An analysis: Could NHL’s other owners save the Thrashers?
While the Atlanta Spirit is looking to sell the Thrashers – with relocation a possibility – could the other NHL owners play a part in keeping the franchise in Atlanta?
It is possible.
Currently, there has not been a potential buyer – willing and/or able – that has taken more than the preliminary step to purchase the franchise with the intention of keeping the Thrashers in Atlanta. The search continues with ownership making several pleas for interested parties to step forward. True North Sports and Entertainment has the money and the arena in place to bring the NHL back to Winnipeg. The group first wanted to bring the Coyotes, a team owned by the league, back to Manitoba. When the City of Glendale voted to pay $25 million to keep the team it appeared that situation was settled. The Thrashers, very moveable, were next on the target list with an ownership group willing to sell.
However, is the Coyotes situation really settled? The NHL owners, who have already footed a large bill to keep the team in Phoenix, may not be satisfied with that outcome. Their opposition could delay – or stop – the league from giving the Atlanta Spirit permission to open official negotiations with True North for relocation.
The Coyotes reportedly lost more than $36 million last year and figure to do so again next season. The $25 million payment won’t cover all the cost. The league owners will have to pay more money to keep the team – while attempts to sell the franchise continue. There is only one current prospective buyer for the Coyotes and the deal is complicated, tenuous and faces litigation from a local watchdog group.
If the Coyotes can fetch upwards of $170 million from True North all of that money could go to repay the owners. If the Thrashers fetch that sale price only an estimated $60 million relocation fee would go to the NHL. The Thrashers would be gone and the league would still own the Coyotes and their financial burden – although substantially less.
Even if the Atlanta Spirit and True North reach an agreement, it would have to be approved by the NHL’s Board of Govenors.
In one analysis of the situation, here is what it all could mean:
1. If no league permission to negotiate is granted – or it is delayed much longer – the Thrashers could be safe in Atlanta for at least another season.
2. The Atlanta Spirit’s search for a buyer would continue.
3. Both the Thrashers and Coyotes would remain for another season with speculation on their future ongoing until owners are found.
4. Winnipeg would remain a waiting destination for another year – or longer.
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199 comments Add your comment
Flying1bob
May 16th, 2011
2:43 pm
Bankhead Bill
Hey Bill, the MTS Centre seats 15,000 with an additional 500 sky box seats, also the roof was designed to go up to allow for both an additional 2500 chairs and another ring of 500 sky boxe seats.
This would total any combination up to and including 18,500.
Just saying, I hope your Thrashers stay put.
Not a Hockey Fan
May 16th, 2011
2:43 pm
CHRIS– When asked if the Thrashers are relocating, instead of speculating, just reply, “I sure hope so. Nobody here wants them.”
Winnipeg_Jets
May 16th, 2011
2:47 pm
Come on, people in Atlanta don’t really appreciate hockey anyways. The team will disappear and most people there will not even notice. Now up north here in Winnipeg, we eat, sleep and dream hockey. We have a new arena (a little too small) and a bunch of hockey crazed people. This is where the Jets, oh sorry Thrashers are going to be playing come fall.
Too bad for a bunch of you that think its a loser team, its actually a very much up and coming team. Come and visit in 2-3 years when we are in the playoffs and doing well.
timthebrave
May 16th, 2011
2:49 pm
I will not watch or go to another hockey game unless someone else buys the Thrashers and keeps them in Atlanta. I’m not investing my money, time and emotions on a club owned by owners who never gave a sh**. I’m so mad
southoftheborder
May 16th, 2011
2:50 pm
Just a question, what does “operating rights to Philips Arena” entail? Does that mean ASG has the right to book and charge for all events at Philips? Do they have to pay anything to the city? Who pays the bonds for the arena?
DWTOO
May 16th, 2011
2:51 pm
Winnipeg_Jets – I will cheer for the Taliban before I would ever cheer for a team that leaves Atlanta.
too many on the ICE
May 16th, 2011
2:52 pm
Adios amigos…Don Waddell promises are sheot.
