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Rangers Re-Sign Mika Zibanejad to 8-Year/$68M Extension; $8.5M AAV


Phil

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This deal demonstrates that reasonable minds can come to reasonable agreements that benefit both sides.  As a UFA, he could have gotten at total of $70m (7X10) plus perhaps $3m that he might get in the 8th year as a 36-37 year old.  The $3m would be uncertain, as he may be spent or retired by then.  This way he gets $68m for sure over 8 years.  Hence, opting for UFA would really not have been a good choice for him, and he knew it.

Idea for next CBA: allow current to team to give two years extra term rather than one.  Keep stars where they belong.

Let Eichel be someone else's pain in the neck.

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3 minutes ago, Sod16 said:

This deal demonstrates that reasonable minds can come to reasonable agreements that benefit both sides.  As a UFA, he could have gotten at total of $70m (7X10) plus perhaps $3m that he might get in the 8th year as a 36-37 year old.  The $3m would be uncertain, as he may be spent or retired by then.  This way he gets $68m for sure over 8 years.  Hence, opting for UFA would really not have been a good choice for him, and he knew it.

Idea for next CBA: allow current to team to give two years extra term rather than one.  Keep stars where they belong.

Let Eichel be someone else's pain in the neck.

League isn’t gonna go for that. The last two CBA negotiations they tried to reduce term to five years. Unless the players are giving up something serious, there's no way the NHL will give even longer term.

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34 minutes ago, Phil said:

League isn’t gonna go for that. The last two CBA negotiations they tried to reduce term to five years. Unless the players are giving up something serious, there's no way the NHL will give even longer term.

You don't have to give more term. Resign with current team gets you 8, new team only 6.

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21 minutes ago, Pete said:

You don't have to give more term. Resign with current team gets you 8, new team only 6.

Yeah, that's what I had in mind.  The league could give some concession to have the current 7 reduced to 6, and it would be a real plus in terms of continuity and stability.

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People all over Twitter bashing the term. As if you could get a guy in this spot to sign like a 4 year deal

 

years 1-4 of this deal are a win now window, and you’ll get his best 

5-6 will be overpaying but hopefully worth it in the end with a cup

7-8 are buyout-able. The cap will only go up with these big TV deals. This won’t be a difficult contract to swallow. And if you want the greatness of years 1-4 you gotta pay for the long term deal 

 

great business all around. He could’ve gotten more as a UFA depending on how this year went but this is where he wants to be. Good price, fair term

Edited by BlairBettsBlocksEverything
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They pretty much had no other option. Eichel isn't happening, and there's nothing coming up in free agency. He's been good here. He's a legit 1C. Term is a tiny bit much, but it's no different than what the rest of the league is handing out. 

What else could they have done? 

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3 minutes ago, Phil said:

You're still asking players to give up security (free agents, no less). What are they getting for it?

Olympics. Whatever. They're not giving up anything. Of they want security then they can resign with their team. 

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55 minutes ago, BlairBettsBlocksEverything said:

People all over Twitter bashing the term. As if you could get a guy in this spot to sign like a 4 year deal

 

years 1-4 of this deal are a win now window, and you’ll get his best 

5-6 will be overpaying but hopefully worth it in the end with a cup

7-8 are buyout-able. The cap will only go up with these big TV deals. This won’t be a difficult contract to swallow. And if you want the greatness of years 1-4 you gotta pay for the long term deal 

 

great business all around. He could’ve gotten more as a UFA depending on how this year went but this is where he wants to be. Good price, fair term

Yeah the AAV for 4-year term would've been astronomical. His agent wouldn't let him give up the prime years of his playing career without cashing in bigtime. 

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1 hour ago, BlairBettsBlocksEverything said:

People all over Twitter bashing the term. As if you could get a guy in this spot to sign like a 4 year deal

 

years 1-4 of this deal are a win now window, and you’ll get his best 

5-6 will be overpaying but hopefully worth it in the end with a cup

7-8 are buyout-able. The cap will only go up with these big TV deals. This won’t be a difficult contract to swallow. And if you want the greatness of years 1-4 you gotta pay for the long term deal 

 

great business all around. He could’ve gotten more as a UFA depending on how this year went but this is where he wants to be. Good price, fair term

People on twitter: "I would have preferred 6 years." 

Lol, Okay? So do you realize that probably cost 10.5-11M? Do you prefer that too?

Clowns.

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21 minutes ago, BlairBettsBlocksEverything said:

Someone else on Twitter said this structure makes it very difficult to buy out this deal. Can someone explain why to me? Not familiar with all the rules 

Any deal that's heavily based in bonuses instead of salary is harder to buyout. You want a higher proportion of salary to the AAV to have a favorable buyout.

If you were buyout the final two years of Zibanejad's deal it would look like:

$2M * 2/3 = $1,333,333 Buyout Cost

Buyout Cost is spread over 4 years which is twice the length of remaining years so a value of $333,333.

You determine the "savings" for each year by subtracting $333,333 from each year's salary. In this case $1M - $333,333 so $666,666 for years 1 and 2 of the buyout.

You then determine the annual buyout cap hit by subtracting savings ($666,666) from the contract AAV which for Zibanejad is 8,500,000. So 8,500,000 - 666,666 = 7,833,334 Cap Hit.

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1 hour ago, Pete said:

Olympics. Whatever. They're not giving up anything. Of they want security then they can resign with their team. 

They're already getting them. And they are giving up something — a full year of potential salary as a UFA.

You're viewing this from the prism of a fan, not from the two sides who'd actually be negotiating with each other. I don't blame you — I want five-year limits, too, but it's not going to happen any time soon.

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40 minutes ago, ThirtyONE said:

People on twitter: "I would have preferred 6 years." 

Lol, Okay? So do you realize that probably cost 10.5-11M? Do you prefer that too?

Clowns.

People on Twitter: "I would have preferred my own fantasy."

We know. The same with wanting every player to never have trade protection, sign at extreme discounts, and retire when they stop being effective.

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