Former Ottawa Senators executive sues Melnyk, team for $1.55M

jason2020

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Sep 24, 2014
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For years Ottawa was out drawing mega markets in terms of attendance so would I call it a soft market no as for public sector workers in Ottawa-Gatineau there is 180,000 however there is 450,000 in the private sector so don't act as if every one is a public sector worker.
 

jason2020

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Sep 24, 2014
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Obviously from the outside, there's very little conclusively we can comment on. There's just too much smoke around him (Melnyk) at this point and it's going to negatively impact the organization more and more I fear.

What I will say, or rather, predict, is that ownership-wise, we may look back on the Melnyk era as dark times in the organization's history. I appreciate that he bought and stabilized the franchise in Ottawa post-Bryden, but for years now it's been nothing but cheapness, being a loud-mouth, meddling, alienating (both fans and very likely players around the league and within the organization) and being more of a distraction than anything.

I don't disagree with the concept of canning a high-paid employee who isn't delivering, but maybe Melnyk should swallow his pride and look at himself in the mirror as the root cause of what ails the Sens. I'll always support the Sens for my love of the team regardless of who owns them, but Melnyk is a giant turn-off and when this kind of inter-office stuff starts up now, it's turning into a special kind of poison.

I used to officiate a lot of Cyril Leeder's son's minor hockey games way back when and from knowing the guy in that context, Melnyk really f***ed up turfing him. He is a great man. I hope OSEG brings him into their fold. Obviously, the politics of his firing is starting to reveal itself more with this coming to light. The last thing I'll say about Melnyk's tenure as owner is this: the REDBLACKS (whether they won a Grey Cup last season or not) have shown more of a commitment to winning in 3-seasons than Melnyk has during his entire time as owner of the Sens. We aren't in a good spot for retaining or attracting talent anywhere as long as he's in charge, both because of his attitude and his pocketbook.

I know its easy to think things are greener with OSEG but there is a difference between a Cfl cap of what 5 million and the Nhl of 75 million if the were to buy the team I could would not expected much to change in term of spending until the new arena is built.
 

Holdurbreathe

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gbl1p

For years Ottawa was out drawing mega markets in terms of attendance so would I call it a soft market no as for public sector workers in Ottawa-Gatineau there is 180,000 however there is 450,000 in the private sector so don't act as if every one is a public sector worker.

http://business.financialpost.com/n...-hampering-employment-opportunities-in-Canada

This is becoming an increasingly greater problem for the Private Sector, since all levels of Gov't are offering bigger salaries and better benefits than the Private sector can afford.

I read an article recently where over 50% of the workforce in Ontario is now employed by various levels of gov't.

While in the past Ottawa may have outdrawn larger markets, the High Tech sector and ticket price points were likely major contributors.
 

Holdurbreathe

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I know its easy to think things are greener with OSEG but there is a difference between a Cfl cap of what 5 million and the Nhl of 75 million if the were to buy the team I could would not expected much to change in term of spending until the new arena is built.

You are right, there is no comparison in the costs of running an NHL franchise to that of the CFL team.

It is also much easier for the majority of football fans to pay for tickets for 9 home dates as opposed to the 41 in the NHL.
 

jason2020

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You are right, there is no comparison in the costs of running an NHL franchise to that of the CFL team.

It is also much easier for the majority of football fans to pay for tickets for 9 home dates as opposed to the 41 in the NHL.

I do think OSEG would like to buy the team at some point and maybe they make Melynk a offer he can't ruse.
 

jason2020

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http://business.financialpost.com/n...-hampering-employment-opportunities-in-Canada

This is becoming an increasingly greater problem for the Private Sector, since all levels of Gov't are offering bigger salaries and better benefits than the Private sector can afford.

I read an article recently where over 50% of the workforce in Ontario is now employed by various levels of gov't.

While in the past Ottawa may have outdrawn larger markets, the High Tech sector and ticket price points were likely major contributors.

The 50% is very scary what I think makes it worse is add in contractors and your looking more around 80% that depend on the public sector in one way or another.
 