Winnipeg = Poverty
May 16th, 2011
2:53 pm
In two or three years a team based in Winnipeg will be negotiating a move to Southern Ontario or Houston. Winnipeg: Too small to be called a city but too big to be called a village.
G52PIM228
May 16th, 2011
2:54 pm
MTS can not be expanded according to Mark Chipman, but what does he know..
Not a Hockey Fan
May 16th, 2011
2:55 pm
Right on, Winnipeg_Jets. Come on down and help them move on out.
Kovy's Agent
May 16th, 2011
2:56 pm
I think this is pretty much a done deal and for the upcoming season too. No one wants an orphaned franchise lingering in a coma-like state for another long season. The delay in announcing the deal is likely over whether they can manage a conference realignment along with the location change. As somone who’s been through a divorce (two actually) you can read the truth in the body language and what’s not said vs.what is said if you’re being honest with yourself. It’s coming folks sorry to say, but it’s coming.
G52PIM228
May 16th, 2011
2:58 pm
Loserpeg’s current team plays to less than 50% capacity, but under the right circumstance they promise to buy tickets even though they have a TERRIBLE track record..
timthebrave
May 16th, 2011
2:58 pm
I don’t plan on going to Hawks games either as long as those clowns are in ownership
too many on the ICE
May 16th, 2011
2:58 pm
Any you all Winnipeg jerks want to buy some Thrashers jerseys and other related team items?
Relocationist
May 16th, 2011
3:00 pm
Hey, y’all threatening not to renew your season tickets until the ownership situation is resolved. If the Thrashers do stay in Atlanta, aren’t you afraid that you are putting those choice, very much in demand seats in jeopardy? After all, there’s probably a long waiting list.
Southernhockeyfan
May 16th, 2011
3:01 pm
Richard Hallson please keep in mind why Atlanta fans are so hurt. This makes two NHL teams we are going to lose. What makes matters worst, with ownership that gave a darn, the Thrashers would have be successful. I was 16 when the Flames left town. I am 47 now, I will never see NHL in Atlanta again. As A kid who grew up in St, Louis and Philly, I love the sport. Enjoy your new franchise (I mean that seriously),
GatorFan
May 16th, 2011
3:07 pm
G52,
Why the anger? If I were you I’d be angry that you have no owner in Phoenix. This sucks to lose the Thrashers to Winnipeg but mudslinging doesn’t seem to intelligent. It has nothing to do with Winnipeg. ASG sucks and that’s who is to blame. I’d blame Bettman too. Phoenix fans are lucky that Bettman saved them.
Cluston
May 16th, 2011
3:08 pm
I say move the Thrashers to New Orleans, Obama will pony up some federal aid money to get that done.
Flying1bob
May 16th, 2011
3:09 pm
A True North Sports and Entertainment spokesperson had no comment.?????
Chris V. Thats not entirely true, they were told to sit by the phone, and not to make any comments.
UpdateYourResumeCviv......
May 16th, 2011
3:15 pm
Face it Cviv, if the Thrashers were to leave town, the Atlanta Fishwrapper will be kicking you to the curb within days……
Michael
May 16th, 2011
3:16 pm
Man, if we’re such a financial joke then its really going to sting when we get the Thrashers huh? Love it. And how about when every seat is sold as a season ticket in a couple of weeks? And how about when our revenue beats a dozen US teams?
Wait and see baby. Its tough for me to accept any argument from people who eat clay and chalk for lunch. If that’s a great city then I guess the end of the world came early.
Michael
May 16th, 2011
3:21 pm
Its all over except for the fat lady singing, and I heard you got a lot of those down there. You’re own paper printed this today:
http://www.ajc.com/sports/atlanta-thrashers/atlanta-spirit-true-north-947628.html
DWTOO
May 16th, 2011
3:28 pm
Hey Michael – No one appreaciates your rubbing this in face. STFU and get lsot.
