Blues to receive profits from 9 hotels (Or not...)

bergs1975 · **Posted:** Thu Jun 21, 2007 12:21 pm

Some more detail from the CFC site.

http://carltonfc.com.au/Season2007/News ... wsId=45745

darknavy · **Posted:** Thu Jun 21, 2007 2:18 pm

Kudos to Graham Smorgon - He had the foresight to install Mark & Zac on the Board back in December - I remember the outcry at the time on this site that Smorgon was putting his lackeys on the board - but these guys have delivered in spades.

camel · **Posted:** Thu Jun 21, 2007 2:47 pm

And good on Mark H too.

Bugger the one hundred point thing against the Hawks, how about one hundred pints?

Mark H · **Posted:** Thu Jun 21, 2007 3:07 pm

Synbad wrote:

Mark J wrote:

Sounds like a great deal for the club,however i do have one concern.
With some board members having an "interest" in the deal,does that mean that they may expect a seat on the board indefinately,or if they loose their seat will that affect their involvement :?:

Just a thought

Yes that is a problem.
Id like to know from those people if they would continue their generous contribution to the club via the portfolio if theyre not on the board.

I know when Mathieson does it its without those strings attached.

Coming up soon!!!

Synbad, you're being a bit "glass half empty".

So that every one is clear, any contribution made toward the acquisition of the hotel portfolio by a Director or any other individual has no conditions attached related to a seat on the CFC board.

Firstly, any contribution will be made not to the CFC but to the JV entity which will hold the assets.
Secondly the contribution is a one off, payable at settlement so no further instalments are required in future years.
Thirdly, as stated earlier, the CFC will hold 50% of the shares in the JV company. That will mean that both the Club and some/a representative of the investors will sit on the board of the JV entity. Sensibly this will likely comprise 2 CFC reps including the CEO and 2 investor reps. If one or more of these investors happen to be a CFC Director today so be it. If one or more of these Directors cease to be Directors in the future then they may stay on that Board as an investor representative if the investors wish them to . However the cards fall this deal is being done in the best interests of the CFC and is not contingent on anyone staying on the football club board.

Synbad · **Posted:** Thu Jun 21, 2007 3:12 pm

Mark H wrote:

Synbad wrote:

Mark J wrote:

Sounds like a great deal for the club,however i do have one concern.
With some board members having an "interest" in the deal,does that mean that they may expect a seat on the board indefinately,or if they loose their seat will that affect their involvement :?:

Just a thought

Yes that is a problem.
Id like to know from those people if they would continue their generous contribution to the club via the portfolio if theyre not on the board.

I know when Mathieson does it its without those strings attached.

Coming up soon!!!

Synbad, you're being a bit "glass half empty".

So that every one is clear, any contribution made toward the acquisition of the hotel portfolio by a Director or any other individual has no conditions attached related to a seat on the CFC board.

Firstly, any contribution will be made not to the CFC but to the JV entity which will hold the assets.
Secondly the contribution is a one off, payable at settlement so no further instalments are required in future years.
Thirdly, as stated earlier, the CFC will hold 50% of the shares in the JV company. That will mean that both the Club and some/a representative of the investors will sit on the board of the JV entity. Sensibly this will likely comprise 2 CFC reps including the CEO and 2 investor reps. If one or more of these investors happen to be a CFC Director today so be it. If one or more of these Directors cease to be Directors in the future then they may stay on that Board as an investor representative if the investors wish them to . However the cards fall this deal is being done in the best interests of the CFC and is not contingent on anyone staying on the football club board.

Mark as i said good job.
Thanks for putting that straight...

But you can forgive me with about paranoia of having some people vesting in their own self interests and not of the footyclub???
Its not like that would be a new phenomenon.

