How NRL Clubs Lost A Staggering $42.7 Million

[Galeforce]

When has Penrith asked for more money? We apparently ended with a big deficit last season. Reading anything into this skewed and very basic look at clubs finances is stupid. Its a shit article from a shit reporter with an axe to grind.

Are we saying the Roosters are a poorly run club? Lol souths benefit from a famous Hollywood millionaire and the league adopting them as their baby in 2014. They just had the NRL head of strategy(who has since quit and gone back to souths) help secure them the best forward in the world while he was supposedly designing the future of our game. Without Crowe Souths would still be another piss poor club begging for handouts, lets not act like that business model can be replicated by any other clubs.

:roll:
defensive responses ....... lets get back to lol@Souths , makes as much sense as your turkey responses.

 

[hrundi99]

At the Belrose Eagles this season the Under 6s are free rego. Seems like a new thing for this year. i'm not sure if it's across all clubs or not.

 

[betcats]

:roll:
defensive responses ....... lets get back to lol@Souths , makes as much sense as your turkey responses.

Yeah ok mate you keep dangling from Slothfields strings.

 

[Galeforce]

Yeah ok mate you keep dangling from Slothfields strings.

another defensive response.......as for Slothfield , i think he is as big a turkey as some of the defensive responses here.

 

[betcats]

another defensive response.......as for Slothfield , i think he is as big a turkey as some of the defensive responses here.

:crazy:

Why would I give a proper response, you completely ignored the points I made and gave a one sentence reply about being defensive and lol@souffs.


I will ask again, Are the roosters poorly run? They finished with a deficit, when have they asked for more money? You make these claims based off a ridiculous article and are acting like Souths are just a well run club and not benefiting from their famous rich owner actively putting money in, recruiting star players and using some of the biggest stars in the world to market them for free.

 

[Perth Red]

No you're missing the point.

1) how do you know clubs don't do that?

2) after the grants the majority of clubs (apart from the Knights, Tigers - who will actually be in a better financial position if Balmain DO fold, but that's another story, dragons and Titans) do balance.

Saying Penrith, Parra etc would not be financial without their Leagues Clubs is exactly the same as saying Souths wouldn't be if they weren't owned by Russell Crowe

No they don't, even after leagues club grant they are showing significant deficits in their end of year profit and loss statement. Take a read of the clubs annual reports, it's pretty clear to see. If the leagues clubs grants wee covering total losses it wouldn't be an issue as long as the leagues clubs had the capacity to keep covering all loss.

 

[Perth Red]

At the Belrose Eagles this season the Under 6s are free rego. Seems like a new thing for this year. i'm not sure if it's across all clubs or not.

Wish the NRL would fund NRLWA properly. Kids in WA have to pay $150 to register to play!

 

[zmt]

At the Belrose Eagles this season the Under 6s are free rego. Seems like a new thing for this year. i'm not sure if it's across all clubs or not.

This is because they have to fill in manlys first grade after the auckland nines

 

[Mr Spock!]

Seems there's more to it.....

Struggling clubs warned after NRL loses $18m: turn a profit or perish

ARL Commission chairman John Grant has told NRL clubs if they are not running at a profit by 2018 when increased funding arrives, they risk having their licences revoked and being thrown out of the competition.

“The message has got through to them,” Grant told News Corp Australia. “And it had to. This isn’t about us versus them. But if we now provide a level of funding, then the clubs are to be sustainable ... that’s the deal.”


Manly count cost of Auckland Nines with four Sea Eagles injured
Read more
Thirteen of the 16 NRL clubs reportedly ran at a loss in 2015, with South Sydney, Brisbane and the Warriors the only clubs to turn a profit.

Private owners and leagues club backing are available to assist the eventual bottom line of most franchises, but it is those who have had to approach the game for help that are in Grant’s firing line.

The ARLC has already been forced to bail out the likes of Gold Coast, Newcastle, St George Illawarra and the Balmain side of the Wests Tigers merger in recent years.

When combined with the increased administration costs related to securing a new television rights deal, the organisation ran at a loss of $18.7 million in 2015, down almost $40 million on the previous season.

A salary cap placed on football-related spending has been touted as a possible solution for the ailing clubs, however Grant has indicated expenditure is something that should rest entirely with the clubs.

“Clubs already realise this ‘arms race’, it needs to stop,” Grant said. “I’m not going to use the word cap when it comes to addressing what clubs spend because I don’t think that’s the solution.”

http://www.theguardian.com/sport/20...s-warned-after-nrl-loses-18m-profit-or-perish

Oh how the tide has turned.

