According to Nick Kypreos, the two compliance buyouts that each team is entitled to can be used in the summers of 2013 and 2014 only.
He adds that teams have the option to use both buyout at once.
Chris Johnston writes that the buyouts will cost the teams 2/3rds of what is remaining on the deal.
The Rangers are expected to use one of their buyouts on Wade Redden.
THIS SECTION is about the buyouts.
Arthur Staple of Newsday tweets that with two buyout options the Rangers will use one of them on Wade Redden and could use the other one on Marian Gaborik.
The buyout takes effect prior to the 2013-14 season and 2013-14 is the last season that Gaborik is under contract.
Staple writes “As for Gaborik, guy played his rear off in 11-12, played w/ pain. Tough to drop him. But need to lock up McDonagh/Stepan/Kreider greater.”
Gaborik’s cap hit is $7.5 million and he has a no-trade clause.
Adam Rotter: I think a more likely route would be Gaborik getting traded rather than bought out. Gaborik has far too much value to just be sent away for nothing, but cap space, because of his cap number.
10:54AM: Elliotte Friedman tweets that this “is quite the concession from players…proof that NHL was going to hold firm on money being “outside the system.” But, remember “Nothing is done until everything is done,” as one source says.
10:12AM: Michael Grange tweets that the NHL has agreed to TWO amnesty buyouts prior to the 2013-14 season.
Grange also notes that the two sides have agreed on year to year salary variances of 20%
9:49AM: According to Damien Cox in the Toronto Star, the NHL has reportedly agreed to allowing TWO players from each team to receive an amnesty buyout.
Last week the league proposed ONE amnesty buyout,before 2013-14, that would count against the players share but not against the salary cap.
The player would still receive his money but it would not count against the salary cap.
Wade Redden is expected to be bought out by the Rangers.
The NBA CBA has a clause allowing teams FIVE years to use their amnesty clause on a player whose contract was signed before the 2011-12 lockout.
Adam Rotter: If there are two buyouts, and the Rangers are allowed to buy out Redden before the start of this season, I would think that Mike Rupp would be a strong candidate to be bought out before the start of next season. The cap is coming down and the time of paying over $1 million for fourth line players appears to be over. Rupp would have one year left on his deal at $1.5 million and Michael Haley, while not as polished a player or the locker room presence that Rupp is, is due $600,000 next season. John Tortorella is a big fan of Rupp, but it becomes a numbers game and unless Rupp makes a bigger impact on the ice, the team can’t afford to pay him that much with other players needing that cap space.
At ESPN.com, Craig Custance goes team by team and lists out the most likely candidate for each team to use their compliance buyout on.
Custance only thinks of seven candidates that could be cut but only lists two as “extremely likely.” Those players are Wade Redden and Scott Gomez.
Custance lists no other possible candidates for the Rangers to use the amnesty on and says that Redden needs to go to make room for the contracts of Michael Del Zotto, Derek Stepan and Ryan McDonagh.
In the NY Post, Larry Brooks writes that with some of the new rules and regulations that the NHL is proposing for the CBA will have big impact on how the Rangers construct their team.
Wade Redden’s cap hit will stay with the team even if he is sent to the minors, which is all but certain to happen unless he is claimed on waivers, and will leave them around $5 million or so in the transitional cap to fill out the rest of the team.
Redden’s cap hit will be $5.85 million, instead of $6.5 million, because the league proposal asks for the cap hit to be the difference between the players cap hit and the proposed minimum salary of $625,000.
Brooks writes that it is unnecessary for the league to make teams wait until June to use the compliance buyout as if a player they plan to buy out is seriously injured and thus made ineligible to be bought out.
Bruce Garrioch, in the Ottawa Sun, spoke with an executive who said “Not all the teams are going to like this. They’re going to have their work cut out for them if this becomes a reality,” said a league insider. “You’re going to see a lot of players on the move, with teams trying to scramble to that kind of cap.”
Bill Daly was on Hockey Central at Noon with Darren Millard, Nick Kypreos and Doug MacLean on earlier and said:
- On five-year limits, Daly said that the owners felt like they bought five-year contract limits by walking away from free agency and salary arbitration demands along with the extra $100 million in make whole money.
- Daly says that the players have received a lot of benefits, including a pension, discipline, system flexibility including adding money in trades, salary cap exceptions and removing re-entry waivers, and revenue sharing, that they indicated were important. He adds that there are more restrictions on buyouts and no-trade clauses, reforming training camp, raising the qualities of the visiting team facilities.
- He expects that the players will “overwhelmingly” support the disclaimer of interest
- Doug MacLean asks if the NHL is seriously contemplating shutting down the season over the issues of contract and CBA term, escrow and compliance issues. Daly says “we are prepared to shut down the industry over doing a deal that isn’t right for our owners.”
- “There are a large number of issues that they want to compile into a small number. Even their small numbers understate how many issues there are”
- The PA proposal of a $67.25 cap that never goes down is “simply unacceptable” to the owners as are buyouts and caps on escrow since that is money outside the system
- On the damage to the NHL, Daly said “it’s a crap shoot right now”
- On the 50/50 split, Daly said “until we settle on the financial issues suggesting that we have a 50/50 split is wrong. It is just not accurate.”
- Daly says that a buyout isn’t something that clubs necessarily want and suggests trades instead as those would bring something of value back to the team.
- On having a date in mind to cancel the season, Daly “As we move toward the end of December we need to look at how many games we can play. We have a general sense of when we need to be playing hockey by and that is mid-January.”
- “To suggest that we are almost on top of each other would be overstating it to the extreme.”
Dan Tencer tweets:
- Elliott Friedman asked Daly straight up for a yes or no answer…Will we have a season? Daly said yes.
- It was weird. Friedman told him he couldn’t say “I don’t know” and Daly listened. He obviously can’t say no…but…just shouldn’t answer.
Darren Dreger says that while contract term and CBA term are still the biggest issues, the PA’s insistence on a salary cap of $67.25 million, compliance buyouts and a cap on escrow are still big hurdles for the NHL.
Dreger adds “As players enter next stage of disclaimer of interest, NHL says its litigation is defensive + resolution can only come from negotiating.”
He says that the problem with that comes from the fact that neither side is that eager to get back to negotiating or to make the next move.