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http://www.denverpost.com/avalanche/ci_2837543
Cut in ticket prices hinges on outcome of labor contract
By Terry Frei
Denver Post Staff Writer
The NHL's collective bargaining talks are scheduled to resume Monday in New York, and barring last-minute snags, a full labor agreement between the league and its players association is expected to be announced soon - perhaps as soon as this week.
The Avalanche is waiting to see what the final terms will be before deciding whether to cut its ticket prices for the 2005-06 season.
The tentative framework of the new CBA calls for about a $36 million salary cap for each franchise, which would cut Colorado's payroll significantly from the roughly $61 million payroll the Avalanche was carrying at the end of the 2003-04 season.
That cap, if strictly enforced, would make it difficult, at best, to re-sign all of the franchise's high-profile players, even with the 24 percent salary rollbacks in existing contracts expected to be part of the agreement and would serve as benchmarks for unsigned players.
The Avalanche, which has not sent out renewal and 2005-06 price information to season ticket-holders, generally has taken a no-comment stance since the beginning of the NHL lockout in September 2004.
Paul Andrews, the executive vice president and chief marketing officer in charge of business operations and ticket issues for Kroenke Sports, declined to discuss the issue, saying Avalanche senior vice president Jean Martineau would speak for the organization.
"We're going to decide whenever there is a new CBA signing and we know exactly what the new landscape is," Martineau said. "We haven't decided anything yet because we haven't gotten all the details about the new deal. We hear speculation, but we don't know the exact content. Yes, there'll be a cap. Yes, our payroll with that cap is going to be lower, for sure. There's going to be a (luxury) tax. But we don't know all that yet.
"What I can assure our fans is that we've always had a great relationship with our fans. They've always supported us, tremendously.
"On the other side, I think they are very happy with the entertainment value. I think the best data to support that is that less than 1 percent of our entire season ticket-holders told us, 'Hey, we're not coming back.'
"We haven't decided what we're going to do, but I can tell you that for sure, we are going to take care of our fans. We have always made sure that in the marketplace, we have competitive ticket prices."
After the NHL canceled the 2004-05 season in February, the Avalanche announced that if season ticket-holders didn't seek refunds on money still on deposit with the team for the remainder of the canceled season, they would receive a 10 percent price break on 2005-06 prices - whatever those prices turn out to be. So those season ticket-holders will receive some price relief.
the 2004 NHL All-Star Game, with a possible lockout looming, commissioner Gary Bettman at least hinted rollbacks would be possible for many NHL franchises under a new deal.
"With the right economic system, we can take the pressure off of ticket prices, and I believe with the right economic system, many, if not most of our teams, will actually lower ticket prices," Bettman said then. "I believe we owe it to our fans to have affordable ticket prices.
"More than a majority of our teams would use the opportunity of economic stability to lower their ticket prices."
Also, in announcing the cancellation of the season Feb. 16, Bettman said the league probably would have to do "a lot of things" to recover from the lost season, including "with our fans in terms of ticket prices."
Avalanche single-game tickets listed on the team website for 2004-05 ranged from $224 for front-row rinkside to $25 in the upper end corner balcony. Seats in the lower bowl were $128, $108 or $99. Balcony seats were $70, $60, $50, $42 and $25. The Avs have a sellout streak dating to November 1995, and the team freezes season-ticket sales at 15,500 for the Pepsi Center, which seats 18,007 for hockey.
Around the NHL, a few teams have given at least vague indications of their plans. St. Louis, Pittsburgh, Anaheim, Ottawa, San Jose and Buffalo are among the franchises planning to cut ticket prices. Carolina, Minnesota and the New York Islanders have said they won't cut prices. Carolina's average price of $31.77 was the third-lowest in the league in 2003-04, and the Hurricanes are offering discounts to fans who left money on deposit with the franchise. The Islanders not only aren't cutting prices, but they also announced plans to add a $50 surcharge per season ticket if accounts aren't paid in full by July 29.
In Phoenix, fans who left their money on deposit through the canceled season get two-for-one season tickets. The Toronto Maple Leafs, also a hot ticket, said they won't increase prices, but have yet to make a final decision on prices. Leafs prices run from $37 to $197.
