NHL approves new Kovalchuk contract
Hockey Betting Lines
09/03/2010 -
Toronto, ON (Sportsbook Betting Lines) - Ilya Kovalchuk will finally join the New Jersey Devils after his re-submitted contract was reportedly approved by the National
Hockey League.
Additionally, according to TSN of Canada, the league and the NHL Players'
Association reached an agreement on an amendment to the rules that govern
long-term contracts. A report from The Record in New Jersey states that new
guidelines will be implemented regarding how the salary cap hit would be
calculated for long-term deals that go beyond the ages of 35 and 40.
Kovalchuk's initial 17-year, $102 million deal with the Devils was rejected by
the league on the grounds that it circumvented the league's salary cap. The
deal was front-loaded so Kovalchuk could have earned as much money as possible
while providing the lowest possible cap hit for the team.
The NHL Players' Association filed a grievance on Kovalchuk's behalf, but an
arbitrator ruled in favor of the league. His second deal is worth a reported
$100 million over 15 years, which provides an annual cap hit of $6.66 million.
The rejection of the contract provided much debate throughout the league in
terms of "lifetime" contracts given to players that have helped reduce the
yearly salary cap hit. Several players in previous years signed deals that
took them past 40 years of age and saw the annual salary dip below $1 million
in the final years of the contract.
Because of the league rules on player contracts after the age of 35, it was
conceivable that someone could retire before the deal had expired, wiping
the contract off the salary cap. This rule allowed teams to sign players to
front-loaded contracts to benefit both the team and player.
With the new guidelines in place regarding long-term deals and the CBA
negotiations that will occur in the next few years, it is likely that
Kovalchuk's contract is the last of its kind. Additionally, according to the
report in The Record, similar contracts that have been signed previously will
not be affected by the new rules.
Kovalchuk's deal will reportedly take the team about $3 million over the
salary cap with 21 players under contract, and the Devils will have to get
under the $59.4 million cap before the beginning of the season while adding
two more players to the roster.
Kovalchuk posted 41 goals and 85 points in 76 games last season, 10 goals
and 27 points coming in 27 games with New Jersey. In a five-game first-round
playoff loss, the 27-year-old added two goals and six points.
In 621 games since entering the league in 2001, the Russian star has
accumulated 338 goals and 642 points with Atlanta and New Jersey.
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2007 Academy Award Betting : Oscars odds
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