PITTSBURGH (AP) - The Pittsburgh Penguins have reached a deal with city, county and state officials on financing for a new arena, a television station reported Monday night.

KDKA-TV, citing unidentified sources, said the deal is "done" and will be announced before Tuesday's game against the Buffalo Sabres at Mellon Arena.

Penguins officials didn't immediately return calls for comment, nor did a spokesman for Allegheny County Executive Dan Onorato.

A spokesman for Mayor Luke Ravenstahl said he knew nothing of a deal.

"I never heard that. I heard nothing like that," Dick Skrinjar said.

A spokesman for Gov. Ed Rendell refused to confirm the deal.

"I can't confirm a report of any settlement," Chuck Ardo said. "The sides have communicated since last Thursday. This is an ongoing process."

Team and elected officials met last week in Philadelphia, along with NHL commissioner Gary Bettman. The sides then issued a joint statement saying they had a "very constructive meeting where significant progress was made."

The sides agreed to meet again on Wednesday. KDKA said that meeting is still on schedule, but only for minor details to be ironed out.

The television station reported that the new arena will be more expensive than the $290 million projected by the Penguins.

Rendell had said he thought the arena could be built for about $270 million, and the two sides were said to be haggling over how and whether to add an extra $20 million to a bond issue needed to fund the arena.

KDKA reported that the bond issue questions have been settled, along with other details, clearing the way for a new arena.

The Pittsburgh Post-Gazette, citing unidentified sources, says the deal includes a 30-year lease and calls for the arena to be completed by the start of the 2009-10 NHL season.

The Penguins have threatened to leave Pittsburgh if they can't secure a new rink. Their lease at 46-year-old Mellon Arena, the oldest facility in the league, expires June 30 and the team is free to leave after that.

Team owners Mario Lemieux and Ron Burkle have visited Kansas City, Mo., and Las Vegas to field arena offers from those cities.

PITTSBURGH (AP) - The Pittsburgh Penguins reached a financing deal for a new arena that will keep the NHL team in the city where it has played since 1967.

Gov. Ed Rendell announced the agreement Tuesday at the Pennsylvania Gaming Congress. He said money from the state's new slot machine parlors would help fund the arena.

Rendell said he would fly to Pittsburgh later in the day to meet with Mayor Luke Ravenstahl, Allegheny County Executive Dan Onorato, the team owners and NHL commissioner Gary Bettman.

"We will announce that all three governmental entities have reached an agreement for a deal that will keep the Penguins in Pittsburgh" for 30 years, he said.

The Penguins had threatened to leave Pittsburgh if they couldn't secure a new rink. Their lease at 46-year-old Mellon Arena, the oldest facility in the league, expires June 30 and the team is free to leave after that.

Team officials visited Kansas City, Mo., and Las Vegas to discuss a possible move. The Penguins were offered free rent and half of all revenues if they agreed to play in Kansas City's soon-to-be-completed $262 million Sprint Center.

The Penguins won Stanley Cup titles in 1991 and 1992. Their home attendance and local TV ratings are among the strongest of the NHL's 24 U.S. franchises.

Kevin Evanto, a spokesman for Onorato, declined to discuss the deal. Spokesmen for the mayor and the Penguins did not immediately return calls.

The Pittsburgh Post-Gazette reported the arena would be completed by the start of the 2009-10 season. The Penguins would pay $3.8 million a year for construction and $400,000 annually for unspecified capital improvements, the newspaper reported, citing unidentified sources.

The Penguins have sought a new arena for years. Last year, the team announced a deal with Isle of Capri Casinos Inc. that called for the company to build a $290 million arena at no cost to the team or taxpayers if the gambling firm got a state license to operate a slots casino in the city.

But the Pennsylvania Gaming Control Board in December awarded the license to Detroit casino magnate Don Barden, and the Penguins were forced to negotiate with government officials for a new arena.


aint it funny that in the previous post all government officials denied all reports of this

I am glad to see that the NHL won't be pittsburghless next season. They are one of my favorite NHL franchise and one of the most known besides the Original 6.

Congrats! Hopefully in 30 more years we wont have this problem again.