From today's Hamilton, (Ontario) Spectator. So from reading this can I surmise
that the NHL is saying to Hamilton, get someone else to front a bid for you and
you have a team?

Craig


http://www.thespec.com/News/Local/article/610089



NHL to Jim: Sorry, but we don't trust you
July 31, 2009
Ken Peters
The Hamilton Spectator
(Jul 31, 2009)
The NHL says Hamilton is a great place but has tied its fortunes to the wrong
hockey partner.

In short, NHL owners don't trust Jim Balsillie and don't want him as a business
partner, says league deputy commissioner Bill Daly.

In an e-mail to The Spectator yesterday, Daly said the board of governors'
rejection of Jim Balsillie as a potential franchise owner has nothing to do with
Hamilton.

"Yesterday's (Wednesday's) vote had nothing at all to do with Hamilton. The
relocation issue was not even mentioned ... This was all about Jim."

Daly said the league owners took Balsillie to task Wednesday and accused him of
turning his back "on commitments and representations he has made to the owners."
He said Balsillie's disregard for league rules, policies and procedures "have
caused significant damage to the league and to many of our clubs.

"These are facts that were pointed out to Jim frequently (Wednesday) by our
owners during the course of the interview. At the end of the day, as is their
absolute right to do, the owners simply decided they could not trust Jim and
they didn't want him as their business partner.

"Hamilton is a great hockey town with passionate fans. But it may be time for
the city to come to the realization that it married the wrong spouse," Daly
wrote.

Mayor Fred Eisenberger says he is now convinced National Hockey League
commissioner Gary Bettman has a personal vendetta to prevent Balsillie from
bringing a league franchise to the city.

The tipping point was the board's rejection of Balsillie. The NHL endorsed the
$148-million US bid of Chicago sports magnate Jerry Reinsdorf, who wants to keep
the Coyotes in Phoenix where the club has lost $70-million US in the past three
seasons.

Eisenberger noted that the league endorsed Balsillie's bid to buy the Pittsburgh
Penguins in 2006.

"Now to say even though his passion and commitment to hockey has increased and
his resources to fund and operate a team has increased but somehow he is not a
feasible and financially viable owner, it does not make any sense to me. That to
me says this is personal posturing and animosity that has built up between the
two and is now playing out in posturing in the courts," said the mayor
yesterday.

But Daly rejects the mayor's view, noting Bettman doesn't have a vote on the
board. "So any suggestion that Jim's overwhelming defeat at (Wednesday's) board
meeting had anything to do with Gary Bettman or was in any way motivated by
anti-Canadian or anti-Hamilton animus, is either uniformed or misinformed and is
contrary to the facts," he wrote.

Balsillie spokesperson Bill Walker said the NHL rejection of Balsillie as a
prospecti ve franchise owner is a "non-issue" and a "red herring."

"We agree that Hamilton is a great hockey city and add that Jim Balsillie would
be a great Hamilton NHL owner. Hamilton hockey fans deserve an NHL franchise and
we hope the league will put the fans first," said Walker in response to Daly's
comment.

Walker pointed out it will be up to Arizona bankruptcy court Judge Redfield Baum
to determine who ends up owning the Coyotes, not the NHL.

Team Balsillie issued a media release quoting Baum's position on the suitability
issue from a June 15 ruling.

"Absent some showing by the NHL that there have been some material changes in
PSE's (Balsillie's company) circumstances since 2006, it appears to the court
that the NHL can not object or withhold its consent to PSE becoming the
controlling owner of the Phoenix Coyotes," Baum stated.

"What this is about is the NHL blocking the move of this team to Hamilton,"
Walker said. "Everything the NHL is doing is intended to stop this team from
moving to Hamilton, that's it."

The NHL rejection of Balsillie has no effect on the timetable to settle the
issue.

Baum will convene a "Stay Put" auction Wednesday to determine the suitability of
two offers to buy and keep the Coyotes in Phoenix for a 13th season. Should Baum
rule that neither offer is acceptable to the creditors who are owed an estimated
$300-million US, Balsillie's bid would be considered with all other relocation
bids on Sept. 10.

kpeters@...

905-526-3388





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