Rugby cops massive financial hit by cutting Force

By Adrian Warren,

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312 Have your say

    The financial cost of Australian rugby’s horror 2017 has become clearer, with Rugby Australia posting a $7.5 million reversal.

    RA’s annual report cites the messy axing of the Western Force amid the Super Rugby restructure and disappointing tickets sales for Wallabies Tests as major factors in the downturn.

    RA recorded a surplus of $17.8 million following a $3.7 million surplus in 2016 but the year also included $21.6 million in government funding for the new RA headquarters in Sydney.

    Without that one-off injection, RA recorded an operational deficit of $3.8 million.

    RA says the decision to reduce Australia’s Super Rugby teams from five to four was made to secure the code’s immediate financial health and allow it to direct more meaningful investment to community rugby.

    RA chairman Cameron Clyne says despite about $6 million in one-off costs, more than $3 million was ploughed back into the game.

    “Without those one-off costs, we’ll have $12 million in the next two years to reinvest back into the game so that gives us I think a little bit more financial security than we’ve perhaps had previously,” Clyne said after Monday’s annual meeting in Sydney.

    He felt improved Super Rugby form by the Australian teams and the imminent visit of newly crowned Six Nations champions and world No.2-ranked Ireland had the potential to boost revenue.

    He predicted RA should be able to deliver a profit this year.

    “Obviously 2017 was a very difficult year and one we don’t in any way hope to replicate,” Clyne said.

    “But I think on-field performance is a huge driver of both revenue and sentiment around the game.”

    Returns from the Wallabies’ Test program took a hit in 2017 but Clyne said ticket sales were going well for the June series against Ireland.

    “Last year with the British and Irish Lions touring (New Zealand), we had probably a difficult series. Fiji, Italy and Scotland didn’t attract as many fans,” he said.

    “But I think we’re very excited about Ireland. That has a real potential to give us a financial boost.”

    Among positives noted by RA in 2017 were significant rises in participation rates in women’s sevens and XVs and indigenous rugby, and the establishment of an eight-team Uni 7s series for women.

    Former Test captain John Eales will step down as a director in the second half of 2018. Fellow former Wallaby forward Phil Waugh will be nominated as his replacement.

    © AAP 2018
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    The Crowd Says (312)

    • April 9th 2018 @ 4:50pm
      Bakkies said | April 9th 2018 @ 4:50pm | ! Report

      Those comments show that a..ehole de Clyne just doesn’t get it. Will be very interested to see how much went to the Rebels, junkets, car park recruitment searches and pointless re-branding.

      • April 9th 2018 @ 6:29pm
        Reverse Wheel said | April 9th 2018 @ 6:29pm | ! Report

        Meh. With a season like last season I’ll take that loss every time.

        • April 9th 2018 @ 6:37pm
          Bakkies said | April 9th 2018 @ 6:37pm | ! Report

          It would have been a small loss had they not paid 500k to Pulver as a going away present and not spent 3 million on re-branding.

          • April 10th 2018 @ 12:33am
            Ex force fan said | April 10th 2018 @ 12:33am | ! Report

            It would have been a surplus if they spend the same on the Rebels that they spend on the Reds, Brumbies and Tahs.

            • April 10th 2018 @ 6:08am
              Bakkies said | April 10th 2018 @ 6:08am | ! Report

              Yep and the RA spent one million dollars on bringing players back from overseas.

              • Roar Guru

                April 10th 2018 @ 9:39am
                Train Without A Station said | April 10th 2018 @ 9:39am | ! Report

                Players essentially are the product…

              • April 10th 2018 @ 10:27am
                Bakkies said | April 10th 2018 @ 10:27am | ! Report

                You don’t spend money you don’t have on players who chose to leave. Develop some fresh talent.

              • Roar Guru

                April 10th 2018 @ 10:32am
                Train Without A Station said | April 10th 2018 @ 10:32am | ! Report

                Developing fresh talent doesn’t solve an immediate problem. It’s a long term solution.

              • April 10th 2018 @ 11:03am
                Bakkies said | April 10th 2018 @ 11:03am | ! Report

                That’s how sport works not relying on near 30 year olds with injury records.

              • Roar Guru

                April 10th 2018 @ 11:04am
                Train Without A Station said | April 10th 2018 @ 11:04am | ! Report

                Developing players being immediately ready is how sport works?

              • April 10th 2018 @ 12:36pm
                Bakkies said | April 10th 2018 @ 12:36pm | ! Report

                You prepare for the future so you have replacements ready which the RA hadn’t done with poor development structures and policy.

