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Falling Canadian dollar could cause ‘huge swing’ in salary cap

Mar 7, 2014, 12:07 PM EDT

A falling Canadian dollar is expected to have a significant impact on the NHL’s salary cap for next season, Kings general manager Dean Lombardi has been told.

“We found out, to our chagrin and surprise the other day, we had been told the cap was going to be $71 [million] and now with the Canadian dollar having tanked, that the cap could be as low as $68 [million]. That’s a huge swing,” Lombardi said, per the Los Angeles Times.

Via CapGeek, you can see why this could be an issue for Lombardi:


That’s the top 10 cap payrolls for 2014-15, with the number of players under contract in the far right column.

Now, a few of those teams will get relief via compliance buyouts (see: the Brad Richards debate in New York). And there will no doubt be some trades.

But it will still be interesting to see where the final cap number falls, and what impact that could have on personnel decisions.

PS — Only two of the seven Canadian teams (Montreal and Toronto) appear likely to make the playoffs, if that’s relevant here.

PPS — And even if it’s not, wow, only two?

  1. rdk - Mar 7, 2014 at 12:12 PM

    Old news:

  2. bcsteele - Mar 7, 2014 at 12:27 PM

    This will also affect what teams are able to keep with their RFA’s…I’m a little worried about my Blues now in regards to keeping Miller and everyone else. Could be bumpy this off season…

  3. runhigh24 - Mar 7, 2014 at 12:31 PM

    This is obviously all Rob Ford’s fault.

  4. pepper2011 - Mar 7, 2014 at 12:42 PM

    Bruins get over 4m for Savard and the Flyers will get about 5m in space for Pronger from LTIR

  5. enzod91 - Mar 7, 2014 at 12:47 PM

    this could be an issue with the Hawks resigning Toews and Kane this summer…might have to move Bickel and/or Leddy/Oduya to make room for their 8 or 9 mil caps hits

    • angrytwitterguy - Mar 7, 2014 at 1:41 PM

      Time to trade Toews


    • pxland - Mar 7, 2014 at 3:13 PM

      Move Bickel? After overpaying him so terribad this off-season. Good luck with that.

    • chanceoffleury - Mar 7, 2014 at 10:26 PM

      Moving Bickel insinuates that there are teams that want Bickel’s 4 million dollar contract on their books for the next 3 years. Wouldn’t that be a beautiful thing to be able to just casually send off bad contracts. And don’t forget Saad and Raanta. That’s another couple of million. I expect the Hawks to be busy bees this offseason trying to make everybody fit. But hey, I’ve laid awake at night thinking of the nightmare the Pens cap situation is going to be, especially if Letang never returns to solid form, so I feel ya.

  6. flyerspsu - Mar 7, 2014 at 1:38 PM

    well that sucks

  7. rockyspond - Mar 7, 2014 at 2:02 PM

    Just think how much more it sucks for Canadian teams that earn their income in Canadian $ but have to pay player salaries and most of their travel costs, etc. in U.S. $

    • sw19womble - Mar 7, 2014 at 2:13 PM

      History repeating itself….

      Time for another lockout next year I reckon – especially if Bettman’s still in charge.

      • henrik4dawin - Mar 7, 2014 at 5:11 PM

        lockouts only happen at the end of CBA’s or other league-wide agreements. Otherwise it will be discussed at BOG (board of governors) meetings

  8. mz1394 - Mar 7, 2014 at 2:34 PM

    This is wrong all players contracts are in American dollars so is the cap the only difference is in the per deim

    • blomfeld - Mar 8, 2014 at 11:24 AM

      exactly friend … only the Canadian teams are affected adversely by a falling Canadian dollar and since they’re all ‘cash cows’ anyway, who really give’s an F ?

      • jimeejohnson - Mar 8, 2014 at 12:07 PM

        Elvis video?

      • blomfeld - Mar 8, 2014 at 11:21 PM

        my apologies friend ! :)

  9. wtfkwp - Mar 7, 2014 at 2:55 PM

    Maybe they should change the base for the salary cap to something that isn’t debased by governments.

    • imgoingtowichita - Mar 7, 2014 at 11:28 PM

      You suggesting Bitcoin?

  10. arlingtonrob - Mar 7, 2014 at 3:51 PM

    Tanking Canadian Dollar?! Holy hyperbole Batman…

    …bit of an overstatement. CD has moved from near parity 1=1, to .9=1 over last year. Many forecasts I’ve read expect stability with a rebound likely in the CD.

  11. dumbassgreg - Mar 7, 2014 at 6:32 PM

    myth of little gary increasing hockey revenue is exposed for truth. the main reason hockey revenue went up was higher canadian dollar. if it drops league revenue drops.

    • imgoingtowichita - Mar 7, 2014 at 11:37 PM

      Well ya, it’s a gate-driven league and where are the fans willing to show up and pay the highest priced tickets? (With little return as far as championships are concerned the last decade -Tor/Mtl/VCR)

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