Summary
When the collective bargaining agreement with players expired on Sept. 15, 2004, NHL owners locked out their players to force concessions in the new contract.
The league claimed it had lost nearly half a billion dollars over the previous two seasons and that 19 of its 30 teams had lost money, mainly because player salaries took 75 percent of all revenues, compared to 64 percent in the NFL, 63 percent in major league baseball, and only 57 percent in the NBA.
Owners wanted a salary cap. Bob Goodenow, executive director of the NHL Players' Association, insisted that the players would never agree to such a thing.
However, after several meetings at which no progress was made, Goodenow offered to accept a salary cap of $52 million per team. The owners wanted a cap of only $40 million.
The players eventually came down to $49 million and the owners went up to $42 million, but negotiations stalled there. On Feb. 16, 2005, the season was officially canceled. It was the only time in the history of American professional sports that an entire season was lost because of a labor dispute.
In mid-July, talks suddenly heated up. After 10 consecutive days of negotiations, including a stretch of 24 hours straight, owners and players reached a deal that included a salary cap of only $39 million, less than the owners had originally offered.
Two weeks later, Goodenow resigned under pressure and was replaced by Ted Saskin.
The league lost its television contract with ESPN as a result of the