The "Hometown Discount" Does Exist
Matt Bodenschatz | Pittsburgh Penguins
Jul 6, 12:02 PM | Hype this story!
Picture yourself at age 21, working your first professional job and making a nice salary. You’re one of the best at what you do and know that, in a short time, you’ll have the option of naming your salary.
Your options are staying with your current employer who might not be able to pay you top dollar, but will provide a great work environment or moving on and taking a job elsewhere, allowing you to make significantly more money.
What would you do?
My guess is that most would sacrifice quality of work environment to make more money because, quite frankly, you never know when your earning power might end.
But the Pittsburgh Penguins have been blessed with a handful of unselfish players who are willing to make a large monitory sacrifice for the better of the team.
We’ve all heard of the “hometown discount” in hockey, which really seems to be a myth.
For example, Ryan Malone was born and raised in Pittsburgh, yet he chased the big contract and headed south. A few summers ago, Plum native R.J. Umberger had a chance to sign with the Penguins, but chased the almighty dollar and signed with the Philadelphia Flyers.
And it spans a much larger territory than Western Pennsylvania. Just over a year ago, “Captain Canada” Ryan Smyth left the Edmonton Oilers with tears in his eyes over a couple hundred thousand dollars — big bucks to you and I, but chump change when the contract in talks is worth a several million per year.
If someone who seemingly bleed the blue and white of the Oilers would leave over such a small amount, it would seem the hometown discount is nothing more than a cute idea fans grasp onto in hopes of seeing their favorite players remain with their favorite team.
Yet, in Pittsburgh, the Penguins have found a way not only to keep the star players in town, but to do so at a discounted rate.
Last summer, Sidney Crosby, widely known as the best player in the NHL, signed a contract extension worth an average of $8.7 million per season, or several million less than what he could have made.
Now, this summer, Evgeni Malkin followed in the team captain’s footsteps and signed a nearly identical contract.
Brooks Orpik was told prior to free agency that Marian Hossa was the primary focus of the Penguins and that all else would be put on the backburner until a decision had been made regarding the Slovakian sniper.
What did Orpik do? He waited. And while he waited, he was offered numerous contracts worth in the $4 to $4.5 million range per year over several years. In the end, after Hossa jumped ship and headed north to Detroit, Orpik signed on with the Penguins for $3.75 million per season, or nearly $1 million less than he could have made elsewhere.
It would appear the hometown — or maybe home team — discount is alive and well in Pittsburgh.
But it goes even further than that.
Last summer Petr Sykora called Penguins general manager Ray Shero to let it be known his destination of choice was Pittsburgh. Not long after, the Czech winger latched on for a less-than-market contract of $2.5 million per year for two years.
And within the last week, Shero nabbed Ruslan Fedotenko for $2.25 million on a one-year contract. The big winger likely could have made more elsewhere, but he liked his chances of winning in Pittsburgh.
The same can be said of Miroslav Satan, who, like Sykora, called Shero and said he wanted to wear the black and gold in 2008-09. Satan’s $3.5 million one-year contract may not seem like a bargain based on his 41 points from last season, but his 685 career points might indicate otherwise.
And then there is Matt Cooke, a pest who made $1.5 million last season. He likely could have earned the same this year, but he took a paycut to come to Pittsburgh, where he’ll earn $1.2 million per season over the next two years.
As a fan, it stung seeing Hossa, Malone and others chase the almighty dollar. But history tells us this just doesn’t work.
Smyth ended up in a New York Islander uniform and went nowhere immediately after being traded from Edmonton. Then he signed on with the Colorado Avalanche, where he was relegated to third line duty.
Umberger played a few miserable years in Philadelphia, then was eliminated by his childhood hometown team in the Eastern Conference Finals. Now he’s with the Blue Jackets, a team that has yet to make the playoffs in its existence.
It remains to be seen what might happen to Hossa and the Red Wings and Malone and the Lightning, but that’s all irrelevant now.
What is relevant, however, is that the Penguins, despite losing some very talented and important players, are, quite possibly, a better team than they were at this time last summer.
They have used their drawing power to lock their “core” into long-term contracts at discounted rates and have lured in new and talented players at reasonable prices.
The Penguins are alive and well, and this fan couldn’t be more grateful.
Comments
Pens1967
Jul 6, 01:06 PM
Good stuff, Matt.
If I were Ken Holland in Detroit, I might be getting a bit nervous that there’s another team with a far younger, and IMHO, more talented, “core” and the same team first attitude stalking his RedWings.
