'Aints lose 3.7 mill!

[Black_White]

herald sun 31/12/02;

Saints' $3.7m loss
By MARK STEVENS
31dec02

ST KILDA will not be asking for an AFL handout despite confirming a loss of $3.7 million.







The Saints, hit by a $2.2 million cash loss and $1.5 million in write-down and restructuring costs, are confident a series of internal cuts can turn their balance sheet around.
"We'd be looking to get it back to a small loss at worst next year," St Kilda chief executive Brian Waldron said last night. "That is dependent on a number of factors, but given what we've done and the way we're managing our business we can be healthy. But it is going to come at some pain."

The extent of St Kilda's plight was first revealed in the Herald Sun in October.

Waldron said there had been significant sacrifice internally at Moorabbin, with the club pruning costs.

"It's had an impact in all departments," he said.

Waldron said early last month the Saints invited the AFL corporate doctors Olaf O'Duill and John Kelly to inspect the books.

"We invited them to give us a health check on our business and they gave us the all-clear to continue down the path that we were," Waldron said.

"They certainly highlighted some issues we've taken into account and acted upon.

"There was no forced pressure because we haven't sought any AFL funding.

"We knew it (the loss) was coming and we had started taking steps to ensure we were fiscally responsible."

The Bulldogs and Kangaroos have both taken $1 million special assistance packages from the league.

Waldron said the Saints had entered into a new banking arrangement with Westpac/Bank of Melbourne early this month.

"They have shown we're a business worth becoming a partner with," he said. "The new banking facility is really positive when you consider we've had the type of loss we've had."

The official figure comes less than two weeks after Carlton announced a $7.55 million loss, a product of even more dramatic balance sheet write-downs.

That loss comes on top of a $775,000 blowout last year and a modest profit of $45,000 in 2000.

Following a similar move by the Blues regarding their Optus Oval home, most of the Saints' $1.5 m in writedowns came off the value of their grandstand at Moorabbin.

The Saints were hit hard on several fronts this year, but a drop in corporate/sponsorship support was the most painful. It fell about $1 million short of 2001, having a huge impact on the financial bottom line.

There was a $560,000 reduction in AFL funding for the forced move from Waverley to Colonial Stadium and a $400,000 decline in revenue from membership.

A poor run with injuries for the second year running also played a role in a blow-out in injury payments.

St Kilda will pay 96-97 per cent of the cap next year and enter the season with a list of 34 plus two veterans, short of the maximum of 38 plus two veterans. Going in with four less players will have a significant impact on the finances.

"We've been fairly honest with the public that we thought it was a draft that wasn't as strong as in the past," Waldron said.

"It does help us, but our underlying principle is not to let these issues be detrimental to our on-field performance."

The Saints have been buoyed by a rise in membership numbers, already at 10,000, a jump of more than 100 per cent on last season, Waldron said.

He said the club had a 450 per cent increase in merchandise revenue on this time last year.

[Lorelei]

St Kilda Kangaroos?

Jen

--
Floreat Pica
BRING BACK NED!
"This is a man's world
But it would be nothing
Without a woman or a girl"

[WhyPhilWhy?]

North FootsKildaRoy?

"I am disrespectful to scum! