NRL partners reject $8m club demand - IC on hold

[ManlyBacker]

THE game will have to come up with yet another date for the independent commission to take over, with the NRL partnership committee planning to meet clubs on November 1 to resolve a funding impasse - the same day the new governing body was meant to be sworn into power.


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[Meeha]

News Ltd. achieves what it set out to do

 

[Utility Player]

So the NRL are not prepared to go into short term debt to help the clubs get out of trouble.

A bit short sighted I would think because if any clubs fall over then there would be less value attached to the new TV deal.

If the rights are anywhere near the 1.4 billion over 5 years being touted surley the clubs would be on track for about 10 million each per year anyway.

 

[swoop]

They are talking about a 1.4Bill tv deal yet they won't go into short-term debt of a paltry 8mil.

 

[Chip and Chase]

They won't get $1.4Bill. Who is going to pay that ??

 

[Jono]

I understand where they are coming from. They want the commission to start on a good note, not in debt. However, they would only care if it was Melbourne or Brisbane to fall flat on their face. No one else matters. Everyone else is expendable because they'll just bring in another team. The killer for me is that they expect clubs to sign at the same amount for 6 years when there is a tv deal at the end of the first. How is that fair? Who will pocket the other billion dollars

 

[Utility Player]

They won't get $1.4Bill. Who is going to pay that ??

Even if its 1 Billion thats 200 million per year so if the 16 clubs get 10 million a year that still leaves 40 million for the NRL to use for whatever it is that they actually do.

 

[MadMarcus]

Nice spin there from the News Ltd owned Australian.

News Ltd are pillaging the game in two main ways. Firstly they are benefiting from Foxtel drastically underpaying for the TV rights and secondly they are taking a dividend straight out of the NRL partnership every year in accordance with the terms of the peace deal.

I don't think it is a coincidence that the amount of that dividend is exactly $8m (see http://www.silvertails.net/articles/news/40-general-nrl/5359-something-smells-about-the-elephants-sudden-urge-to-leave-the-room
). I don't think the clubs are asking for the NRL to go into debt. What they are asking News Ltd to do is not take its dividend for a year.