Holdurbreathe

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I do think OSEG would like to buy the team at some point and maybe they make Melynk a offer he can't ruse.

Possibly but I don't think the current group behind OSEG can afford to buy the team now and that cost will rise dramatically once the new arena is built.

There are very few wealthy individuals that want to lose money on a consistent basis and until the market shows it will support an NHL team at average Canadian franchise prices, losing money is almost guaranteed without internal budgets.
 

jason2020

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Possibly but I don't think the current group behind OSEG can afford to buy the team now and that cost will rise dramatically once the new arena is built.

There are very few wealthy individuals that want to lose money on a consistent basis and until the market shows it will support an NHL team at average Canadian franchise prices, losing money is almost guaranteed without internal budgets.

Downtown will be very different with lrt you add in Trinity wants to build a massive complex near the new arena so that alone you could see a huge change.
 

MarkZackKarl

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Possibly but I don't think the current group behind OSEG can afford to buy the team now and that cost will rise dramatically once the new arena is built.

There are very few wealthy individuals that want to lose money on a consistent basis and until the market shows it will support an NHL team at average Canadian franchise prices, losing money is almost guaranteed without internal budgets.

Why do you always qualify your statement with other Canadian teams. You do realize the sens are top half in league in revenue with no playoff success right? How can 15 other teams in the league below Ottawas revenues be Ok? Our media revenues are top half as well.
 

ottawah

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Ottawa does have a fair size corp base just look at the Ottawa high tech sector its on the rebound big time Shopify as one example just announced they will triple work force to well over 2500 many other company have announced big hiring sprees as well and with Ford coming that is a huge company.

Well, yes, but the team is moving away from the high tech area and into the government area. I would think at best they can hope to maintain the current private sector support (high tech for sure) going forward.
 

jason2020

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Dr.Sens(e)

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We are consistently the bottom team in Canada when talking about revenue.

https://www.statista.com/statistics/193744/operating-income-of-national-hockey-league-teams-in-2010/

When you have Montreal with an operating income of 76.9 million, Toronto at 68 million, and even Winnipeg at 11.4....with Ottawa last in Canada at 6.3 (tied for 15th overall with Colorado)....that's not much to play with.

Ottawa revenue is very misleading, as all related party transactions are not included. Many of the Sens expense lines going right to Melnyk given he owns the parking, building and some other related party transactions that are carved out of Sens specific revenue.

Many other teams have the building and related revenues as part of the actual franchise.

As such, Sens revenue and profitability is consistently misleading.
 

jason2020

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Ottawa revenue is very misleading, as all related party transactions are not included. Many of the Sens expense lines going right to Melnyk given he owns the parking, building and some other related party transactions that are carved out of Sens specific revenue.

Many other teams have the building and related revenues as part of the actual franchise.

As such, Sens revenue and profitability is consistently misleading.

If you look around the league very few teams own there building out right meaning its a lease or its funded by public money.
 

Dr.Sens(e)

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If you look around the league very few teams own there building out right meaning its a lease or its funded by public money.

Yeah, but those teams gets a % oon parking, concessions and other things in those scenarios. The Sens don't get any % of those revenues because their owner owns the entire revenue chain and gets 100% of those revenues through his other company.

If you add in the other revenue the CTC gets from other events, the revenue and profit picture looks even better for Melynk.
 

BK201

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Apr 11, 2011
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If you look around the league very few teams own there building out right meaning its a lease or its funded by public money.

To be fair we all think he lost most of his money in his divorce and looks like another $145 million( might be less based on market cap or might be what he put in unsure, usually you can only start sueing after $100,000 loss on stock shares so assumed it was straight loss) on an investment in Acerus as he was seeking $145 million in damages here http://www.theglobeandmail.com/repo...erus-for-gross-mismanagement/article29089461/.

Basically we think he is now a millionaire possibly not able to run the team at a loss ever, is struggling financially,has sacraficed product for dollar since 2011 and is a weasel. He lies about agenda's to fans and a lot of people feel his frugalness is getting in the way of our team being the best it can be and what were icing now.

