When NHL players reportedly lost an astounding $400,000,000 owing to 119-day lockout

The 2004-2005 NHL lockout remains a significant and cautionary chapter in the league's history. The entire season's cancellation due to a prolonged labor dispute between the NHL and its players had profound financial and reputational consequences.

At the heart of the dispute were disagreements over issues like salary caps and revenue sharing.

The league, under Commissioner Gary Bettman, aimed to address financial imbalances among teams and ensure long-term stability. However, the players' union resisted these changes, leading to an impasse that resulted in the unprecedented decision to cancel the entire season.

The financial impact was substantial. With revenues of $3.3 billion in the prior season, the NHL faced revenue losses as games went unplayed. Players, who collectively earned $1.7 billion, found themselves without paychecks due to the lockout.

Forbes estimated that the players' losses amounted to around $400 million.

Fans, a critical part of any sports league, were not unaffected. Disenchanted with the prolonged dispute, many fans turned away from the NHL. The league's image was tarnished, and it took years to regain the trust and support of its audience.

The lockout's consequences extended to media partners like NBC Sports Network, which had secured broadcasting rights in a significant deal. The absence of games meant significant financial losses for the network.

2012 NHL labor dispute evoked memories of the past

During the 2012–2013 negotiations, the central concern was dividing the NHL's economic pie. The existing agreement had seen players' share of hockey-related revenue rise to 57 percent, but the league's initial proposal aimed to slash it to 43 percent.

The players' union showed a willingness to decrease from 57 percent but tied the new percentage to increased revenue sharing among teams.

They insisted on honoring existing player contracts. Key issues also encompassed altering free agency eligibility, with the league pushing for a rise to age 30 and 10 years of service. The union wanted to maintain the status quo.

Further league demands involved salary arbitration elimination, and changing salary cap calculations. In contrast to the 2004–2005 negotiations, which focused on the salary cap's existence, these discussions centered on revenue division.

Ultimately, the lockout's resolution featured a 50–50 division of hockey-related revenue, substantially reducing the players' share from 57 percent. Make-whole payments totaling $300 million over three years partially offset lost salary due to the lower cap, slightly tipping their initial revenue share above 50 percent.

The deal spanned 10 years with an option to reopen after 8 years, while the 2012–2013 season's cap stood at $70.2 million, dropping to $64.3 million for the 2013–2014 season.