Pens stand to lose $7mil this season

[Fire0nIce228 1]

For those that havn't heard, I didnt see it on here or NHL.com, the Pittsburgh Penguins announced that even if they sold out every home game, and the first 2 rounds of the playoffs, they will still lose $7 Million. And, the Pens are still several million dollars under the cap. This screams new arena if you ask me.

[kosydar 0]

I'm sorry, but this is shit. The entire NHL system was changed to help out teams exactly like the Pens. If they can't at least break even, they need new management, a new location, or both. I don't understand how a new arena in the same town would do much to help the situation.

[Fire0nIce228 1]

I was just thinking along the simple lines of if they can fit more people in an areana more times (like sell out, only instead of 16,000 it could be 20,000+) they'd make more money. Plus better food and stuff, like PNC park has a quaker steak and lube, outback steakhouse, etc. that tons of people go to and pay ridiculous amounts of money for, and I'm sure the Pirates get some of that. At the civic arena, you can only get the normal hotdogs, nachos,beer and soft pretzels. Maybe some ice cream. They dont have anything sweet like PNC and Heinz field. Thats what I'm thinkin..

[Chadd 916]

At $40 a ticket x 16000 fans x 41 regular season home games + $9M local TV deal they have about $35.25M in income. Now that doesn't count the $6M or so from the National TV contract or concessions or parking or merchandise.

That money has to go to player payroll, arena lease, non player payroll, travel expenses, various taxes, etc...

If they can't make a profit in that town, pack 'em up and send them on their way.

[Rustybender 0]

I can't find the article (link people, link!) so if I missed something forgive me.

If a team knows that they are going to lose money, then they really only have three choices.

• Live with the loss
  
• Cut costs
  
• Increase revenue
  

If you are going to lose money, then you either need to increase ticket prices or decrease expenses. If the Pens can't make enough to meet their expenses, then shame on their accountants for not figuring that out before they set their ticket prices and signed all those players.

And as mentioned above, there is alot of money to be made in concessions. $6 beers bring in alot of money.

[Chadd 916]

Rediculous....

Maybe they should have done their math before signing so many players. What did they think...They are going to win the cup?

OK, I'll offer up my conspiracy theory that I came up with a month or so ago. The team is going to spend enough to put a competitive team on the ice and lose money, no matter what. Then when they don't get a new arena, they can honestly say that they tried to put a good team on the ice and they can no longer survive in Pittsburgh. Meanwhile they have a team that is attractive to other markets like Houston, Vegas, Portland, Hartford, Winnipeg, etc...

[ryno 0]

If I remember right the Pens have a terrible arena lease also. I'm not siding with or against what they are saying but that doesn't help their financial situation either.

[Chadd 916]

If I remember right the Pens have a terrible arena lease also. I'm not siding with or against what they are saying but that doesn't help their financial situation either.

They had a bad lease before they filed for bankruptcy but they essentially got to dictate terms on the new one. In fact, they were given the chance to assume managament of the arena at one point but declined.

[Eazy_b97 1]

Why is this allowed? If a coach/ref complains about a ref,they are fined. If a team bitches about losing money, when they are well above the cap floor and signed some high price guys, they shouldn't be allowed to even talk about it. After the season, fine, but as of right now they should sit there, and shut up. They are loving this media attention, this should be something hush hush right now, not something it appears the Pens are proud about.

[kosydar 0]

The more I think about it, the more pissed I get. What else do the Pens want? The entire NHL was changed for their benefit (along with a few other teams). And more importantly, they got the highest profile prospect since Mario (who they still have!). Seriously, f the Pens.

[shute 4]

i agree... they just went crazy this summer signing everyone and anyone they could get their hands on... even if they didn't sign two of their high end players say recchi and leclair they would still be a power house team and save almost 7 million... it's their own dump ass fault. EVEN without those two they'll still have crosby, lemieux, palffy, gonchar, tarnstrom, Malone (had 22 goals last nhl season) thibault, marc andre fleury!!! to top it off they'll get Malkin next year who is a shoe in for rookie of the year! makes me sick! move those cry babies or just kill the team and give crosby to the oilers!

[Eazy_b97 1]

The worst part is I think they wasted money on Gonchar and Tarnstrom. Both are mostly PP guys and they'd be better of with their 5 fwd PP IMO. LeClair was an odd addition and theres guys like Perrault out there without a contract (they are a little shallow at center). I don't get it. If you don't have the money, don't spend it.

[Dangles 0]

Pack 'em up and send them on their way.

I'll keep on saying it.. here comes Winnipeg.

[Chadd 916]

Pack 'em up and send them on their way.

I'll keep on saying it.. here comes Winnipeg.

I only see that if every other city falls through.

[chilaxin12 2]

Pack 'em up and send them on their way.

I'll keep on saying it.. here comes Winnipeg.

I only see that if every other city falls through.

I would expect Winnipeg to get a team before Hartford, I think its been made pretty clear by bettman on what he thinks of hockey in Hartford.

[kosydar 0]

I still see Portland as getting one. They have great attendance for their WHL team as it is. Its wishful thinking, but I really think it could survive well in Portland.

[Chadd 916]

Pack 'em up and send them on their way.

I'll keep on saying it.. here comes Winnipeg.

I only see that if every other city falls through.

I would expect Winnipeg to get a team before Hartford, I think its been made pretty clear by bettman on what he thinks of hockey in Hartford.

Personally, I don't see either city having a team I was just trying to include every city that had been rumored to get a team. I did leave out KC though, oops. I still think it would make more sense to have a second team in the GTA before putting a team in another city. NYC has 3 teams and LA has 2. There's no reason that roughly 1/4 of the entire Canadian population can't handle 2 teams in the same market.

[McCabe#1 0]

I don't think there will ever be another team in the Toronto area, because the Leafs will not allow it. They did not want a team in Hamilton, and they will never want another team in the city.

[Chadd 916]

I don't think there will ever be another team in the Toronto area, because the Leafs will not allow it.  They did not want a team in Hamilton, and they will never want another team in the city.

Hamilton would have hurt the Sabres as well. At least that was one of the arguements against that option. I agree that the Leafs don't want it, but it makes more sense than a lot of the other options I've seen.

[Eazy_b97 1]

Hamilton doesn't have an arena and they were a big fad town. We've already lost an AHL franchise and have had on and off success with the current team. The Ti-Cats are hit and miss as well. It's not a good fit really. I think the best option was to have the Baby Leafs come here, but with them in Toronto that becomes very unlikely.