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NRL faces major turmoil as clubs threaten breakaway league

Spanner in the works

First Grade
Messages
6,082
How do the grants work? Are they just a bundle of money handed over? Or are they tied to improving governance arrangements, business practices, etc at clubs? If they aren't they should be.

On another note, I've always thought the NRL should be allocating some of the revenue toward investing in companies that directly impact the game. I'm thinking partial stadium ownership, businesses like Spotless, sports merchandise companies like Nike and Adidas, providers of digital/ICT infrastructure, investment in media companies, etc. 1) it provides an additional revenue source outside traditional sources 2) it gives us a bit more say in how the game is run by giving the NRL shareholder rights and 3) we can sell them off at any time, whether that's to raise emergency cash or to invest in a great opportunity (like majority stadium ownership).
 

LeagueXIII

First Grade
Messages
5,969
Kent is correct- the TV deal was stuffed up by Smith and Grant and is definitely a couple of hundred mil short...

Smith also squandered a lot of money expanding the size of the NRL administration and didn't deliver on the promised dollars for the "future fund".

Honestly don't get the love for Smith..

Is this the same Paul Kent who told us what a great deal the NRL had done:

NRL broadcast rights deal shows rugby league is finally growing up

61eaa239edb778899f119757bc767c5f

PAUL KENT, The Daily Telegraph
November 27, 2015 9:00pm
Subscriber only

61eaa239edb778899f119757bc767c5f

ASIDE from a group hug and a gentle rendition of Kumbaya, nothing could have been more friendly at Friday’s broadcast deal announcement at League Central.

So here is a pre-Christmas present for ARL Commissioner John Grant, who did his greatest work this week.

After suffering a smattering of slings and arrows from this direction in recent weeks, it is time to say fair play.

Grant did well.

So good, only time will truly show how good a job he did.

Grant’s greatest work was to bring the parties back together and get them to a point where, as he said, they could all sit together at the press conference happy that they got what they wanted.

It signalled a new era in the game. One of friendship and co-operation.

It sounds frightening to say, but the game might finally be growing up.

It began when former News Corp chairman Julian Clarke called Grant to get them back around the campfire after News got ambushed by former NRL boss Dave Smith’s exclusive deal with Channel Nine in August.

While nobody will go on to remember that deal with any particular fondness,
Grant made it clear that the free-to-air deal with Channel Nine negotiated in August was the “catalyst” necessary to get this deal done.

“You need catalysts for things to happen and we all know that these negotiations take twists and turn and sometimes, with the outcomes, we need to respond to the changing environment and that’s exactly what’s happened here,” he said.

“So what that deal did, when it was announced, was actually catalyse all of the rest of the parties to where we sit today.”

The upside is, inadvertently, it got a whole lot more. First Smith had to go.

From there, it allowed the broadcasters to show they could let bygones stay bygones, which encouraged the NRL to do likewise and finally bury its distrust of the media that began with Super League.

For two decades it held the game back.

And while much fanfare was made over the Commission’s previous broadcast deal being “independent”, many old prejudices still underwrote those negotiations. Not now.

The thrust throughout these talks was about letting go of the past and moving ahead in a manner that benefits all.

“The basis of this new deal is that when the tide rises all the boats rise,” Fox Sports chief executive Patrick Delaney said.

Nothing Grant will do in the game might be as important as that, which is not to be undervalued. So now, the old deal is gone.

They all agreed to throw it out and instead next season will be the first in a seven-year deal that will finally allow NRL to be covered in the manner the best modern sports are and which it should have been all along.

Fox will simulcast all eight games, live and ad free, and continue to package it around its magazine shows.

The bonus is hidden in the detail.

For the first time, access standards have been written into contract form. This will cause a great migraine to the likes of the Wayne Bennett and Des Hasler, who are happy for coaches to allow access and promote the game so long as they are not the coaches providing the accessing.

Under the new rules, if they want the money they have to pay the provider.

