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Update 6:30: Some Early Details of New NHL Proposal

August 28, 2012, 9:11 AM ET [200 Comments]
Eklund
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UPDATE 6:30 PM EDT

Some early details are emerging on the NHL's new proposal. A key element of potential compromise is a phased-in repositioning of hockey-related revenue, going (by the NHL's revenue definition) from a 52-48 split in the players' favor in the first year, to 50-50 in year two to 48-52 in the third year and so on.

Not surprisingly, there are already rumblings from the NHLPA side that this is "more of the same" --- basically the same wolf dressed up in sheep's clothing. But, as I have (and will continue to) cautioned throughout the process, don't buy into the PR hype machines on either side.

However, the fundamental divide still appears to be the same and should not shock anyone. The NHL wants more revenue sharing to be drawn primarily through reduced player salaries. The NHLPA is likely to still suggest it come primarily from the wealthier clubs sharing more of their profits.

More to come tonight and tomorrow.



UPDATE 5:15 PM EDT

A source texted this to me: "The PA [is] surprised NHL worked off PA's counter proposal on some key elements. The NHL ALWAYS prefers to frame the debate."


UPDATE 4:47 PM EDT

A source has informed me the NHL made "Ssgnificant" compromises in their latest offer and the NHLPA was "more than a bit surprised by the offer." Will it be enough? No one is going that far yet.

UPDATE 4:00pm EDT

The NHLPA wants more time to process the NHL's latest offer. The two sides will meet again tomorrow PM after the PA works on reviewing the offer and preparing its response. Actually better news than expected.

UPDATE 3:45 PM EDT

After four hours, the NHLPA negotiators returned to the NHL offices. They left after meeting for a half an hour, and will brief the players on today's developments via conference call tonight. Another meeting is slated for tomorrow afternoon.

UPDATE:

The NHL met with NHLPA head Donald Fehr for 45 minutes this morning before he left the NHL office to go and brief the players who are in NY. The other players are being briefed via email. More to come.

The fact the sides will continue to talk today can be viewed with "cautious optimism" according to a source close to the negotiations.

***********************************

If there is any of hope for September 15th to be "just another day" on the calendar, today may be the day.

Today, we will find out how deep the players are prepared to dig in and how much the owners are willing to at least pretend to not to want any lockout at all. If, after today, the NHLPA looks at the NHL proposal and says there is simply no way they will agree to its fundamental demands, the sides will break apart angrily and take a great deal of time away from the table -- likely a week to ten days away as they reassess their next moves. That would take us well into September and it will be virtually impossible to avoid a lockout.

Both sides have put forth their dream scenarios. Each side has rejected the other one's framework for an agreement. So, technically, the "compromise offers" come next...

So how are those compromises workin' out for ya?

Well, as of now, the NHL wants a deal that will save them $450 million over the current system. The NHLPA has presented a deal that will save owners between $80 and $110M. So there are roughly 350 million compromises needed. That would be a pretty big gap.

The NHLPA says they are willing to give money back and showed so by presenting an offer that would save the owners money based on the current CBA. A CBA that was essentially created at the owners' dictation seven years ago. In terms of public opinion, the NHLPA has the majority of fans believing they are in the right this time around. The players are actually fighting in favor of the more or less retaining the current CBA are many of the same players that originally missed a season fighting against it.

The owners have been saying the players don't understand the way sports economics works. Yesterday came the first play by the NHL to try to get the fans to understand their side of this when word trickled down that during this CBA, revenues have increased more than 50% but players salaries have increases over 90%.

Some call this creative accounting, and ask why the players shouldn't be earning bigger portions? My response to that is "This is ALL creative accounting. Both sides are playing that game."

This will all get resolved. As I've stated numerous times, there is no "salary cap" like issue, which involves one side or the other completely caving to the other. There is no sympathy from the fans for either side taking their time on this, either. All this posturing is very much bad for an NHL who had a lot going for it. The numbers don't lie.

In the latest Hockeybuzz Bettman/Fehr Approval rating poll we saw some fans getting pretty angry...

Last week when I gave the poll, some 12,259 hockey fans voted with these results for Bettman..

bet17

This week, Gary's approval numbers fell a bit among 8,051 respondents.

bet 28th

But hating Gary Bettman is nothing new. He is an easy target as he tries to speak for 30 owners with 30 agendas, plus this is potentially the third work stoppage he has overseen.

What was a little more interesting to me was this: last Week, following the PA's proposal Fehr's numbers were very strong...

Twiigs - Online Polls_ Create, Vote, Share

However, in just 11 days he lost 11 points... and not from the Undecided voter totals. The decrease was shown among the ones who previously said they approved:

fehr28

That is major. And shows just how much the fans are unhappy about ALL of this.

But even more alarming were these numbers...

11 days ago....

fans 16

3 days ago...

Twiigs - Online Polls_ Create, Vote, Share-1

Today will be very telling...
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