The Washington Capitals signed Ryan Leonard to an eight-year extension carrying a $10.5 million AAV hours before the NHL’s collective bargaining agreement expired, and the structure of the deal explains why he took it.
More than 82 percent of Leonard’s money comes in the form of signing bonuses, a structure the analysis of the deal lays out in detail. Bonus-heavy money is the most contract-protected money in the league: it is paid regardless of a buyout or a lockout, so the player gives up headline salary in exchange for security. Leonard left what would likely be more money on the table to get it, and Washington got a 21-year-old, 20-goal winger locked in well below the going rate at a time when 30-goal scorers cost well in excess of $14 million against the cap.
The deal begins in 2027-28 and runs through 2034-35. Leonard, drafted eighth overall in 2023, finished his rookie season with 20 goals and 45 points after leading the NCAA in goals in one of his two college seasons and finishing third in the other.
The Sourdif companion deal
The same window produced an eight-year, $6.35 million AAV extension for Justin Sourdif, another player who had one full NHL season behind him. General manager Chris Patrick committed to the 24-year-old center after he put up 15 goals and 35 points in 78 games, his first real NHL look after four career games and years as an AHL mainstay in the Florida Panthers organization.
Both contracts carry little trade protection, which caps Washington’s downside if either bet misses. Combined, the two deals put $16.85 million per season on the books from 2027-35.
The exact signing date of both extensions has not been announced by the team.