After "facing a hailstorm of negative public reaction"
for granting Canada's six NHL franchises federal aid to try
to keep the teams in the country, Federal Industry Minister
John Manley on Friday "pulled the plug" on the Federal
Government's plan, according to Mark MacKinnon of the
Toronto GLOBE & MAIL. Manley, on the "embarrassing about-
face": "In the past few days, there has been tremendous
negative reaction, much of it from the very stakeholders who
would be crucial to the solution" (Toronto GLOBE & MAIL,
1/22). In L.A., Helene Elliott noted that the package
"would have given about" US$3M per year to the six teams
through the 2004 season, when the CBA expires. Manley:
"This proposal is dead and we will not be pursuing the issue
any further" (L.A. TIMES, 1/22). In N.Y., Richard Sandomir
wrote that taxpayers and government officials "objected to
the prospect of paying" teams about C$2.5M per year,
"including the low priority of bailing out private
businesses that employ millionaire athletes" (N.Y. TIMES,
1/22). In DC, Steven Pearlstein called negative reaction to
the plan "two days of intense political forechecking from
the press, the public and politicians." NHL Commissioner
Gary Bettman said, "We have challenges. We as a league will
do everything we can to keep the six teams in Canada and
keep them competitive. ... We're going to do the best we can
under difficult situations" (WASHINGTON POST, 1/22). In
Edmonton, Durkan & McDougall called the government's
decision the "biggest, fastest political flip-flop in living
memory" (EDMONTON SUN, 1/22). In Calgary, McNaughton, Exner
& Woodard wrote that Manley "blamed" provincial politicians
such as Alberta Treasurer Stockwell Day and Ontario Premier
Mike Harris "for abandoning the federal government" with
"strong opposition to the plan." Manley: "Either they were
misleading or we misread them" (CALGARY HERALD, 1/22).
WHAT'S NEXT? The WALL STREET JOURNAL's Julian Beltrame
writes that Bettman said that NHL team owners "would now
reconsider whether to continue" with an equalization fund of
between C$40-50M for small-market NHL teams in Canada (WALL
STREET JOURNAL, 1/24). In Toronto, Allan Maki wrote that
Canada's NHL teams "may be dazed and disappointed" and "may
be down and even hurt," but they're "refusing to go away
quietly in their fight for financial assistance." Canucks
President & GM Brian Burke: "We're not quitting. We're not
throwing in the towel." Flames President Ron Bremner said,
"This door [to the federal government] has closed. Now we
have to look at what other doors can be opened" (Toronto
GLOBE & MAIL, 1/22). In Ottawa, John Steinbachs reported
that the Senators "will likely still get nearly" C$3.9M in
property tax "cuts" on the Corel Centre (OTTAWA SUN, 1/22).
YOU SAY GOODBYE, I SAY HELLO? In Detroit, Ted Kulfan
wrote, "Hockey Night in Canada might soon be relegated to
only Toronto and Montreal after" Manley's decision, as the
future of the Senators, Flames, Oilers and Canucks "is now
very much in doubt" (DETROIT NEWS, 1/23). Bremner said a
"shortfall" of 4,000 fans per game, plus the loss of
equalization funds, "could cost" the team nearly C$25M in
revenue over three seasons (CALGARY SUN, 1/24). In Ottawa,
Barre Campbell wrote that with the "futures of Canadian
small market teams ... on thin ice," teams could possibly
move to U.S. cities like Houston, Oklahoma City, Cleveland
and Las Vegas (OTTAWA SUN, 1/22).