              • April 10th 2018 @ 7:17pm
                Malo said | April 10th 2018 @ 7:17pm | ! Report

                Develop and support the clubs ie they develop players. Copy Nz

              • April 12th 2018 @ 7:04pm
                Bakkies said | April 12th 2018 @ 7:04pm | ! Report

                Exactly Malo the RA cut the Community Rugby distribution to the state unions by half which puts more pressure on clubs and schools to recruit then develop players.

            • Roar Guru

              April 10th 2018 @ 9:39am
              Train Without A Station said | April 10th 2018 @ 9:39am | ! Report

              Possibly. But that amount is higher also because the Vic Government funding is through RA to the Rebels.

              • Roar Rookie

                April 10th 2018 @ 10:43am
                piru said | April 10th 2018 @ 10:43am | ! Report

                Well that’s confusing

                what are they hiding?

              • April 10th 2018 @ 11:03am
                Bakkies said | April 10th 2018 @ 11:03am | ! Report

                Exactly Piru.

              • Roar Guru

                April 10th 2018 @ 11:05am
                Train Without A Station said | April 10th 2018 @ 11:05am | ! Report

                Nothing says they are hiding anything.

                If anything if they were hiding something wouldn’t they want to reduce the visible payments to the Rebels?

              • April 10th 2018 @ 1:20pm
                Bakkies said | April 10th 2018 @ 1:20pm | ! Report

                You lot bang on about transparency so lets have it.

            • Roar Rookie

              April 15th 2018 @ 12:55pm
              Kirky said | April 15th 2018 @ 12:55pm | ! Report

              36 million to the Rebels just for the privilege of having a team in Melbourne!! ` I hope they have a worse loss this time around!

              I sincerely hope that in light of the disgraceful mess they created by axing the Force rather than the Rebels or the Brumbies, that they lose at least that number or worse, they deserve it!

          • April 10th 2018 @ 6:45pm
            rebel said | April 10th 2018 @ 6:45pm | ! Report

            The rebranding costs are astonishing considering the organisation was crying poor. Still cant get my head around that decision.

            • Roar Guru

              April 11th 2018 @ 8:21am
              Train Without A Station said | April 11th 2018 @ 8:21am | ! Report

              Where has it actually been established that they spent that on re-branding?

            • April 12th 2018 @ 7:07pm
              Bakkies said | April 12th 2018 @ 7:07pm | ! Report

              Rebel with the re-branding you have to register the new company name with ASIC, change letters, put up the company logo on the building, change marketing and then you have the website.

              What a waste of money.

      • April 9th 2018 @ 9:35pm
        Ex force fan said | April 9th 2018 @ 9:35pm | ! Report

        The Rebels got $10.2 million, the Reds, Tahs and Brumbies $5.5 million. The never ending pit will in 2018 suck more from Rugby. The irony is that with the 30% drop in junior registration numbers in WA local rugby is paying twice for Clown Clyne’s ego. Clyne and his clowns need to go NOW!

        • April 10th 2018 @ 5:40am
          Bakkies said | April 10th 2018 @ 5:40am | ! Report

          He should really do time for this. Did you see the line on page 63 justifying the extra money spent on the Rebels? It mentioned the Vic Government contribution which we still don’t know what that is.

          • Roar Guru

            April 10th 2018 @ 9:40am
            Train Without A Station said | April 10th 2018 @ 9:40am | ! Report

            What law did he break that he should do time for?

            • April 10th 2018 @ 10:28am
              Bakkies said | April 10th 2018 @ 10:28am | ! Report

              Breach of fiduciary duties to start with. It has been explained 10,000 times to you Cameron in regards to what you have been accused of.

            • April 10th 2018 @ 8:46pm
              ForceFan said | April 10th 2018 @ 8:46pm | ! Report

              No-one here has to answer this query TWAS.
              Just be patient.
              ASIC will provide the answers for you.

              • Roar Guru

                April 11th 2018 @ 8:21am
                Train Without A Station said | April 11th 2018 @ 8:21am | ! Report

                Well yeah they do.

                If they assert it occurred and want their claim taken seriously.

                If Bakkies can’t even give an example of this supposed wrongdoing than what’s he making the claim about?

              • April 11th 2018 @ 9:55pm
                Bakkies said | April 11th 2018 @ 9:55pm | ! Report

                Lets turn this around Cameron how many fiduciary duties have you undertaken legally?

              • Roar Guru

                April 12th 2018 @ 9:23pm
                Train Without A Station said | April 12th 2018 @ 9:23pm | ! Report

                “Let’s avoid supporting my claim” I think you mean.

