Typical MLSE throwing money at problems way of business. That is what they always do and it always fails, no matter the sport. The worst thing is that they skew the market for high-profile players/coachs (as they have done by overpaying Giovinco, a very good soccer player, by a mile. yet, they still suck ass) by overpaying guys by a mile.
Don't get me wrong, Babcock is a great hire, but he is not a miracle-worker. This organization is in shambles and even a great coach can't fix it short-term. They signed him for 8 years showing that they intend to be patient and build properly... however, in that market, he will get crucified after 2 losing seasons... and those two losing seasons will happen because their roster and prospect pool are very very very underwhelming.
They will lose and the media/fans will ask for some heads. And the wheel of suckiness will turn and turn. Babock went for the money and considering the market he joined, it was a bad idea. Can't blame him though. He might get fired after 2 or 3 years, but he will still get that sweet paycheck.
As far as the Pens were concerned, paying that kind of coach a lot of money would have been a good idea as we have the pieces to contend. I mean, sure, paying him what Toronto is paying him for the term they gave him is bat-**** insane, but Babcock is the kind of guy we need: experienced, credible and hard-nosed.