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Eels say no to union
Brad Earl
Wednesday 6 February, 2008 12:00am
FORGET Parramatta Leagues Club being part of a Super 14 expansion team instead, the Eels are cutting their losses on rugby union by pulling out of the Parramatta Two Blues.
The club's CEO, Denis Fitzgerald, believes the rugby club will have to reduce player payments, a move he concedes could see it lose players to wealthier clubs.
That was part of the reason for the decline of the Two Blues before the leagues club rescued them in 2001, along with their struggling licensed club at Westmead.
Fitzgerald was quick to kill speculation in a Sydney newspaper last Friday that the leagues club might back a Western Sydney Rams-style franchise in an expanded Super 14.
That was something it had considered early this decade before the pokie tax, other trading issues and the smoking ban hit the club industry hard.
Fitzgerald confirmed the funding of the Two Blues would stop after the 2008 season.
"We've told them that under current circumstances we're just not in a position to fund them," Fitzgerald said.
"Unless we get some concessions from government in regard to assisting us and our trading, there's no way that we'll be able to do it."
Fitzgerald believes the Two Blues will have to cut costs.
"It does raise a lot of questions about the future of the rugby club, which there were 10 years ago before we came in to assist them, as a community gesture. We knew there was never any way that we were going to be getting any money back," he said.
"I would think there are probably other rugby clubs in dire straits as well."
The leagues club has allowed the Two Blues to have a full-time coach in Gary Ella and administrative staff operating out of the Eels' football office.
"Over and above that, I think it's allowed them to compete with other clubs in terms of player payments," Fitzgerald said.
"They would have to look at whether it's viable to continue to pay players and of course, if they don't, obviously the better players will go elsewhere."
Rugby club president Garry Hudson is confident the Two Blues will have sponsors "replace" the leagues club funding.
"We will suffer pain, make no mistake about it, but it doesn't by any stretch mean the end of the club," Hudson said.
He said there were areas where they could substantially cut costs, not necessarily related to the team, but wouldn't go into detail.
"We'll still have enough money for player payments and for a reasonable staffing level," he said.
The decision comes in a year in which the NSW Rugby Union will review its "premier rugby" competition structure.
"One of the things we have to work very strongly towards is that rugby (in Sydney) is still dominated by the eastern seaboard and very little effort has been put into the western part of our city," Hudson said.
"We have to keep rugby alive in that part of the city."
The Two Blues have won the premiership three times, 1977 and '85-86.
http://www.parramattaadvertiser.com.au/article/2008/02/06/1434_sports.html
Brad Earl
Wednesday 6 February, 2008 12:00am
FORGET Parramatta Leagues Club being part of a Super 14 expansion team instead, the Eels are cutting their losses on rugby union by pulling out of the Parramatta Two Blues.
The club's CEO, Denis Fitzgerald, believes the rugby club will have to reduce player payments, a move he concedes could see it lose players to wealthier clubs.
That was part of the reason for the decline of the Two Blues before the leagues club rescued them in 2001, along with their struggling licensed club at Westmead.
Fitzgerald was quick to kill speculation in a Sydney newspaper last Friday that the leagues club might back a Western Sydney Rams-style franchise in an expanded Super 14.
That was something it had considered early this decade before the pokie tax, other trading issues and the smoking ban hit the club industry hard.
Fitzgerald confirmed the funding of the Two Blues would stop after the 2008 season.
"We've told them that under current circumstances we're just not in a position to fund them," Fitzgerald said.
"Unless we get some concessions from government in regard to assisting us and our trading, there's no way that we'll be able to do it."
Fitzgerald believes the Two Blues will have to cut costs.
"It does raise a lot of questions about the future of the rugby club, which there were 10 years ago before we came in to assist them, as a community gesture. We knew there was never any way that we were going to be getting any money back," he said.
"I would think there are probably other rugby clubs in dire straits as well."
The leagues club has allowed the Two Blues to have a full-time coach in Gary Ella and administrative staff operating out of the Eels' football office.
"Over and above that, I think it's allowed them to compete with other clubs in terms of player payments," Fitzgerald said.
"They would have to look at whether it's viable to continue to pay players and of course, if they don't, obviously the better players will go elsewhere."
Rugby club president Garry Hudson is confident the Two Blues will have sponsors "replace" the leagues club funding.
"We will suffer pain, make no mistake about it, but it doesn't by any stretch mean the end of the club," Hudson said.
He said there were areas where they could substantially cut costs, not necessarily related to the team, but wouldn't go into detail.
"We'll still have enough money for player payments and for a reasonable staffing level," he said.
The decision comes in a year in which the NSW Rugby Union will review its "premier rugby" competition structure.
"One of the things we have to work very strongly towards is that rugby (in Sydney) is still dominated by the eastern seaboard and very little effort has been put into the western part of our city," Hudson said.
"We have to keep rugby alive in that part of the city."
The Two Blues have won the premiership three times, 1977 and '85-86.
http://www.parramattaadvertiser.com.au/article/2008/02/06/1434_sports.html
