"Major Correction" needed in the SANFL - Leigh Whicker

[matt1]

I have to point something out here.... The Clubs do not just play in the SANFL, they are the SANFL. Without the Clubs, the SANFL would not exist. A chicken v egg type thing but in this context important to point out. The SANFL Clubs do have an absolute interest in the way the Crows and Port are run.

[Hondo]

Without the Clubs, the SANFL would not exist. A chicken v egg type thing but in this context important to point out.

The SANFL would still exist without the clubs - it would still own the 2 AFL licenses and run AAMI Stadium. It just wouldn't run a state-based footy comp. Will never happen, but it's possible. Without the AFL licenses I don't know if we'd even have a SANFL. Not in it's current format anyway.

The SANFL is a separate corporate entity. This is solely based on my research on the SANFL web-site if I am missing something then I'll stand corrected.

That doesn't mean the AFL clubs should dictate how the SANFL comp is run however. As you say, it's in everybody's interests that the 2 AFL clubs and the 9 SANFL clubs are profitable.

Back on topic - I read an article last week about how sporting clubs will be impacted by this global financial meltdown. It said that if clubs thought 2008 was tough (when 7 of our 9 clubs made losses) then 2009 and 2010 will be worse as sponsorships dry up. It was referring to the NRL and the AFL but if they struggle to get sponsors in a National comp what hope do our state-based clubs have? I suspect this is why Leigh Whicker is making a big deal about it. No point spinning about depreciation add-backs or investments in the future if that future never comes.

For example, General Motors in the US are close to bankruptcy (so they claim) which would remove a current major sponsor within the SANFL.

Not to be alarmist, just that 2009 and 2010 will be a real challenge for SANFL clubs and they will need to be very careful with their finances. TBH, any decent CEO will realise all this (I hope!) so maybe Leigh Whicker doesn't need to be making so much public noise about it. I guess he feels the message isn't sinking in?

[Gravel]

[quote="hondo71 I'd like to look at the SANFL financials if anybody has access to them - they aren't on the SANFL website.[/quote]

Yes - I would like to read the full report as well - but understand the retained earnings was over $10m after a $4m distribution to the SANFL clubs. Revenue from AFL catering $8m+ and this is what Port and the Crows want a larger slice of claiming the worst stadium deal in the AFL.
I am of the view the SANFL clubs should receive an additional distribution in times of need, if it is available, and it would be irresponsible to use these funds on AMI upgrades while grass roots footy suffers.