The AFL realised some time ago that greater access to their game resulted in more publicity and more money.

This deal is worth $1.8 billion and is expected to reach $1.9 billion when radio and international rights are added. Of greater value is the sense of co-operation reached.

The next test now comes Wednesday, when Grant meets with the clubs over funding. They better be careful, he’s in form for it.


http://www.dailytelegraph.com.au/sp...p/news-story/61eaa239edb778899f119757bc767c5f
 

siv

First Grade
Messages
6,757
Can someone explain what the costs to the NRL will be with "maintaining the games digital arm"?

This is a reason for Grant's backflip right?
This is where my concern kicks in

Grant is or at least was the CEO of a digital delivery company
 

siv

First Grade
Messages
6,757
Only Smith did wrong was allow Ch9 to on sell Sat night football back to Foxtel
 

alien

Referee
Messages
20,279
The following is from the Sydney Morning Herald -



Interesting figure in the above article the drop is junior registrations, taken from the NRL's own figures, is 0.5%.

it says the drop is less than 0.5%

"Figures obtained from the NRL show a less than half a per cent drop in club registered numbers since last year, while overall participation is up six per cent to more than 772,000. Nevertheless, Greenberg said he had concerns about the game's future."
 

alien

Referee
Messages
20,279
The chairman should be strong enough to stand up to the NRL media and the clubs and also have a track record for turning something good into something great......
John Howard.

lol, make NRL great again
 

Perth Red

Post Whore
Messages
69,800
Take a look at the Panthers financials for last three years and the losses they have incurred for all you need to know about Gus's business ability.

Spanner re how the grants work, the majority (currently $7.8mill) is no strings attached do what you will with it. There is an additional $1.5mill that has been given with some requirements re spending it to grow the clubs business.

This club whinge is nothing new, they weren't happy with a substantial increase back in 2013 either

http://www.dailytelegraph.com.au/sp...crease-of-450000/story-fni3fbgz-1226740521073
 

Perth Red

Post Whore
Messages
69,800
I seem to,recollect a few weeks ago the telcrap running a story on how unhappy the clubs are and it being shot down on here as news ltd just trying to damage the game, and yet here we are......
 

Raiderdave

First Grade
Messages
7,990
The NRL & ARLC just need to hold firm

Sign the licence

Or f**k off

There's clubs who'll take your place if you won't

Perth
Wellington
Christchurch
Brisbane II
Central coast
Central QLD
PNG
Sunshine coast

Time for some tough love
 

alien

Referee
Messages
20,279
So if the salary cap increases to $10 million, the clubs would be unhappy with a $12 million grant each year, and would only be satisfied with a $13 million grant each year? Maybe some clubs just need to be better run! There needs to be enough funds for grassroots and expansion. We should have a Perth team and an Adelaide team, even if they are relocations from Sydney, and some funds should be set aside in case those 2 clubs need some financial help, just like the Storm were helped - think of it as an investment for the game. Maybe NRL administrators could get payed less if they are being payed too much.
 

BuffaloRules

Coach
Messages
15,546
The NRL & ARLC just need to hold firm

Sign the licence

Or f**k off

There's clubs who'll take your place if you won't

Perth
Wellington
Christchurch
Brisbane II
Central coast
Central QLD
PNG
Sunshine coast

Time for some tough love

Laughable point of view.. Let's have no clubs in Syd, Mel, Bris etc replaced with PNG and Central Coast...

You need to keep holding firm on something..
 

Perth Red

Post Whore
Messages
69,800
Doubt they would all leave, the NRL is offering them guaranteed existence through a perpetual license, and their reaponse is more more more, or we won't sign. As said there are plenty of valuable options beyond the current 16 clubs. NRL is pss weak though and won't have the balls to make them a take or leave it offer. They will back down as they did with the tv deal and fox.

The club Grant has gone from $3.45mill to $9.3 mill in seven years, considering CPI is around 2% most years that is a massive revenue increase yet they still can't make ends meet?
 
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