The answer is no, The comments I am posting below were made by a former owner of the Jets, and were filed with the city of Winnipeg and the NHL in late 2006.
Second of all, don't blame Bettman, Shenkarow put the team up for sale in 1990, and finally sold it in 1994.
One of Shenkarow's colleagues inquired about Pittsburgh Penguins and the following are his comments...this is an only an excerpt that was filed with the NHL after the group had discussions with Mario
Over the last 10 years, many people have been asking me why Winnipeg doesn't have an NHL franchise. I keep telling the same answer. The city can't afford to support it.
From 1987 through 1994, the Winnipeg Jets payroll increased from $6.3 million dollars to $29.8 million dollars. The current salary cap in the NHL is $44 million
Here is what the costs were in 1994
Players $29,754,000.00 USD
Staff $3,480,000.00 USD
Manitoba Taxes $1,200,000.00 USD
Winnipeg Taxes $ 380,000.00 USD
Winnipeg Arena Lease $ 2,650,000.00 USD
Travel Costs $ 1,650,000.00 USD
Hydro for Winnipeg Arena $ 1,750,000.00 USD
Water for Winnipeg Arena $ 1,100,000.00 USD
Ice Making Costs $ 1,200,000.00 USD
Advertising $ 2,000,000.00 USD
Total Costs $45,164,000.00 USD
Ticket Revenue $20,320,625.00 USD
Corporate Revenue (Total) $ 8,000,000.00 USD
Local Television/Radio $ 2,800,000.00 USD
CBC $ 3,600,000.00 USD
ESPN $ 1,200,000.00 USD
Revenue Sharing $ 4,000,000.00 USD
Total Revenues $39,920,000.00 USD
In 1993-94 we lost $5,200,000.00 USD, as one of the lowest payrolls
Here is what we projected for 2007 if we had bought the Penguins. The costs associated are after discussions with the city of Winnipeg and the Province of Manitoba for tax breaks. The MTS Centre currently holds less than 14,000 for hockey, and as such, we will be using an average ticket price of $100 USD (more than twice the price in
Players $45,000,000.00 USD
Staff $5,000,000.00 USD
Manitoba Taxes $1,000,000.00 USD
Winnipeg Taxes $ 300,000.00 USD
Winnipeg Arena Lease $ 2,000,000.00 USD
Travel Costs $ 3,000,000.00 USD
Hydro for Winnipeg Arena $ 3,700,000.00 USD
Water for Winnipeg Arena $ 2,000,000.00 USD
Ice Making Costs $ 2,000,000.00 USD
Advertising $ 5,000,000.00 USD
Total Costs $69,000,000.00 USD
For revenues, The MTS Centre currently holds less than 14,000 for hockey, and as such, we will be using an average ticket price of $80 USD (more than twice the price in 1994). We have had discussions with several large corporations but we are unable to significantly increase corporate revenue. Television revenue is also scarce in Manitoba as well so no significant increase there.
Ticket Revenue $45,920,000.00 USD
Corporate Revenue (Total) $10,000,000.00 USD
Local Television/Radio $ 3,000,000.00 USD
CBC $ 4,5000,000.00 USD
NBC/Versus $ 2,000,000.00 USD
Revenue Sharing $4,400,000.00 USD
Total Revenues $69,820,000.00 USD
So, at an average price of $85 Cdn per seat, we can make a profit. Our consultants have advised us that the maximum the market will bear is $56.00 (Cdn)/seat Which would leave us with a shortfall of almost $16,000,000 USD
2007-09-10 15:45:52
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answer #1
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answered by Like I'm Telling You Who I A 7
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