Good to hear and thank you!

budzy · **Joined:** Mon Feb 28, 2005 11:17 am **Posts:** 8128

darknavy wrote:

Kudos to Graham Smorgon - He had the foresight to install Mark & Zac on the Board back in December

Forsight?!?! :lol:

...don't think Smorgo had much of a choice IIRC :wink:

Kouta · **Posted:** Thu Jun 21, 2007 3:17 pm

I guess this means Carlton has the money to build Smorgyland.

Mark J · **Posted:** Thu Jun 21, 2007 7:35 pm

Mark H wrote:

Synbad wrote:

Mark J wrote:

Sounds like a great deal for the club,however i do have one concern.
With some board members having an "interest" in the deal,does that mean that they may expect a seat on the board indefinately,or if they loose their seat will that affect their involvement :?:

Just a thought

Yes that is a problem.
Id like to know from those people if they would continue their generous contribution to the club via the portfolio if theyre not on the board.

I know when Mathieson does it its without those strings attached.

Coming up soon!!!

Synbad, you're being a bit "glass half empty".

So that every one is clear, any contribution made toward the acquisition of the hotel portfolio by a Director or any other individual has no conditions attached related to a seat on the CFC board.

Firstly, any contribution will be made not to the CFC but to the JV entity which will hold the assets.
Secondly the contribution is a one off, payable at settlement so no further instalments are required in future years.
Thirdly, as stated earlier, the CFC will hold 50% of the shares in the JV company. That will mean that both the Club and some/a representative of the investors will sit on the board of the JV entity. Sensibly this will likely comprise 2 CFC reps including the CEO and 2 investor reps. If one or more of these investors happen to be a CFC Director today so be it. If one or more of these Directors cease to be Directors in the future then they may stay on that Board as an investor representative if the investors wish them to . However the cards fall this deal is being done in the best interests of the CFC and is not contingent on anyone staying on the football club board.

Thanks for your reply

blueycarlton · **Posted:** Sat Jun 23, 2007 9:30 am

Mark H.
Congratulations for being a part of this JV to restore the financial side of our club to it's rightful place. Well done.

How long does this JV/CFC arrangement stay in place?
What happens when one of the JV members wants to sell his/her share?
Sorry if these questions have been raised before.

BP-Before Pratt, the way things were looking I was afraid that relocation or a merge may have been a serious option.

Mark, you and your mates are Legends.
Thank you very, very much.

Now, there is light at the end of the tunnel, it's our on-field side's turn to return to it's former status.

Stephen M · **Posted:** Sat Jun 23, 2007 4:10 pm

Mark H wrote:

TruBlueBrad wrote:

Wangers wrote:

One for the mods - can we arrange a mid-season Q&A with Stephen & Mark?

Mark,

Obviously everyone is very busy at the moment, and doing a great job. Is there any chance someone could attend a Q&A before the end of the season? Whether that be yourself, Stephen, or someone else, your time would be greatly appreciated if possible.

If not, could we prepare a list of, maybe 10, questions to ask and have someone prepare answers in their own time?

We have a few interstate games coming up, is there any progress on organising functions at MC Labor park for these?

Thank-you again for stopping by and giving us an update on the hotels and the membership total. If there is anything we can do please let us know.

I would be happy to avail myself for a Q & A session sometime over the next few weeks. I think Stephen will also be happy to participate and will confirm with him and come back to you.

Likewise, I would be happy to do a Q & A with Mark. Please send a private message to both of us to set up a time and we will answer as frankly as we are capable.

Cheers

Stephen

Stephen M · **Posted:** Sat Jun 23, 2007 4:25 pm

blueycarlton wrote:

Mark H.
Congratulations for being a part of this JV to restore the financial side of our club to it's rightful place. Well done.

How long does this JV/CFC arrangement stay in place?
What happens when one of the JV members wants to sell his/her share?
Sorry if these questions have been raised before.

BP-Before Pratt, the way things were looking I was afraid that relocation or a merge may have been a serious option.

Mark, you and your mates are Legends.
Thank you very, very much.

Now, there is light at the end of the tunnel, it's our on-field side's turn to return to it's former status.

