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LA Kings and MIke Richards reach settlement on his contract termination. There will be penalties for LA Kings.

Friedman suggesting he'll be on the Kings cap until 2031.

Island Nucklehead wrote:LA Kings and MIke Richards reach settlement on his contract termination. There will be penalties for LA Kings.

Friedman suggesting he'll be on the Kings cap until 2031.

http://www.cbc.ca/sports/hockey/nhl/ric ... -1.3265606

They will be on the hook for a cap recapture of at least 1.32 for the next five years plus an undisclosed amount and term that takes into consideration the settlement amount. I would imagine the settlement is damned close to the buy out amount.

Island Nucklehead wrote:LA Kings and MIke Richards reach settlement on his contract termination. There will be penalties for LA Kings.

Friedman suggesting he'll be on the Kings cap until 2031.

Hmmm comes down as a steady-amount buyout spread over 16 years.

He has ~$22M owing on his contract and would have received ~$15M if he was bought out in the June buyout period.

I f he had been bought out in June it would have been a not-steady-amount:

2015-16 - $1,216,666
2016-17 - $1,716,666
2017-18 - $2,716,666
2018-19 - $4,216,666
2019-20 - $4,216,666
2020-21 - $1,466,666
2021-22 - $1,466,666
2022-23 - $1,466,666
2023-24 - $1,466,666
2024-25 - $1,466,666


But the steady-amount buyout spread over 16 years should be somewhere between ~$0.9 - $1.5M per year.

Also there is that unstoppable Recapture Monster to deal with for 5 years ($1.32M per).

Cap-hit-wise, the Kings will be penalized ~$2.5M for the next 5 years

... and then ~$1.2M for the following 11 years.

Something like that?

As you can see by the would've-been chart above, this spares the Kings a lot of pain in '18-19 + '19-20.

(would've been a combined ~$5.5M hit for each of those two years)

Interesting that the Kings settled, rather than let an arbitrator decide on the "terminated contract".

The NHL + NHLPA have apparently signed-off on this agreement.

Smells like a whole lot of dirty laundry would have been washed in public, so they chose this route instead.

Hockey Widow wrote:I would imagine the settlement is damned close to the buy out amount.

... except spread out over more years of course.

It wouldn't surprise me if the the settlement amount is actually the full-contract amount.

($22M vs $15M)

I think you are right Doc. The Kings knew they stood a more than likely chance of losing this and having more severe penalties. Richards knew his risks as well and gets what he is owed over a longer period. Not hard to take a million a year until 2031.

For the Kings this is a great way to avoid severe cap recapture but it means long term shorter penalties. The NHL allowed the Kings to get away with one here IMO. They should not have signed off on the breach and forced LA to buy him out. A great way now to circumvent cap recapture. From all accounts he is getting what is owed in any event. So the benefit goes to the Kings.

Good that it is over for all parties.

Isn't there a penalty as well on Voynov or is he completely off the books.

Hockey Widow wrote: For the Kings this is a great way to avoid severe cap recapture but it means long term shorter penalties. The NHL allowed the Kings to get away with one here IMO. They should not have signed off on the breach and forced LA to buy him out. A great way now to circumvent cap recapture.

The Recapture penalty of $1.32M X 5 seasons remains... it is not affected by this agreement

Voynov is off the books...

Strangelove wrote:

Hockey Widow wrote: For the Kings this is a great way to avoid severe cap recapture but it means long term shorter penalties. The NHL allowed the Kings to get away with one here IMO. They should not have signed off on the breach and forced LA to buy him out. A great way now to circumvent cap recapture.

The Recapture penalty of $1.32M X 5 seasons remains... it is not affected by this agreement

Voynov is off the books...

Thanks

Strangelove wrote: Cap-hit-wise, the Kings will be penalized ~$2.5M for the next 5 years

... and then ~$1.2M for the following 11 years.

Something like that?

Interesting that the Kings settled, rather than let an arbitrator decide on the "terminated contract".

The NHL + NHLPA have apparently signed-off on this agreement.

