Which teams benefit most from potential buyouts?
Today is the day that the NHL’s buyout window officially opens. Teams that are looking to rid themselves of certain contracts to open up cap space can do so by buying players out from June 15-30.
With the salary cap projected to increase from $75 million to anywhere between $78-82 million, we may see teams be less willing to bite the bullet because of the additional space. But that doesn’t mean certain organizations won’t go this route to give them a little more breathing room heading into the summer.
PHT’s Adam Gretz took a look at some of the buyout candidates for 2018, so feel free to check out his list by clicking here.
Now, we’ll look at which teams stand to benefit most from buying out a player or two.
• Minnesota Wild
The Wild already have over $67.5 million committed to the salary cap for 2018-19 and they still have to ink restricted free agents Jason Zucker and Matt Dumba to a new contracts. If they hope to make an impact signing or two in free agency, they’ll have to find a way to open up some cap space.
This is where Tyler Ennis comes into focus. Ennis is coming off a season eight goals and 22 points in 73 games. The 28-year-old has a long injury history and he comes with a cap hit of $4.6 million next season. According to Cap Friendly’s buyout calculator, buying out Ennis would cost the $2.167 million on the cap next season and $1.216 million two seasons from now. That works out to a cap savings of $2.433 million in 2018-19. Every penny counts for Minnesota.
• Pittsburgh Penguins
There’s an excellent chance the Penguins will look to tinker with their lineup after being eliminated by the Washington Capitals in the second round of the playoffs. To do that, they might need to find some additional cap space via trade or by buying out a player or two.
The most common player linked to a buyout on the Pens roster is Matt Hunwick. The 33-year-old is set to earn $2.25 million per year over the next two seasons. For a guy that was a healthy scratch for the most part in the second half of the season and in the playoffs, that’s too much money.
If GM Jim Rutherford decides he’s seen enough from Hunwick, he could save almost $1.8 million in salary next season by buying him out. The problem, is that the veteran blueliner would be eating into the Penguins’ salary cap for the next four years. His buyout cap hit would go from $458,3000 to $1.208 million to $708,333 over the final two years.
An outside-the-box buyout candidate might be Carl Hagelin, who comes with a $4 million cap hit in the final year of his contract, but that’s a long shot. The Pens could probably find a taker for him via trade, which would eliminate their need to buy him out. A hypothetical buyout would save them over $1.5 million next season. Again, it’s extremely unlikely, but it’s interesting to look at because he’s in the final year of his contract.
• Tampa Bay Lightning
The Lightning have already spent almost $67.8 million for next season. That doesn’t include the money they’ll have to pay RFA J.T. Miller.
Bolts GM Steve Yzerman isn’t shy about buying players out, as he already did so with defenseman Matthew Carle back in 2016 (Carle’s contract counts for $1.83 million for two more years).
In order to make room for youngsters like Slater Koekkoek or Jake Dotchin, the Lightning could opt to buy out Braydon Coburn, who has one year remaining on his contract at $3.7 million. The 33-year-old wasn’t terrible last season, but paying $3.7 million for a guy that averaged 16 minutes of ice time per game is a lot. Buying him out would cost Yzerman $1.233 million over the next two years. That’s a cap savings of $2.466 million next season, but it’ll also cost them $1.233 million in 2019-20.
The Lightning may also be tempted to buy out forward Ryan Callahan, who has had his share of significant injuries over the last few years. The 33-year-old has two years left on his current deal that comes with a cap hit of $5.8 million (he’s the second-highest paid forward on the team behind Steven Stamkos).
Buying out Callahan would save Yzerman $3.13 million over the next two seasons. It would also cost him $1.567 million three and four years from now. That’s a steep penalty to pay down the road, but it’s something to look at for a team that’s in win-now mode.
The issue with Tampa is simple. Saving money in 2018-19 is great and all, but paying buyout money in two years from now could become a problem because Nikita Kucherov, Ryan McDonagh, Anton Stralman and Yanni Gourde will all need to be paid again before next summer.
• San Jose Sharks
The Sharks already took care of some major business when they locked up Evander Kane to a seven-year, $49 million contract extension this offseason. Now, they have $67.49 million invested in their current group of players and they still have to re-sign RFA Tomas Hertl and potentially UFA Joe Thornton.
Assuming those are the two moves they’re going to make, the Sharks will have enough cap space to make that work. Here’s the thing, they’ve also been linked as a potential landing spot for John Tavares.
If they want to take a serious run at JT, they’ll need all the flexibility they can get. That means that they could let Thornton walk, but it also means that they can stand to buy out the final year of Paul Martin’s contract.
Martin, who has one year remaining on his current deal, is set to count for $4.85 million on the cap. Buying him out would save GM Doug Wilson $2.833 million in 2018-19.
The 37-year-old spent time in the minors and he was made a healthy scratch often enough. It would be surprising to see a team take on his salary via trade. This might be the Sharks’ only option if they want to open up money for a big splash in the free-agent market.