Kukla's Korner Hockey
There Is Always Hope
by Paul on 08/28/12 at 11:10 AM ET
Comments (1)
Even though all signs point against a new CBA by September 15th, why does my gut tell me it will be agreed upon?
Maybe it is just the "fan" in me, hoping against all hope but if you look at this logically, there is no way there should be a lockout, even for one day.
Both sides have too much to lose by not reaching an agreement.
Hopefully they realize that and come to an agreement before this gets real ugly.
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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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If only that were actually true, Paul.
The players have pretty much everything to lose. The owners? Nothing nearly as much.
In fact, the owners have far much more to gain by breaking the players, again.
Based on last years’ numbers, each percentage point of revenue they can get back from players equals 30 million. If the NHL can get players to go to 50% or less, you’re talking about 210+ million bucks going into the owners pockets.
Each year.
Really, when you look at this from an owners perspective, it’s a lot like refinancing a house. There are some up front costs to be aware of, but as long as the money saved catches up with those in a timely manner, the upfronts are easily borne.
Just looking at the numbers, then, the owners can afford to throw away a whole seasons worth of revenue for a 50-50 split because they’ll make that revenue back in no more than 7 years.
And that’s just revenue, not profit. They could make the profits back in far, far less time.
That’s why the players are going to lose, and lose spectacularly. The only question is exactly how deep the owners really want to cut the players.
Posted by HockeyinHD on 08/28/12 at 12:03 PM ET