Customs tariffs in Canada are unlikely to influence NHL expansion prospects, particularly regarding the Quebec Nordiques. Despite advocacy from player agent Allan Walsh, NHL Commissioner Gary Bettman shows no interest in Quebec, favoring Houston and Atlanta instead. Agents express skepticism about Canadian expansion, while Walsh highlights the potential for expansion fees of $1.5 billion per team. He argues that players should receive a share of these fees, emphasizing the need for fair compensation as the league considers its future expansion strategies.
Customs Tariffs Impact on NHL Expansion in Canada
The customs tariffs enacted in Canada have little effect on the prospects of the Quebec Nordiques or any potential NHL expansion within the country. The rationale is straightforward: tariffs cannot dip below 0%, which essentially maintains the current situation.
Allan Walsh, a prominent player agent known for his fervent advocacy for his clients, has always been in favor of reinstating the NHL in Quebec. “It’s a hockey market with an existing arena,” he states. However, he points out that NHL Commissioner Gary Bettman has made it clear that he is not interested in expanding the league into that area. “If I were to guess, the league is more likely heading to Houston and Atlanta,” Walsh predicts.
Challenges to NHL Expansion in Canada
Allain Roy, another key NHL agent, shares Walsh’s skepticism about Quebec’s expansion potential, stating, “Can you imagine if we had 12 Canadian teams right now? Oh boy!” Meanwhile, Kevin Gilmore, the former executive vice president and COO of the Montreal Canadiens, provides a sobering analysis: “To suggest there’s less interest in Canadian expansion presupposes that there is interest to begin with… and that’s simply not the case.”
Interestingly, Walsh’s comments hint at a renewed NHL presence in Atlanta, a city that has seen two previous franchises—the Flames and the Thrashers—fail to thrive. “Isn’t it madness to repeat the same mistakes and expect a different outcome?” Walsh questions, suggesting that the NHL sees potential where others might not.
By expanding into Houston and Atlanta, the NHL could potentially offset any financial strain caused by tariffs. “I believe the NHL has laid out an expansion strategy for the upcoming collective bargaining agreement,” Walsh predicts, estimating that each team could command fees of $1.5 billion, resulting in a hefty $3 billion for the owners.
As for how serious the NHL is about returning to Atlanta, Walsh reveals, “League executives were impressed by a presentation from a group of investors.” This group, reportedly led by Anson Carter, includes notable figures such as Neil Leibman and Peter Simon, who are well-established in the sports and investment sectors.
When it comes to the distribution of expansion fees, Walsh raises an important point. “Players should receive a share of the expansion fees,” he asserts, reflecting a sentiment shared by many within the players’ union. Currently, these fees are retained solely by the owners, which has caused some discontent among agents and players alike. Roy echoes this sentiment, questioning why, in a league that shares revenues equally, expansion fees aren’t shared as well.
In conclusion, as the NHL explores its expansion options, the conversation around fair compensation for players remains critical. “Players who have contributed to the growth of the sport deserve to be rewarded when the league expands,” Walsh emphasizes, leaving the final decision in the hands of the NHL leadership.