Michael
May 16th, 2011
3:30 pm
hey dwtoo – I’m on defense here. Talk to your own people.
Uncle Milty
May 16th, 2011
3:31 pm
G52PIM228 is a Phoenix Coyotes fan, FYI. He enjoys his welfare team.
John
May 16th, 2011
3:33 pm
To Cluston :
You necons aredownright ignorant. Goes backs to yer double-waaade and have yerself a good book-burnin’
Winnipeg_Jets
May 16th, 2011
3:34 pm
@Winnipeg = Poverty – well if we do lose them in 2 or 3 years, we will just have caught up to you in the number of times a city loses an NHL team.
Unfortunately, some of you don’t understand that the situation has changed.
1. The old arena was not owned by the team. All other revenue generated from the arena went elsewhere. This new arena actually generates a lot of money.Basically used almost every day of the year.
2. When we lost the jets, the Canadian dollar was only trading at $.65 US All NHL contracts are written in US dollars. Currently the Canadian dollar is sitting at $1.05
3. As for being able to expand the current arena, I don’t believe that is true. As I said before, the new arena is a bit small.
Flying1bob
May 16th, 2011
3:36 pm
IT’S KIND OF WEIRD, this was all pointed at C.V. for starters, and it has lead into bashing amongst the folks from both sides of the border.
None of us can either stop the (RELO), OR MAKE IT HAPPEN, kicking each city where we choose to live makes sense why?
Bravo
May 16th, 2011
3:38 pm
The Thrashers could have made it here… could have been a nice team like others in the south. The problem is a terrible ownership that never put a quality product on the ice and to a lesser extent, the location of the arena. It should have been in a more northern part of town – even around the perimeter would be fine – where the demographics would support the team.
Chris Vivlamore
May 16th, 2011
3:39 pm
Cornbread: Actually, I NEVER reported that a deal would be done last weekend. That would be other Atlanta media outlets. In fact, I’m the one that reported it would NOT happen last weekend. It did not. Just as I have done throughout, I accurately reported the facts. But, you hang in there buddy.
too many on the ICE
May 16th, 2011
3:40 pm
Let’s talk some Georgia Bulldogs football. Can you believe Ealey was kicked off the team? GOOOOOOOOOOOOOOOOOOOOOOOOOOOOO DAWGSSSSSSSSSSSSSSSSS!!!!!!!!!!!!!!!!!
Winnipeg = Poverty
May 16th, 2011
3:40 pm
@ Michael What do eat in your igloo? Frozen Moose Droppings?? Winnipeg isn’t a destination for anybody with common sense even in Canada. They got Mosquitoes the size of a small compact car in Winnipeg that can carry a baby up to the age of three for at least a mile. Many of these players wives and girlfriends need to take this into consideration if they have any children under the age of three. Its so cold in Winnipeg for at least 9 months out the year many of these players will ask for more money just to heat their homes so their family doesn’t freeze to death.There’s no cultural scene in Winnipeg except looking out your window and sitting by the fireplace hoping for Spring/Summer to arrive in June and that ends in August right after the last plague of huge mosquitoes.A non windy day in Winnipeg is sustained gusts under 25 MPH.I hope all these players get a good look at their girlfriends in bikini’s and shorts in Atlanta because they will only need huge overcoats and fur caps if the club is moved to Winnipeg. Winnipeg: Too small to be called a city but too big to be called a village.
Bravo
May 16th, 2011
3:41 pm
To Winnipeg_Jets : Yeah, you would support the team – there’s no doubt about it. But then again, there’s jack to do there compared to here. There’s golf ALL YEAR ROUND here… three other MAJOR sports teams – not to mention huge college football teams… outdoor activities all year round… what the f* do you have that competes with hockey… curling?
