Attendance is an overrated statistic. Every arena has about the same number of seats close to the action. They are missing out on maybe 3,000 seats that would be in the upper deck and cost $15-20 on average. Over 41 games, that is only about $2 million of missed revenue, and that is assuming that they always sell out and do not discount the tickets. The bigger issue is if the arena has sufficient clubs/suites and if the new team would get all the revenue. The other important issue is TV. Even if the actual city is small, are there enough people in the region that will switch their allegiance over to the new team? Based on the population numbers, the answer appears to be "no" for Winnipeg and Quebec City and "yes" for Hamilton/Mississauga and "yes" for about 5 American cities. But if you look at the nationality of NHL players, Canadian players outnumber US players 3:1. Canadians love their hockey and I have no doubt that a new Canadian team would be immensely popular. The new salary restrictions also ensure that the team could be competitive with the right ownership. Houston could certainly support a team, just like South Florida does, but is it really the right direction for the game to always go to the biggest market? The NHL is currently stuck in the "second tier" of pro sports, despite having a great, exciting product that looks great in HDTV. I think they should take the risk and put another team in Canada--use nostalgia to their advantage and strengthen their roots. Hockey has succeeded in some southern cities, but in many cases the good numbers are because of the size of the city and/or the number of northerners that have relocated there. There is a big different between minor league attendance and a successful NHL team and we make a similar argument when talking about why an MLB team couldn't succeed in Buffalo or Indianapolis. Houston would be great at getting in 17,000 fans/night, but how much does that benefit the NHL if they are not loyal hockey fans? As for the Islanders, I believe there is talk that they may follow the Nets to Brooklyn. It's technically still on Long Island so it wouldn't really be relocation.