Quote:
Originally Posted by iggy_oi
I’m just trying to determine what the actual cost to the league would be as it seems unlikely that that losses would be so high that it would put many teams in jeopardy as has been speculated. Given that burning the last year of the tv deal will result in a pretty big influx of cash next season, with the salary cap frozen for several season it seems unlikely that the league is going to be hurting for very long even if they were to lose some money this season.
I think people forget that when revenues were previously split 50/50 about 20% of that revenue ended up being profit for the owners. That puts the previous costs to run the league after player salaries at around $1.5B. How much of that is being saved by not having to staff arenas for games, less travel etc? The players are already giving up an additional $0.7B in salary so a rough estimate of what the league would be paying if they were still paying event staff would be around $3.3B, roughly the revenue previously generated outside of the league’s broadcast rights. Again I’m just trying to figure out what people are basing their argument that teams would have to fold under the current structure on.
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Really?
You said before that the league made 770M in profits according to Forbes. I found that link. 3 teams make up almost 43% of that 770M total, and 7 teams lost money.
That's with fans!
Most estimates have the average hockey game bringing in $1.7M / game for tickets and concessions.
So the average team in a season would bring home just under $80M in that revenue category. That goes to zero this year.
So no ... not hard to believe that fan-less hockey would put some teams in a pretty bad spot.