Having just finished catching up on latest threads, it would be remiss of me not to mention that the deal that has sparked so much interest has effectively been brokered by Mark H. Mark brought to deal to the Club and deserves much kudos for doing so. Fortunately, there are a lot of people on our board who are putting in big time and the results in such a short space of time will soon be evident. For example, theClub is likely to turn a terrible financial loss position into a positive position from a profitability point of view and considering our trading result was something like ($1.3m) and that included the $1.5m from the AFL so the real result was more like a trading loss of $2.8m. You will all be significantly surprised when our results are announced later in the year.

As Mark has stated, money is being tipped back into the football department with notable recruitment of recent times and that should pay dividends over the next couple of years. Lets hope the current enthusiasm transaltes onto the field and we can give our supporters some joy over the last 10 games.

steve · **Posted:** Sat Jun 23, 2007 6:02 pm

Stephen M wrote:

Having just finished catching up on latest threads...
...Lets hope the current enthusiasm transaltes onto the field and we can give our supporters some joy over the last 10 games.

Must of missed the tanking thread then

camel · **Posted:** Sun Jun 24, 2007 1:07 am

Thanks for the updates Stephen M.

Jarusa · **Joined:** Sat Feb 26, 2005 9:00 am **Posts:** 23123

steve wrote:

Stephen M wrote:

Having just finished catching up on latest threads...
...Lets hope the current enthusiasm transaltes onto the field and we can give our supporters some joy over the last 10 games.

Must of missed the tanking thread then

Tankers are enthusiastic too! :wink:

winfieldblue · **Joined:** Sat Dec 30, 2006 7:34 am **Posts:** 991

thank you mark for having carlton in your heart .
scored nicely with forresters arms hotel the food there is great!

budzy · **Joined:** Mon Feb 28, 2005 11:17 am **Posts:** 8128

Stephen M wrote:

...the Club is likely to turn a terrible financial loss position into a positive position from a profitability point of view and considering our trading result was something like ($1.3m) and that included the $1.5m from the AFL so the real result was more like a trading loss of $2.8m.

Great to hear & well done!!

Stephen M wrote:

Lets hope the current enthusiasm transaltes onto the field and we can give our supporters some joy over the last 10 games.

Seeing more of our young blokes given decent game time & being playing to their strengths will give me much more joy than simply winning games. :wink:

JohnM · **Posted:** Fri Sep 28, 2007 11:46 pm

Now that it looks like the 'pub deal' has fallen through, it's interesting to read back over the thread and see how certain this seemed at the time.

A salient reminder that despite the best of intentions, things don't always work out as you envisage.

A pity, because I'm sure quite a few people put in a whole lot of work to try and get this up. Thanks to them for their efforts, regardless.

verbs · **Posted:** Sat Sep 29, 2007 12:06 am

JohnM wrote:

Now that it looks like the 'pub deal' has fallen through, it's interesting to read back over the thread and see how certain this seemed at the time.

A salient reminder that despite the best of intentions, things don't always work out as you envisage.

A pity, because I'm sure quite a few people put in a whole lot of work to try and get this up. Thanks to them for their efforts, regardless.

It reminds me of TBV.

anfield · **Joined:** Tue Mar 07, 2006 2:47 pm **Posts:** 580

Thanks for putting this thread back up. I tried searching but couldnt find it. Given the amount of money involved as per the press article It seems the recent troubles in the financial markets may have something to do with this. $300 million was mentioned and as borrowing costs have gone up and with Josh saying something about the repayment schedule being a problem it looks like it wasnt viable for those involved from carltons end?

It was a good idea though. No doubt there will be some chuckles from the Lexus centre that will be silenced when this sponsorship deal is announced.

TenOutOfTen · **Joined:** Fri Jul 27, 2007 4:57 pm **Posts:** 457

Ahh... another deflating revelation. It's hard to be optimistic at Carlton sometimes...

Blues to receive profits from 9 hotels (Or not...)

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