Details on Perry's Contract
Today the Anaheim Ducks announced that right wing Corey Perry has been signed to a five-year contract which will run through 2012-13. According to the Los Angeles Times, the contract is worth $26.63 million, with an $8 million signing bonus. Perry will make $4.5 million next season, $6.5 million in 2009-10, $5.38 million in 2010-11 and 2011-12 and $4.88 million in 2012-13.
“Corey is one of the top young players in the NHL today,” said Executive Vice President/General Manager Brian Burke in the Ducks' press release. “He’s a true Duck, a hard-nosed goal-scorer who’s difficult to play against.”
Woo hoo!!! He's staying in Anaheim! Thank God!
10 comments:
with an $8 million signing bonus.
Salary cap know-it-alls: is this meaningful at all? I mean, he's earned the bonus by signing, right?
At this point, I can go ahead and basically treat the full amount as salary to pay and salary to count against the cap, right?
the bonus doesnt count against the cap i dont believe
the bonus doesnt count against the cap i dont believe
Oh, I'm pretty sure that's absolutely false. The only bonuses that don't count against the cap (and even that's saying it loosely) are for entry-level deals and for one-year contracts for (a) guys coming off long-term injuries, or (b) guys over 35.
And even with Bob McKenzie's latest CBA warnings, I'm not sure that the rules I just laid out are cap-exempt anymore.
Basically, I think the rule this year is every bonus paid counts against the cap. And I'm sure that bonuses on a contract like Perry's have counted against the cap since it was invented.
Well, technically it might be a "fuck", but really, the reaction ought to probably be a "whatever".
Anaheim's not a rich enough team to really be at the cap ceiling, so the fact that we need technical cap calculations is probably the "fuck" -- Ducks shouldn't be close enough to the cap to merit that careful calculation, in theory.
So, yeah, Schneider's likely out, and after that, we'll probably not care for a long while what technically does or does not count against the cap.
Via Dan Wood:
"The Ducks will absorb a $5.33 million salary-cap hit each season, but will receive short-term financial relief because $8 million in signing-bonus money Perry will receive during the five years can be amortized over the life of the contract."
http://www.ocregister.com/articles/perry-ducks-season-2081874-getzlaf-free
Thanks, veryproudofya. I can't say it makes a ton of sense to me, but it makes me feel vaguely comforted.
I actually thought of a reason why bonuses were important on my drive home -- it probably matters for salary comparables, both league-wide and teamwise. Beyond that, though, if the cap hit and dollars are all set, it makes no difference to me what's a bonus and what's not.
I think the amortization benefits the team budget rather than the salary cap. So instead of reporting the $8M expense all in 2008-09, the Ducks will be able to report the expense over the life of the contract.
Ah, nothing like a little creative accounting.
Hopefully later on they can use that amortized expense to convince me they are losing money :)
That wood quote makes me feel a lot better.
Can't they just back date the bonus?
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