Glendale, Ariz. - Wayne Gretzky's tenure as coach of the Phoenix Coyotes, a period marked largely by on-ice futility, ended abruptly Thursday when the "Great One" announced he would be stepping down amid the financial turmoil surrounding the team.

The Coyotes hired former Dallas Stars coach Dave Tippett hours after Gretzky announced his departure, which had been rumored as the bankruptcy court battle between Canadian billionaire Jim Balsillie and the NHL over the sale of the team dragged on.

"This was a difficult decision that I've thought long and hard about," Gretzky said in a statement Thursday on his Web site. "We all hoped there would be a resolution earlier this month to the Coyotes ownership situation, but the decision is taking longer than expected.

"Since both remaining bidders have made it clear that I don't fit into their future plans, I approached general manager Don Maloney and suggested he begin looking for someone to replace me as coach. Don has worked hard and explored many options. I think he has made an excellent choice, and so now it's time for me to step aside."

Gretzky, who was due to make $8.5 million this season, coached the Coyotes from 2005-2009, finishing with a 143-161-24 record, and the team missed the playoffs in all four seasons. Gretzky, 48, also owns a small piece of the franchise.

"As always, Wayne placed the welfare of the team ahead of his own in making this extremely difficult decision," NHL commissioner Gary Bettman said in a statement released by the league. "While the Coyotes have not had the degree of on-ice success that always has been Wayne's objective, there can be no question he has played a vital role in the youth movement that has positioned the Coyotes for success in the future."

Bettman said the league is hopeful Gretzky will have a prominent role with the Coyotes if the NHL's bid for the team is successful.

Gretzky was nowhere to be found when Tippett, decked out in a brick-red Coyotes warmup suit, was introduced at a Jobing.com Arena news conference Thursday afternoon.

Maloney said he had a "first inkling" in June - about a month after Coyotes owner Jerry Moyes filed for Chapter 11 bankruptcy protection - that Gretzky might not return as coach. Maloney said he decided to pursue Tippett, who had been fired by the Dallas Stars in June despite making the Stanley Cup playoffs five times in six seasons.

"I probably spent all of June and July trying to figure out how I could convince (Tippett) to come here," Maloney said.

Maloney said the Coyotes signed Tippett to a four-year deal. Financial terms weren't disclosed.

The 48-year-old Tippett went 271-162-59 in six seasons with the Stars.

Captain Shane Doan said news of Gretzky's resignation "was definitely a surprise."