Just thought I'd trawl through the news archives on the clubs website and throw up a few things for people to digest/comment on...
elliots statement following ousting at end of 2002
http://carltonfc.com.au/default.asp?pg= ... leid=66705
Quote:
The Carlton Football Club is strong. The combined loss of the Football and Social Club will be less than $180,000 – not the $500,000 loss previously expected. This is a remarkable result given the on field performance of the team in a tough football business environment.
2003
http://carltonfc.com.au/default.asp?pg= ... leid=73794 - 8.08am - debt is 13mill according to AAP
http://carltonfc.com.au/default.asp?pg= ... leid=74547- 10:37pm - debt is 8mill, just raised 400k at Heroes Gala according to Ash Browne
http://carltonfc.com.au/default.asp?pg= ... leid=99927- 500k raised from fightbackrally, memberships up 26%
2004
http://carltonfc.com.au/default.asp?pg= ... eid=134798we lost 7.5mill in 2002 (didnt see an article on it though and i imagine it wasnt a cash loss). Key figures - 2003 revenue down 600k despite membership increase, football club loss for 2003 just over 1mill, social club 1.2mill profit - overall 200k profit.
Quote:
And Collins said the Blues still needed to find a home game sponsor, ball and shorts sponsor before the start of the 2004 season – which would be worth around $1 million to the club – although he was confident this would be achieved.
Collins said the club has also formed a sub-committee – headed by board member Graham Smorgon – to investigate whether it was better financially for the club to move its home games to either the MCG or Telstra Dome or continue to maintain its current situation of playing its big home games against the likes of Collingwood, Richmond and Essendon* at the MCG and playing its smaller home games at its century old home ground.
However Carlton chief executive Michael Malouf said if the Blues did remain at Optus Oval, they would have to spend at least $300,000 annually on ground improvements to maintain the ground to AFL standard as opposed to less than the $100,000 per year they are currently spending.
therefore according to club statement if sponsors found we SHOULD have been looking at a breakeven for 2004 for footy club and perhaps another 1.2mill profit from social club? However it is the ground costs which have me interested - spending 100k/yr and need to spend 300k/yr on upkeep.
http://carltonfc.com.au/default.asp?pg= ... eid=134977Quote:
In 2002 the Club recorded the worst results both on and off the field in the long and proud history of the Carlton "Group", recording a loss of $7,558,858.
Rearranging the finances has enabled the Carlton "Group" to reduce long-term debt from $8.065m to $1.637m.# "The Boards felt it was appropriate to designate future cash flows from AFL income for the Optus Oval buyout games and the sale of Waverley proceeds to the long-term debt reductions, albeit causing some short-term cash flow difficulties," said Mr Collins.
The financial results for the two entities in 2003 were:
# Carlton Football Club recorded a loss of $1,067,259 (loss of $3,896,180 in 2002)
# Carlton Cricket & Football Social Club recorded a profit of $1,258,728 (loss of $3,662,678 in 2002)
The poor on-field results had a negative impact on revenues, which was most evident in Gate Receipts (in particular for the two "blockbuster" home games at the MCG) at Club Events and through Corporate Sponsorship and this is reflected in the Carlton Football Club results.
I'd expect a significant amount of 02 losses were writedowns, otherwise i'd struggle to see how the social club side could experience a 4.8mill turnaround given the minimal outgoings that i imagine it would have. Perhaps someone familiar with footy clubs could explain?
May04 -
http://carltonfc.com.au/default.asp?pg= ... eid=148976 - first mention of plans to move grounds
july04-
http://carltonfc.com.au/default.asp?pg= ... eid=163825 - further mention of home grounds - interestingly the cost of maintaining optus is no longer stated but is refered to as significant
Quote:
If the Optus Oval alternative is to be a viable option however, the ground will require a major financial injection to bring the facilities up to an appropriate standard to accommodate AFL football on an ongoing basis. Also, significant annual funds will be required to maintain the facilities – if games are to be played there for the next 10 years. These funds have not been provided for a number of years and the facility has accordingly deteriorated.
http://carltonfc.com.au/default.asp?pg= ... eid=163827 - mention of grant samuel and associates as doing the independant financials of the move
Aug04 -
http://carltonfc.com.au/default.asp?pg= ... eid=166768 - the reccomendation to move.
