General Ongoing Coyotes saga thread

[Jordan!]

Originally Posted by troutman

Paul Giblin ‏@PaulGiblinAriz
#Glendale Councilman Gary Sherwood told me negotiations with #Renaissance about #Coyotes are complete. #Renaissance won't move any more.

Paul Giblin ‏@PaulGiblinAriz
#Glendale Councilman Sherwood and Vice Mayor Yvonne Knaack have called for a public vote Tuesday on #Coyotes deal.

So, I guess it's finally monday?

[powderjunkie]

Originally Posted by WCW Nitro

Can't the Phoenix Suns move into Jobing.com sometime in the future?

Why would they want to?

[Jordan!]

Originally Posted by powderjunkie

Why would they want to?

Seriously.. May aswell mothball the arena if the Yotes move.

[Jay Random]

Originally Posted by valo403

And 20 decent concert draws plus 41 Coyote games would do even better. It's not an either or situation.

20 decent concert draws plus 41 Coyote games would certainly gross more. But if you're losing money on each game, then those Coyote games are not helping.

I don't know a lot offhand about the behind-the-scenes economics of arena concert tours, but it strikes me that not too many acts can command a $1.1-million guarantee for each and every booking.

[Brannigans Law]

Originally Posted by Bouw N Arrow

Seriously.. May aswell mothball the arena if the Yotes move.

The Coyotes are so far south from profitable what's the point? The hockey team is a loss leader for the city to have a busy arena? That's kind of asinine isn't it?

[WCW Nitro]

Originally Posted by powderjunkie

Why would they want to?

I was just thinking that their current arena is kind of old, instead of spending money on a new one you have a place ready to be occupied.Would the savings offset the bad location?

[getbak]

Originally Posted by WCW Nitro

I was just thinking that their current arena is kind of old, instead of spending money on a new one you have a place ready to be occupied.Would the savings offset the bad location?

They put a lot of money into renovating the Suns' arena right around the same time the Jobing.com Arena was built, so when it's time for the Suns to move to a new arena, it will likely be a new arena.

[troutman]

More wrangling postpones posting of arena deal points
http://www.foxsportsarizona.com/nhl/...eVZoWI.twitter

Vice mayor Yvonne Knaack and council member Gary Sherwood were told that only two council members were required to force a vote on the lease agreement. That information was incorrect.

Three are required, so on Wednesday council member Sam Chavira joined the group to force a July 2 vote.

Does that mean the information will be posted on the city's website for public review?

Good question, because sources told FOX Sports Arizona that mayor Jerry Weiers is still attempting to block the release.

[troutman]

Brett Murdock ‏@B_Murdock1320
And so the deal points are up on #Glendale's website. Link: http://www.glendaleaz.com/documents/coyotes--leaseagreementdraft_17319116_6062713.pdf … #Coyotes

Early Termination. Notwithstanding the other terms and provisions of this
Agreement, Team Owner and Arena Manager jointly shall have the right to terminate this Agreement
without penalty or cost by delivery of written notice to the City at any time following the fifth (5th) year after commencement of the Term when (a) neither terminating Party is in material default of any term or condition of this Agreement, and (b) Team Owner has incurred a cumulative Operating Loss of $50,000,000 or more, calculated as the sum of Team Owner’s operating income/loss for each of the Fiscal
Year periods then ended, provided that if such notice is given during any NHL hockey season, the
termination shall not be effective until the end of the applicable hockey season, including all Home
Games associated with the season. In this regard, Team Owner shall deliver to the City, not later than
ninety (90) days following the end of each Fiscal Year, a statement (certified to the City by the Team
Owner’s chief financial officer or the Team Owner’s certified public accountants, at the option of Team
Owner) of the Team Owner’s claimed operating income or loss for such Fiscal Year, which statement
shall be subject to audit by the City and shall thereafter be conclusive upon Team Owner with respect to
the cumulation of Operating Losses, if any. Notwithstanding the foregoing, there shall be no right of the
Team Owner or Arena Manager to terminate this Agreement pursuant to this Section 3.3 except as provided in Section 3.4.

