Dreger: McDavid may cost 14 million

When is the Parade

Grand Marshall
Nov 30, 2008
2,498
0
104th Avenue NW
Top actual salaries in the NHL at time of signing:

Shea Weber: $14 million
Jonathan Toews: $13.8 million
Patrick Kane: $13.8 million
Sidney Crosby: $12 million
Henrik Lundqvist: $10 million
Alex Ovechkin: $10 million

Some interesting notes along the way. Weber maintains a manageable cap hit because of a massive $68 million signing bonus spread out over his first four years. Toew's and Kane's contracts includes $44 million in signing bonuses. Crosby's contract is structured in a way that is now against the CBA rules, and is only what it is because of three years at the tail end where he is paid $3 million a season. Lundqvist's salary cap hit was managed by a $14 million signing bonus. Ovechkin is the only player to see his salary escalate over the term of the contract.

First thing Oilers fans need to do is get over this "Oiler thing" they are clinging to. This would happen if McDavid were playing for any other team in the NHL. This is business. There is no way that McDavid takes a cent under league max. It just isn't in the player's or players' best interests. Any agency worth their salt will milk as much out of whatever team he plays for. Also, there is no way he signs for anything more than five years. What benefit would there be for him to give up any UFA years, when every team in the league will again be lining up with massive offers? The goal here is to get the player the max dollars and the minimum term, so he can then get all the benefits from the next negotiation, where all benefits are on the table.

My guess for the next McDavid contract is in the ball park of $72-75 million over a five year term. This is what the Orr agency and the NHLPA will want out of the deal. The eal after that is where the real games begin and all the loop holes come out of the woodwork to make the McDavid signing the model for the next generation of superstar contracts.
 

Rick74*

Registered User
Oct 7, 2016
2,006
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London, Ont
Realistically, with what he gets in endorsements, he should have no problem sacrificing 2-3 mil a year in contract money for a great chance of building a winner. Get 10 from your salary and have that easily made up in endorsements outside of the contract.

And you have a better chance to build a winner.

Crosby doesn't only make 8.7 mil a year. He has a net worth of 55 mil. Even though McDavid plays in small market Edmonton, he's paraded around now as the new face of hockey Canada so that should increase his endorsement's value.

Bottom line;

He COULD squeeze out every nickle and dime the salary cap allows or he could do the smarter thing and make that loss up outside of the cap while allowing himself and his team, a better chance at success.

This also brings me back to Tampa Bay's ******** advantage over the league with zero tax. Which effectively doubles up a players income compared to other cities. Which is why a person like Stamkos signed for so little.
 

Dickie Dunn

Registered User
Jan 4, 2016
3,105
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Minneapolis
This also brings me back to Tampa Bay's ******** advantage over the league with zero tax. Which effectively doubles up a players income compared to other cities. Which is why a person like Stamkos signed for so little.

Just wait for Vegas to REALLY take advantage of this.
 

cwede

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Sep 1, 2010
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i dont get how players are comfortable assuming huge portions of the Cap. Dont tell us you care about winning, or you owe it all to the guys in the room who you love, when you tying management's hands and taking pay from your teammates wallets

look no further than the 'Hawks
Kane and Toews would just as comfortable with ~$8M each, and there would be a better team around them ...
 

Broad Street Elite

Registered User
Nov 9, 2011
4,159
4
nhl cannot sustain these contracts
economics are not there

Huh? There is a salary cap, so if you have a 14 million dollar player and a 2 million dollar player, its the same as 2 8-million dollar players which many teams have.

Its a choice on resource allocation, not on the total amount of available resources.
 

molon labe

Registered User
Jul 13, 2016
4,847
3,284
Florida
There are 7 states that have no income tax - of those 4 have hockey teams: Florida, Nevada, Texas, and Tennessee. Washington also has no income tax so if Seattle ever gets there...

We pay for it in other ways like (typically) higher sales/property taxes, tolls, and state lottery. You have completely backward states like Alabama who have no real source of revenue and New York/California who tax everyone as much as possible from businesses to individuals and property.

I'd hardly call it a BS advantage especially in hockey. If Washington ever comes on the scene then maybe, as the border crossing and Canadian citizens there are plentiful.

I'd encourage many of you to explore those markets yourselves though - I know those 7 states are my starting point for career moves. My annual income jumped thousands moving to FL from California while actually "making" less money lol Plus money goes further when you get away from hipsters and metro prices (while logistically it should be the opposite).

