Loans to Member Unions for ARC

[Unnamed Sauces]

NSWRU
$1,113,000

QRU
$462,000

VRU
$1,054,000

ACTRU
nil

RWA
nil


Total of loans $2.6 million written off by the ARU after the scrapping of ARC.

[goony]

hmmm that seems very fair!! damn you sydney clubs that don't want to promote the future of Australian rugby

[RuckNMaul]

thanks for that pieman

well i hope that clears things up, it was posted on TWF so the figures must be correct hey Waratah Jesus?

[BLR]

Unnamed Sauces is the messiah of scoops.

[Moses]

Any source for that? I'd heard that Vic was closer to 1.5m

Assuming the numbers are correct, do they really classify them as loans and not operating expenses of the ARC? I mean was there ever an intention to re-coup these monies?

[laura]

Unnamed sauces

[Moses]

After just one season, the Australian Rugby Union has decided to scrap the Australian Rugby Championship (ARC) after the competition suffered a $4.7 million loss in 2007.

A thorough review of the tournament revealed it was more than $2 million over the ARU's budgeted investment, plus there was a forecast of a further $3.3 million in losses next season.

The cumulative loss of $8 million in just two years would be fiscally irresponsible, the ARU said.

ARC scrapped after $4.7m loss - Rugby - Fox Sports

Total of loans $2.6 million written off by the ARU after the scrapping of ARC.

so how can the ARU both write off $2.6m and suffer a $4.7 million loss?

[BLR]

so how can the ARU both write off $2.6m and suffer a $4.7 million loss?

And how can Giteau be owed half a million dollars and around 10 times less than that at the same time? Trust the Unnamed sauces

[Swee_82]

Assuming the numbers are correct, do they really classify them as loans and not operating expenses of the ARC? I mean was there ever an intention to re-coup these monies?

If you're happy to assume there was ever an intention for the ARC to be a sucess that would make money then yes, there was an intention to recoup the money:

"During 2006, the company (NSWRU) had entered into an agreement with the ARU to establish a funding agreement in which the company could draw upon funds to offset anticipated losses from particiapting in a new national professional rugby competition, the ARC.

The prinicpal terms of the agreement are:
* ARU to provide funds up to $1,700,000 to be drawn against first order losses by the company in particiating in the ARC.
* Funding term 8 years to 2014
* Repayment will be required on a 50/50 profit share basis between the company and the ARU out of future team profits from the ARC.

As at 31 Oct 2007, the NSWRU had drawn down $1,133,215 uder the facility."


This money was subsequently recorded as grant income as following the collapse of the ARC, this money will never be repaid.

Alot of the ARUs reported $4.7MM loss in running the ARC was made in writing off these loans to NSWRU, QRU and VRU.

[Unnamed Sauces]

The total operating expenditure for the ARC was $5,484,000.

The interest free loans to the member unions and has provided for these loans as "Doubtful Debts"

[Em-Forcer]

B*gger!?
RWA should have taken a loan and then had it 'written off'...?!
In fact, I could do with a bit of spare cash right now, do you think the ARU would help?
(Not that I really support adding to ARU's losses, but you know, if they're feeling philanthropic...)

[Moses]

ARU gave RugbyWA $17.4m for the redevelopment of Members Equity, yet they still don't have corners.

[BLR]

ARU gave RugbyWA $17.4m for the redevelopment of Members Equity, yet they still don't have corners.

Link?

[jargan83]

ARU gave RugbyWA $17.4m for the redevelopment of Members Equity, yet they still don't have corners.

Have you got a sauce for this??
Posted via Mobile Device

[travelling_gerry]

ARU put little green men on MARS.