The Penguins might proceed with a buyout—or they might not. Across the league, several players are potential buyout candidates, which could present the Penguins with new free-agent opportunities.
This year’s late NHL season has caused a scheduling overlap between the buyout window and the NHL Draft. Historically, teams had a few weeks between the end of the season and the draft to decide on buyouts or trades to offload bad contracts. This year, general managers, including Penguins’ president of hockey operations and GM Kyle Dubas, have only a few days, as the buyout window closes on June 30. Teams involved in arbitration cases will have a second buyout window, which opens in late July or early August.
Despite the prolonged Stanley Cup Final, trading activity has already begun. However, since the Penguins’ season ended over two months ago and Dubas has not yet made significant roster changes, it appears there is limited interest in the Penguins’ trade assets.
Key trade possibilities for the Penguins include Reilly Smith, Ryan Graves, Rickard Rakell, and Marcus Pettersson. However, Graves is unlikely to bring any return and might even require an asset to move. Rakell and Pettersson are not buyout candidates; both are valuable to the team and have reasonable contracts. Rakell, after recovering from a rough start and injury last season, scored 15 goals and 33 points in his final 53 games. He has four years remaining on his contract with a $5 million cap hit. Pettersson, the team’s most reliable defenseman, has one year left on his deal with a $4.025 million cap hit and will likely attract significant interest if put on the trade block next season.
Considering buyouts, the Penguins are looking at Smith and Graves. Buying out either player would free up significant cap space next season, though Graves’ buyout would impact the payroll for an additional decade. All salary information is sourced from PuckPedia’s buyout calculator.
Reilly Smith Buyout Cost
Smith has one year remaining on his contract, with an average annual value of $5 million. Last season, he scored 13 goals and 40 points in 76 games, despite rumors of his discontent in Pittsburgh, which he denied. A buyout would add nearly $2.7 million to the Penguins’ cap space this summer but reduce it by $1.33 million next summer. Dubas acquired Smith from the Vegas Golden Knights during the 2023 NHL Draft for a third-round pick. If Dubas can’t find a similar trade deal at this year’s draft, a buyout might be the best option. However, trading Smith with 50% salary retention could be more advantageous, providing some return for the Penguins.
Ryan Graves Buyout Cost
A buyout for Graves seems unlikely, especially if teams like the LA Kings can find trade solutions for players like Pierre-Luc Dubois. Graves, 28, had a disappointing season with the Penguins, prompting Dubas to acknowledge the poor performance in his season-ending press conference. If Graves is deemed unfit for the lineup, there are potential trade options. Graves has five years left on his contract, with minimal relief in the first two years from a buyout. The Penguins would save $2.75 million next season and about $2 million in the second season, before savings drop to $1 million in years three and four, and then a cost of $750,000 per season for five years.
Buyout Cost Breakdown for Graves:
- Year 1: Cost: $1.75 million, Savings: $2.75 million
- Year 2: Cost: $2.5 million, Savings: $2 million
- Years 3-4: Cost: $3.5 million, Savings: $1 million
- Years 5-10: Cost: $750,000 each year
While a buyout might be financially painful, it’s not without precedent—Minnesota’s buyouts of Ryan Suter and Zach Parise being notable examples.
In summary, the Penguins face significant decisions as the buyout window approaches, weighing the benefits and long-term costs of releasing underperforming players to create cap space and enhance their roster for the upcoming season.
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