Connor McDavid and the Oilers may dodge a growing problem facing other Canadian NHL teams
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Connor McDavid and the Edmonton Oilers may dodge the money trouble squeezing other Canadian NHL teams as the salary cap climbs and the loonie stays weak.
Every Canadian NHL team is staring down the same math problem this decade.
The salary cap is set to jump from $88.5 million all the way to $113.5 million by 2027-28, and every dollar of it has to be paid out in U.S. currency.
For teams collecting ticket and sponsorship revenue in loonies, that climb gets a lot steeper if the exchange rate does not cooperate.
Edmonton Journal columnist David Staples argues the Oilers are in better shape than most to absorb that hit.
He points to two forces hammering Canadian franchises right now, a rising cap denominated in American dollars and a weakened Canadian dollar that stretches those payroll obligations even further.
Why Edmonton has more cushion than most
The Oilers pulled in roughly $388 million in revenue last season, more than the Toronto Maple Leafs managed despite Toronto carrying the higher overall franchise valuation.
A downtown arena that sparked more than $2 billion in private investment has turned Rogers Place into one of the league's most reliable money makers, giving ownership room to spend even if the loonie keeps sliding.
That matters because Connor McDavid and Leon Draisaitl are not getting cheaper.
Both are signed to deals that eat up a massive chunk of the cap, and any currency squeeze would normally force tough choices around the rest of the roster.
What this means for the rest of the roster
Instead, Edmonton looks positioned to keep spending to the upper limit while several other Canadian clubs may have to get creative just to stay afloat financially.
Whether that gap actually shows up in the standings is the real question heading into the next few seasons, and it is one worth watching closely as the cap keeps climbing.
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