RFA compensation levels

Discussion in 'Fugu's Business of Hockey Forum' started by speeds, Jul 26, 2005.

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  1. speeds

    speeds Registered User

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    Up to $660,000 - No compensation
    $660,000 to $1 million - One 3rd round draft pick
    $1 to $2 million - One second round pick
    $2 to $3 million - One 1st and one 3rd round pick
    $3 to $4 million - One 1st, one 2nd and one 3rd round pick
    $4 to $5 million - Two 1sts, one 2nd and one 3rd round pick
    Over $5 million - Four 1st round picks

    How will this affect the number of offer sheets extended? Far more, a few more, or about the same (meaning basically zero)?
     
  2. Captain Ron

    Captain Ron Registered User

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    I could see some teams trying to get a player in the $1-2 million range if all they have to give up is a 2nd rounder.
     
  3. Flukeshot

    Flukeshot Hextall Activate!

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    I think this means a lot more offersheets. A 2nd round pick for a #4/5 defenseman at $2m why not? That's a good price to pay. I'm sure that you'd see those offers be matched most often, but some teams could be stuck with tight cap room and a high enough offer for a player judged not worth it, and he could be yours.
     
  4. John Flyers Fan

    John Flyers Fan Registered User

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    More offersheets, but probably not still very few players will change teams via an RFA offer sheet.
     
  5. Matt Gunning

    Matt Gunning Registered User

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    Yikes! Those compensation levels look low to me.

    I can totally see another team offering Kovalchuk who is a RFA $4.999 a year to try and pry him away from the Thrashers. Or how about offering a solid young defensive defenseman like Exelby $2 a year when you're just going to lose a 2nd rounder (odds are that 2nd round pick will never play in the NHL).
     
  6. missK

    missK Registered User

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    I guess I'm suspect of this info since a webblog is the first place I have seen this listing. I'll wait to see the CBA or an "official" press release before I comment.
     
  7. John Flyers Fan

    John Flyers Fan Registered User

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    Yes, but of course the Thrashers would have the right to match.
     
  8. Chili

    Chili Registered User

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    I'll be interested to see how long you would have to give up the picks. i.e. big difference losing your first three picks in one season to spread out over say three drafts.
     
  9. SJeasy

    SJeasy Registered User

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    Agreed. Looks like this runs counter to the other salary drags that are obvious in this CBA. $39 mil divided by 22 players equals about $1.77 mil/player. and the target is less than that. This compensation level would seem to invite movement vs. cap.
     
  10. Realm

    Realm Registered User

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    You wont be able to pay a 4/5 defenseman $2 million a year, unless your forwards are garbage. to pay a guy that much and lose a draft pick is not worth it in my mind.
     
  11. Timmy

    Timmy Registered User

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    It's not outside the realm of possibilities, since the only "drag on salaries" that counts is 54% of revenues...
     
  12. kdb209

    kdb209 Registered User

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    For comparison the compensation from the last (expired) CBA:

    http://nhl.com/lineups/player/freelist04.html

    If you adjust for the 24% rollback, the numbers would have been:

    $565K or below --- None
    Over $565K - $777K --- Third-round choice
    Over $777K - $919K --- Second-round choice
    Over $919K - $1.130M --- First-round choice
    Over $1.130M - $1.413M --- First and third-round choices
    Over $1.413M - $1.696M --- First and second-round choices
    Over $1.696M - $1.978M --- Two first-round choices
    Over $1.978M- $2.402M --- Two first-round and one second-round choice
    Over $2.402M --- Three first-round choices
    Over $3.815M --- Four first-round choices
    Over $5.228M --- Five first-round choices (max)

    Except for the very top end (5 Firsts vs 4), this is a huge drop off, especially in the $1M-$4M range.
     
  13. Loki

    Loki PK Specialist

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    What I would find interesting would be using the combination of the cap and the RFA rules to squeeze a player out of another club.

    Let's use Ottawa for example because they have some good young talent.

    Ottawa signs all their free agents (except Spezza) and a few UFA's and bring their salary up to 35.1 million, leaving plenty of room for Spezza's salary.

    Team X could offer Spezza $3.95 Million (above market value and beyond would Ottawa would budget to spend on him), and Ottawa couldn't even match if they wanted to.

    They would either have to make some trades (in which case they would get hosed by other teams, because they would know the position Ottawa is in) or let Spezza go and receive the draft picks in compensation.
     
  14. Loki

    Loki PK Specialist

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    Of course my previous post requires a few unique circumstances.

    1. Having a team nearly at the cap level
    2. Leaving a valuable commodity as your last RFA to sign.

    This wouldn't be that strange as the players that are most likely to hold out are players coming out of their entry level contract (Gaborik, Comrie)

    What are your thoughts?
     
  15. hillbillypriest

    hillbillypriest Registered User

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    Just a thought, but wouldn't it make sense for a GM to force any other GMs hand by putting out an offersheet anytime an RFA, net of the draft choices in play, is seriously "undervalued"? (If you have all of your core assets tied up to contracts, that is).

    After all, all teams are in competition, and it is easier to compete for players when your competitors are closer to the edge in caproom. Wouldn't it make sense force another team's hand, even if you didn't really expect your offer sheet to bring you back the player?

    Just asking....
     
  16. thinkwild

    thinkwild Veni Vidi Toga

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    Especially if it was a competitor with a better player and less cap room than you. I'd think it would become part of the game.
     
  17. John Flyers Fan

    John Flyers Fan Registered User

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    Absolutely ... the better your GM, the better off you'll be.
     
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