Profits of boom
ARL Commission chairman
Peter V’landys has hit back at clubs and groups in the game he says are trying to undermine him through “personal attacks” that are “misleading and opportunistic”.
V’landys has also taken a shot at the bloated AFL in a stinging return of serve to an item in this column last week.
V’landys is being hammered by club bosses about everything from the AFL’s mammoth $4.5 billion broadcast deal to the state government’s change of heart on stadium funding, and even his explanation for delaying
Taylan May’s two-game ban to next year, saying it was “for the fans”.
V’landys has sent this column an email promising to have the last laugh, while laying out what he says are the huge benefits to clubs and players that have resulted from the recent work of the commission.
“In 2019, the 16 NRL clubs as a group recorded $38 million in losses,” he wrote. “During COVID, when the NRL increased net funding to clubs from $29 million to $86.4 million, it meant that the 16 clubs as a group made approximately $30 million in profit when other businesses and sports were incurring heavy losses. This was on top of the $144 million per annum the NRL paid the players on behalf of the clubs.
“For the next five years we have proposed a 140% increase in funding to clubs as compared to 2019. It’s expected players are going to receive a 19% increase, 12% adjusting for expansion. Not bad considering most employees are on average receiving a 3% increase.
“Yet a minority, rather than being appreciative, are demanding more. However, what is disappointing is they have a strategy to personally attack me and the NRL in order to achieve their unrealistic demands. The NRL next year will have record revenues and a cost-effective operation, which will make record distributions to players and clubs.
“To single out broadcast in isolation is misleading and opportunistic. Firstly, the AFL’s new broadcast deal does not start until 2025. It finishes in 2031. Before 2025, the NRL will likely have done a new broadcast deal. This will mean more distributions to clubs and players and a cost-effective operation. Also, a substantial part of the AFL revenue goes to operational costs. The NRL operational costs are now 25% of its revenue. In stark contrast, the AFL operational expenses in 2021 were 47% of its revenue.
“Infighting inside the game has always held us back. Attacking the game to achieve a better result for one stakeholder group comes at the cost of the overall game. Ironically, damaging the game will hurt all of us in the future.”
Smith had worn out his welcome in Melbourne, to the point where coach Craig Bellamy didn’t even mention his name when paying tribute to departing players during his final media conference of the year.
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