Ed
May 16th, 2011
3:46 pm
I think we all need to treat Michael Gearon, Jr. like the lying turncoat that he is. He says that his is a native son and wants to keep our franchises in tact and thriving, only to be outed as a two faced liar and backstabbing wus that was only trying to make a buck.
too many on the ICE
May 16th, 2011
3:47 pm
If Michael Gearon, Jr, is a two faced liar, what does that make D-Wad?
sad
May 16th, 2011
3:54 pm
Good bye Thrashers. It was nice having you here while it lasted.
DWTOO
May 16th, 2011
3:58 pm
Would never say anything bad about the country or the city. However, to the trolls who have felt the need to venture onto our blog and make this even more miserable – GET F’IN LOST!
make up your mind Gary
May 16th, 2011
3:58 pm
If Winnipeg was so important to the NHL, why did they lose their first team?
we need to get healthy
May 16th, 2011
3:59 pm
The Atlanta Spirit is a disease. They killed the Thrashers. They are attempting to kill the Hawks but haven’t been able to. Atlanta needs to get rid of these clowns to get healthy.
Guffman
May 16th, 2011
4:39 pm
“If Winnipeg was so important to the NHL, why did they lose their first team?”
There was no one in Winnipeg at the time who wanted to own the team.
Hmm. That sounds familiar…
Fan from Carolina
May 16th, 2011
4:43 pm
This is sad news. I could go to a few games each year with just a 2 hour drive and make it home by 1:00 a.m.. I really like Philips Arena too. It was always a fun experience. Raleigh is 5 hours away and so is Nashville, both which would require overnight stays. This would end my live NHL hockey action most likely. Long live NHL Center Ice!
Guffman
May 16th, 2011
4:48 pm
BTW, for those commenting that the arena in Winnipeg is too small and the population isn’t large enough to support the team, I thought I would advise you that the person buying the team is the richest man in Canada, 17th richest person on the planet.
If the Jets sustain Atlanta-like losses of $20M/year+, Thompson would just have to look under the pillows of his couch to find some loose millions that slipped out of his sweatpants.
For Billionaires like Thompson, acquiring a sports franchise is like us buying a small pet. I realize my dog won’t make me rich… in fact, the thing eats some of my pocket change every month, but he is sure nice to have. I’m sure Thompson will come visit his pet once in awhile, and show pictures of his team to Donald Trump in idle conversation on their stealth spaceships that they like to lounge in to get away from us drones.
Quibbling that Winnipeg would be a midmarket team for revenues and not the best place for a team is so trivial when you have Grand Poobah Thompson as the owner.
chaz
May 16th, 2011
5:01 pm
@ bravo
Exactly, so then why shouldn’t we be able to have the one sport that we want? I don’t want any part of the NBA, NFL, MLB, and they wouldn’t work here. I want hockey, and why shouldn’t we get it? Because you want ALL the sports?
Yes, Winnipeg is small, and yes it has cold weather. But Winnipeg is a good city, and I like cold weather. I go play ice hockey outside when its -20 C (-4 F). We got what we needed to have a team return to Winnipeg, the NHL is doing the right thing.
Atlanta should have a team, and Phoenix should be the one moving. Its on Welfare!
Winnipeg = Poverty
May 16th, 2011
5:18 pm
The answer to why Winnipeg shoudn’t be in the NHL is that the city of Winnipeg has no business being mentioned in the same breath with New York, Chicago, Los Angeles, Toronto or Montreal. A minor league city is a minor league city and that’s Winnipeg. the city of Whitehorse in the Yukon loves Hockey too, should they get an NHL team also? It’s a question of status that some cities are major league ( Atlanta, Phoenix) and some cities are minor league such as Winnipeg.
