Tag Archives: steve ellman

Bettman Working On His Revisionist View of Hockey History As Canada Becomes His Final Frontier.

TAMPA — This week, Gary Bettman started his “Dick Cheney Tour.” It’s a simple format. You find people in the media who won’t challenge your assertions and then you go out and change history.

This past week, Bettman sat down with Toronto-based Sun Media and got all warm and fuzzy about his relationship with Canadian hockey markets. In a piece entitled: Bettman Asks Canada to Be Patient, the commissioner of the National Hockey League suggested he had a great track record “in respect to the Canadian franchises.”

“For anyone that knows my record in respect to the Canadian franchises, that’s simply not true (that he tried to keep Jim Balsillie out of Hamilton simply because he disliked teams in Canada),” Bettman told the Sun. “I can’t satisfy those who believe our intentions were other than straightforward of ensuring NHL rules and procedure. That’s what this was about.”

Really? What rules? And at what cost?

When Bettman forced the Jets out of Winnipeg in 1996, he convinced the two hockey-ignorant rich guys who bought the franchise that if they couldn’t cut a deal with the Target Center in Minneapolis, they should take the team to a basketball gym in downtown Phoenix, Ariz.

Dr. Richard Burke and his partner Steven Gluckstern lost a fortune on the Coyotes (mostly because of the restricted view arena they were forced to play in) and soon sold the team to Steve Ellman and Jerry Moyes who lost millions more. Since 2004, the Coyotes have lost $389 million and that doesn’t count this year. Currently, the Coyotes are on pace to lose approximately $140 million on operations. Especially after virtually giving away tickets to the season home opener, then drawing announced crowds of 6,899 and 9,162 to their next two games.

So in order to “uphold the rules” of the NHL, Bettman is going to ask the other 29 franchises to find another $140 million (at least) to cover the losses of a team owned by the league (as long as Judge Redfield T. Baum allows the NHL to ultimately purchase the Coyotes for about $140 million out of bankruptcy). Nice rules.

Trouble is, Bettman has always found ways to bend his own rules. For those who remember the loss of the Jets, owner Barry Shenkarow proposed a “group ownership” position, in which a number of Winnipeg business people would own an equal share of the team. Bettman said, “No,” that the NHL’s governors wanted to deal with only one prominent person in each market, a person who could make financial decisions at the drop of a hat.

Bettman put a halt to the group ownership plan in Winnipeg, adding more fuel to the team’s demise, but a few years later he went ahead and allowed it in Edmonton, since it was the only way to save the Oilers. In essence Bettman made up the rules as he went along: First, to take a team out of Winnipeg and put it in Phoenix and then, to save a team in Edmonton. Some Canadian markets he likes, others he doesn’t. Rules be damned.

So if Gary Bettman simply asks Canada to be patient, I wouldn’t believe him. However, if he told the truth (remember, this is the guy who said the league was NOT funding the Coyotes last year and then, in court, was forced to tell the truth) and admitted that he had to come back to Canada because he had no other alternative in the recession-crippled United States, I’d probably listen to that.

Remember, the six Canadian franchises make up 33 per cent of the league’s revenues. Despite what Bettman says or thinks, he’s going to have to come back to Canada eventually.

In Phoenix, the Only Surprise is When There is Not a Surprise

When it comes to the National Hockey League in Phoenix, there is a surprise every day.

Which means, of course, that when it comes to the fate of the bankrupt Phoenix Coyotes, nothing should surprise anyone.

Not even more examples of insanity, panic and sheer desperation.

On Tuesday, right after Jerry Reinsdorf dropped his bid to purchase the Coyotes and keep the team in the desert (because he’s a smart businessman and he never really seemed all that interested in buying them anyway), the National Hockey League its-own-self filed a bid to buy the team out of bankruptcy, obviously hoping to sell it later.

The league is very nervous. When Reinsdorf pulled the plug, it left only Ice Edge, a group that wants to play Coyotes games in places such as Halifax and Saskatoon (Do we hear Plum Coulee? How about Iqaaluit?) and Jim (RIM) Balsillie the Canadian billionaire the NHL hates s-o-o-o-o much, who wants to buy the Desert Dogs and move them to Hamilton, Ont.

In other words, Balsillie became the only legitimate choice for bankruptcy judge Redfield T. Baum when Reinsdorf pulled out and, to be quite frank, the RIM CEO is, and always has been, the only real person interested in paying an amount of money (in this case more than $212 milllion) to buy the Coyotes and pay off the creditors.

Of course, he wants to move the team to Hamilton, Ont., and the NHL sure doesn’t want that.

So the league has decided to make an offer itself, an offer to buy one of its own franchises, and then try to sell it to some unsuspecting sucker willing to piss away all is wealth on a bad franchise in a lousy hockey market.

That takes nerve, you know.

The judge might just want to sell it back to the NHL if only to see if those grifters can find another wealthy person stupid enough to own a hockey team in a desert. Hey, they already found Richard Burke, Steven Gluckstern, Steve Ellman and Jerry Moyes.

There must be more crazy rich people out there?

Forbes Magazine says Coyotes should “get out of town”

I’ve been writing about it for years and, at times and I know it can get tedious, but now the American business press has finally caught up.

 

The Phoenix Coyotes are one of hockey’s greatest disasters and Commissioner Gary Bettman’s decision to move the Winnipeg Jets to Phoenix has turned out to be one of the worst decisions in the history of professional sport.

 

That’s not to say that, at the time, the Jets shouldn’t have moved. With no NHL arena and no political will to build one (thanks Gary Filmon and Susan Thompson), the Jets had to move elsewhere. There was no future in Winnipeg. It’s just that the future was not in Phoenix.

 

After 12 seasons in the desert, the Coyotes have lost more than $150 million and this past week, Forbes Magazine made it clear that hockey had no future in Arizona.

 

In a piece entitled “The Business of Hockey” Michael K. Ozanian and Kurt Badenhausen wrote: “And there are at least two teams that need new ownership and perhaps even to relocate. The biggest mess is the Phoenix Coyotes, who lost $9.7 million last season. Hardly anyone shows up for their games. The team was recapitalized two years ago when Jerry Moyes, the big money behind the franchise, took over the team and Steven Ellman got the nearby real estate that was supposed to be developed in a huge retail and residential success. Pipe dream.

 

“It is time for the Coyotes to get out of town. The same for the New York Islanders, who have a lucrative cable television deal but are being suffocated with an onerous lease at the NHL’s second-oldest arena.”

I will admit that all of those people who suggest that Winnipeg still does not have a suitable NHL arena, are probably right. But I will also say that because the best gate the Coyotes have all year is the exhibition game they play at Winnipeg’s MTS Centre in September, it’s now time the Phoenix Coyotes returned to their roots and became the Winnipeg Jets again.