Nathan Tinkler relinquishes ownership of the Newcastle Knights

[oikee]

Another club in NSW in crisis. Why is the Broncos being mentioned. They are the only club that is run well making a profit. Of course Murdock wont let that go, if league folds he will simply make it a union team and life will go on.

Tinkler is going to drag this club through the mud, and by the time Newcastle is finished, the NRL will have another team to prop up on life support.

Their crowds are down as well.

 

[georgesnmith]

according to moley in Rugby League Week newcastle are preparing for life without bennett and this will be his last year, with rick stone to take over and bennett and walter to broncos

saying knights cant afford him without tinklers cash.

maybe mckinnon situation will encourage him to take a pay cut, but i doubt it imo

 

[Ronnie Dobbs]

according to moley in Rugby League Week newcastle are preparing for life without bennett and this will be his last year, with rick stone to take over and bennett and walter to broncos

saying knights cant afford him without tinklers cash.

maybe mckinnon situation will encourage him to take a pay cut, but i doubt it imo

Rumors. What if the Broncos win the comp?

Anyway, Bennett is done in Brisbane.

 

[eozsmiles]

according to moley in Rugby League Week newcastle are preparing for life without bennett and this will be his last year, with rick stone to take over and bennett and walter to broncos

saying knights cant afford him without tinklers cash.

maybe mckinnon situation will encourage him to take a pay cut, but i doubt it imo

It would be a hell of a cut, but he has got plenty already. What's he on now? A million? Million and a half with some bonuses?

I doubt the Knights would have more than $500k for a coach next year, a million would be extreme. He could be looking at a million dollar pay cut....f**k that.

How much of a cut would he take?

 

[RUG13Y]

Rick Stone would be a quality coach.

 

[georgesnmith]

Rumors. What if the Broncos win the comp?

Anyway, Bennett is done in Brisbane.

this will show bennett true nature

does he take a pay cut and show some loyalty to them or run out mid contract for better dollars despite all the goings on there.

 

[THE CHAMP]

It baffles me how a team based in Newcastle can't make money. What are the problems? Is gidley paying himself too much. Bennet is being paid by another entity so they haven't got that to worry about. So what's the bluddy problem. A poor crowd in Newcastle is still a pretty good one compared to other clubs particularly nsw based ones.

 

[Tayjack]

It baffles me how a team based in Newcastle can't make money. What are the problems? Is gidley paying himself too much. Bennet is being paid by another entity so they haven't got that to worry about. So what's the bluddy problem. A poor crowd in Newcastle is still a pretty good one compared to other clubs particularly nsw based ones.

Agree - they should be a powerhouse financially like the broncos are. Their supporters are first class, they will turn up no matter what like the broncos, it doesn't make sense that they are broke.

 

[georgesnmith]

http://www.brisbanetimes.com.au/rug...trol-of-newcastle-knights-20140414-zquna.html


After a brief ceasefire, the battle for control of the Newcastle Knights is expected resume in earnest this week.

Nathan Tinkler’s Hunter Sports Group, which has owned the Knights for the past three years, is under siege on two fronts, with both the Knights Members Club and the NRL positioning themselves to overthrow the club’s existing management.

The three parties have been engaged in confidential crisis talks for the past two weeks, since HSG defaulted on a commitment to have in place a $10.52 million bank guarantee that was a fundamental component of Tinkler’s 2011 takeover deal.

A truce has effectively been in place during these negotiations but a significant development is likely in the next few days, when the members' club is tipped to formally serve notice of its intention to launch the process of buying back the Knights.

When HSG reneged on the bank guarantee, that entitled the members' club, under the privatisation terms and conditions, to buy the Knights back for $1.

But Fairfax Media understands the members' club must serve notice that it will be pursuing that option within a time frame of 20 business days or it becomes null and void.

HSG officially defaulted on the bank guarantee on March 31.

But it is understood that the 20-business-days stipulation may apply from March 25, which was the date that the members' club gave HSG to have its affairs in order or it would access the bank guarantee.

That would mean the members club have until April 23 – Wednesday week – to serve notice that they intend to pursue the $1 buyback.

The members' club has deferred playing this card, possibly at the request of the NRL, or perhaps to see how the negotiations play out.

But unless HSG concede defeat and walk away, or the NRL step in to initiate a coup, the members' club will have little option other than to initiate the $1 buyback process and protect its rights.

