Kovalchuk’s Retirement a Wound to Stubborn NHL and Devils’ Lamoriello

Ilya Kovalchuk announced his retirement from the New Jersey Devils and the NHL on Thursday while in the prime of his career.
Kovalchuk’s Retirement a Wound to Stubborn NHL and Devils’ Lamoriello
7/13/2013
Updated:
7/13/2013

Like the “Golden Jet” before him, Ilya Kovalchuk sought greener pastures on Thursday by retiring from the NHL. And though Kovalchuk is no Bobby Hull, he may have jumpstarted the Russian Kontinental Hockey League (KHL) the way Hull did with the World Hockey Association in the 1970s.

His announcement shocked most of the hockey world and it was soon after that Pavel Lysenkov of the Russian publication SovSport reported that the Russian superstar will sign with SKA St. Petersberg in the KHL and will become “the most-paid player in the world” according to the website.

Most of the hockey world was shocked, but for some the effect wore off quickly. Kovalchuk’s 15-year contract valued at over $100 million was an albatross for a New Jersey organization that is deeply in debt. He is leaving $77 million on the table, which will be more than made up for in the KHL.

The Devils meanwhile will only forfeit $250,000 of cap space, albeit until the 2024-25 season.

For now, Kovalchuk leaves an immeasurable void on the Devils roster and, to a lesser extent, in the NHL itself. Devils GM Lou Lamoriello took a huge leap in signing the star player and has, and will, pay dearly for it.

In trading for the Russian winger, the Devils gave up Niklas Bergfors, Johnny Oduya, Patrice Cormier, and their first and second round picks in 2010. Later, the NHL ruled the original contract signed by Kovalchuk was “cap circumvention” and so the Devils had to further forfeit a first round pick in 2014. If the Devils struggle this upcoming season, that pick could be quite valuable.

It could also be argued that had his contract been less crippling to the team, Lamoriello might have had the opportunity to keep one or both of Zach Parise and David Clarkson, now in Minnesota and Toronto, respectively.

Where the NHL may feel his departure most though, is through the implications of his comments in Thursday’s media release. “This decision was something I have thought about for a long time going back to the lockout and spending the year in Russia,” Kovalchuk said in his statement.

He made several unheralded threats to stay in Russia regardless of the outcome in the 2012 lockout, and he wasn’t the only one. Ilya Bryzgalov spoke publicly during the lockout about his frustration with the NHL and its franchise owners and some speculate that the KHL is also where the Russian goaltender will eventually sign.

And while many NHL players and coaches have had brief stints in the Russian league, it is nevertheless regarded as a step below the NHL in terms of quality of play and of life for players.

The same was said of the WHA when Bobby Hull jumped ship from the Chicago Blackhawks to sign with the newly-minted Winnipeg Jets in 1972. The WHA was founded by an assorted bunch of gamblers, risk-takers, and cage-rattlers who lured young players from the minor leagues, Europe, and the NHL.

The mere suggestion of the league was an affront to a conservative NHL who, at the time, had a stranglehold on the best professional talent in hockey. When Hull crossed over and signed the first million-dollar contract, the game was altered in unimaginable ways.

From European-style breakout patterns, to the popularization of the slap shot, to the inflation of salary to young talent, Hull was the face of the biggest threat to an entrenched NHL.

Has the tight-fisted NHL and two lockouts in eight years alienated a new generation of hockey players? In the minds of some, Kovalchuk is yet another example, albeit the most significant, of Russian players who tease the North American leagues only to eventually return home.

The WHA is a reminder that North Americans, when given the choice between the NHL and a more lucrative contract, will also take the money and run. Now, the NHL is the only viable option for Canadians and Americans wishing to play at home while former NHL draftees like Alexander Radulov and Evgeny Kuznetsov remind Russians that some can make exponentially more money playing in the KHL.

Kuznetsov is yet to play a game under contract in North America. George McPhee, General Manager of the Washington Capitals, drafted Kuznetsov and recently spoke to ESPN Radio, saying “He’s 20-years-old, they gave [Kuznetsov] $10 million to play for two more seasons. It’s a 13 percent tax rate over there and even with that, most of the money is under the table.”

Kovalchuk was set for life whether he was to be paid by the NHL or the KHL. But if the two lockouts that he has been through sour him towards his former league, he may find a different kind of headache in the KHL where teams have been known to miss payroll or pay under the table.

It is likely a decision motivated by playing in the country where his family is from and where he can provide best for them. But the NHL will certainly feel the impact of his departure and may think twice the next time it bargains over hockey-related revenues and contract rules.

The WHA eventually disbanded with four teams merging with the NHL: Quebec, Winnipeg, Edmonton, and New England (later the Hartford Whalers).

With the merger, the minimum draft age dropped to 18 from 20, salaries went up for younger players, and the practice of divulging them publicly became the norm, establishing a more fair and transparent hierarchy among the league’s players.

Even more so than Bobby Hull, Kovalchuk is a player in his prime at just 30 and should bring more attention to a rival professional league looking to send a message to both its natives and to the NHL at large.

Lamoriello often exhibits genius in his dealings as the Devils general manager. Only last week he acquired goaltender Cory Schneider in a steal of a trade.

But, in a salary-capped NHL that has fallen victim to restrictive long-term contracts like Roberto Luongo’s or the recently bought-out Vincent Lecavalier and Bryzgalov, Lamoriello gets off scot-free.

Devils ownership keeps the remainder of Kovalchuk’s contract ($77 million) and is barely affected by the cap penalty. But by no means was this an easy decision for the resilient manager.

“I’m not going to allow anything to get in the way of what I have to do,” said Lamoriello as reported by NHL.com.

The NHL will likely take a similar, stubborn stance. They did not allow the Devils to circumvent the cap and were there to pick up the pieces of the failed WHA.

Had the Devils fought Kovalchuk’s decision, the NHL would have backed them. Though the loss of a star player in his prime may bruise their reputation, they remain the destination for most premiere players. For now.

 

Joe Pack has written for TheHockeyWriters.com, is a member of the Society for International Hockey Research and has his own blog at www.upperbodyinquiry.com. Follow him on Twitter @JoePack