Toggle sidebar

Hurricanes sale formally closed, Tom Dundon now majority owner

Status
Not open for further replies.
Mightygoose

Mightygoose

Registered User
Nov 5, 2012
5,654
1,476
Ajax, ON
Unless the expansion money is factored in and other sorts of creative accounting, colour me very skeptical that they were in the black last year. Especially if they're saying for the frist time since they were last in the playoffs on top of with record low attendance this past season.

Always entertaining to read owners painting a rosy picture of the franchise when they're trying to sell for half a billion plus. Yet, if they ever want a new building or trying to get a better lease, the franchise is in eternal financial peril. :laugh:
 
Mightygoose

Mightygoose

Registered User
Nov 5, 2012
5,654
1,476
Ajax, ON
tarheelhockey said:
Yes, clearly they are lying about their finances, now that Greenburg has access to their books. Makes sense.
Click to expand...

The audience of the article wasn't towards Greenburg though (at least not directly), so yeah they're going to fluff up the finances.

I'm sure Greenburg has seen the books and his desire to buy the team doesn't hinge on the losses or profits of any given year.

BTW, not suggesting the deal won't close. It should by the end of the year in my view. It just looks like it's PK negotiating through the media where these things should be done behind closed doors so hopefully this will be the last we hear from him on this matter until a sale agreement is reached.
 
Svechhammer

Svechhammer

THIS is hockey?
Jun 8, 2017
25,491
92,953
Mightygoose said:
It just looks like it's PK negotiating through the media where these things should be done behind closed doors so hopefully this will be the last we hear from him on this matter until a sale agreement is reached.
Click to expand...

I agree with this. He's just trying to put pressure on Greenberg publicly to try and squeeze a couple more dollars out of him to get it done.

PK has notoriously held things very close to the vest and secretive throughout his entire tenure as owner. We literally never hear from him, and you'd be forgiven to forget that he's actually the owner. The only time we ever hear about him is when the GM is telling us how much he's allowed to spend in a given year.

So to hear that he's now going public about this whole thing, and to hear him also say that there were 11 or 12 other potential buyers we don't know about is telling. This sale is getting close, and he's laying his remaining cards on the table.
 

Fairview

Registered User
Jan 30, 2016
1,428
683
Mightygoose said:
Unless the expansion money is factored in and other sorts of creative accounting, colour me very skeptical that they were in the black last year. Especially if they're saying for the frist time since they were last in the playoffs on top of with record low attendance this past season.

Always entertaining to read owners painting a rosy picture of the franchise when they're trying to sell for half a billion plus. Yet, if they ever want a new building or trying to get a better lease, the franchise is in eternal financial peril. :laugh:
Click to expand...

I think that Mightygoose has a point. The expansion money likely improved the bottom line for this year from red to black. The general consensus has been that about 1/3 of the league is very profitable,1/3 borderline and the final 1/3 are in the red. Given what we know about Carolina for this year, they should clearly be in the bottom third. Also, with the expansion money, teams that would normally be borderline, for this year, would clearly be in the black. Approx $16 million would hold alot of sway, and for this year would clearly change the red vs black landscape.

tarheelhockey said:
Yes, clearly they are lying about their finances, now that Greenburg has access to their books. Makes sense.
Click to expand...

I have no reason to doubt the statement that the team was in the black for this year but I believe that is mostly due to the expansion windfall and less to do with normal operations. Unless, you can make a reasonable case for the dramatic turn of fortunes (first time that the team made money when not qualifying for the playoffs ever)?
Maybe there were some positive financial gains in the market, that I am not aware of?:dunno:
 

Vdom999

Registered User
Dec 23, 2012
57
0
They received money from the expansion (17M$) and money from the world cup held in Toronto.

Nonetheless, I will take it under advisement that they were in the black this year. In addition, they had almost no show this year.
 
Big Daddy Cane

Big Daddy Cane

HFBoards Sponsor
Sponsor
Feb 8, 2010
14,069
34,277
Western PA
It’s worth noting that as the Canes have gotten younger in recent years, they’ve also gotten cheaper. The Opening Night NHL player payroll in 2016 was barely north of $55 mil. That was a near $6 mil cut from Opening Night 2015 and a near $10 mil cut from Opening Night 2013.
 
Svechhammer

Svechhammer

THIS is hockey?
Jun 8, 2017
25,491
92,953
Fairview said:
I think that Mightygoose has a point. The expansion money likely improved the bottom line for this year from red to black. The general consensus has been that about 1/3 of the league is very profitable,1/3 borderline and the final 1/3 are in the red. Given what we know about Carolina for this year, they should clearly be in the bottom third. Also, with the expansion money, teams that would normally be borderline, for this year, would clearly be in the black. Approx $16 million would hold alot of sway, and for this year would clearly change the red vs black landscape.



I have no reason to doubt the statement that the team was in the black for this year but I believe that is mostly due to the expansion windfall and less to do with normal operations. Unless, you can make a reasonable case for the dramatic turn of fortunes (first time that the team made money when not qualifying for the playoffs ever)?
Maybe there were some positive financial gains in the market, that I am not aware of?:dunno:
Click to expand...

The Canes made a profit before the Vegas expansion fee was accounted for

http://nsjonline.com/article/2017/08/hurricanes-waddell-says-team-made-2m-room-for-growth/

Despite ranking last out of 30 teams in attendance last season (11,776 per game), Waddell said the Hurricanes made approximately $2 million.

While each of the NHL’s 30 teams received a $16 million cut of the incoming Vegas Golden Knights’ $500 million expansion fee, Waddell said the Hurricanes made money even without the one-time influx of expansion cash.

“The Las Vegas money would be up and above that,†Waddell said of the team making a profit. “We made $18 million  it’s a true statement  but really you’d be selling something that’s not going to continue, let’s say.â€Â

Several factors, including a low player payroll, contributed to the Hurricanes turning a profit â₆the only time the team has done so without reaching the postseason.
Click to expand...
 
GuelphStormer

GuelphStormer

Registered User
Mar 20, 2012
3,811
499
Guelph, ON
on the surface, it seems hard to believe that the lowest attendance franchise actually turned a profit this year, but some of the things ive come across seem to suggest that ticket prices have almost doubled in the past 4 years ... is that true?
 
DaveG

DaveG

Noted Jerk
Apr 7, 2003
52,240
52,249
Winston-Salem NC
GuelphStormer said:
on the surface, it seems hard to believe that the lowest attendance franchise actually turned a profit this year, but some of the things ive come across seem to suggest that ticket prices have almost doubled in the past 4 years ... is that true?
Click to expand...

Yep, legitimately true on this front. Been a season ticket holder since the lost season when I got out of college. The cutdown on the number of discounts that they're doing on the tickets and giveaways, plus the inflation that they've put in to place on currently existing tickets and a ridiculously low payroll made this possible.
 
  • Like
Reactions: Surrounded By Ahos, geehaad, Roboturner913 and 3 others
Llama19

Llama19

Registered User
Jan 19, 2013
7,298
1,139
Outside GZ
cptjeff said:
We need a live webstream of the lawyers reviewing the documents or something. The offseason is boring.
Click to expand...

With some of the expertise here on HFB...

raw


:laugh:
 
Status
Not open for further replies.

Ad

Latest posts

Upcoming events

Ad

Ad

Top Bottom
X