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INTERESTING! St George set for 100% of JV

Carlton

Juniors
Messages
1,223
The suggestion the Leagues Club has 10 million available contradicts the common view here that the Club is broke

The St George Leagues Club has $3 million in cash and $10 million in term deposits with net assets of approximately $ 49 million.

The Illawarra Leagues Club has $750,000 in cash and net assets of $10 million.

The Illawarra Football club has $450,000 in cash and net assets of $ 2 million.

There is cash there and the net worth of the clubs is substantial.

As with the WIN/Gordon deal I am not for this or against it, simply because there is insufficient details to know what the impact will be. The one thing I liked was the reference to the fact that this strategy takes the NRL out of the negotiations. I dont think the NRL are looking after the dragons and I suspect they would like to either merge them or relocate them.
 

TruSaint

Referee
Messages
20,093
Dragons governance update

St George Illawarra Chief Executive Peter Doust has provided the following statement regarding the speculation surrounding the Dragons' ongoing ownership discussions.

"It is not news that the Dragons have been undertaking confidential discussions about the future ownership and governance of the Dragons.

"There is nothing concrete to confirm at the moment and when there is, the club will advise accordingly.

"However, it is important to note that all discussions regarding any potential changes to the ownership structure will continue to represent the interests of both St George and the Steelers.

"The history of St George and the Steelers, the name and colours of St George Illawarra Dragons, NRL games in Wollongong and Kogarah are non-negotiable elements of any discussions.

"Any changes in ownership and governance will be about improving and building upon what the club already has in place."

https://www.dragons.com.au/news/2018/07/05/dragons-governance-update/
 

Gareth67

First Grade
Messages
8,406
This has taken so long that I don't know what to believe anymore. The whole process seems to be dragging on to Plan F version 8.
Do the Steelers still have a heartbeat or any assets worth selling?

Your on to something there Coffs dragon , namely ' Plan F version 8 ' - if only our Mary could get his hands on those !
But back to the article itself , i believe that pack nit wits who call themselves ' journalists ' (?) are merely attempting to derail the Dragons premiership campaign by getting us clear thinking fans at each others throats !

Print the news when it happens , not when it is merely the figment of someones imagination .
 

BennyV

Referee
Messages
22,441
The suggestion the Leagues Club has 10 million available contradicts the common view here that the Club is broke
While I'm skeptical as to why the leagues club would fork out the millions outlined in this deal (let along their ability to do so) the above is not necessarily true. The Leagues Club and Football Club are separate entities (despite sharing many incompetent board members). Part of the reason SGI is 'broke' is that the Leagues Club dramatically reduced their funding under the reasoning of 'renovations' that never occurred. Hence, the belief that it is broke - in reality, as Carlton outlines, it has assets that equal money but is just very, very poorly run.

The footy club, as a reaction to reduced funding, went to the NRL for bailouts. Hence the debt and comments about us being 'broke'. Again, I believe that its more apt to label us as 'poorly run' rather than broke.
 
Messages
4,308
I agree Benny and it’s good you clarified the difference

However if the club has been “run into the ground” as is the popular view then I’m surprised there is at least $10 million in capital available rather than property assets
 

Carlton

Juniors
Messages
1,223
I agree Benny and it’s good you clarified the difference

However if the club has been “run into the ground” as is the popular view then I’m surprised there is at least $10 million in capital available rather than property assets

Stan its not so much that the club is in a terrible position financially, its more that it could have been in a far better position if it had been managed effectively. The club has cash and term deposits but also has a lot of maintenance that is needed to be undertaken on the current buildings which would require considerable cash at some stage.

I suspect the answer is to develop the Leagues club site similar to the sharks. Avoid the upgrades required on the current building and leverage an asset that is being under utilized. The idea of "buying" back the ownership of the dragons at least reduces the future of the club being decided by third parties (incl. NRL).
 

TruSaint

Referee
Messages
20,093
I'm just not sure what the upside is for the Leagues Club to invest / pay out debt, for the footy club.

As per Doust's announcement today, it appears the game allocation between Gong / Kog will stay put, as will other issues, name / jersey, etc... If so, what benefit is there for a Leagues Club, that whilst ageing and way behind, is still making money and is asset rich, to poor millions into the footy club with no assurance of increased patronage, membership, etc. ??

Would that $$$ spent be better off allocated to re-furbishing the Leagues Club ?
 

Joshuatheeel

Moderator
Staff member
Messages
19,581
The St George Leagues Club has $3 million in cash and $10 million in term deposits with net assets of approximately $ 49 million.

The Illawarra Leagues Club has $750,000 in cash and net assets of $10 million.

The Illawarra Football club has $450,000 in cash and net assets of $ 2 million.

