Where to for Super Rugby?

[Tex]

Suprised, I am not.

 

[Rugbynutter39]

So with VRU now owning Rebels licence one assume this only leaves Force as possible team ARU can cut.

I am struggling to see how we can support 5 teams but I also don't believe in best of interests of oz rugby to cut the Force given where at...particularly with Own the Force and TF support amongst other reasons.

Hence, I still would like to see the Force come out winners from Arbitration but what the heck we do if we left with 5 teams will take some big thought and action as financially at a very critical and perilous crossroad.

 

[TOCC]

Deja vu?

June 27, 2013
Rebels foundation shareholders to gift 100% of shares to Victorian Rugby

By SANZAR News Service and melbournerebels.com.au
The RaboDirect Rebels are pleased to announce that foundation shareholders Harold Mitchell AC, Bob Dalziel, Lyndsey Cattermole, Alan Winney, Ralph D'Silva, Gary Gray, Paul Kirk, Leon L'Huillier, David Ogilvy and Michael Bartlett have signed a term sheet dealing with the 100% transfer of their shares to the Victorian Rugby Union.
As part of the transfer of ownership, Melbourne Rebels Chairman Harold Mitchell AC will pass on his legacy to newly proposed Chairman, Mr Jonathan Ling.

The Foundation Chairman has been an integral part of establishing the Rebels within Victoria, giving Melbourne the gift of its very own Rugby Union team for future generations to celebrate.
"It's always been my plan to hand ownership of the Melbourne Rebels to the Rugby family.
All sports need to embrace their grass roots. Ownership of the Melbourne Rebels is now in the best place - the Victorian Rugby Community," said Harold Mitchell.
"I'm delighted to have played a part in establishing the Club in Melbourne."
Recently appointed Chief Executive Officer of the Melbourne Rebels, Rob Clarke paid tribute to the efforts of these shareholders, who through their generosity and commitment have changed Victorian Rugby forever.
"The pillars that have been built by the Rebels foundation shareholders to give every Victorian man, woman and child a direct pathway to represent their country in Rugby Union. The legacy of the founding shareholders will live through each Rebel or Victorian representative from our local Rugby community who have the honour of representing Australia.
"There were 28,658 reasons on Tuesday night as to why Melbourne deserved a Super Rugby team, and it was the wisdom, vision and generous support of a few that has changed the sporting landscape in Australia's sporting capital.
"The Rebels pride themselves on their Five Star Engagement programs with local businesses, charities, schools and clubs. This transition will enable the Rebels brand to now integrate even deeper into the Victorian Rugby Union community.

Victorian Rugby Union CEO, Ross Oakley OAM spoke of the enormous potential for the code in Victoria, and the impact the Rebels franchise has had on its development.
"Victoria is indebted to the foundation shareholders of the Melbourne Rebels for the enormous contribution they have made to Rugby in Victoria since the inception of the professional team in late 2009," said Oakley.
"We can now look forward to exponential growth for Rugby in Victoria in future years as a result of both the professional and community arms joining together to meet our joint Rugby development objectives.

 

[Highlander35]

ARU right now:

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[Rugbynutter39]

Deja vu?

June 27, 2013
Rebels foundation shareholders to gift 100% of shares to Victorian Rugby

By SANZAR News Service and melbournerebels.com.au
The RaboDirect Rebels are pleased to announce that foundation shareholders Harold Mitchell AC, Bob Dalziel, Lyndsey Cattermole, Alan Winney, Ralph D'Silva, Gary Gray, Paul Kirk, Leon L'Huillier, David Ogilvy and Michael Bartlett have signed a term sheet dealing with the 100% transfer of their shares to the Victorian Rugby Union.
As part of the transfer of ownership, Melbourne Rebels Chairman Harold Mitchell AC will pass on his legacy to newly proposed Chairman, Mr Jonathan Ling.

The Foundation Chairman has been an integral part of establishing the Rebels within Victoria, giving Melbourne the gift of its very own Rugby Union team for future generations to celebrate.
"It's always been my plan to hand ownership of the Melbourne Rebels to the Rugby family.
All sports need to embrace their grass roots. Ownership of the Melbourne Rebels is now in the best place - the Victorian Rugby Community," said Harold Mitchell.
"I'm delighted to have played a part in establishing the Club in Melbourne."
Recently appointed Chief Executive Officer of the Melbourne Rebels, Rob Clarke paid tribute to the efforts of these shareholders, who through their generosity and commitment have changed Victorian Rugby forever.
"The pillars that have been built by the Rebels foundation shareholders to give every Victorian man, woman and child a direct pathway to represent their country in Rugby Union. The legacy of the founding shareholders will live through each Rebel or Victorian representative from our local Rugby community who have the honour of representing Australia.
"There were 28,658 reasons on Tuesday night as to why Melbourne deserved a Super Rugby team, and it was the wisdom, vision and generous support of a few that has changed the sporting landscape in Australia's sporting capital.
"The Rebels pride themselves on their Five Star Engagement programs with local businesses, charities, schools and clubs. This transition will enable the Rebels brand to now integrate even deeper into the Victorian Rugby Union community.

Victorian Rugby Union CEO, Ross Oakley OAM spoke of the enormous potential for the code in Victoria, and the impact the Rebels franchise has had on its development.
"Victoria is indebted to the foundation shareholders of the Melbourne Rebels for the enormous contribution they have made to Rugby in Victoria since the inception of the professional team in late 2009," said Oakley.
"We can now look forward to exponential growth for Rugby in Victoria in future years as a result of both the professional and community arms joining together to meet our joint Rugby development objectives.

And what is the odds the vru end up having to offload the rebels again when debts mount...


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[TOCC]

And what is the odds the vru end up having to offload the rebels again when debts mount.