[troutman]

Arena Management Fee
10.1.1

For the period beginning on the Closing Date and ending on the last day of the calendar quarter in which the Closing Date occurs, an amount equal to $15,000,000.00 multiplied by a factor equal to the number of days from the Closing Date to the end of such quarter divided by 365, which for the purposes of clarity shall be calculated as follows:

$15,000,000 X (Number of Days from Closing Date to June 30, 2013/365)

In no event shall the Management
Fee exceed $15,000,000.00 per year.

[valo403]

Originally Posted by Jay Random

20 decent concert draws plus 41 Coyote games would certainly gross more. But if you're losing money on each game, then those Coyote games are not helping.

I don't know a lot offhand about the behind-the-scenes economics of arena concert tours, but it strikes me that not too many acts can command a $1.1-million guarantee for each and every booking.

Why would you lose money on a game? The majority of your costs are fixed overhead, you're paying them either way. I can't see opening the doors costing you more than the gate revenue.

[troutman]

City Surcharge 9.1.2(a) For all Hockey Events that are Fee Activities during the 2013-2014 Season, $3.00 per Qualified Ticket

[troutman]

RSE letter to COG (Bowers):

http://www.azcentral.com/ic/pdf/0627letter.pdf

[valo403]

Originally Posted by troutman

RSE letter to COG (Bowers):

http://www.azcentral.com/ic/pdf/0627letter.pdf

I love the cc'ing of Goldwater

[troutman]

CITY OF GLENDALE ARENA MANAGEMENT AGREEMENT UPDATE

http://www.glendaleaz.com/documents/...date062713.pdf

Risk to the City:

o
The city bears all the risk if the revenue projected by Renaissance is not realized.

o
The deal requires a $15 million management fee to Renaissance. The city has budgeted
$6 million to pay for part of the $15 million arena management fee and Renaissance has
projected shared revenue streams to help bridge the gap. Should those projections not be
realized, and the city does not receive the projected revenues, then the city would need to make up that loss.

o
The proposed agreement is for 15 years and does not allow for the city to terminate the deal if
revenue projections are not met as long as the Coyotes play in the arena.

o
The proposed contract can be terminated by Renaissance
if their cumulative losses reach $50 million, and, in any event,
after five years.

o
Approximately $3 million,of the proposed revenue is not new to the city
and includes revenue previously included in the city’s budget for next year

[troutman]

Glendale Mayor Jerry Weiers on the current developments: "Three council members have forced my hand to have a voting meeting on July 2. I still don’t think negotiations are finished. But if we have to cease negotiations, by God, I want this to be public.”

Glendale Mayor Jerry Weiers on accusations he's blocking the deal at all costs: “I want to be very clear on that bit. They are completely and totally wrong -- not even close to being correct. I have gone on the side of caution to make sure we don’t violate any attorney-client privilege, but it is what it is. I’m the biggest target so people take their shots.”

Glendale Mayor Jerry Weiers on a July 2 vote: "My concern, quite honestly, is the fact that we’re trying to rush to get something done and I don’t think we’re being responsible in taking our time to go through the details."

Craig Morgan @cmorganfoxaz

[troutman]

Chris Daniels ‏@ChrisDaniels5
Update: NHL BOG press conference delayed. League spokesman tells me meeting is still going on. Was scheduled to wrap at 1pm Pacific #coyotes

[sureLoss]

Jesse Spector ‏@jessespector 7m Bettman: Decision needs to be made by July 2 on Coyotes.


Jesse Spector ‏@jessespector now
Bettman: Relocation options are “numerous” and “there is enough time” to move the Coyotes before next season.

[Jordan!]

Is this real life? things actually coming to finality?? One way or another, it's almost a relief. I just wish I didn't have a family member who works for the team.

I hope they don't move mostly for that reason. But I have since swayed most of my attention to Baseball and the Diamondbacks since the lockout and the Jamison deal was botched.

Can't say I like hockey or the NHL much these days - I'm beyond soured.

[troutman]

@PaulGiblinAriz: #Glendale Mayor Jerry Weiers told me the city has scheduled a public meeting to discuss the #Coyotes' deal for 1:30 p.m. Friday.