Port ask for some cash...

[Booney]

http://www.realfooty.com.au/news/news/p ... 38317.html



PORT Adelaide has been officially moved on to the AFL's critical list with the club confirming last night it had requested emergency assistance for the first time via the competition's annual special distribution.

Port chief executive Mark Haysman told The Age the club had requested an immediate seven-figure sum from the AFL as part of a three-year funding bid to ease the club's financial crisis.

Haysman addressed the entire staff of Port Adelaide at Alberton late yesterday to update them on the gravity of the situation, which he said was now fully understood by the AFL and the club's licence-holder, the SANFL.

Power's cash-flow crisis has escalated in recent weeks with its co-major sponsor potentially unable to pay the club this year.

SANFL boss Leigh Whicker told The Age shortly before last night's SANFL annual general meeting that it was working to ensure the club was not placed at risk.

"We would not want to see the licence tarnished or the club put at any risk," Whicker said. "We've recognised our responsibility as holders of the licence to work with Port Adelaide because they are a very proud club and we need to ensure that they can maintain their existence as a company limited with our guarantee and continue to run their business."

Not only has Port Adelaide's debt escalated to about $3.5 million but the Power's co-major sponsor Bianco has raised doubts about its ability to deliver its contracted $750,000 for 2009.

The Adelaide-based building supplier is committed to the club until the end of 2010 but the AFL and SANFL are worried about its ability to deliver.

At this stage it is not known whether Port Adelaide will have the Bianco logo on its jumpers against Essendon in round one.

The club's other major sponsor, Vodafone, has already announced it will pull out or significantly reduce its commitment at the end of 2009.

Port Adelaide is the first non-Victorian club to officially request money. North Melbourne, Melbourne and the Western Bulldogs are all recipients of annual special distribution funds, which will be reviewed at the end of 2009.

"The SANFL and the AFL now fully understand the gravity of out situation," Haysman said last night.

"We have approached the AFL about financial assistance through the additional special distribution for 2009, '10 and '11 to help get us back on our feet as we work to rebuild the club.

"The AFL understands the size of our exposure. Our current model is not sustainable. We are fighting for sustainability. It is an uncomfortable situation."

The off-field crisis at Alberton was exacerbated last week when coach Mark Williams again raised doubts about his relationship with Port's new administration and confirmed Domenic Cassisi had not been his first choice as captain.

The SANFL communicated its concerns to Port Adelaide's administration while Williams, who said he had pushed for a new contract but not received one, maintained he had been unfairly edited in the television interview.

Given the club's poor membership figures and all-time low attendances in 2008, Haysman said: "We are trying to put ourselves out there and there will be times when there is the risk of these things happening."

Port lost $1.4 million last season, when it finished 13th, turned over an unhealthy number of staff and watched its average home crowds drop to little more than 23,000. Although the Crows also suffer from a relatively poor stadium agreement, it is an annual $3 million better off than Port Adelaide in terms of members and attendances.

The AFL is working with the SANFL to ensure an improved stadium deal from the SANFL-controlled AAMI Stadium.

The private view of the AFL and the SANFL is that even with an expertly administered board and executive Port Adelaide will take a generation to garnish a supporter base that will sustain it.

The AFL remains determined that the club's wealthy licence-holder contribute financially to help ease its debt and cash-flow crisis.

The good news is that the club appears to have a vastly improved working relationship with the SANFL, given the historic political mistrust between the two.

[Booney]

From what I understand Bianco are not is a position to throw any money around, let alone $750,000.

Not great news, but not the first club to ask for assistance and certainly wont be the last with the economic times we face.

[am Bays]

Maybe it is time to merge Port with Central Districts to create a club based on the Northern market of Adelaide.

Too much baggage associated with the Port Adelaide name to make it a going concern for the wider sporting population in South Australia.

<edit> seriously what sort of marketing genius emphasises the old and narrow past (PAFC 1870) - how the hell is that going to attract new supporters...

I do have some empathy with Port given teh large Glenelg connection there - I mean ATM we've supplied its coach, it best player (C Cornes) and a further six players on Ports list have worn the greatest guernsey in Australia (Black with, Gold sash and with the leaping Tiger emblem) but when I see the obvious connection to its past it makes me cringe and reinforces my desire to ensure none of my kids follow that franchise....