To make it worse we also feel he is hiding revenue through the venue and making it look worse than it is which is also weaselly.
 
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jason2020

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Sep 24, 2014
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To be fair we all think he lost most of his money in his divorce and looks like another $145 million on an investment in Acerus as he was seeking $145 million in damages here http://www.theglobeandmail.com/repo...erus-for-gross-mismanagement/article29089461/.

Basically we think he is now a millionaire possibly not able to run the team at a loss ever, is struggling financially,has sacraficed product for dollar since 2011 and is a weasel. He lies about agenda's to fans and a lot of people feel his frugalness is getting in the way of our team being the best it can be and what were icing now.

To make it worse we also feel he is hiding revenue through the venue and making it look worse than it is which is also weaselly.

As for he lies keep in mind its Toronto bloggers for the most part that stir the pot one example a certain blogger said the team was on the leagues watch list no truth to it but some fans did eat it up.
 

jason2020

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Sep 24, 2014
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Yeah, but those teams gets a % oon parking, concessions and other things in those scenarios. The Sens don't get any % of those revenues because their owner owns the entire revenue chain and gets 100% of those revenues through his other company.

If you add in the other revenue the CTC gets from other events, the revenue and profit picture looks even better for Melynk.

Some teams have good deals while some have very bad agreements that ends up hurting them in some cases big time.
 

BK201

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Apr 11, 2011
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As for he lies keep in mind its Toronto bloggers for the most part that stir the pot one example a certain blogger said the team was on the leagues watch list no truth to it but some fans did eat it up.

dude he said we were not on a budget and just trying to keep cap space to take advantage of the cap crunch and nothing happened we literally started zibanejad, Hoffman and Stone in the top 6 to start the season and previous season point totals were:

Stone 19GP 4G 4A 8P 4PMIN 5 +/-
Zibanejad 69GP 16G 17A 33P 18 -15
Hoffman 25GP 3G 3A 6P 2 -2

I mean it worked out but imagine if we actually put a team together that year....
 

jason2020

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dude he said we were not on a budget and just trying to keep cap space to take advantage of the cap crunch and nothing happened we literally started zibanejad, Hoffman and Stone in the top 6 to start the season and previous season point totals were:

Stone 19GP 4G 4A 8P 4PMIN 5 +/-
Zibanejad 69GP 16G 17A 33P 18 -15
Hoffman 25GP 3G 3A 6P 2 -2

I mean it worked out but imagine if we actually put a team together that year....

Or if we had a healthy team.
 

BK201

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Apr 11, 2011
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Or if we had a healthy team.

We did. Legwand was our pick up and MacArthur and Ryan after loosing Alfie from a botch deal from management reportedly offering only 3 million to the face of our franchise, and the abysmal trade of Jason Spezza.
 
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Wondercarrot

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Jul 2, 2002
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Frankly im happy revelations are finally coming out about this *******.
Plenty more if people who have worked for him, or business people around the city start talking.
 

jason2020

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Sep 24, 2014
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Frankly im happy revelations are finally coming out about this *******.
Plenty more if people who have worked for him, or business people around the city start talking.

These cases happen all the time as for business people speaking out they have to walk a very fine line if you start speaking out and turns out to have little proof to back it up you can end up hurting your own company.
 

jason2020

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Sep 24, 2014
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We did. Legwand was our pick up and MacArthur and Ryan after loosing Alfie from a botch deal from management reportedly offering only 3 million to the face of our franchise, and the abysmal trade of Jason Spezza.

As with Alfe Ottawa did offer more then Detroit but he wanted a chance at the cup it was a blogger that made the claim Ottawa only offered a million as with Jason blame that own him now you could say Ottawa should not have handed him a no trade deal.
 

jason2020

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Sep 24, 2014
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As for the league forcing him out as some have said well MSE is dealing with a more serious issue as back in dec wrongful dismissal lawsuit was launched now like the case Melynk is facing we don't know if it true same with the MLSE case but if it turns out to be true it could be a issue for the league.
 
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