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True North's billionaire player

Thomson big part of any Atlanta acquisition

By: Paul Wiecek

6/10/2009 1:00 AM | Comments: 37

Thomson Reuters chairman David Thomson speaks to shareholders at it's annual AGM at Toronto's Roy Thomson Hall, Wednesday May 7.

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Thomson Reuters chairman David Thomson speaks to shareholders at it's annual AGM at Toronto's Roy Thomson Hall, Wednesday May 7. (CNS PETER J. THOMPSON)

A report over the weekend that an unnamed Toronto group is working on purchasing the NHL's Atlanta Thrashers and moving them to Winnipeg raises the curtain on the little-known -- and even less understood -- connection of one of the world's richest men to Winnipeg's MTS Centre and the team that resides in it.

While it was unclear who CBC commentator Al Strachan was referring to when he mentioned the Toronto group's Winnipeg interest during Hockey Night in Canada on Saturday, one thing that is certain is that such a group, if it really does exist, would have to include Toronto billionaire David Thomson.

Thrashers deny reports of move

What the Thrashers were saying Monday

"There's two words that you can quote to our general manager Don Waddell," a spokesman told the Free Press Monday morning, "which is 'Completely false.'... The whole thing, it's completely false...

"This isn't the first time. We tend to get lumped in, with Phoenix going through the stuff they're going through... Rumours start and we get mixed in there."

What kind of organization are the Thrashers?

Put it to you this way:

The owners of the Thrashers were described in an article in August in the Atlanta Journal-Constitution as having "a reputation as the most fractious ownership in North American professional sports."

The ownership group, which also owns the NBA's Atlanta Hawks and has connections to the son and son-in-law of media mogul Ted Turner, have been fighting among themselves in court since 2005. In August, a court ruling basically put them right back where they started from four years ago.

Among the things they have argued about over the years: Who would be allowed to fly on the team plane; who would speak for the team publicly; and whether they should -- or should not -- trade for point guard Joe Johnson, who they ultimately did trade for and has since become a three-time NBA all-star for the Hawks.

What kind of team would we be getting in the Thrashers:

A struggling one. The team has made it to the playoffs just once (2007) in the nine seasons they have played in Atlanta -- and promptly got swept 4-0 by the New York Rangers.

On the plus side, country music crooner Kenny Rogers is their honorary captain. And they have at least one notable player who would be no stranger to hockey in Winnipeg -- Johan (Moose) Hedberg, who played for the Manitoba Moose three different times over the years, most recently a brief stint in 2003-04.

Wouldn't it be ironic?

Atlanta and Winnipeg have both lost NHL teams before -- the Atlanta Flames moved in 1980 and the Winnipeg Jets moved in 1996. The Jets, of course, moved to Phoenix. And the Flames? Well, if it happens, the Thrashers' move to Winnipeg would be the second time Atlanta sent an NHL team to Western Canada. The first, of course, was the Calgary Flames, who have since won a Stanley Cup and 30 seasons later are still playing in Alberta.

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That's because in addition to being the 24th richest man in the world, Thomson is also the very quiet part-owner of the MTS Centre, the Portage Avenue land upon which it sits and the team that plays in it, the American Hockey League's Manitoba Moose.

Officially, Thomson is described as a "minority owner" through Osmington Inc. -- Thomson's real estate company -- of True North Sports and Entertainment. While True North is a privately run company and little is known about the company's finer details, it is known that Thomson and Mark Chipman, chairman of True North, have quietly bought out other True North owners over the years, to the point where they jointly own almost the entire company.

While officially a "minority owner," it's understood Thomson, through underlings at Osmington, does have a major say in True North decisions -- and maybe even a decisive say himself in some major aspects of the operation.

And that would presumably include any venture as bold as the purchase of a struggling NHL franchise in Atlanta and moving it to Winnipeg.

So here's a quick sketch of what we do know about Thomson and his connection to Winnipeg:

What Thomson and Chipman were saying Monday:

 Absolutely nothing. Repeated attempts to reach a spokesman for Thomson or Osmington on Monday were met with no response. This is typical of Thomson, who despite owing much of his empire to his family's newspaper holdings over the years is famously shy of the media and has a reputation for keeping his private business extremely private.

Chipman declined over the weekend to comment on the Thrashers story, consistent with his past practice of keeping mum on the assorted 'NHL coming to Winnipeg' stories that seem to pop up every few months. And that continued on Monday when Chipman declined -- through a True North spokesman -- to speak specifically about his relationship to Thomson and Thomson's relationship to True North.

Who is David Thomson?

