Katz bids to buy Oilers

[Coldrsx]

^crying poor with huge profits????????

hardly...their ROI will only be made through appreciation of the team, not year over year dividends.

[feepa]

Opening Statement:

Edmonton Oilers Customer Survey

As a valued season ticket holder, the Edmonton Oilers Hockey Club is interested in gathering your thoughts and opinions regarding the Oilers Ownership Group.


In 1998 a group of 38 investors joined together and purchased the Edmonton Oilers Hockey Club. The Club was purchased after ATB took over from the former owner Peter Pocklington. Led by Cal Nichols, the Edmonton Investors Group Ltd (EIG) purchased the Hockey Club to ensure it remained in Edmonton; EIG is currently the largest ownership group in the NHL.


All survey responses will be collected and analyzed by Banister Research to ensure the confidentiality of your feedback and the objectivity of the analysis. All information will be reported in aggregate form, responses will NOT be reported in a manner that identifies any individual.


Your participation is voluntary and all the information you provide will be protected under the Provincial Freedom of Information and Protection of Privacy Act.


At the end of the survey, you will be eligible to enter to win a gift certificate for $100 worth of Oilers’ merchandise.

Questions:

1. Please indicate your level of agreement with each of the following statements using a scale of 1 to 5, where 1 means "strongly disagree" and 5 means "strongly agree".

a) It is important that the Edmonton Oilers Hockey Club is locally owned.

b) The Oilers ownership group fosters the Edmonton Oilers Hockey Club as a community team.

c) I think the Edmonton Oilers should be owned by a group of individuals, rather than a single owner.

d) The Oilers ownership group does a good job of communicating with Oilers fans.

e) I think the Oilers ownership group manages the Oilers organization well.

f) The Oilers ownership group is working hard to build a competitive team.

g) The Oilers ownership group members are strategic thinkers.


2. For the following issues, please indicate how important each should be to the ownership of the Edmonton Oilers Hockey Club. Use a scale of 1 to 5, where 1 means "not at all important" and 5 means "extremely important".

a) Acquiring marquee players for the Hockey Club.

b) Instituting a 'green' plan for the organization. (ie reducing power usage, recycling)

c) Building a new arena.

d) Having a charitable foundation to support community organizations.

e) Presenting marquee events (ie Heritage Classic, All Star Game, NHL draft, etc)

f) Providing the "best" game day entertainment experience for game attendees.

3. Of the following issues, which should be priorities of the Hockey Club's ownership over the next year? Indicate the top 3 priorities by using a "1" for top priority, a "2" for the second priority, and a "3" for the third priority.

a) Acquiring marquee players for the Hockey Club.
b) Instituting a 'green' plan for the organization. (ie reducing power usage, recycling)
c) Building a new arena.
d) Having a charitable foundation to support community organizations.
e) Presenting marquee events (ie Heritage Classic, All Star Game, NHL draft, etc)
f) Providing the "best" game day entertainment experience for game attendees.

4. What else should the Edmonton Oilers ownership group focus on?

5. Overall how satisfied are you with the Edmonton Oilers ownership group? Use a scale of 1 to 5 where 1 means "very dissatisfied" and 5 means "very satisfied".

5a. Why did you answer in that way?

6. Do you have any other comments about the Edmonton Oilers ownership group?

[adeep88]

Originally Posted by Coldrsx

^crying poor with huge profits????????

hardly...their ROI will only be made through appreciation of the team, not year over year dividends.

They made 6M back in 2003-2004, when the dollar was much lower.

They were 7th in league revenue last year, and paid out in revenue sharing (2.5M USD)

They made somewhere between 15-25M in 2005-2006.

Last year, despite missing the playoffs, 7th in revenue (5th highest avg ticket price), and as mentioned, paid out 2.7M USD into revenue sharing

They didn't make big profits in earlier years, but they did have a budget of 37M Canadian dollars back in 1998. This year, it's about 10M CDN higher.

http://www.mc79hockey.com/?p=2714#more-2714

[Coldrsx]

^after how many yrs of loses...

[christopherj]

Originally Posted by Coldrsx

^after how many yrs of loses...

None, I believe.

If you do some digging - Cal Nichols has been quoted as saying the team has always, at worst, broke even (exception being the strike year).

[christopherj]

Originally Posted by christopherj

None, I believe.

If you do some digging - Cal Nichols has been quoted as saying the team has always, at worst, broke even (exception being the strike year).

To offer up a reference - http://www.mc79hockey.com/?p=2714#more-2714 (which provides references to various newspaper articles with quotes from Cal Nichols):

[adeep88]

Originally Posted by feepa

Opening Statement:

Edmonton Oilers Customer Survey

As a valued season ticket holder, the Edmonton Oilers Hockey Club is interested in gathering your thoughts and opinions regarding the Oilers Ownership Group.