 

[Vic Mackey]

Lol please, the TV deal won't allow a club to die they know it.

 

[hineyrulz]

Grant is a bumbling fool, the sooner he is punted the better.

 

[Craig Johnston]

Seems there's more to it.....



http://www.theguardian.com/sport/20...s-warned-after-nrl-loses-18m-profit-or-perish

Oh how the tide has turned.

Ahem

this article is in line with the nrl's mandate that clubs must be profitable in the next 2 years and they don't want to provide any further handouts.

panthers and eels have never gone to the nrl asking for additional grants or grants in advance.....specific clubs have....

WHY ARE WE NOT TALKING ABOUT THOSE SPECIFIC CLUBS instead of focussing on the ones spending money the nrl should be covering for developing grassroots in Rugby League's heartland?

 

[Pete Cash]

Maybe the nrl can pick up the tab in southern nsw if they are so desperate to have a meaningless thing as the Raiders football operations in the black

 

[alien]

West side of the merger has 2 leagues clubs that cover losses.

wests campbelltown lc are not a part of the joint venture anymore. they are a sponsor and give some cash because of that, but they can stop that at any time. they are not responsible for any losses.

wests ashfield lc only put as much into the joint venture as balmain, and balmain are f**ked.

 

[alien]

Merge the Panthers and Eels. Pay them 10 million for the merger.

won't happen

 

[alien]

without Russell Crowes millions Souths wouldn't be viable either

rusty hasn't needed to put money into souths for years

 

[Perth Red]

NRL lost $18.7mill? Did they put anything into the future fund? Going to be an interesting annual report!

 

[alien]

panthers and eels have never gone to the nrl asking for additional grants or grants in advance.....specific clubs have....

i think the panthers did not so long ago, but the nrl said they would have to sign up with the nrl for a longer amount of time, and penrith told them to go jump and got their money else where. i heard penrith are rich in assets but needed more cash

 

[alien]

Panthers and NRL at odds over terms of agreement in development loan
July 29, 2015 12:00am
DEAN RITCHIE The Daily Telegraph

IT was the day a powerful *Sydney rugby league club told the NRL to get lost amid claims of coercion.

The Daily Telegraph can detail secret financial negotiations between Penrith and the NRL which spectacularly collapsed.

Penrith sought and were approved a $6.5 million loan to help build the club’s new Rugby League Academy, to be built on club-owned land located behind Panthers Leagues Club.

The entire project will total $20 million and include a state-of-the-art gymnasium, office space, recovery pools and two elite training fields.

The Panthers wanted to build on their own property, not at nearby Pepper Stadium, which is owned by the State Government.

Panthers group chief executive Warren Wilson and NRL CEO Dave Smith reached an agreement where the NRL would loan the club $6.5 million, with Penrith to outlay the remaining $13.5 million to complete the project.

Included in the loan was an NRL request for office space in the building, which was agreed on. Penrith were to pay back the loan at $650,000 annually over 10 years, with the money to be deducted from Penrith’s annual NRL grant. Interest would be offset against the rental space.

But the Panthers have told The Daily Telegraph that an NRL stipulation in negotiations that Penrith sign a 10-year agreement to compete in the competition proved the stumbling block. With contracts for all clubs competing in the NRL due to expire in 2018, non NRL-aligned clubs had previously agreed to stick together and not sign any further agreements until several issues were resolved.

All clubs met with the ARL Commission after State of Origin II in Melbourne in June with strategic demands. They sought more money from the NRL’s bulging coffers and a vote on who should be included on the ARL Commission, as happens in the AFL.

Given the Panthers’ stance, the NRL’s loan offer was pulled.

“It was tantamount to blackmail,” a source close to the negotiations said. “We couldn’t believe the last-minute change to our initial agreement.”

Penrith told the NRL they could keep their $6.5 million before they then negotiated a bank loan for the same amount.

It is understood Wilson told Smith he didn’t want or need the NRL’s money inside the Melbourne meeting. Penrith then had the final say by telling the NRL that the office space the governing body had wanted inside the academy under the now-defunct loan offer was still available, at a rental price of about $200,000 a year.

The NRL is yet to give Penrith an answer on that offer. The drama continues uneasy relationships between clubs and the game’s governing body.

Wilson was unavailable for comment on Tuesday, as were the relevant NRL officials.

http://www.dailytelegraph.com.au/sp...n/news-story/db5af5a9832b649a881ea1463c8f24b5

 

[Perth Red]

That would cost them some serious interest $'s for something they ended up signing a few months later! Good business that Gus.