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Thats my concern as well, personally i don't see the handing over of the license from Cox to the VRU as a positive thing for Rebels in the current climate. VRU have no means to bankroll the Rebels or cover any deficits, thats why the ARU took control of the Rebels back in 2012.

It will all come down to what the new deal with the Vic Govt entails, but it will have to be a sizeable sponsorship or a new favourable deal negotiated on their rental costs of AAMI Park and the rumoured high performance rugby facility.

 

[KOB1987]

So with VRU now owning Rebels licence one assume this only leaves Force as possible team ARU can cut.

I am struggling to see how we can support 5 teams but I also don't believe in best of interests of oz rugby to cut the Force given where at.particularly with Own the Force and TF support amongst other reasons.

Hence, I still would like to see the Force come out winners from Arbitration but what the heck we do if we left with 5 teams will take some big thought and action as financially at a very critical and perilous crossroad.

I think the inference is that the Rebels (Cox and co) know that the arbitration will find in the Force's favour and therefore the ARU would have been forced to focus their attention on cutting the Rebels.

As as has been said many times before on this thread, you couldn't make this shit up!!

 

[Rugbynutter39]

Yes of course the timing makes sense - re: Implementing Plan B on hearing successful Force arbitration outcome...we shall see.

Will wait to confirm outcome of arbitration with the Force/ARU.

 

[Rugbynutter39]

What makes it interesting is Cox's decision to sell to VRU for $1 when the ARU would have paid some millions to buy the licence back.

 

[Highlander35]

What makes it interesting is Cox's decision to sell to VRU for $1 when the ARU would have paid some millions to buy the licence back.

Which makes Cox true to his word from earlier in the season: he wouldn't sell the Rebels with the intention of them being wound up.

Nice to see that so many cynicals on here were wrong about him just holding out for the payday.

 

[Rugbynutter39]

Yes TOCC I am actually least convinced about the Rebels ability to remain financially viable.

The Force with the Own the Force funding initiative which includes TF backing plus in general TF's support (which comes with his ability to galvanise other support in the business community) means little more confident of Forces own financial viability.

Whilst I was initially against cutting a team I actually realise that at this point unless some radical rethinking done I can't see 5 sides as financially sustainable.

So if we end up with 5 sides we will need some other major changes made both at individual franchise level (like Force done with Own the Force campaign) and in ability to achieve better results / performances.

 

[I like to watch]

Which makes Cox true to his word from earlier in the season: he wouldn't sell the Rebels with the intention of them being wound up.

Nice to see that so many cynicals on here were wrong about him just holding out for the payday.

I'm confused.
How does this advance the Rebels cause?

 

[swingpass]

only in the sense that the VRU wont sell the licence to the ARU under any circumstance. as to who will bankroll the team, other than the ARU's annual largesse, anyones guess, but one would assume the new owners have an entity or persons in mind, combination of state government, consortium, raffles, cake stalls, white knight or knights ? who knows
the common assumption is that the state government wouldn't come to the table if the franchise were privately owned.

 

[Highlander35]

I'm confused.
How does this advance the Rebels cause?

I don't believe that the ARU will have any more ability to strip the VRU of the license than they did Imperium.

And unlike a Private owner, I don't see the ARU being able to generate enough of a payoff to be able to convince a body who's sole purpose is to grow the game in Victoria to give up their link to the pro game.

EDIT: As Swingpass says, all other bets re: funding are off, but I think they'll find us almost harder to shift before all the rest comes to pass.

 

[cyclopath]

Can anyone answer this - if the Rebels stay, after this move, and given there is no ongoing agreement with the ARU (I'm hypothesising here) regarding a funding model, is the ARU obligated to provide any funding beyond whatever wage bill that exists for existing contracts going forward?
EDIT - was typing this as posts above were posted!

 

[Strewthcobber]

This is now the ARU's worst nightmare.

Fair old chance that they'll be forced to keep 5 teams through 2020, and there's no private owner to bankroll the most financially vulnerable team in the country.

They are already getting less money than the other teams due to the front loading of the additional Super Rugby payments.

What happens if the VRU runs a $2m loss and are insolvent. Does the ARU step in again?

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[wamberal]

Dear oh bloody dear. I hope all parties have thought this through.

 

[BLR]

What happens if the VRU runs a $2m loss and are insolvent. Does the ARU step in again?
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You'd think if the VRU get away with pulling a fast one the ARU will finally decide to be tough on the Rebels.

If the VRU go insolvent well tough luck, hand over the license like RugbyWA did to get money to survive. This time however you would think the ARU wouldn't be forming any alliance with the VRU like they did with RugbyWA.

Unless something massively changes in Victorian Rugby would it not be a case of the VRU choosing between going bankrupt and destroying the game in the state in totality or cutting the Rebels loose.

The money is still not there.

 

[wamberal]

At the end of the day if the local community will not pay for the professional team(s) it will be doomsday.

 

[Strewthcobber]

You'd think if the VRU get away with pulling a fast one the ARU will finally decide to be tough on the Rebels.

If the VRU go insolvent well tough luck, hand over the license like RugbyWA did to get money to survive. This time however you would think the ARU wouldn't be forming any alliance with the VRU like they did with RugbyWA.

Unless something massively changes in Victorian Rugby would it not be a case of the VRU choosing between going bankrupt and destroying the game in the state in totality or cutting the Rebels loose.

The money is still not there.

Still leaves the ARU footing the bill for running the team to meet their (newly renewed) obligations to put 5 teams out each week.

In fact, even the risk of this happening means they will have to cut spending each year to build up some kind of insurance for if the VRU can't put out a team (true of any of the 5 sides, but imagine what the risk is for the Rebels.)

And they can't cut spending on the pro teams if they want to remain competitive.......