Hey there, time traveller!
This article was published 28/4/2011 (3800 days ago), so information in it may no longer be current.
The NHL has followed through on its demand last spring to have the city of Glendale, Ariz., pay $25 million to cover off 2010-11 losses for the Phoenix Coyotes.
The league forwarded the city statements of those monthly losses on Tuesday and has made a request for payment by next Monday in the amount of $24,810,000.
Those funds, set aside by Glendale from a utilities-repair account according to the Arizona Republic, were placed in an escrow account with a mutually agreed-upon Chicago bank last year.
That was the result of the NHL's May 2010 demand that the city pony up for hockey losses in order to give the it more time to find a buyer for the money-losing franchise.
The league set a Dec. 31, 2010 deadline for a buyer to be found, after which it was free to peddle to the club to whomever it pleased.
Chicago businessman Matthew Hulsizer's efforts to secure a lease for Jobing.com Arena have run into numerous roadblocks, including lease terms and the financing of the sale.
So while there's nothing even in the ballpark of closing a deal to sell the team to Hulsizer, the NHL wants its agreed-to funds to help offset what it says has been cumulative losses to the end of March of $36,609,938.
Glendale had promised its taxpayers that it eventually wouldn't need to pay the league the $25 million because a buyer for the team would assume the financial responsibility. It's unknown at this point if that will actually take place.
The league still owns the team and will soon be looking to make a choice -- close an altered deal with Hulsizer or relocate the team, quite possibly by selling it to Winnipeg's True North Sports and Entertainment.
Speculation by Winnipeg mayor Sam Katz on Wednesday drew some fire from different NHL sources later in the day and on Thursday.
Katz told reporters on Wednesday that he doesn't think the NHL will relocate the Coyotes to Winnipeg because of "commitments that were made when they went there," that could cause a lawsuit if the team was moved.
Apparently the mayor isn't aware of the way a bankruptcy proceeding works, one league source suggested.
"We have no idea what he's talking about and no idea why he's talking when he doesn't have any idea what he's talking about," said the source.
The Coyotes were put into bankruptcy in May, 2009 and later sold to the NHL in a bankruptcy court auction.
Katz's remarks are counterproductive, another league source said. "Very unhelpful, unless he's just looking for his own headlines."
A concurrent flap in Winnipeg this week concerned rumours of an announcement or NHL event here today. True North spokesman Scott Brown Thursday flatly denied any such event.