"Spoke to Scudder. Nothing has changed since last week - hasn't heard from Chambers and still waiting for an offer from Profitt. I reiterated that we're running out of time. I made arrangements for Taveras to do due diligence for Reinsdorf. We both agreed that we are trying to maximize value (and recovery for Jerry Moyes) but this is looking more and more difficult since no one seems to be excited about a team losing 40mm. He said this could depend on how much Glendale will contribute. He also said that while he's not agreeing (or is authorized to agree), just getting Jerry off the hook is certainly something that they are focused on. I told him that at some point, if we don't have an alternative, I will have to start looking at the moving option. He then told me that people are starting to circle. I asked what he meant and he said that he heard from Rodier. I said that he is not authorized to talk to anyone about moving - they are trying to sell the Coyotes in Phoenix and I have the proxy - so that if anyone asks him about moving he should decline to talk about it and refer them to me. He said he understood. He then asked about Southern Ontario and I responded that it's a league opportunity, the building is too old etc. and, frankly, if this team had to move, it should first be offered to Winnipeg. I also said that getting out of the lease will be an issue and he responded that it can be done in bankruptcy. I suggested that unless he has DIP financing the club will be deal because a bankruptcy court won't void the lease in time for next season's schedule, no one seems to want to fund the losses and that Jerry will get nothing in a bankruptcy (and we still have his guarantee). That's my report."
Jeff Shumway says the league never ran the Coyotes' operations but merely received weekly financial updates.
Jim Balsillie, co-CEO of Research in Motion, had a $212.5-million offer, with plans to move the club to Ontario, in place by April 17.
NHL commissioner Gary Bettman had also been seeking a buyer for the Coyotes. He had one nibble to keep the club in Phoenix.
Coyotes owner Jerry Moyes, who wants to sell to Jim Balsillie, is challenging the NHL's rules on relocation, alleging they violate anti-trust laws.Report Typo/Error
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