Melnyk's Financial Woes: Melnyk's Budget Edition

Ev wrote:
and there's no reason to buy into what Travis Yost is saying either

What does this have to do with Yost? I am basing my comments based on what Melnyk has said and how he contradicted what Murray said.  The mixed signals coming out of the organization aren't encouraging at all.

NEELY wrote:
The cap floor in 2 years will be more than what the Sens are spending now anyways.  Either way, not overly concerned myself and yah, people are way too bored man.

So we'll be a cap floor team like the Islanders in 2 years time. Awesome !

None of this is coming from Yost. Melnyk said himself we can't afford to spend, we'll be a floor team, we'll be an underdog, etc etc. Melnyk is the problem, and he needs to go.

I'm excited about the upcoming season. We have a great team. Based on Melnyk's comments, we won't be able to keep this team together.

tim1_2 wrote:None of this is coming from Yost.  Melnyk said himself we can't afford to spend, we'll be a floor team, we'll be an underdog, etc etc.  Melnyk is the problem, and he needs to go.  

I'm excited about the upcoming season.  We have a great team.  Based on Melnyk's comments, we won't be able to keep this team together.

I hear Basille is still looking... except BB isn't worth anything anymore. Good luck finding anyone willing to invest long term on a Canadian sports franchise when it looks like the Canadian dollar is going to be devalued in the short future.

Anyways, you sound like a bitter ex-wife that didn't get what they wanted.

tim1_2 wrote:None of this is coming from Yost.  Melnyk said himself we can't afford to spend, we'll be a floor team, we'll be an underdog, etc etc.  Melnyk is the problem, and he needs to go.  

I'm excited about the upcoming season.  We have a great team.  Based on Melnyk's comments, we won't be able to keep this team together.

Nobody will be able to keep their whole team together under a salary cap.

They're not stupid, they will re-up their core players.

Melnyk has this female orgasm thing coming as well.

tim1_2 wrote:

NEELY wrote:People saying Melnyk won't be able to spend in 2 years are talking out of their collective a**holes... in the same breath he could be worse off, no one knows.  People want to sweat about what's going to happen in 2 years?  Sure go ahead.  I'm going to enjoy the best Sens team since 2007 for the next couple years and worry about something I have no control over after that if I even need to.

And people saying he WILL be able to spend in 2 years are also talking out of their behinds.  Right now, there is absolutely no reason for optimism.  The best we can hope for is that some of his other businesses turn around and he can pay off some debt.  The problem isn't the Ottawa Senators' finances...it's Melnyk's personal finances that are the problem.

Also no reason to have any kind of opinion on Melnyk's personal finances because you don't know jack other than what he says on the radio or in the papers and depending on which paper or interview you pay attention to he's saying one thing to one person and something else to someone else.

Again, the picking and choosing of what he says here is unbelievable.

Ev wrote:

tim1_2 wrote:None of this is coming from Yost.  Melnyk said himself we can't afford to spend, we'll be a floor team, we'll be an underdog, etc etc.  Melnyk is the problem, and he needs to go.  

I'm excited about the upcoming season.  We have a great team.  Based on Melnyk's comments, we won't be able to keep this team together.

Nobody will be able to keep their whole team together under a salary cap.

They're not stupid, they will re-up their core players.

Melnyk has this female orgasm thing coming as well.

Dude, let them freak out because they are the only ones getting upset, lol. Frigging chicken little's, cousin of Brian Little who Winnipeg somehow resigned!

Raise ticket prices... pretty simple. Not a drastic amount. Teams with a huge corporate ticket base can raise ticket prices through the roof and those corporations will still buy... because it's not their own personal cash. They just write it off as a business expense.

In hindsight, maybe Alfie should have requested a trade to a contender when the Sens started the re-build/re-tool a couple of seasons ago.. The Sens would have gotten a very good return... and Alfie would have had a chance of Cup runs... or even won it..

I think the Sens took for granted Alfie would always be a Senator... But Alfie's contract demands were beyond ridiculous...

sandysensfan wrote:Raise ticket prices... pretty simple.  Not a drastic amount.  Teams with a huge corporate ticket base can raise ticket prices through the roof and those corporations will still buy... because it's not their own personal cash.  They just write it off as a business expense.

In hindsight, maybe Alfie should have requested a trade to a contender when the Sens started the re-build/re-tool a couple of seasons ago..  The Sens would have gotten a very good return... and Alfie would have had a chance of Cup runs... or even won it..

I think the Sens took for granted Alfie would always be a Senator...  But Alfie's contract demands were beyond ridiculous...

Whoa whoa!!! Can't do that, that would upset the fans! Doesn't matter if that's exactly what they should be doing or not.

Hoags wrote:

Ev wrote:
and there's no reason to buy into what Travis Yost is saying either

What does this have to do with Yost? I am basing my comments based on what Melnyk has said and how he contradicted what Murray said.  The mixed signals coming out of the organization aren't encouraging at all.

NEELY wrote:
The cap floor in 2 years will be more than what the Sens are spending now anyways.  Either way, not overly concerned myself and yah, people are way too bored man.

So we'll be a cap floor team like the Islanders in 2 years time.  Awesome !

seriously, the prospect of being a cap team is sending the wrong message to the players. it says we're not committing 100% of our resources to winning a cup.
I think players understand that you have to save cap room to resign players but they won't find it great the policy is to stay near the cap floor. sure you can re-up players within the organization but i'm sure the players would love it if they knew the team would be all in into bring thru trade or UFA some top names if ever some became available without having to consult the pocket book.

I think Melnyk might be posturing a bit in order to get his god damn casino but it's a stupid tactic, it's harmful for the future of the team and it doesn't show devotion to the team.
I'm not saying replace him but if the rumors were true about looking for other investors, he might want to get on that pronto.