There is cash there and the net worth of the clubs is substantial.

As with the WIN/Gordon deal I am not for this or against it, simply because there is insufficient details to know what the impact will be. The one thing I liked was the reference to the fact that this strategy takes the NRL out of the negotiations. I dont think the NRL are looking after the dragons and I suspect they would like to either merge them or relocate them.

The Illawarra leagues club is different to the Steelers club. I am pretty sure the Illawarra leagues club isn’t involved in the joint venture, it’s the Steelers club that is.
 
Last edited:

Saint_JimmyG

First Grade
Messages
5,067
Dragons governance update

St George Illawarra Chief Executive Peter Doust has provided the following statement regarding the speculation surrounding the Dragons' ongoing ownership discussions.

"It is not news that the Dragons have been undertaking confidential discussions about the future ownership and governance of the Dragons.

"There is nothing concrete to confirm at the moment and when there is, the club will advise accordingly.

"However, it is important to note that all discussions regarding any potential changes to the ownership structure will continue to represent the interests of both St George and the Steelers.

"The history of St George and the Steelers, the name and colours of St George Illawarra Dragons, NRL games in Wollongong and Kogarah are non-negotiable elements of any discussions.

"Any changes in ownership and governance will be about improving and building upon what the club already has in place."

https://www.dragons.com.au/news/2018/07/05/dragons-governance-update/

So, the colours are "non negotiable", Mr Doust?

Why then, has the Club chosen to progressively market itself in red, black, grey and white over the past decade?

I don't believe a word this man says on public record.
 
Messages
2,910
Stan its not so much that the club is in a terrible position financially, its more that it could have been in a far better position if it had been managed effectively. The club has cash and term deposits but also has a lot of maintenance that is needed to be undertaken on the current buildings which would require considerable cash at some stage.

I suspect the answer is to develop the Leagues club site similar to the sharks. Avoid the upgrades required on the current building and leverage an asset that is being under utilized. The idea of "buying" back the ownership of the dragons at least reduces the future of the club being decided by third parties (incl. NRL).
Given the current development in and around Kogarah I’m surprised they haven’t knocked the whole place down and built units with the club on the bottom two floor, they would make a fortune, but then with the big one on Rocky Point Road already started they may have already missed the boat on that.
 

Brutalitops

Juniors
Messages
2,333
"The history of St George and the Steelers, the name and colours of St George Illawarra Dragons, NRL games in Wollongong and Kogarah are non-negotiable elements of any discussions.
Good. Wollongong is now part of the Dragons history and I am happy with the current arrangement. The Gong is a great fanbase and the talent pool is great.

Also protects the Dragons from any future moving on of Sydney clubs, though I doubt we would be in the fold for that in any case.
 

JDHD

Juniors
Messages
1,082
There’s no way the club are vain or stupid enough to discard the Illawarra side of the merger. Anybody with a brain stem can see that we need Illawarra like we need oxygen. The juniors alone are worth the JV, we effectively have dibs on every single kid from Carlton to Sussex Inlet.
 

Brutalitops

Juniors
Messages
2,333
There’s no way the club are vain or stupid enough to discard the Illawarra side of the merger. Anybody with a brain stem can see that we need Illawarra like we need oxygen. The juniors alone are worth the JV, we effectively have dibs on every single kid from Carlton to Sussex Inlet.
Exactly right. But there will always be the purists who resent the Illawarra side of the venture.
 

Brutalitops

Juniors
Messages
2,333
So, the colours are "non negotiable", Mr Doust?

Why then, has the Club chosen to progressively market itself in red, black, grey and white over the past decade?

I don't believe a word this man says on public record.
What the hell are you talking about? I really hope you're not talking about training jerseys or polos because lol

We have constantly played in red and white for the last decade, with barely any exceptions, certainly not enough of them to be a problem.
 

merahputih

Juniors
Messages
922
On a side note, what do we know of Michael Mcdonald?
Is he just another Doust clone?
I hope we go with an external applicant rather than internal.
Described in the article as "Doust's understudy" so draw your own conclusions. Also, "a number of internal applications" does not fill me with any confidence. Craig Young anybody?
 

Old Kogarah Boy 1

First Grade
Messages
5,415
This has taken so long that I don't know what to believe anymore. The whole process seems to be dragging on to Plan F version 8.
Do the Steelers still have a heartbeat or any assets worth selling?

Sorry Coffs,

You make mention of Plan F, version 8 ................. yet, McMaryFookNuckle doesn't even own a Plan B.
Sorry mate, you'll have to back up to a proposed Plan A+ or something.

We must leave room for the 'Smooth One' to allow for a Plan B, if he happens to spread his wings.
 
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