Outrage as NRL blocks Bulldogs sponsor
THE NRL and Telstra have been branded "childish", "short-sighted" and "negative" for blocking the Bulldogs' new $2 million major sponsorship.
Would-be jersey-front sponsor Strathfield Group last night launched an extraordinary attack and foreshadowed legal action after its three-year deal with the Bulldogs was stymied because of the NRL's exclusivity deal with Telstra.
The major telco fired legal letters to the NRL on Thursday upon discovering the Bulldogs had linked with Strathfield Group - a diversified business with one arm that solely sells products belonging to rival Optus.
The NRL duly supported Telstra and has told Bulldogs CEO Todd Greenberg he must find a new major sponsor.
The sponsorship brawl threatens to impact on the Bulldogs as they prepare for the Easter Monday blockbuster against table-topping South Sydney at ANZ Stadium.
Chairman of Strathfield Group, Vaz Hovanessian, last night vowed his company would not back down to "bullying tactics".
"Here we are, a business that's prepared to invest $2 million in the sport after all the bad headlines and in an economic downturn, and they tell us we can't," Hovanessian fumed.
"I've seen so many women walking away from rugby league and taking their men with them as well. There's been a lot of unhappy incidents.
"We've had players fighting players, directors fighting directors and now we've got sponsors fighting sponsors.
"When does the negativity end? This is going to backfire big time in the face of Telstra and the NRL.
"They are using bullying tactics to crush a smaller business.
"If Telstra is worried about us, then I feel very sorry for Telstra.
"We are only interested in promoting the Strathfield Group, no one's talking about Optus.
"I wonder if this is uncompetitive behaviour.
"We'll be talking to our lawyers and looking closely at the Trade Practices Act.
"It is very short-sighted. To fire off legal letters within moments of our sponsorship being announced is so childish.
"We'll be fighting it all the way - tooth and nail."
Hovanessian argued that mobile telephony only constitutes between 12 and 14 percent of his business, which also offers home loans and car audio. He also accused the NRL of "hypocrisy for allowing other clubs to take up sponsorships with Vodafone and Harvey Norman.
Although talks between the Bulldogs and Telstra are planned for today, the NRL was last night unmoved.
Commercial director Paul Kind maintained Telstra was rightfully exercising an exclusivity clause contained in the premiership's naming rights deal.
Kind also said the Bulldogs had not complied with the NRL's directive to inform it of the deal before the announcement was made.
"There is only one industry that is off-limits for the clubs and that's telecommunications," Kind said. "They all know about the terms of Telstra's deal and we even pay the clubs a significant figure annually as recognition of the fact they can't negotiate in this area."
Kind said Vodafone's sponsorship with the Warriors was permissible because it pre-dated Telstra's involvement, while Harvey Norman was a partner of the telco.
