RickWesthead's Twitter has the World Cup payouts

Discussion in 'Fugu's Business of Hockey Forum' started by cutchemist42, Aug 17, 2017.

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  1. cutchemist42

    cutchemist42 Registered User

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    At work so cant access Twitter but basically.....

    -Those who played got $86K USD pre-tax. Others got 10k.

    -Taxes took a big hit though, with some netting 50k.

    -Splitting a $44mil profit.



    Just wondering then considering injury risks and the fact this was in a relatively safe hockey city, is this worth it as a venture? For Canadian players who played 9 games, that could mean they were playing for maybe $6,500/game. How does that compare to a regular NHL game?

    28 games played in total.....$22mil to owners over 30 owners. How would that compare to a regular NHL game?

    Still made much more than the 04 tourney.
     
    Last edited: Aug 17, 2017
  2. Llama19

    Llama19 Registered User

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    Here are the tweets...



     
  3. TheTotalPackage

    TheTotalPackage Registered User

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    Wasn't the profit suggested previously to be roughly $60 million?

    Less than $100K doesn't seem worth it for the players.
     
  4. hatterson

    hatterson Registered User

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    Well $6,500 a game over 82 games would be $533k/year.

    Basically they got paid virtually nothing for participating compared to their usual salary.
     
  5. mouser

    mouser Business of Hockey

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    It'd more then they get for playing in the WC or Olympics.

    I think the longer term question is less about how much money it generates and more about whether it can become the premier showcase tournament of international teams.
     
  6. tarheelhockey

    tarheelhockey Highest Boss

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    I guess that's a lot of money for only a couple weeks' work. Still seems minuscule in relation to NHL contracts for this caliber of player.
     
  7. TorstenFrings

    TorstenFrings lebenslang gruenweiss

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    For someone like Ovechkin or Karlsson though, the Olympics are way more important to their overall earning potential. An Olympic medal bumps up their brand value far more than an event no one in their main market watched.

    Probably isn't true for McDavid and Crosby, because Canadians actually care about the World Cup and it could be relevant to Tim Horon's marketing strategy, but Ovechkin could probably have made a lot more than 50k just doing night club appearances in Moscow for however long that tournament went on.
     
  8. Fugu

    Fugu Administrator

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    I doubt it has much to do with their overall NHL value, in my humble opinion.
     
  9. cptjeff

    cptjeff [insert joke here]

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    NHL value? Sure, it's not worth much. Commercial value for things like endorsement deals? I could absolutely see the olympics being worth much more for a player's personal brand.
     
  10. USAUSA1

    USAUSA1 Registered User

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    If they move the huge games to Rogers Center,BC place,Olympic stadium it can become huge money.
     
  11. LeHab

    LeHab Registered User

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    By comparison how much are players making for IIHF Worlds participation?
     
  12. Street Hawk

    Street Hawk Registered User

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    The $6,500 is after taxes. So, it's still under a $1 million salary for an NHL player.

    Put it this way, $86K gross earnings from the tournament, for a top end guy that would be the equivalent of 1 NHL game check if they earn $7 million. So, the likes of Doughty, Sid, Ovy, Malkin, Stamkos, Kane, Toews, Kopitar,, Weber, Seabrook, basically played several games in the WCOH and earned the same as 1 game check.
     
  13. theaub

    theaub 34-38-61-10-13-15

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    None of those arenas can host ice surfaces during September due to baseball, soccer and infrastructure respectively.
     
  14. cutchemist42

    cutchemist42 Registered User

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    Olympics specifically......I think players are ok with whatever stipend they get and dont mind the no-pay seeing how they wanted to keep going still. It will forever be the biggest exposure any 1 player gets in their career, playing hockey . Its a decision of the size of the stage vs the amount paid out for a 2 week time frame. The NHL will never be capable of making the World Cup a "thing", I think.

    Anyhow, from the owners perspective....

    $22mil/28 games over 30 owners gets me $26,000 per game. I dont know how tax affects that amount Is that worth more or less than an average NHL game in revenue?
     
  15. hatterson

    hatterson Registered User

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    Yea. It's not a terrible payday or anything, but for the caliber of players who are playing, it's basically an inconsequential amount of money. If it's going to continue as a tournament, it's not going to be based on financials but rather based on it being a premier best on best tournament (perhaps the only one if the Olympics don't have NHLers long term)
     
  16. LeHab

    LeHab Registered User

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    We are talking here about profit and not simply revenue. From an owner point of view the way you can look at this is what is the average profit per team for the whole season. We know some teams are in the red some are in the black. I heard the average profit is estimated at around 10 millions per team but don't have a good source to confirm.

    $22mil/30 team is 0.733m/team. From an owner perspective we are looking at an average increase of profit by 7.33%. Not negligible if you ask me.
     
  17. cutchemist42

    cutchemist42 Registered User

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    Saw some on Twitter saying this figure should be looked at in worse light as it should be annualized over the 4 years, and considering it was held in such a safe market.

    And looking at it on a per-game basis, is it worth it for the owners to risk their season on this amount of money if you lose Crosby/Ovechkin/etc?
     
  18. LeHab

    LeHab Registered User

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    Sure it is not every year and yes there is risk. How does the profit compare to IIHF World and Olympics? There is risk in those as well.
     
  19. Riptide

    Riptide Registered User Sponsor

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    Significantly less - by a massive margin. Gotta remember that most of the players invited are the best in the league and have salaries that reflect that.

    But when you play for your NHL team, you are not wearing your countries flag on the front of your jersey and you are not representing your country on the world stage (or however many people watched the games). Sure there were a couple of BS teams there, but this was still a big event - more so with the fact that the NHL will not be going to the Olympics this year (a good thing).

    Significantly higher I'm sure.
     
  20. Riptide

    Riptide Registered User Sponsor

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    If the NHL stops going to the Olympics, and keeps hosting a WCH, eventually it likely will become such an event. But it's going to take time and it's going to take commitment to continue doing it.
     
  21. varsaku

    varsaku Registered User

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    Thats absolutely nothing considering they get this money only every 4 years.
     
  22. varsaku

    varsaku Registered User

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    There is no way they would be able to generate more revenue than the Toronto World Cup in any other city.
     
  23. Flukeshot

    Flukeshot Hextall Activate!

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    Anyone remember the NHLs initial projection? I thought it was $100m
     
  24. Riptide

    Riptide Registered User Sponsor

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    Never suggested that they would. I was talking about how from an NHL POV if they wanted the WCH to become a premier event.
     
  25. Neil Hamburger

    Neil Hamburger Five Bagger!

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    How much would players value an Olympic medal? I bet you most of the players who were in the tournament would value one (especially a gold) at a lot more than $86 K (before tax).

    If how much money it generates isn't the question, why not go to the real premier showcase sporting tournament of international teams: the Olympics?

    The World Cup sucks. Everyone who watches the World Cup of hockey is already a fan of hockey & the NHL. No non-hockey fans will ever watch it, it's not much of a showcase.
     
    Last edited: Aug 21, 2017

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