As many citizens of the State of Hockey are aware, news broke recently of the Minnesota Wild having lost $30 Million over the course of the 2012-13 season. It started with Charley Walters’ Pioneer Press article stating that “a little birdie” had mentioned that the Wild had lost the previously stated amount of cash. It has since been removed, likely due to the fact that Nordy–Minnesota’s mascot–has probably already eaten the little birdie that sung. Walters’ article then led to Adrian Dater’s article, which was picked up by Greg Wyshynski over at Puck Daddy and then led, ultimately, to an article by former Gone Puck Wild writer Monica McAlister over at Kukla’s Korner titled, “Could Minnesota Lose Another Team?”
Per McAlister’s article:
Reports are out that the Minnesota Wild have recorded a $30 Million loss this past season; according to Charley Walters of TwinCities.com out of St. Paul.
Is the State of Hockey at risk of losing their second National Hockey League Franchise?
It has been 20 years, nearly to the day, that the Minnesota North Stars packed up and moved to the sunbelt and became the Dallas Stars; and low attendance and lost revenue during seasons where the team did not play up to the standards of their fan base.
The NHL granted Minnesota the Wild in the 2000-01 Season (though announced back in 1997 that the team would be part of the expansion); and after finally making the playoffs this season after not qualifying for the past four seasons.
The lockout may be in part to blame for the $30 Million loss this past season. If the season had started on time than there would have been more revenue generated – but also more money paid out to employees’ and game day crew.
Another hit to the books for the Wild would be the $10 Million bonuses’ for each Zach Parise and Ryan Suter. The two big ticket UFA’s from last summer where each awarded a lockout proof bonus.
A short term financial fall has hit the State of Hockey: the questions that remain to be answered is if it is just a case of spending money to make money or if this hit is just the start of a financial mess with economic down times across the country? or may Minnesota lose another NHL franchise in the coming years?
Time can only reveal the answers to these questions.
Okay, first off…breathe…just…breathe. The sky is still green and the grass is still blue–wait–that’s not how that was supposed to come out. You get the picture.
There are a few things that are very important to remember here. It was already stated last fall that the team would lose $1 Million per every home game lost due to the lockout. That doesn’t just apply to one NHL franchise–it applies to the other 29, as well. In fact, the team is sitting pretty good if that’s the case.
According to Walters:
A little birdie says the Wild lost $30 million during their abbreviated 2012-13 season, and a cash call was made to team investors in February. The Wild paid bonuses totaling $20 million to sign free agents Zach Parise and Ryan Suter.
That means Minnesota lost $20 Million due to bonuses, and $10 Million due to lost home games. There are more than 10 home games in the first half of the season, which means Minnesota was able to gain some ground as the season progressed and the team made the playoffs for the first time in the Obama administration. How was Minnesota able to gain some ground? Well, the team finally had some superstars and promising youngsters to build around, and fans felt comfortable enough to whip out their wallets and slap down some cash in support of their favorite team.
Bottom-line, if Minnesota continues in the right direction as a franchise, they can’t go wrong in the State of Hockey.