NEELY wrote:

sandysensfan wrote:Raise ticket prices... pretty simple.  Not a drastic amount.  Teams with a huge corporate ticket base can raise ticket prices through the roof and those corporations will still buy... because it's not their own personal cash.  They just write it off as a business expense.

In hindsight, maybe Alfie should have requested a trade to a contender when the Sens started the re-build/re-tool a couple of seasons ago..  The Sens would have gotten a very good return... and Alfie would have had a chance of Cup runs... or even won it..

I think the Sens took for granted Alfie would always be a Senator...  But Alfie's contract demands were beyond ridiculous...

Whoa whoa!!! Can't do that, that would upset the fans!  Doesn't matter if that's exactly what they should be doing or not.

are really ticket prices the big deal anyways? isn't more Television rights? corportate sponsors? those are the two things that are very different then what other cities have in canada.

NHL is a gate driven league, it's all about ticket sales.

Ev wrote:
Nobody will be able to keep their whole team together under a salary cap.

They're not stupid, they will re-up their core players.

Melnyk has this female orgasm thing coming as well.

Most teams are limited by the salary cap.

We are limited by a budget which is much lower than the cap.

Guess which one makes it harder to retain your core players?

As for the female orgasm thingy, Melnyk can't take money from a public pharmaceutical corporation and put it into the Senators.

I find it funny how people are unwilling and unable to understand that Melnyk is holding this team back. Melnyk said as much himself. So hopefully he strikes gold sometime this season, and we can afford to actually not be 29th in the league in salary.

tim1_2 wrote:
And people saying he WILL be able to spend in 2 years are also talking out of their behinds.  Right now, there is absolutely no reason for optimism.  The best we can hope for is that some of his other businesses turn around and he can pay off some debt.  The problem isn't the Ottawa Senators' finances...it's Melnyk's personal finances that are the problem.

And you base that opinion on what, exactly? Did he have to sell his place in Bermuda and move into a small townhome? Is he driving a 4-year old Chevy? How can *any* of us know what's going there and how it's affecting the Sens, if at all? The Sens, as a business, are not in trouble. Worst case, if Melnyk needs to raise capital for himself he can sell the team, or a part of it. Debt load an all, it's still worth over $200M, and is generating $14.5M/year in earnings.

Hoags wrote:

tim1_2 wrote:
And people saying he WILL be able to spend in 2 years are also talking out of their behinds.  Right now, there is absolutely no reason for optimism.  

Bingo.  No reason at all to be optimistic right now based on what is being said.

Look, are we cheering for the team or for the owner? If Melnyk has to sell the team, is there a need to be concerned? We had the sixth highest attendance in the league, we have a Norris winning D-man, a Jack Adams winner behind the bench, a perennial 30-goal scorer "coming in hot", the best goalie and a plethora of young prospects. They are not going to move this franchise -- what would Habs and Leafs fans do to find tickets to see their team?

Ev wrote:

tim1_2 wrote:None of this is coming from Yost.  Melnyk said himself we can't afford to spend, we'll be a floor team, we'll be an underdog, etc etc.  Melnyk is the problem, and he needs to go.  

I'm excited about the upcoming season.  We have a great team.  Based on Melnyk's comments, we won't be able to keep this team together.

Nobody will be able to keep their whole team together under a salary cap.

They're not stupid, they will re-up their core players.

Melnyk has this female orgasm thing coming as well.

Oh, I see what you did, there.

wprager wrote:  Worst case, if Melnyk needs to raise capital for himself he can sell the team, or a part of it.  Debt load an all, it's still worth over $200M, and is generating $14.5M/year in earnings.  

How do you know what $14.5M/year is accurate? The Sens finances are private, no one outside the organization knows.  Forbes just estimates which may or may not be correct.

It seems he current level of spending is what the team can sustain on its own without going into the red.  This team doesn't generate the kind of money the big markets do.

It also seems Melnyk cannot afford to put any more of his own money into the team like other owners, which makes sense if all of his businesses are doing bad as Yost seems to have found out.

So the team has to generate more money to keep up with an increasing salary cap, primarily by raising ticket prices.

Now if the Ottawa market can't sustain higher ticket prices then we have a problem.

wprager wrote:
Look, are we cheering for the team or for the owner?  If Melnyk has to sell the team, is there a need to be concerned?  We had the sixth highest attendance in the league, we have a Norris winning D-man, a Jack Adams winner behind the bench, a perennial 30-goal scorer "coming in hot", the best goalie and a plethora of young prospects.  They are not going to move this franchise -- what would Habs and Leafs fans do to find tickets to see their team?

Who said anything about relocation?

What if he doesn't want to sell the team? If he can make money by keeping the team near the floor why would he sell?

If Melnyk cannot make money in a Canadian market then why not? Is it a bad owner mismanaging the team or is it a bad market where it's not possible to spend a lot on salaries without pouring your own money into the team on top of what the team and arena makes?

No one knows what's going on? I imagine there are ongoing debt payments on the loan used to buy the team. I figure someone who's been in trouble with the OSC before isn't getting the best rate either.

tim1_2 wrote:I find it funny how people are unwilling and unable to understand that Melnyk is holding this team back.  Melnyk said as much himself.  So hopefully he strikes gold sometime this season, and we can afford to actually not be 29th in the league in salary.

We'll be 28th when Cowen is signed. We will still be 30th when it comes to age. Look at the Oilers. They are 3rd in payroll and are also very young. How did that work out for them?

Would you rather Melnyk spent like Snider? Dolan? Vinnik? Katz? Pegula? Well, Pegula from a couple years ago.

Did you know we are only $6M behind the Leafs? And that could drop after Cowen is signed.