HSG, however, has shown no signs of relinquishing control without a fight and it would be no surprise if Tinkler launched legal proceedings to challenge the $1 buyback.

HSG confronting the members' club is one matter, a showdown with the NRL another altogether.

As much as the members' club has apparently been hoping the governing body could resolve this impasse, the NRL’s preference appears to be playing the role of facilitator.

Nonetheless, HSG appears to be facing an uphill battle convincing the NRL that Tinkler deserves to retain some stake in the Knights going forward.

It is understood NRL officials have been monitoring the Knights for some time, as speculation mounted about Tinkler’s financial position.

It is understood HSG’s failure to meet the bank guarantee prompted the NRL to commission a forensic audit of the Knights’ accounts, which was completed two weeks ago.

It is yet to be publicly revealed what that audit uncovered, but there are rumours the Knights’ liabilities could be in the vicinity of $20 million.

For HSG to remain involved with the Knights in any capacity, an assurance those liabilities can be resolved and a neutral balance sheet achieved would appear essential.

The NRL is understood to have discussed a number of options with HSG but is waiting for a response.

If HSG was unable to convince the NRL the Knights were on solid financial ground, any prospect of a three-way joint venture between HSG, the NRL and the members club would seem untenable.

Certainly the members' club has no interest in any structure that allows HSG to remain at the table.

The NRL could endorse that viewpoint – and the $1 buyback process – within a matter of days.

Then it would become a matter of how much time, energy and money Tinkler was prepared to invest in fighting both the members club and the NRL, knowing that even in a best-case scenario, he would be unlikely to hold more than a one-third stake in the club he once owned.

All three parties – the NRL, HSG and members club – are bound by a confidentiality agreement, which prevented members' club chairman Nick Dan from commenting on Monday.


Read more: http://www.smh.com.au/rugby-league/...tle-knights-20140414-zquna.html#ixzz2ytlEftJN

 

[_snafu_]

Has this fat merkin paid his bills yet?

 

[Canard]

this will show bennett true nature

does he take a pay cut and show some loyalty to them or run out mid contract for better dollars despite all the goings on there.

Yes because not continuing to work due to your employer reneging on your contract terms is disloyalty.

20M in the hole? I thought Knights fans were confident they were better off with Tinkler? Not worse than ever?

 

[Cumberland Throw]

Any club in regional Australia any code will struggle for cash

Their isn't the corporate dollars around like Sydney or Brisbane

Even Geelong in AFL relies on a few "home" games in Melbourne to keep fat cat corporates happy to bankroll sponsorships

 

[Cumberland Throw]

So who is 20m in hole ?

Knights or HSG ?

 

[Canard]

So who is 20m in hole ?

Knights or HSG ?

According to above the Knights.

HSG are in way more debt than 20M.

 

[georgesnmith]

Yes because not continuing to work due to your employer reneging on your contract terms is disloyalty.

20M in the hole? I thought Knights fans were confident they were better off with Tinkler? Not worse than ever?

given the events of this year involving the knights (mckinnon) bennett might show some loyalty to the club.

 

[georgesnmith]

According to above the Knights.

HSG are in way more debt than 20M.

its not certain they have debts that high, its rumoured.

most are likely to be money from tinkler

though if there are unpaid bills like rent or superannuation to players, thats different that has to be made up

 

[Canard]

given the events of this year involving the knights (mckinnon) bennett might show some loyalty to the club.

He might. But he is hardly disloyal if he leaves based on his contract not being honoured.

 

[Canard]

its not certain they have debts that high, its rumoured.

most are likely to be money from tinkler

though if there are unpaid bills like rent or superannuation to players, thats different that has to be made up

Bob each way in other words

 

[morley101]

Looks like HSG has known for a year it was going to lose the Knights and were going to keep the Jets. It was going to cost them 10M to hand back the Knights. So most of the costs to HSG have been put through the Knights and not the Jets.
eg. Ground rental to HSG from Huner Venues is say $100,000 a game.
HSG charges $1 to Jets and $200,000 to the Knights.


So when HSG pays 10 Mill to the Knights HSG actually saves 10 Mill as that 20 Mill debt goes with the Knights effectively meaning HSG comes out even.

 

[THE CHAMP]

So would I b right in saying Timkler has used Rugby League to prop up soccer in Newcastle.
Sounds like he really loves the sport.
Hope he just f**ks right off.
The knights will be fine without him running up their food bills.
The knights desperately need honest management that love the great sport of rugby league so that rules out Gallop and Dave Smith types.