In 1998 a group of 38 investors joined together and purchased the Edmonton Oilers Hockey Club. The Club was purchased after ATB took over from the former owner Peter Pocklington. Led by Cal Nichols, the Edmonton Investors Group Ltd (EIG) purchased the Hockey Club to ensure it remained in Edmonton; EIG is currently the largest ownership group in the NHL.


All survey responses will be collected and analyzed by Banister Research to ensure the confidentiality of your feedback and the objectivity of the analysis. All information will be reported in aggregate form, responses will NOT be reported in a manner that identifies any individual.


Your participation is voluntary and all the information you provide will be protected under the Provincial Freedom of Information and Protection of Privacy Act.


At the end of the survey, you will be eligible to enter to win a gift certificate for $100 worth of Oilers’ merchandise.

Questions:

1. Please indicate your level of agreement with each of the following statements using a scale of 1 to 5, where 1 means "strongly disagree" and 5 means "strongly agree".

a) It is important that the Edmonton Oilers Hockey Club is locally owned.

b) The Oilers ownership group fosters the Edmonton Oilers Hockey Club as a community team.

c) I think the Edmonton Oilers should be owned by a group of individuals, rather than a single owner.

d) The Oilers ownership group does a good job of communicating with Oilers fans.

e) I think the Oilers ownership group manages the Oilers organization well.

f) The Oilers ownership group is working hard to build a competitive team.

g) The Oilers ownership group members are strategic thinkers.


2. For the following issues, please indicate how important each should be to the ownership of the Edmonton Oilers Hockey Club. Use a scale of 1 to 5, where 1 means "not at all important" and 5 means "extremely important".

a) Acquiring marquee players for the Hockey Club.

b) Instituting a 'green' plan for the organization. (ie reducing power usage, recycling)

c) Building a new arena.

d) Having a charitable foundation to support community organizations.

e) Presenting marquee events (ie Heritage Classic, All Star Game, NHL draft, etc)

f) Providing the "best" game day entertainment experience for game attendees.

3. Of the following issues, which should be priorities of the Hockey Club's ownership over the next year? Indicate the top 3 priorities by using a "1" for top priority, a "2" for the second priority, and a "3" for the third priority.

a) Acquiring marquee players for the Hockey Club.
b) Instituting a 'green' plan for the organization. (ie reducing power usage, recycling)
c) Building a new arena.
d) Having a charitable foundation to support community organizations.
e) Presenting marquee events (ie Heritage Classic, All Star Game, NHL draft, etc)
f) Providing the "best" game day entertainment experience for game attendees.

4. What else should the Edmonton Oilers ownership group focus on?

5. Overall how satisfied are you with the Edmonton Oilers ownership group? Use a scale of 1 to 5 where 1 means "very dissatisfied" and 5 means "very satisfied".

5a. Why did you answer in that way?

6. Do you have any other comments about the Edmonton Oilers ownership group?

What a biased survey

[sync]

i have heard that only 15% of the EIG is in favour of selling to katz at this time.

guess we'll have to see if this holds true.

[hilman]

Looks like Penner is coming to e-town, hopefully he will do better than the last forward the Ducks sent us

[Coldrsx]

^haha........finally starting to like getting season tickets again

[feepa]

http://www.sportsnet.ca/hockey/article.jsp?content=20070804_114148_4788

Board to vote on bid Tuesday
August 04, 2007



Should the bid be approved, the Oilers may be playing in a new arena in the
near future. (File)

Sportsnet.ca -- Owners of the Edmonton Oilers will meet on Tuesday to vote on the latest bid by Canadian billionaire Daryl Katz to purchase the team.

Katz, owner of the Rexall Pharmacy chain, is believed to have put up more than $170 million in his latest offer after previous bids of $150 million and $145 million were rejected by the board of directors. In order for the bid to be accepted, Katz needs 66.6 per cent of the vote. It is expected the board will reject the latest offer as well.

Following Tuesday's meeting, the ownership group is expected to hold a press conference to discuss the decision.

Katz released a statement last month outlining his motives for wanting to purchase the team, going as far as promising to spend the maximum under the NHL salary cap and helping to build a new arena if his bid is approved.

"To be clear, I am committed to building a winning team here in Edmonton and I would play to the salary cap every year to help make sure that happens," the pharmaceutical mogul said in the release.

"I am also prepared to make a significant additional investment of time and money towards the development of a new downtown arena facility for the team and the city if that's what the people of Edmonton want."

The Oilers are currently owned by 34 investors who bought the NHL team in 1998.

