which suggest that the upper limit may exceed $90 million by the time the current CBA expires.

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Comments

TreKronor's avatar

By that point, a $9.5-million cap hit will look far more reasonable than it does now, even if it’s dedicated to a 31-year-old player.

That’s great in 2018, but the fact of the matter is, it’s still 2013.

Posted by TreKronor on 06/13/13 at 04:43 PM ET

awould's avatar

Well, I have no reason do distrust Bettman.

But commissioner Gary Bettman is bullish on future NHL revenues, projecting them to easily reach the mark from 2011-12, when they hit a record $3.3-billion in the last full season played. “And hopefully beyond,” Bettman told media gathered at the Cup final on Wednesday. “I had an audit, finance and executive committee meeting on Monday, and we’ve told them that’s our view of the world.”

Isn’t the audit and finance committee supposed to tell Bettman THEIR view of the world?

Posted by awould on 06/13/13 at 04:54 PM ET

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Paul Kukla founded Kukla’s Korner in 2005 and the site has since become the must-read site on the ‘net for all the latest happenings around the NHL.

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