Cut in ticket prices hinges on outcome of labor contract
By Terry Frei
Denver Post Staff Writer
The NHL's collective bargaining talks are scheduled to resume Monday in New York, and barring last-minute snags, a full labor agreement between the league and its players association is expected to be announced soon - perhaps as soon as this week.
The Avalanche is waiting to see what the final terms will be before deciding whether to cut its ticket prices for the 2005-06 season.
The tentative framework of the new CBA calls for about a $36 million salary cap for each franchise, which would cut Colorado's payroll significantly from the roughly $61 million payroll the Avalanche was carrying at the end of the 2003-04 season.
That cap, if strictly enforced, would make it difficult, at best, to re-sign all of the franchise's high-profile players, even with the 24 percent salary rollbacks in existing contracts expected to be part of the agreement and would serve as benchmarks for unsigned players.
The Avalanche, which has not sent out renewal and 2005-06 price information to season ticket-holders, generally has taken a no-comment stance since the beginning of the NHL lockout in September 2004.
Paul Andrews, the executive vice president and chief marketing officer in charge of business operations and ticket issues for Kroenke Sports, declined to discuss the issue, saying Avalanche senior vice president Jean Martineau would speak for the organization.
"We're going to decide whenever there is a new CBA signing and we know exactly what the new landscape is," Martineau said. "We haven't decided anything yet because we haven't gotten all the details about the new deal. We hear speculation, but we don't know the exact content. Yes, there'll be a cap. Yes, our payroll with that cap is going to be lower, for sure. There's going to be a (luxury) tax. But we don't know all that yet.
"What I can assure our fans is that we've always had a great relationship with our fans. They've always supported us, tremendously.
"On the other side, I think they are very happy with the entertainment value. I think the best data to support that is that less than 1 percent of our entire season ticket-holders told us, 'Hey, we're not coming back.'
"We haven't decided what we're going to do, but I can tell you that for sure, we are going to take care of our fans. We have always made sure that in the marketplace, we have competitive ticket prices."
After the NHL canceled the 2004-05 season in February, the Avalanche announced that if season ticket-holders didn't seek refunds on money still on deposit with the team for the remainder of the canceled season, they would receive a 10 percent price break on 2005-06 prices - whatever those prices turn out to be. So those season ticket-holders will receive some price relief.
the 2004 NHL All-Star Game, with a possible lockout looming, commissioner Gary Bettman at least hinted rollbacks would be possible for many NHL franchises under a new deal.
"With the right economic system, we can take the pressure off of ticket prices, and I believe with the right economic system, many, if not most of our teams, will actually lower ticket prices," Bettman said then. "I believe we owe it to our fans to have affordable ticket prices.
"More than a majority of our teams would use the opportunity of economic stability to lower their ticket prices."
Also, in announcing the cancellation of the season Feb. 16, Bettman said the league probably would have to do "a lot of things" to recover from the lost season, including "with our fans in terms of ticket prices."
Avalanche single-game tickets listed on the team website for 2004-05 ranged from $224 for front-row rinkside to $25 in the upper end corner balcony. Seats in the lower bowl were $128, $108 or $99. Balcony seats were $70, $60, $50, $42 and $25. The Avs have a sellout streak dating to November 1995, and the team freezes season-ticket sales at 15,500 for the Pepsi Center, which seats 18,007 for hockey.
Around the NHL, a few teams have given at least vague indications of their plans. St. Louis, Pittsburgh, Anaheim, Ottawa, San Jose and Buffalo are among the franchises planning to cut ticket prices. Carolina, Minnesota and the New York Islanders have said they won't cut prices. Carolina's average price of $31.77 was the third-lowest in the league in 2003-04, and the Hurricanes are offering discounts to fans who left money on deposit with the franchise. The Islanders not only aren't cutting prices, but they also announced plans to add a $50 surcharge per season ticket if accounts aren't paid in full by July 29.
In Phoenix, fans who left their money on deposit through the canceled season get two-for-one season tickets. The Toronto Maple Leafs, also a hot ticket, said they won't increase prices, but have yet to make a final decision on prices. Leafs prices run from $37 to $197.
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