Didn't read the whole thread, but here is what I would do.
West
Sharks, LA, Ducks, Coyotes, Dallas
North West
Canucks, Calgary, Edmonton, Winnipeg, Colorado
Central
Wild, Chicago, Blues, Detroit, Nashville
North East
Montreal, Ottawa, Toronto, Buffalo, Boston
Atlantic
Rangers, Islanders, Devils, Pens, Columbus
South
Tampa, Florida, Carolina, Washington, Philly
You lose some rivalries, but I think it balances the divisions a little better.
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