              • April 15th 2018 @ 2:34pm
                Bakkies said | April 15th 2018 @ 2:34pm | ! Report

                Is that quote from an employee of the RA?

        • Roar Guru

          April 10th 2018 @ 9:40am
          Train Without A Station said | April 10th 2018 @ 9:40am | ! Report

          That includes sponsorship to the Rebels. Which based on the funding to the Rebels being $6M over 4 or 5 years, front loaded, would be about $1M. so the Vic sponsorship probably works out to be $10.2M less $5.5M less around $1M.

    • April 9th 2018 @ 5:09pm
      Bakkies said | April 9th 2018 @ 5:09pm | ! Report

    • Roar Rookie

      April 9th 2018 @ 5:52pm
      piru said | April 9th 2018 @ 5:52pm | ! Report

      Sorry what have I missed

      21 million dollars was supplied by the govt for new offices?

      21 million

      and there was nothing else that could have been spent on

      • April 9th 2018 @ 6:02pm
        Bakkies said | April 9th 2018 @ 6:02pm | ! Report

        Búmchin Bill picked up a going away present of 500k on top of his salary, re-branding cost 3 million talk about throwing away money.

        Super Rugby funding

        $
        QLD 5,650,000
        NSW 5,650,000
        ACT 5,475,000
        WF 8,581,000
        REBELS 10,200,000

        The Force funding takes on board their salaries, Super and Insurance.

        • April 9th 2018 @ 6:24pm
          Council said | April 9th 2018 @ 6:24pm | ! Report

          Be interesting to see yo complete breakdown for each team Bakkies.

          Any chance you could look into it?

          • April 9th 2018 @ 6:29pm
            Bakkies said | April 9th 2018 @ 6:29pm | ! Report

            Page 62-63 said that the Rebels received extra money from the sale to Imperium and the still not disclosed funding from the Vic Government.

            The Force includes the salaries, super, court costs, etc.

            Reds, Brumbies and NSW received reduced funding due to fall in competition sponsorship revenue.

            • Roar Rookie

              April 9th 2018 @ 6:43pm
              piru said | April 9th 2018 @ 6:43pm | ! Report

              So even with all the additional, still not even close to what was spent on the Rebs

              • April 9th 2018 @ 6:50pm
                Bakkies said | April 9th 2018 @ 6:50pm | ! Report

                Absolutely nothing has changed there.

              • April 9th 2018 @ 8:57pm
                Rugger said | April 9th 2018 @ 8:57pm | ! Report

                The amount of money spent on the Melbourne Rebels was dwarfed considering the massive scale of funds allocated to the Force since it’s inception (pro rata over their respective life spans).
                Good money was thrown after a bad club in the mid 2000’s and over a decade of failure later – the cancer had to be removed.
                This has been one of the better decisions made in Australian Rugby 👍🏼👏🏼

              • April 10th 2018 @ 5:42am
                Bakkies said | April 10th 2018 @ 5:42am | ! Report

                Your post Rugger is so full of manure I don’t know where to start.

              • April 9th 2018 @ 9:36pm
                Ex force fan said | April 9th 2018 @ 9:36pm | ! Report

                What a disgrace

              • April 10th 2018 @ 6:43am
                Ex force fan said | April 10th 2018 @ 6:43am | ! Report

                Rugger, you got it exactly wrong! The Rebels is the cancer and the ARU’s obsession to have a team in Melbourne at any cost is the cause of it. The medicine was surely not to cut the only financially secure franchise in Australia that is backed by a billionaire.

              • Roar Rookie

                April 10th 2018 @ 10:44am
                piru said | April 10th 2018 @ 10:44am | ! Report

                Oh rugger you must be new here

                That’s patently untrue

              • Roar Guru

                April 10th 2018 @ 10:50am
                Train Without A Station said | April 10th 2018 @ 10:50am | ! Report

                It’s not really. A lot of money has gone to the Force. And the introduction of the Force actually brought in no additional revenue.

                That doesn’t mean it necessarily was, or wasn’t a good investment though.

              • April 10th 2018 @ 11:26am
                Ex force fan said | April 10th 2018 @ 11:26am | ! Report

                More money went to the Rebels than the Force and more is still going to the Rebels as they still don’t have a sustainable financial model.

              • Roar Rookie

                April 10th 2018 @ 11:08am
                piru said | April 10th 2018 @ 11:08am | ! Report

                “The amount of money spent on the Melbourne Rebels was dwarfed considering the massive scale of funds allocated to the Force since it’s inception (pro rata over their respective life spans).”

