Along with it’s notoriously sharp windchills, March also brought plummeting dollar values to the US and Canada. We saw NHL General Managers act conservatively with their assets at the trading deadline amid the current downward spiral. Just last week at the GM meetings in Florida, many hockey executives offered a grim forecast well into the 2010-11 season.
Owners and executives will start to feel the effects of the current recession in 2009-10, while Toronto GM Brian Burke and others anticipate the real financial challenges will begin for clubs in the fall of 2010. Trades became more difficult at this month’s deadline due to GMs reluctance to take on expensive existing contracts that extend beyond next season. In short, nobody knows what the future will bring, but NHL clubs are preparing for the worst.
Hockey players worldwide have resided themselves to declining wages in the next two seasons. Only a handful of premier talents like Alex Ovechkin, Henrik Zetterberg, Vincent Lecavalier, Rick DiPietro, and Evgeni Malkin have long term financial security with sustained value in multi-year contracts. Most affordable veterans will find themselves priced out of their next contract by inexpensive young rookies in the coming years as GMs play limbo with the ever-declining salary cap. “How low can you go?!” Detroit Red Wings ace GM Ken Holland has gone on record as saying that he anticipates losing several players.
Canada's Jonathan Toews will be an NHL bargain until 2010.
Boston GM Peter Chiarelli chose wisely in not casting off his young talented forwards for a costly hired gun like Chris Pronger. The real commodity in the world of hockey right now is young, inexpensive production. Players like Steve Mason, Phil Kessel, Patrick Kane, Jonathan Toews, Nicklas Backstrom and David Krejci earn less than $1 million per season on an entry level deal for their first three seasons. It remains to be seen what these emerging stars will be worth in another 5 years given the current state of the world economy and the NHL.