Michael
May 16th, 2011
5:27 pm
Never heard Atlanta mentioned in the same breath as the cities above – Montreal maybe. But Winnipeg certainly compares to Nashville, Columbus & Raleigh Durham. Give your head a shake. If you don’t believe that ’size of the market’ relates to hockey fans and not to population of a city then why would TV contracts in Canada hover at around 200 million a year and the deal with NBC for the entire United States with 10 times the poplation of Canada be about the same amount of money at 200 million a year on a ten year deal. Because there are less hockey fans in the United States.
If Winnipeg has 700,000 people and 500,000 are hockey fans that’s 450,000 more hockey fans than Atlanta has. I don’t care if the population of Atlanta is 40 million people. It has absolutely NO F*&%^NG RELEVANCE!!! WAKE THE F UP
Guffman
May 16th, 2011
5:29 pm
“It’s a question of status that some cities are major league ( Atlanta, Phoenix) and some cities are minor league such as Winnipeg.”
I guess we might find out this week which city will host a major league franchise… Atlanta or Winnipeg. I guess it would be a sad commentary of “major league” Atlanta if “minor league” Winnipeg buys your team because you guys can’t find a single person to run it.
You can denigrate Winnipeg all you want, but the worse you make Winnipeg sound, the sadder it makes Atlanta look for being unable to keep their team from moving to such a place.
to clarify
May 16th, 2011
5:42 pm
Michael, can you explain why in 06-07, 07-08 seasons Thrashers had better attendance than such teams as Bruins, Capitals and many others? Where is your math coming from? Population and GDP is what important. With bad ownership you can ruin attendance in any city. With good ownership you can improve attendance in any city. Hurricanes, Lightnings were also struggling with attendance at some point, but they have been improved.
Attendance with Thrashers worsened is only because ASG manages it badly. Not because of lack of fans.
Michael
May 16th, 2011
5:59 pm
@to clarify
I already did. Do I have to beat you over the head with this? Atlanta could sell 100,000 tickets a game and make less than Winnipeg. Attendance is irrelevant. Revenue is the only thing that is relevant. And Atlanta never made enough and never will. If population is important then why isn’t there a team in Mexico City? Because there’s NO FANS THERE! There may be more fans in Atlanta than Mexico city but not much. You’re just too thick to understand.
By your logic, if the Leafs moved to a 10,000 seat arena they would be the least successful team. But the Leafs at 10,000 a game would still make more revenue than any team in the league.
And Atlanta lost plenty of money when the DID have reasonable attendance. Who cares about the management, they would have lost less money but they still would have LOST MONEY.
3rd World Atlanta
May 16th, 2011
6:02 pm
Atlanta is 5th in the US in child Poverty. It is one of 18 cities in the US to INCREASE its poverty rate in 2011. Poverty rate is 40%. Crime rate is near the top in the US. Child malnutrition and hunger ranks higher than some 3rd world countries and the literacy rate is well below the industrialized world. Despair and desperation hang over much of the city and sadly, with no hope of escape, many turn to drugs and suicide.
Crews in white panel vans go through the city at dawn every morning to clean up the bodies. Hopes for Federal funding fell through with the financial collapse. Whole tracts of homes in previously respectable neighborhoods have been abandoned due to foreclosure. Homes can’t sell because real estate prices continue to fall and multiple attempts by police to rid homes of squatters who use abandoned homes as crack houses have failed. Many people have turned to prostitution, child porn and dog fighting just to put food on their family’s table. President Obama refused to declare Atlanta as a disaster area because then he would have to send funding. Obama has yet to visit this decrepit, burnt out shell of a city.
Add to that the school shootings, prison riots, bombing of the Olympics, serial killers, and mass suicides and you get an idea of Atlanta Culture. But it is warmer there. And they do have a Basketball team.
NHL is pathetic
May 16th, 2011
6:14 pm
Imagine being a Commissioner of a sports league that has to move a team from a growing area with an educated, white collar population of 6M to a declining city in Canada with a population the size of Cobb County…..Bettman cant sleep well at night.
Talk about going backwards…..ouch!
Cant imagine any sport allowing such a miserable scenario….