Smells like a whole lot of dirty laundry would have been washed in public, so they chose this route instead.

Mhmmmm, I don't think the Kings wanted to lose that arbitration fight (looking at your numbers should Richards win.. terrifying), and I doubt Richards wanted to be further dragged through the mud, and I'm double-sure the NHL is happy they can avoid even more bad press wrt drugs. I can see other owners being pissed the Kings were let off so easily. They got the best years of Richards, were quite successful with him, and then managed to flush him with a minimal penalty.

Island Nucklehead wrote:

Strangelove wrote: Cap-hit-wise, the Kings will be penalized ~$2.5M for the next 5 years

... and then ~$1.2M for the following 11 years.

Something like that?

Interesting that the Kings settled, rather than let an arbitrator decide on the "terminated contract".

The NHL + NHLPA have apparently signed-off on this agreement.

Smells like a whole lot of dirty laundry would have been washed in public, so they chose this route instead.

Mhmmmm, I don't think the Kings wanted to lose that arbitration fight (looking at your numbers should Richards win.. terrifying)

You want "terrifying?

If Richards won his grievance he ends up back on the Kings roster with full pay!

(the buyout period was the latter half of last June)

Yeah, I think this settlement was best for all parties involved.

Can't see Richards losing this case btw as the Kings terminated his contract before he was charged.

(should have been suspended with pay at that point)

Island Nucklehead wrote: I can see other owners being pissed the Kings were let off so easily. They got the best years of Richards, were quite successful with him, and then managed to flush him with a minimal penalty.

We'll have to wait until the numbers come out, but the Kings will pay full recapture cap penalties plus

... probably at least full buyout penalties (albeit spread over a longer time frame).

In the end I'm not sure they're so much better off.

Sure they catch a break for the 2018-19 + 2019-20 seasons, but more years of penalties right?

They'll be paying for those 'best years of Richards' for some time to come.

Strangelove wrote: Sure they catch a break for the 2018-19 + 2019-20 seasons, but more years of penalties right?

They'll be paying for those 'best years of Richards' for some time to come.

Yeah I think they'd be happier with a smaller cap penalty over longer years.

I know we've been a suffering fan-base for a long time, but I'd take all those penalties if it meant winning 2 cups.

Duck's owner says losses in the double digit millions....expansion ho

http://www.thescore.com/nhl/news/850210

Island Nucklehead wrote:

Strangelove wrote: Sure they catch a break for the 2018-19 + 2019-20 seasons, but more years of penalties right?

They'll be paying for those 'best years of Richards' for some time to come.

Yeah I think they'd be happier with a smaller cap penalty over longer years.

Again, the cap penalties will be roughly the same as if they had bought him out in June.

Roughly $2.8M-per - I'm guessing Richards gets all the money owed him; spread out.

(only the two seasons mentioned above would have been significantly higher - double?)

Island Nucklehead wrote: I know we've been a suffering fan-base for a long time, but I'd take all those penalties if it meant winning 2 cups.

Of course.

Topper wrote:Duck's owner says losses in the double digit millions....expansion ho

http://www.thescore.com/nhl/news/850210

I'm not sure I'm going to believe the guy who's been accused of lying to securities regulators as many times as he has.

The team is also estimated to have gone up 500% in value since he purchased it 10 years ago.

Yeah the guy is worth a couple billion. I don't think losing $10-$15M is going to make him lose any sleep.

BurningBeard wrote:

Topper wrote:Duck's owner says losses in the double digit millions....expansion ho

http://www.thescore.com/nhl/news/850210

I'm not sure I'm going to believe the guy who's been accused of lying to securities regulators as many times as he has.

The team is also estimated to have gone up 500% in value since he purchased it 10 years ago.

Exactly, his team has increased in value by an average of $30M per year X 10 years = $300M.

Then he has the nerve to whine about revenues being down of late.

Hell, the super-low-interest loans he receives as an NHL owner alone

... are worth much more to a billionaire than the piddly amount he's whining about.

Cheap mutherfucker is just making bogus excuses for not spending to the Cap + going all out for the Cup.