                This is true?

                I really don’t think it is

                but please enlighten me if so

              • Roar Guru

                April 10th 2018 @ 11:10am
                Train Without A Station said | April 10th 2018 @ 11:10am | ! Report

                Well they’ve spent about $50M+ on the Force in their lifetime haven’t they?

                Spent is probably an unfair way to describe it and I see it as more an investment to be fair.

              • Roar Rookie

                April 10th 2018 @ 12:40pm
                piru said | April 10th 2018 @ 12:40pm | ! Report

                But rugger claimed pro rata – ie per year

                I can’t see how that’s possibly the case

              • April 14th 2018 @ 9:23am
                Ex force fan said | April 14th 2018 @ 9:23am | ! Report

                Come on TWAS. The ARU spend more in their lifetime of the Tahs and Reds than anyone else because they existed longer. The rate at which the Rebels consume ARU funding is what has got the ARU in thie debacle.

        • Roar Guru

          April 10th 2018 @ 9:41am
          Train Without A Station said | April 10th 2018 @ 9:41am | ! Report

          Where does it say Pulver got a $500k bonus?

          • April 12th 2018 @ 2:55pm
            Bakkies said | April 12th 2018 @ 2:55pm | ! Report

            Director’s notes in the full report. Búmchin Bill the only executive director in the year received a cosy 500k incentive to go with his 770k salary.

            • April 12th 2018 @ 3:36pm
              Ex force fan said | April 12th 2018 @ 3:36pm | ! Report

              Reward for incompetency… he should have paid in…

              • April 12th 2018 @ 11:22pm
                Bakkies said | April 12th 2018 @ 11:22pm | ! Report

                So should O’Neill for creating this mess by bringing in the Rebels while cutting pathways and finances.

      • April 9th 2018 @ 10:43pm
        Train without a station said | April 9th 2018 @ 10:43pm | ! Report

        Not if it was supplied specifically for the new facility.

        • April 10th 2018 @ 6:24am
          Bakkies said | April 10th 2018 @ 6:24am | ! Report

          Which was mostly funded by a university, state and federal Governments.

          • Roar Guru

            April 10th 2018 @ 7:52am
            Train Without A Station said | April 10th 2018 @ 7:52am | ! Report

            Let me guess… for the specific purpose for a facility?

            • April 10th 2018 @ 9:43am
              Bakkies said | April 10th 2018 @ 9:43am | ! Report

              Well they needed a facility for the extra manure and shredders.

              • Roar Guru

                April 10th 2018 @ 9:46am
                Train Without A Station said | April 10th 2018 @ 9:46am | ! Report

                Personal attack is all you’ve got.

              • April 10th 2018 @ 10:31am
                Bakkies said | April 10th 2018 @ 10:31am | ! Report

                Well Cameron there is a reason why your mate Bill brought a horse stud in Braidwood. Cut price manure.

    • Roar Guru

      April 9th 2018 @ 6:08pm
      Timbo (L) said | April 9th 2018 @ 6:08pm | ! Report

      A drain on finances.
      Poor Performances.
      Poor Crowd Numbers
      Sound Familiar?

      Perhaps it’s time for Linda Reynolds to Exit RA from Sports Australia and give the funding direct to the state bodies.

      • April 9th 2018 @ 6:38pm
        Bakkies said | April 9th 2018 @ 6:38pm | ! Report

        The report is riddled with excuses.

    • Roar Guru

      April 9th 2018 @ 7:02pm
      Machpants said | April 9th 2018 @ 7:02pm | ! Report

      I’m glad, that in 2018, indigenous rugby participation is now a core part of RA’s business

      • Roar Guru

        April 9th 2018 @ 7:05pm
        Machpants said | April 9th 2018 @ 7:05pm | ! Report

        I’ve skim read the report, everything is good in Oz rugby, phew

    • April 9th 2018 @ 7:28pm
      Bakkies said | April 9th 2018 @ 7:28pm | ! Report

      • April 9th 2018 @ 9:38pm
        In Brief said | April 9th 2018 @ 9:38pm | ! Report

        What a waste of space Eales turned out to be

        • April 9th 2018 @ 11:50pm
          Ex force fan said | April 9th 2018 @ 11:50pm | ! Report

          At least Eales and Clyne realise they are a waste of space….Clyne is still in denial. How much damage can rugby endure with him as Chairman? He spend more on the Rebels year on year, they still cannot attract spectators nor financial backers, but the vain experiment to have a rugby team in AFL land continue. He already sacrificed WA, who is next ACT?

