CANADA DAY/NHL FREE AGENT FRENZY 09

[Professor S]

If the NHL has a salary cap, then the 12 year deal is NOT a 12 year deal. Dependng on the salary cap structure, long deals can be used as a means of stretching high value contracts over time.

Example: Lets say the 12 year deal averages 2 mil a year, but it AVERAGES 2 mil a year (24 mil total). The deal may be front loaded for the first 3 years (5 mil a year, and the 9 mil stretched out over the last 9 years, decreasing year to year, with clauses allowing the team to release after a few years.

Meanwhile, if the salary cap works on averages, so the team only gets 2 mil counted against them each year, and not the 5 mil the player is really getting for the first three. This clears room from year to year for the team to work with.

The team gets the player, the player gets the money, and the commitment is minimal.