Quote:
To play home games at the MCG and the Dome for a period of 10 years will have a financial return in today's dollars of between $22 - $26 Million. For comparison purposes the financial return for Optus Oval is approximately $14 Million. The mix of games between the Dome and the MCG provides a deal that is considered the best to meet the short and long-term interests of the club. In addition, Carlton will receive a significant cash up-front payment from the AFL which will assist the unwinding of contracts in relation to Optus Oval.
To ensure Carlton has access to facilities in keeping with the standard that has been set by Essendon* and the interstate clubs, and more recently Collingwood, we are envisaging a redevelopment of the training facilities at Optus Oval in the order of $15 to $20 Million," Mr Smorgon said.
Continuing to play home games at Optus Oval for the next ten years, would require a minimum of $10 Million to bring the facilities up to an appropriate standard to accommodate AFL football on an ongoing basis. Indeed, we do not even make enough money from this ground to carry out appropriate levels of maintenance for the most basic of facilities.Mr Smorgon said "The Board also committed to consider other factors such as membership, attendances, sponsorship, free to air television coverage, car parking, availability of public transport and the overall potential for growth of the Club. An analysis of these factors clearly shows that Carlton has fallen behind the leading AFL Clubs and will continue to do so unless changes are made to enable growth."
For instance, since 1996 Carlton's membership has only grown 37% compared to Essendon*'s growth of 53% and the Collingwood growth of 98% and Optus Oval does not provide the opportunity for any prime time free to air television coverage.
also in Aug04 -
http://carltonfc.com.au/default.asp?pg= ... eid=165153Quote:
Carlton's management, administration and football department will remain at Optus Oval, with between $15 and $20 million to be spent by the club, the state government and the City of Melbourne in improving training facilities.
While the financial advantages - the Blues stand to be up to $10 million better off over the next 10 years - of moving made impressive reading, chief executive Michael Malouf was keen to stress it didn't all come down to numbers.
"This was not just purely a financial decision. We've taken into account as many non-commercial elements as you can imagine to come to this decision, including the emotional aspect of it and the passion."
The first line quoted reads to me as if the money was already agreed on. Anyone disagree with this?
Aug04 agaain -
http://carltonfc.com.au/default.asp?pg= ... eid=165650 -
Quote:
Should Carlton remain at Optus Oval, Malouf said forecasts indicate the club's financial situation will become so dire that by November 2005 it will be unable to service its debt.
The club released figures indicating it had, as of July 2004, a debt of around $3million, which is forecast to grow to in excess of $8million by November 2005 if the move wasn't made.
"That means that, in that period of time, we have about 12 months to get this business in line, to get back within our cash flow facilities otherwise there are some ramifications for this club and its members … understanding its status as a going concern."
The club would need a $10million capital injection and find $500,000 in annual maintenance costs to bring the facilities up to current AFL standard, money that just isn't available, Carlton vice-president Graham Smorgon said.
key figures are 3 million in debt, and ground costing 500k/annum to maintain AFL standard ground. I also find it difficult to believe that we would lose 5mill if we didnt move (figure could only really come from sponsorship losses? given that TPP pool wouldnt increase that much, attendances would remain stagnant, membership presumably around similar levels, bank interest would be 300k on 3mill debt)
nov04 -
http://carltonfc.com.au/default.asp?pg= ... id=179244- as an aside, do we ever charge the AFL for using the ground? if not perhaps the club should
feb05 -
http://carltonfc.com.au/default.asp?pg= ... id=187770-
[quote]Club President, Mr Ian Collins AM advised that the majority of the loss of $11.1M related to the value of the Stands being written down and depreciated.
The value of “the Group’sâ€
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who choose to have access to this money prior to it being due to help with cashflow.
