[Rumour] Giordano Extension. Kypreos: Starting point is $72 million over 8 years

[Daradon]

Originally Posted by Vulcan

Yes, I was going back and that's why I said playoff years (plural) as opposed to last year. I went on to say that they made money the last couple of years since they traded their high price talent. I try to make myself clear but it doesn't always work.

Fair enough, though I think the argument loses it's punch when you go back that far. Things change. Ticket prices have gone up a lot. And the non playoff years, well we know those are always tight. Especially the way the Saddledome is set up.

[ricardodw]

Here is an interesting article on the salary cap and escrow link

This represents a very real problem with extending Gio as there is not the universal assumption that the cap will be rising.

1) 50% of Hockey generated revenue is paid in Salaries.
2) 25% of Hockey generated revenues is made in CAD
3) The escrow (salaries held back) got increased from 14% to 16% after the first half of last season

4) The players with long term contracts have no benefit from the salary cap going up. Hamilton and Brodie and Frolik are not able to get an increase until 2020. If league revenue does not increase they will not even be getting as much as they were contracted to get.

5) the players looking for new contracts benefit from the cap going up, their is more room in the cap to pay Gio, Monhan/Hudler/Wideman/Russell/Bennett/Gaudreau huge new contracts. There are more teams with cap room to bid on UFAs or making or threatening to make offer sheets to RFAs

6) The Cap went up from 69.3 to 71.4 an increase of 2.1M or 3 % after the NHLPA voted to use their 5% escalator cause.

Unknown...

Did the players get the 14/16% of their salaries back when the final 2014-15 revenue was calculated?

Why did the cap only go up 3% when the NHLPA have a 5% escalator clause they invoked?

Is there enough players with long term contracts that they would vote against an auto 5% cap increase that would result of larger escrow and actual cutting of the amount they receive.

If the NHLPA votes not to invoke the 5% annual cap increase what happens to the cap? Would it drop to the point where no escrow would be required? Would it stay the same and the escrow mechanism be used to lower the actual players salaries?

The threat of the same salary cap makes it more difficult for the Flames to pay Gio 8M long term when it might remain at 11% of the Flames cap space for a few years.

Hamilton came from a locker room where the leaders (Rask, Berergon, Chara, Krejci) were in long term last contract of their careers and would be very likely against higher escrow. Maybe that is why he was so anxious to sign a 6 year deal rather than a 2 year bridge deal.

The Flames NHLPA rep is Stajan who is on his last big contract and has no personal reason for wanting the cap to go up.

[TX_Flame]

Originally Posted by ricardodw

Here is an interesting article on the salary cap and escrow link

This represents a very real problem with extending Gio as there is not the universal assumption that the cap will be rising.

1) 50% of Hockey generated revenue is paid in Salaries.
2) 25% of Hockey generated revenues is made in CAD
3) The escrow (salaries held back) got increased from 14% to 16% after the first half of last season

4) The players with long term contracts have no benefit from the salary cap going up. Hamilton and Brodie and Frolik are not able to get an increase until 2020. If league revenue does not increase they will not even be getting as much as they were contracted to get.

5) the players looking for new contracts benefit from the cap going up, their is more room in the cap to pay Gio, Monhan/Hudler/Wideman/Russell/Bennett/Gaudreau huge new contracts. There are more teams with cap room to bid on UFAs or making or threatening to make offer sheets to RFAs

6) The Cap went up from 69.3 to 71.4 an increase of 2.1M or 3 % after the NHLPA voted to use their 5% escalator cause.

Unknown...

Did the players get the 14/16% of their salaries back when the final 2014-15 revenue was calculated?

Why did the cap only go up 3% when the NHLPA have a 5% escalator clause they invoked?

Is there enough players with long term contracts that they would vote against an auto 5% cap increase that would result of larger escrow and actual cutting of the amount they receive.

If the NHLPA votes not to invoke the 5% annual cap increase what happens to the cap? Would it drop to the point where no escrow would be required? Would it stay the same and the escrow mechanism be used to lower the actual players salaries?

The threat of the same salary cap makes it more difficult for the Flames to pay Gio 8M long term when it might remain at 11% of the Flames cap space for a few years.

