This isn't a News Ltd beat up, this is legitimate with quotes from the Wayne Bennett
http://www.couriermail.com.au/sport...t-of-debt-crisis/story-fniabjcr-1227530790648
Wayne Bennett warns NRL could be dead in 2025 unless ARLC hauls clubs out of debt crisis
an hour ago
Peter BadelThe Courier-Mail
WAYNE Bennett has warned the NRL could be dead within a decade unless the ARL Commission helps haul cash-strapped clubs out of a $30 million sinkhole.
The Courier-Mail can reveal Roosters supremo Nick Politis turned up the heat on NRL boss Dave Smith during a secret meeting of high-powered executives in Sydney last Friday. Smith was called to a five-star hotel in Sydney's CBD where he met for talks with Politis and leading NRL chairmen, including Canterburys Ray Dib and Melbournes Bart Campbell.
Politis expressed the sentiment that NRL clubs have reached a crisis-point in terms of funding. The collective debt levels of the 16 NRL clubs, excluding the safety-net of leagues-club funding, currently exceeds a staggering $30m an average $1.875m deficit per club.
One chairman warned the total debt bill will get worse, saying: Unless there are changes to the funding model, there wont be 16 teams in the NRL.
Broncos coach Bennett, whose counsel is privately sought on major NRL topics, believes the code could be ripped apart if the ARLC refuses to increase funding to the clubs. My fear is, if we dont do things properly this time, we won't have this game in 10 years time, he said.
You dont throw money at clubs blindly without some performance indicators, but of course they need more. For the game to be strong and continue to grow, the clubs need help. It will slip away quickly I can tell you. It would be ideal for the clubs to be well-funded so they can pay their way and produce the football that keeps fans coming to the game. This is right across the game and we need to make some big decisions.
According to the NRLs 2014 annual report, the 16 clubs received $117.9m in funding last year equating to 33 per cent of the codes overall revenue of $350.9. The Courier-Mail understands Politis and a bloc of NRL chairmen are pushing for a future share of around 35 per cent. The club executives are also lobbying for an annual grant of $12-13 million by 2018, when the NRL salary cap will be increased to around $10m.
Such a scenario would create a $2-3 million surplus for each team, a financial buffer chairmen argue will save clubs from going bankrupt. A Sydney-based NRL chairman said: Most of the clubs are running at a loss, the reality is we are going to lose $30 million this year collectively and that is worse than last year.
The clubs viability is the No. 1 challenge for the NRL. Channel Nine are paying for at least 16 teams, but there is no guarantee there will be that many if things continue the way they are. Broncos legend Darren Lockyer said the NRL needed to cater for the needs of the clubs before worrying about increasing player wages.
We have players and clubs crying out for more coin, he said. Everyone needs to sit down and work out whats fair. Theres only a few clubs profitable in the NRL. Clubs need more money in their grant.
http://www.couriermail.com.au/sport...t-of-debt-crisis/story-fniabjcr-1227530790648
Wayne Bennett warns NRL could be dead in 2025 unless ARLC hauls clubs out of debt crisis
an hour ago
Peter BadelThe Courier-Mail
WAYNE Bennett has warned the NRL could be dead within a decade unless the ARL Commission helps haul cash-strapped clubs out of a $30 million sinkhole.
The Courier-Mail can reveal Roosters supremo Nick Politis turned up the heat on NRL boss Dave Smith during a secret meeting of high-powered executives in Sydney last Friday. Smith was called to a five-star hotel in Sydney's CBD where he met for talks with Politis and leading NRL chairmen, including Canterburys Ray Dib and Melbournes Bart Campbell.
Politis expressed the sentiment that NRL clubs have reached a crisis-point in terms of funding. The collective debt levels of the 16 NRL clubs, excluding the safety-net of leagues-club funding, currently exceeds a staggering $30m an average $1.875m deficit per club.
One chairman warned the total debt bill will get worse, saying: Unless there are changes to the funding model, there wont be 16 teams in the NRL.
Broncos coach Bennett, whose counsel is privately sought on major NRL topics, believes the code could be ripped apart if the ARLC refuses to increase funding to the clubs. My fear is, if we dont do things properly this time, we won't have this game in 10 years time, he said.
You dont throw money at clubs blindly without some performance indicators, but of course they need more. For the game to be strong and continue to grow, the clubs need help. It will slip away quickly I can tell you. It would be ideal for the clubs to be well-funded so they can pay their way and produce the football that keeps fans coming to the game. This is right across the game and we need to make some big decisions.
According to the NRLs 2014 annual report, the 16 clubs received $117.9m in funding last year equating to 33 per cent of the codes overall revenue of $350.9. The Courier-Mail understands Politis and a bloc of NRL chairmen are pushing for a future share of around 35 per cent. The club executives are also lobbying for an annual grant of $12-13 million by 2018, when the NRL salary cap will be increased to around $10m.
Such a scenario would create a $2-3 million surplus for each team, a financial buffer chairmen argue will save clubs from going bankrupt. A Sydney-based NRL chairman said: Most of the clubs are running at a loss, the reality is we are going to lose $30 million this year collectively and that is worse than last year.
The clubs viability is the No. 1 challenge for the NRL. Channel Nine are paying for at least 16 teams, but there is no guarantee there will be that many if things continue the way they are. Broncos legend Darren Lockyer said the NRL needed to cater for the needs of the clubs before worrying about increasing player wages.
We have players and clubs crying out for more coin, he said. Everyone needs to sit down and work out whats fair. Theres only a few clubs profitable in the NRL. Clubs need more money in their grant.
, why is Politis staying in a 5 star hotel?