[Rik E Boy]

And yet the AFL want to EXPAND the league.

regards,

REB

[Zorro]

And yet the AFL want to EXPAND the league.

regards,

REB

Was thinking exactly the same thing. As much as I love to hate Port this is a real concern and should be for the league as it looks to expansion. You could argue there will be sufficient sponsorship $ on the gold coast and west sydney but the afl is not the only comp heading there, not to mention some franchises will always require on field success to remain financially viable (Freo excluded).

[am Bays]

And yet the AFL want to EXPAND the league.

regards,

REB

Send Port to the Gold Coast

[JK]

Apparently Haysman and Chocco were plotting how to best get some $$ out of the AFL, when Chocco suggested "I think it's time we went back to our roots".

They threw on their Balaklava's, loaded up with Pistol replica's and used a coat-hanger to break into AFL house ... Stupidly the AFL had left the petty cash tin unlocked that night.

[Booney]

With Vodafone letting it be known that its AFL sponsorship budget for next year being less than half what it is now and Bianco not having any cash at all it is a worrying time.

The Melbourne based AFL clubs who have just struck major sponsorship deals had to wait until the New Year before being able to attract corporate interest and I am sure the value of that sponsorship is much lower than what they would have expected. Admittedly they are clubs with poor on field performances, but at this point in time ( looking at 2008 ) so are Port.

Only a good year on field will help us attract sponsors for next year.

* Supplied us with our coach... *

[Q.]

The Vodafone merger with 3-Mobile really put a spanner in the works. You never know, once the dust has settled from the merger, the company may be able to be a major sponsor next year.

[Dutchy]

[MightyEagles]

Port could stop sponsoring the T/Birds and let Adelaide or the SANFL sponsor them and change the T/birds colours at the same time.

[Hondo]

Too much baggage associated with the Port Adelaide name to make it a going concern for the wider sporting population in South Australia.

<edit> seriously what sort of marketing genius emphasises the old and narrow past (PAFC 1870) - how the hell is that going to attract new supporters...

but when I see the obvious connection to its past it makes me cringe and reinforces my desire to ensure none of my kids follow that franchise....

I have several mates who tried the same and their kids ignored them and jumped on board. And as if you would have ever encouraged your kids to follow Port Power anyway, come on

Their 2009 marketing campaign can't be blamed when it's barely started. If you want to blame marketing (which is unfair given that the global financial crisis has stung their sponsors causing a cash flow problem), then blame the marketing that disassociated their history this last 3 years.

Associate the history / disassociate the history; IMO it doesn't make much difference. The kids are going to get on board regardless. It's our generation that get hung up on hating Port on principle. Most kids today couldn't even name the 9 SANFL clubs let alone care what Port Adelaide did in the SANFL.

Regardless of what our generation do as parents, in 15-20 years the Crows-Power split will be a lot closer to 50-50. That's the story I hear from mates with kids at school.

[Sojourner]

Maybe Coopers might be a potential sponsor for the club?

[Dutchy]

Maybe Coopers might be a potential sponsor for the club?

Why?

[Drop Bear]

Maybe Coopers might be a potential sponsor for the club?

Why?

Port's chairman used to work for Coopers (if I remember correctly?).

[Interceptor]

And yet the AFL want to EXPAND the league.

regards,

REB

Send Port to the Gold Coast

No thanks -West Sydney

[am Bays]

And yet the AFL want to EXPAND the league.

regards,

REB

Send Port to the Gold Coast

No thanks -West Sydney

The man has a point, similar socio-economic demographic....

[CoverKing]

lack of gate takings catching up now. Port to move to Adelaide oval, where they can build an atmosphere and play on one of the best ovals in the world. i for one would go watch a lot more port games (all be it barracking for the other side)

[Drop Bear]

lack of gate takings catching up now. Port to move to Adelaide oval, where they can build an atmosphere and play on one of the best ovals in the world. i for one would go watch a lot more port games (all be it barracking for the other side)

Great idea.

[Hondo]

Don't get too distracted about gate takings, AAMI Stadium etc. A better stadium deal at AAMI would be a good start but that's not as big an issue as finding corporate sponsorship.

I reckon this is the tip of the iceberg. Watch for other sporting clubs - AFL, NRL, A-League, SANFL - to find themselves in a similar position in the next 24 months.

So don't be too quick to start passing judgements on how they should or shouldn't run their business and make this all about PAFC, because this won't be unique to them.

I'll stand corrected but, for example, I heard that NMFC are back down to only 20,000 members and haven't secured major sponsors beyond this year (?). A couple of other Melbourne based clubs are in the same boat as are several NRL clubs.

Worrying times for sport in Australia ...