        • April 10th 2018 @ 10:31am
          Bakkies said | April 10th 2018 @ 10:31am | ! Report

          IB agreed 100%.

      • April 9th 2018 @ 9:41pm
        Ex force fan said | April 9th 2018 @ 9:41pm | ! Report

        At least Eales had the awareness that he is not welcome although he ruined his reputation by aligning himself with Clyne. Clyne is so out of touch he does not even realise that he is despised in rugby circles. He represents everything that is wrong in Australia Rugby. Self centred, ego centric, economical with the truth, no vision and poor leadership.

        • April 10th 2018 @ 7:14am
          i miss the force said | April 10th 2018 @ 7:14am | ! Report

          he is not despised in rugby circles – only by you and your tiny group of WA supporters. you really have no idea about the inner dealings and decisions of RA. your Force were a massive drain stealing money and a tonne of players from the other states for over a decade. Basically produced a couple of sub par wallabies, never made the finals and very small crowds and TV numbers

          • April 10th 2018 @ 8:01am
            Bakkies said | April 10th 2018 @ 8:01am | ! Report

            Rubbish Realist. De Clyne wouldn’t be welcome in most clubhouses in Sydney as he is linked to the RA’s campaign on clubs which led to animosity in Sydney, put a tax on subs which forced clubs to put them up, is completely obtuse and unprofessional; and is linked to Sydney Uni.

            • Roar Guru

              April 10th 2018 @ 8:10am
              Train Without A Station said | April 10th 2018 @ 8:10am | ! Report

              By a “tax on subs” you mean, subs, right?

              Can you tell me what good or service doesn’t increase in cost?

              But you’ve done a great job conflating a heap of your bugbears into a single rambling comment.

              • April 10th 2018 @ 9:24am
                Bakkies said | April 10th 2018 @ 9:24am | ! Report

                Cameron that is spin and you know it. Cost per team has gone up and shock horror that has been subsidised by parents and players.

              • Roar Guru

                April 10th 2018 @ 9:37am
                Train Without A Station said | April 10th 2018 @ 9:37am | ! Report

                Cost per team hasn’t. The total difference in the costs from 2016 to 2017 is the costs of running the Force.

                Juniors never have paid for the professional game through subs.

              • April 10th 2018 @ 11:30am
                Ex force fan said | April 10th 2018 @ 11:30am | ! Report

                The squads are bigger, each player is paid more so the cost per team must have ncreased TWAS. Basic maths.

              • Roar Guru

                April 10th 2018 @ 1:49pm
                Train Without A Station said | April 10th 2018 @ 1:49pm | ! Report

                But each player isn’t automatically paid more.

                Players who had contracts already didn’t get a pay rise.

          • April 10th 2018 @ 8:31am
            concerned supporter said | April 10th 2018 @ 8:31am | ! Report

            “he is not despised in rugby circles – only by you and your tiny group of WA supporters. ”
            Please explain then, why is there a petition asking for Clynes resignation?
            Concerned member of the Rugby Community shared an update on Rugby Australia: Petition for Cameron Clyne to resign as Chairman of the Rugby Australia board

            • Roar Guru

              April 10th 2018 @ 8:39am
              Train Without A Station said | April 10th 2018 @ 8:39am | ! Report

              Do you mean the petition that’s signed by about 500 people?

              Sounds exactly like a group of tiny supporters.

              A petition existing means nothing. It takes one person to create.

            • April 10th 2018 @ 9:22am
              Bakkies said | April 10th 2018 @ 9:22am | ! Report

              CS and signed by a former chairman of the NSWRU.

              • Roar Guru

                April 10th 2018 @ 9:28am
                Train Without A Station said | April 10th 2018 @ 9:28am | ! Report

                Which ex-Chairman is that?

              • April 10th 2018 @ 9:39am
                concerned supporter said | April 10th 2018 @ 9:39am | ! Report

                And signed by myself, not too sure about TWAS.

              • April 10th 2018 @ 9:44am
                Bakkies said | April 10th 2018 @ 9:44am | ! Report

                I am sure he has one to save de Clyne.

              • Roar Guru

                April 10th 2018 @ 9:42am
                Train Without A Station said | April 10th 2018 @ 9:42am | ! Report

                Great. Singed by the 3 of you and about 502 other people.

                Really captures what the majority of Australian rugby fans think…

              • April 10th 2018 @ 10:23pm
                Bakkies said | April 10th 2018 @ 10:23pm | ! Report

                Carry on with the delusion Cameron.

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