Hamilton came from a locker room where the leaders (Rask, Berergon, Chara, Krejci) were in long term last contract of their careers and would be very likely against higher escrow. Maybe that is why he was so anxious to sign a 6 year deal rather than a 2 year bridge deal.

The Flames NHLPA rep is Stajan who is on his last big contract and has no personal reason for wanting the cap to go up.

The reason the cap rose by only 3% is that the NHLPA voted not to invoke the 5% escalator. Read the article more carefully.

[ricardodw]

Originally Posted by TX_Flame

The reason the cap rose by only 3% is that the NHLPA voted not to invoke the 5% escalator. Read the article more carefully.

The vote had not happened when this article came out.


According to NHL.com news article June 23, 2015 where the new cap was announced:

The NHLPA triggered its five-per-cent escalator clause to increase the cap.

The UFAs and guys that had big $ contracts coming up in the NHLPA won this time.

[Jay Random]

Presumably that means the cap would have gone down 2% if the escalator clause had not been invoked. Not a good sign.

[killer_carlson]

Originally Posted by Vulcan

Anyone who remembers the Flames situation in the 90s when the Canadian dollar was low knows that the Flames had an internal cap and it really affected our ability to get and to hold onto players. This made the team bad and with a bad team, attendance went down creating a worse situation. The bargaining agreement making all teams have a cap and equalization payments will probably make our situation less dire but it still could be affected.

During the darkest of the dark years the best part about going to a game were the nachos and hoping Sandy McCarthy would drop the gloves.

Too many nights saw the team go down 2 in the first period and you knew they weren't coming back.

[Jay Random]

Originally Posted by killer_carlson

Too many nights saw the team go down 2 in the first period and you knew they weren't coming back.

Hell, 2 on the first two shots. The Flames' goalies at that time seemed to have their own union, and their CBA allowed them to punch in five minutes after the game started.

[saillias]

Boomer this morning says they're closer than previously thought and Flames fans will like the dollar amount.

[Flames_F.T.W]

Originally Posted by saillias

Boomer this morning says they're closer than previously thought and Flames fans will like the dollar amount.

I never provide these updates, but the one time I try, I'm beaten to it!

[CroFlames]

Originally Posted by saillias

Boomer this morning says they're closer than previously thought and Flames fans will like the dollar amount.

I needed some good news this morning. Thanks, Boomer.

[Yamer]

Very cryptic, and not sure how much it may be worth, but he's closer to what is going on than I can even dream to be, so...

[Poe969]

I think getting Hamilton actually lowered Gio's asking price. I hope there is some good news coming out soon. We could use something...anything.

[bax]

I'm just excited for people to stop crying that "we can't have a 9 million dollar cap hit for a 36 year old"

[transplant99]

Nm

[Bingo]

I guess that begs the question ... "what dollar value would make fans happy?"

I know when Brodie's contract came out I was happy.
When Hamilton was sub 6.0 I was happy.

Giordano happy level? Sub 7.0 I'd say

If the team is saving 1.5 on Brodie, 1.0 on Hamilton and 1.5 on Giordano they really are starting to look like a team that can do some damage in the next 5 years

[BurningSteel]

Has there been any word on where his rehab is at??

[heep223]

Originally Posted by Bingo

I guess that begs the question ... "what dollar value would make fans happy?"

I know when Brodie's contract came out I was happy.
When Hamilton was sub 6.0 I was happy.

Giordano happy level? Sub 7.0 I'd say

If the team is saving 1.5 on Brodie, 1.0 on Hamilton and 1.5 on Giordano they really are starting to look like a team that can do some damage in the next 5 years

I just can't see Gio coming in under $7M. For me, anything that starts with a 7 with a reasonable term will make me happy.

Then again, Treliving could very well be a wizard so really anything can happen.

[Huntingwhale]

I've said all along Gio's will be between 6-6.5

Wishful thinking, but in my heart I believe Treliving the Wizard will get him for that amount.

[SuperMatt18]

I think the term is longer for Gio and it is probably $6-$6.5 as well.

Seems to me like a guy who really cares about winning, and his legacy as a captain. Have a feeling he will leave a little on the table to get that done.

[Moneyhands23]

I'd be happy with 7.25 avv over 5 years at this point