Thomson, 51, is listed by Forbes, along with his family, as the 24th richest person in the world. To put that in context, Thomson's estimated net worth of $13 billion is more than personal computer titan Michael Dell (25th, $12.3 billion); Google co-founder Sergey Brin (26th, $12 billion); and Microsoft co-founder Paul Allen (32nd, $10.5 billion).

He has the title, 3rd Baron Thomson of Fleet, and is the son of the late media baron Kenneth Thomson. He is chairman of Thomson Reuters, a media conglomerate that his family controls and he also controls his family's investment arm, Woodbridge, and his own real estate company, Osmington.

What is Thomson's Winnipeg connection?

Thomson owes at least part of his empire to his family's former ownership of the newspaper you hold in your hands. The Thomson family owned the Winnipeg Free Press from 1980 to 2001, a period when the paper had huge circulation, a stranglehold on local advertising and consistently high annual profits.

And the profits continue to flow today from Winnipeg to Thomson.

Because True North is a private company, the public doesn't see its annual bottom line. But people within the organization have described a very profitable company, both in its operation of the MTS Centre and the Manitoba Moose.

Why would Thomson want to own an NHL team in Winnipeg?

That's the hard one to figure. His interest in True North is simple -- his real estate company invests in major holdings all over North America and makes lots of money doing it.

But it's a big jump from owning something as solid as a major downtown arena, ranked the third busiest in all of Canada, and owning something as tenuous as an NHL franchise in a city where the NHL has already failed once.

Could it be a "vanity play," a rich guy just wanting to own a toy -- and one that he could lord over his fellow Canadian billionaire and wannabe NHL owner, Jim Balsillie? Maybe, but it's hard to see what cachet Thomson would get from owning that team in Winnipeg. And it's interesting to note in that regard that Thomson has visited the MTS Centre what's described as only "a couple of times" in all the time he has been an owner of True North.

paul.wiecek@freepress.mb.ca

Republished from the Winnipeg Free Press print edition October 6, 2009 B6

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37 Commentscomment icon

actually HUGHUGLEY...you are right. This something most of us are overlooking. If there is wealthy private ownership that is willing to take a shot at it, then, really, that is their business....still don't believe we can put 15,015 butts in the bleachers for 95% of the games though.

good comment HUG

toronto's done well since 1967...

avatar

To the naysayers - True North Sports and Entertainment and the MTS Center are privately owned. If the shareholders want to aquire a NHL team, modify the site (or not)- whatever...its their money. Good luck to them.

Blue Bombers get off to a bad start, losses, questionable decisions, coaching concerns, disgrunted players and the FANS speak out by refusing to return to watch home games. Always great for the bottem line of any team, any NHL team would be come and gone within 5 years with this mentality. Why do you think teams are struggling to survive at the present, it's not all about the economy now is it.

nestorpistor --

Do you even watch hockey? Clearly you have no idea what you're talking about. Teams change from year to year. The Penguins and Blackhawks are clear examples. There are no such thing as "4th calibre" NHL teams.

You're the same as all the other naysayers. You won't support a losing team. You won't pay for tickets. You don't want your precious tax dollars used. You won't change your mind.

For every one of you, there are 5 die hard fans that would give blood to have the NHL back and would pay whatever it takes for tickets.

Unforuntately, it's people like you that are the vocal ones.

hotwired, you seem unusually negative about this whole thing to the point of being a little weird. Someone in TrueNorth disrespect your sister?

Joe Taylor Would the MTS Centre even work with a 4th level of seating? Who in their right mind would want to sit up there?

The arena can't get any wider due to the streets so I am not sure how you could even put seats any higher and still see the entire ice surface.

Chuck Duboff - While a sold out MTS Centre might make for higher attendance numbers than many of the US teams out there, you have to recognize that there are no teams in the NHL that are profitable when they average under 15,000 tickets sold per game.

Do we really want to start off in the NHL with a team that hemorrhages money whenever a game isn't sold out?

Lets face the music here. The MTS Centre is 2500-5000 seats too small and is incapable of being modified to comfortably add more seats. Until Winnipeggers remedy this, there will be no NHL in Winnipeg.

Time to downsize the NHL and improve the calibre of play. Shut down 4-6 of the have-not teams, heck the CFL had the balls to shut down non-performing teams.

Interesting information from ESPN regarding the 2008-2009 average attendance levels for all 30 teams;

http://sports.espn.go.com/nhl/attendance?year=2009


What's missing from this is the price of these tickets. For example, the Coyotes are offering an opening game special this Saturday where tickets are AT MOST $20.75...

http://www.ticketmaster.com/event/1E004314983E595C?artistid=806002&majorcatid=10004&minorcatid=9

So although we'd rank 27th, if we sold the place out consistently, it's likely our ticket revenue would likely put in the middle third of the league.

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