"They did a great thing when they came together to buy the team and keep it in Edmonton," said Katz. "They have maintained a real community feeling ever since, and just over one year ago they came agonizingly close to bringing the Cup back to Edmonton. As an Edmontonian and as a fan, I'm grateful for everything they've done. As an owner, should that come to pass, I intend to ensure their contribution is recognized and remembered.

"At the same time, I know there are a number of people within the ownership group who would like to exit their investment and pass the torch to a new generation of leadership. I want to provide that leadership while preserving the great Oiler traditions and maintaining a strong sense of community."

Katz is listed by Forbes magazine as the 486th richest man on the planet. Last year his net worth totalled $1.6 billion.

"If I'm successful in acquiring the team I will be more than happy to make myself available to the media to answer your questions directly," Katz said in finishing. "There is no great mystery in any of this, other than the sound business practice of trying not to negotiate a transaction in public. To that end I have offered to meet with all of the owners privately to further explain my offer and answer their questions.

"I've had several productive discussions already and look forward to others in the weeks ahead."

-- With CP Files --

[Harrison]

Why reject the offer? It'll benefit the Oilers, the fans, and the DOWNTOWN immensely!

[feepa]

something about pride and joy of ownership?

[christopherj]

Originally Posted by feepa

something about pride and joy of ownership?

If the dollar falls, the cap keeps going up, the government tells them to fund the arena themselves, another cash call is required, something tells me they might not be talking about the pride and joy of ownership as much.

To be honest, with Katz they could have all of the benefits of ownership, without the risks.

[Harrison]

But wait, there's more!

With the Katz Ownership offer, you'll get a dose of a billion-plus dollars absolutley free! No more long fundraising schemes and tedious campaigning to get government money!
Now Oilers Investors Group, call Darryl Katz now and accept this once-in-a-lifetime chance at hockey heaven!

[Jasper and one o nin]

I dont know how to set up a poll on here, (tried) but someone who knows how should set one up.. Should the EIG sell the Oilers to D Katz, yes, no?

[Coldrsx]

yes...yes...yes

[feepa]

Originally Posted by Jasper and one o nin

I dont know how to set up a poll on here, (tried) but someone who knows how should set one up.. Should the EIG sell the Oilers to D Katz, yes, no?

A similar poll was done on oilfans.com

http://oilfans.com/forum/index.php?t=msg...=367&SQ=39d3bf5327e349b1108cde11b860b971

[Coldrsx]

Oiler owners say no to Katz bid
Bill Mah, edmontonjournal.com
Published: 1:21 pm

EDMONTON - Not only did the Edmonton Investors Group rebuff a bid to buy the Oilers from billionaire Daryl Katz, but they said in no uncertain terms the team is not for sale.

"This morning, our shareholders voted resoundingly to reject this offer," said Cal Nichols, chairman of the 33 members of the owners' group who met this morning.

"The second thing we did this morning was we had a motion and a vote and declared the Oilers were not for sale.
Edmonton billionaire Daryl Katz, whose $185 million offer for the Edmonton Oilers has been rejected by the owners.View Larger Image View Larger Image
Edmonton billionaire Daryl Katz, whose $185 million offer for the Edmonton Oilers has been rejected by the owners.
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"This is not about dollars. This is about Edmonton. An ownership group is best-suited for Edmonton and the Oilers."

The group received a formal offer reported at $185 million on July 11 from the Katz Group, Nichols said.

But after tax considerations, "capital adjustments" and possible employee severance liabilities, the figure would actually fall closer to $160 million, Nichols said.

It was the third attempt for the Edmonton owner of the Katz Group drugstore conglomerate to buy the club.

In April, he came forward with an offer of $145 million. He made a second pitch to the board of directors to buy a majority of shares for $150 million, then went straight to the shareholders with his latest offer.

The reclusive billionaire issued a statement on July 24 declaring he would not only invest in a new downtown arena, but that he would build a winning team by spending as much as the NHL's salary cap would allow.

At a news conference, Nichols said the current owners are already taking steps to do those things.

He said the current owners will keep the team competitive and spend the maximum amount for players "when the opportunity presents itself."

The Edmonton Investors Group was the first to champion a downtown arena in October 2005, he added.

Nichols said Katz's attempts to buy the team have caused "collateral damage" and he hoped the outright refusal to sell brings the team needed stability.

"I hope that this, at least for the near term, puts an end to the offer thing because this has been a bit of a circus for four months."

[email protected]

Journal staff writer Bill Mah will have a full story on the Oilers offer in Wednesday's Journal.




© Edmonton Journal 2007

[sync]

the EIG better keep this team competitive in ALL ways - that means spending to the cap, and securing a new arena at least.