New York Rangers: What the Mark Stone trade and extension mean

The Ottawa Senators continued its two-year fire sale with a trade of Mark Stone to the Vegas Golden Knights minute before the 3 pm deadline on Monday. The New York Rangers better have taken notes.

Typically, every single year, a marquee pending unrestricted free agent becomes the center of the media frenzy leading up to the NHL trade deadline. Last year, Ottawa Senators defenseman Erik Karlsson was at the center of the maelstrom but didn’t end up getting traded until the offseason. On Monday, his former teammate, Mark Stone, was dealt to the Vegas Golden Knights.

The complexion and direction of the NHL were changed on Monday in a variety of ways. For all of the talent that the Tampa Bay Lightning have, it’s pretty safe to say that the balance of power in the league is firmly tilted towards the Western Conference. With so many quality teams in one conference, the playoffs out west are going to be a blood bath.

When it comes to how deadline day affected the New York Rangers, it primarily has to do with the long-term future. As a team in year two of a multi-year project, the team has no pressure yet to yield tangible results. In fact, New York has at least one if not two more years of player development before it becomes time to start adding expensive external pieces.

The Stone trade means a handful of things for the Rangers even though they won’t be meeting the Golden Knights in the Stanley Cup Final this June.

The pool dries up

Part of the plan for the Rangers may have been to land one if not two impact free agents on July 1st. The aforementioned Stone was due to be one of the potential candidates to speed up New York’s rebuilding plan. However, the forward and Golden Knights agreed to an eight-year deal worth $9.5 million per year that cannot be signed until March 1st.

This leaves Artemi Panarin firmly at the top of the free agent class this summer. The Russian forward was at one point considered trade bait, but the Columbus Blue Jackets instead opted to go all in this year and trade for several pending free agents in hopes of winning the Stanley Cup.

With so many temporary pieces, Columbus will be unable to sign Panarin without cap gymnastics. Throw in the fact that the winger has had one foot out the door all season and it is a recipe for a frenzy come July 1st.

After Panarin, there is a drop off to the next tier. In this mix are center Matt Duchene, wingers Joe Pavelski and Anders Lee as well as defenseman Erik Karlsson. All four of these players would make the Rangers significantly better right away but are all drop-offs in terms of impact compared to Stone.

In year’s past, Karlsson would’ve been the piece for New York to covet. However, at soon to be 29-years-old the long-term deal the Swede will command on the open market would be a major commitment that could turn sour. The defenseman’s checkered injury history is a tremendous red flag in any potential long-term deal.

Setting the market

Vegas agreeing to an extension Stone shortly after acquiring the forward makes a lot of sense considering what the team had to give up to get the winger. Prospect Erik Brannstrom, a defenseman, and considered one of the best prospects in all of hockey was sent to the dumpster fire up in Ottawa for Stone’s services.

The extension, eight years $9.5 million per year is instantly one of the highest paying deals in the entire league. Throw in the fact that Nevada has no state income tax and Stone will be one of the highest net earners in the entire sport of hockey. With such large figures, state income tax will become a tremendous sticking point this July.

For a team like the Rangers that play in New York, the high state income tax rate will inflate the cost of any contract. Larry Brooks of the New York Post surmised that it’d cost the Rangers around $11.5 million per year to court Panarin on the open market because of the tax implications.

Whereas the Florida Panthers, who play in another state with no income tax, could offer Panarin the same figure but since he’d earn more overall would technically have a richer offer.

The elephant in the room

The biggest open secret in the NHL is the looming lockout on the horizon. With several years of salary cap growth, increases in player earnings and a handful of teams on the brink of relocation, the recipe for another lockout is brewing. The owners of the small market teams struggling to hang on will insist that deals like Stone’s are beyond their means.

Of course, these are some of the richest men on the planet and their cries of poverty should be met with skepticism. But, with a potential lockout brewing for the start of the 2020-2021 season, teams should prepare for the possible problems associated with a work stoppage. In fact, several players are covering their futures through a specific contract measure.

Part of why both Toronto Maple Leafs center Auston Matthews and Edmonton Oilers center Conor McDavid opted for a majority of their salaries in the form of signing bonus is when they’re due. If the owners were to lockout the players in September of 2020, both Matthews and McDavid would be due their sizable signing bonuses in July of that year regardless.

When the figures on the Stone contract are finalized at the end of the week, it’ll be interesting to see what percent of the total contract is paid in signing bonuses.

This is another factor that the Rangers must consider in the courtship of any potential free agent. New York can afford to pay players in lump sums and have an owner willing to spend to the salary cap every single year, so this isn’t a major issue.

Hopefully, Jeff Gorton and company took notes of the Stone situation and are adequately prepared for this Summer. The fate of the franchise is very much up in the balance, and one wrong move could set the rebuilding plan back years.