Also, I think it is generally not well understood, though, that people may not be motivated primarily by money. Comfort, coworkers, bosses and work environment play just as big a role in determining if one stays or leaves his/her employer.
Last, I wonder if Malone noticed the whole thing that went down with Dan Boyle in TB?
Only 4 months ago he was signed to a huge contract at the behest of the new owners and then they were not too subtle in running him out of town when it suited their needs.
Ray
Jul 6, 07:19 PM
We need to be reminded that Ryan Malone’s father Greg was hired by Tampa Bay at the same time they signed him. Also, remember, if memory serves, that Greg was fired by the Penguins a year or two ago. It should not take a lot of thinking to come to the conclusion that Ryan felt no great affinity for the organization that let his father go, so, why should he?
And, as for Dan Boyle, why should Ryan worry about that? He has the money whether Tampa Bay decides to keep him or trade him, or buy him out.
Dabich
Jul 6, 07:39 PM
He may have the money. but I’d far prefer stability and home environment if I were a father raising a child and supporting a wife.
Pens1967
Jul 6, 08:44 PM
What happened to Boyle is very relevent to Malone. It demonstrates that the TB owners are mercurial – love you one day, throw you in the trash the next – and have no loyalty. It should disabuse Malone of any idea that if he does not live up to expections, he and his dad won’t be run out of town. I don’t care that Malone left, but he should be wondering what he got himself into.
Dabich
Jul 7, 05:40 AM
I care that he left, darnit, he was my fav player! OH well, he brought it on himself.
Pens1967
Jul 7, 08:55 AM
Dabich, of course I would have preferred Malone stay, but his mindset was he was worth a certain salary and Shero and his
staff didn’t agree. I think he’s probably going to find out while the money might be greener, the grass on the other side isn’t.
With Malone’s contract being front-loaded, I fully expect him to be moved in 2-3 years.
henkegbgskea
Jul 7, 09:55 AM
hi!
Well i have some thoughts , SURPRISE !
=))
I really,really hope pens sign Pesonen cause he is a good player.
I think Peca is too expensive …
and not willing to come here?
why not offer Jeff Hamilton a two way contract?
At least invite him at training camp?
Wait i know they did offer him a contract like that …..
I think he could be a a good 4 th line centerman ..
I just wonder how good faceoff man he is?
Jeff Taffe wants a oneway contract and 550 000 $ Do we want Shero to give him that contract and money instead of getting Hamilton?
Trading Sydor to LA or TAMPA for a late draft pick say in the sixth round-09 would be nice….
I think they should give Tim Brent a long look this time …
He was real good in Wilkes Barre and i could see him as a 4 th line centerman.
Stone ? hmm i just dont know about him….
well thats my thoughts about “my” nhl team for the moment….
i will be back…...
Dabich
Jul 7, 11:01 AM
Pens1967, I know, I didnt mean to come across as petulant lol.
I’m extremely disappointed Malone left his hometown. While he isn’t the caliber player of Malkin or Crosby, he surely filled a lot of slots. I think you’re right, he’ll find it’s not so nice in Tampa, and I doubt they will keep him long.
Matt Bodenschatz
Jul 7, 12:19 PM
Henke, Peca made $1.315 million last season and hasn’t done anything to earn much of a raise. So he’s not too expensive if there is, indeed, a desire for a fourth line center with grit, PK skill, and faceoff skills. This is especially true if Sydor is traded, which seems very likely. And there is no reason to suspect he wouldn’t want to come here. He played in Columbus, which is not very far from Pittsburgh and is a horrible team. Improving to a Stanley Cup contender wouldn’t be a bad move for Peca. But this is all assuming the Penguins even want or have an interest in him.
Talk is that Hamilton, Isbister, Beech, Taffe and a few others have been offered two-way contracts, though nothing is definite. For the fourth line, though, the Penguins need grit and defensive minded players, not shootout specialists and soft scorers.
Taffe to a one way? Sure, he’s a good, cheap depth guy. I’d do it — but, as I mentioned in the previous paragraph, it looks like the Pens want him on a two-way contract, and I can’t blame them, seeing as how he is a dime-a-dozen guy.
Sydor, as I mentioned above, likely will be traded at some point. He’s the eighth defenseman on a team that generally carries no more than seven. Which teams might be interested in him and what they might offer is something I don’t wish to speculate about.
Brent has done nothing to eanr a job in the NHL, as evidenced by his lack of NHL time during the injury crisis of January and February. If anyone in the minors is given a chance at fourth line duties, it’s Stone or Filewich, both of whom can play a feisty game and have lost their status as “prospects.”
Commenting is closed for this article.