Erik Karlsson Traded to Penguins from Sharks in 3-Team Deal with Canadiens

The San Jose Sharks are trading star defenseman Erik Karlsson to the Pittsburgh Penguins.

Daily Faceoff's Frank Seravalli first reported the trade, while Sportsnet's Elliotte Friedman first noted a third team could be roped in to help the Sharks and Penguins maneuver around the salary cap. Karlsson carries an $11.5 million cap hit for 2023-24, while Pittsburgh is projected to be $3.2 million over the cap.

As part of the deal, San Jose will pay $1.5 million of Karlsson's salary annually, while Pittsburgh is on the hook for around $1.6 million per year with Petry.

Acquiring Karlsson is an aggressive move for the Penguins, who missed the playoffs altogether after suffering what in effect were four straight first-round exits. They failed to advance out of the qualifying round in the 2020 postseason's expanded format.

This ends what has been more than a month of reporting and speculation.

After the 2023 NHL draft came and went with Karlsson still on the Sharks, The Athletic's Josh Yohe reported on July 6 that Pittsburgh general manager Kyle Dubas "remains intrigued by the idea of adding Karlsson."

Going from Petry to Karlsson is a massive upgrade. The latter is coming off a year in which he registered 101 points (25 goals, 76 assists) and collected the Norris Trophy.

The Penguins now have two of the league's 10 best defensemen between Karlsson and Kris Letang. When you include longtime stalwarts Sidney Crosby, Evgeni Malkin and Jake Guentzel, you have the foundation for an electric attack.

There was no realistic scenario in which Pittsburgh could make itself the Stanley Cup favorite for 2023-24.

But the Karlsson trade gives the team better than a puncher's chance of winning at least one more title with Crosby and Malkin. That's about all you can ask of the front office at this point even if the pursuit of a championship is ultimately unsuccessful.

The reception toward Sharks general manager Mike Grier is bound to be more mixed.

Karlsson's contract will only get more unwieldy as it winds toward its conclusion in 2027. A 2024 first-round pick and payroll flexibility helps set the table for the future.

Still, fans might feel underwhelmed when San Jose was already viewed by many as getting less than full value from the Brent Burns trade last summer.

One thing Karlsson's departure accomplishes is solidifying the Sharks' position as one of the NHL's worst teams as Grier continues their rebuild.