HURRICANES SEEK RENT REDUCTION FOR ARENA'S LATE OPENING

          The Centennial Authority "insisted" yesterday that the
     Hurricanes "cannot decide unilaterally to deduct" $1.5M from
     their annual rent payment this year for their lease at the
     Raleigh Entertainment & Sports Arena (ESA), according to Dan
     Kane of the Raleigh NEWS & OBSERVER, who writes that the
     Authority voted to hire a mediator to "resolve the dispute." 
     The Hurricanes claim that they are "entitled to pay only"
     $1.5M for their first year at the arena "because a provision
     in the lease allowed them to deduct $1.2 million from their
     annual rent if the arena didn't open on time."  The team is
     also asking for $300,000 in additional operating costs.  The
     ESA opened on October 29 of last year, nearly two months
     behind schedule.  But the Authority says that the team is
     "ignoring a second development agreement that explains the
     terms by which the franchise can receive a rent deduction." 
     This provision requires the Hurricanes "to provide
     documentation of out-of-pocket delay costs," which they have
     yet to do, allowing the Authority to decide "whether they
     are entitled to a reimbursement."  The sides will meet with
     a mediator in the next two weeks (NEWS & OBSERVER, 2/24).