/tangent
 

Rick74*

Registered User
Oct 7, 2016
2,006
1
London, Ont
Huh? There is a salary cap, so if you have a 14 million dollar player and a 2 million dollar player, its the same as 2 8-million dollar players which many teams have.

Its a choice on resource allocation, not on the total amount of available resources.

I'd easily take the two 8 mil players versus 14 - 2...
 

Broad Street Elite

Registered User
Nov 9, 2011
4,159
4
I'm foreseeing Vegas as being a true player's desired destination.

- Small market
- Super fun city to live in

And now you are telling me no tax? That's great. All hail the Vegas dynasty.

We'll see. Vegas isn't an ideal place to raise a family and for many of these hockey players, they come from cold weather environments and won't necessarily love the sweltering heat of LV. Yes, you basically live indoors during the Vegas summers, but I'm not sure that's a selling point for some of these guys either.

Maybe you're right. It hasn't necessarily played out that way for the Florida teams, but Vegas IS a different animal.
 

Broad Street Elite

Registered User
Nov 9, 2011
4,159
4
I'd easily take the two 8 mil players versus 14 - 2...

It depends on the players obviously, but generally you're probably right. My point was that a single player getting a monster contract isn't going to break the economics of a sport with a salary cap.

The ARod contract with the Texas Rangers in MLB was much more a shock to the sports economic system than a $14 million AAV contract in the NHL would be (not that I think that happens).
 

Rick74*

Registered User
Oct 7, 2016
2,006
1
London, Ont
anything above 10.5mill would kill the Oilers. I LOVE IT!

Careful fella...it's going to likely set the bar for Matthews in Toronto.

Unless Matthews gets flooded with Toronto centric endorsement deals to make up the difference in taking a few mil in loses...we could be up ****'s creek.
 

Oilers Propagandist

Relax junior, it’s just a post.
Aug 27, 2016
8,064
5,995
Edmonton, AB
That's it? ;)
Should be proportionate to the percentage of team offence(and defence) he provides.
What would that make it?

Same dumb thought should be put forward to Karlsson and the sens. While marvelling in his play this post season it showed me that they are a flawed team, he seems to be the engine for the whole team. 100% cap for Karlsson.

Regardless, if the sens had McDavid they would lose him to a 9 mil offersheet cause melnyk.
 

tony d

New poll series coming from me in June
Jun 23, 2007
76,697
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Behind A Tree
Mcdavid seems like a smart kid. Don't think he'd handcuff the Oilers like that. I think he gets 8 years at 11.5 million per.
 

Hawksfan2828

Registered User
Mar 1, 2007
13,437
20
Libertyville, IL
You people always say the same thing "yikes, that is too much" then 5 years later "that deal was basically cap circumvention"....

I've been posting here for like 10 years and it's always the same thing few years later because the cap generally rises and these deals look good years down the road....

Look, when the cap was first implemented the max salary was like 7 per.... Now if McDavid doesn't get the max then who warrants the max?......... McDavid will get the max allowed under the cap, just like Crosby, Ovechkin etc.... I will say this much, I would expect some sort of bridge deal before he gets the max tho.... Something around 7.5 per for 3 years - then the 14 per on his next extension...

I mean you're out to lunch if you think a generational talent like McDavid won't get league max under the CBA.... If you can get him for 14 you do it because 8 years later the cap will be at 90 million by that point you will see guys getting 10+ on the UFA market every July 1st.

Funny how few of you look at long term projections, good GM's do - that's why from a Hawks fan perspective Keith's deal is so sweet.... At the time it was fair, now his contract is a bargain - but Bowman knew that 7-8 years down the road the cap was going to be much higher hence making Keith's contract a great one.....
 

CantLoseWithMatthews

Registered User
Sep 28, 2015
49,735
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Careful fella...it's going to likely set the bar for Matthews in Toronto.

Unless Matthews gets flooded with Toronto centric endorsement deals to make up the difference in taking a few mil in loses...we could be up ****'s creek.

If Matthews becomes a player on Mcdavids level I don't care if he wants a comparable salary too
 

Hawksfan2828

Registered User
Mar 1, 2007
13,437
20
Libertyville, IL
McDavid will be a RFA for quite a while and that will limit what he makes.... McDavid despite being a generational talent will not get an offer sheet for 2 reasons. 1. Edmonton would never allow it and would give McDavid whatever he asked for and 2. Giving up 5 first round picks + a 14 million dollar cap hit would really screw with teams plans for the future, so handing McDavid an offer sheet just isn't worth it. The money and picks needed to get McDavid could be put to way better use.
 

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