$100m for a place that has confessed drug addicts & alleged drug dealers as part of it's culture...
really says something about souffs then.. what were they worth? $3m?
yes, but he would be the one credited with getting us there. a big injection of capital at the very least is exactly what we need to break our current shackles of subsisting on the smell of an oily rag. it's hard for us to do anything but tread water at the moment. Tinkler will provide that injection, and he's finally talking numbers that actually make some sense.The deal as described is probably worth about $25m to $35m or so. To describe it as $100m is highly misleading.
Probably looks like Tinkler would have to spend something in the region of $3m to $4m in the first few seasons. Inflation and continued club and NRL growth would probably mean that by the end of the 10 year period Knights sponsorship would be worth close to $10m a season anyway. This is before you even consider the time value of the later disbursements.
I am not even going to attempt running through the Souths deal, or the extra funding that they have put in since nor the extra income that they have generated for the club. We are happy with how the club is run now, and we don't give a rats what some StMerge fan thinks.
I'm sure they'll accept the offer and prepare for a buying spree.
Watch for the Knights to pinch players left right and centre.
If the Central Coast Bears get up with their bid in years to come they are going to have to contend with one very big brother!
we need him to erase the sins of our past, as much as anything. a big debt from administrators of yesteryear really stifles us, and keeps us treading water rather than flying. we post modest profits most years, but it only takes a disaster like 2005, and we register a sizable loss in that year, which of course gets added to the debt, and the interest that the debt accrues etc. money isn't going to fix this like some magic potion, but it's necessary to implement the changes that are needed. a sizable increase in our front office staff will be in order for sure. while Brian Smith was busy spending heaps of extra money on football operations, i get the feeling that the front office was squeezing every last penny from elsewhere to make it happen. remember we were literally training out of shipping crates 4 or so years ago.they'd have to accept it given they always seem to be in some financial trouble. given also this bloke is a local he wont want to get run out of town for doing the wrong thing by the club.
i reckon for a lot of clubs having a big financial backer like tinkler or crowe is the only way they'll survive
I'm sure they'll accept the offer and prepare for a buying spree.
Watch for the Knights to pinch players left right and centre.
If the Central Coast Bears get up with their bid in years to come they are going to have to contend with one very big brother!
the board knows it needs to happen as much as anyone (i know of at least 1 member that has told me as much directly). they may look dumb in the papers, but they're not borderline geniused. we need money if anything is to change.$100 million is the absolute maximum he could possibly have to pay over a 10 year period if the club gets no other sponsors whatsoever.
What is being proposed is that he guarantees any shortfall of sponsorship up to $10 million per annum for a decade. That means if the Knights get $10 million in sponsorship in a season he puts in nothing - if they get $7 million he puts in $3 million etc.
He also pays out the $3 million debt the club currently has so they dont have to pay interest on that debt - saving the club about $22,500 a year in interest alone before that debt needed to be repaid.
The model that he is proposing is that the club be run as a not for profit organisation, where he covers any losses the club incurs and any profits are put back into the community in the form of junior development and payments into grass root rugby league projects in the Hunter region.
The whole deal is based upon benefitting Rugby League in the Hunter Region and making Newcastle the area successful. There will not be profits for individual board members and therein lies the pinch.
If the current board dont like that proposal or the fact they might be out of a job they might vote against it. If they do so the owners (the club members) can call a board meeting and vote the board off and accept the proposal anyway.
I think the board WILL accept it and even if they dont the members probably will so I believe that this will probably go right ahead.
who, exactly, wants to knock this back?Fair dinkum, Tinkler could offer $500 million and some of you Knights fan would want to knock it back.
It could be worse, it could be Singleton buying the club.
They better not break the salary cap.
hey, each to their own..
i'm happy with how our club is run..
still majority club owned..
playing out of our traditional home grounds & haven't sold our soul to make money at ANZ..
we aren't paying overs for imported players..
and that trophy looks real nice...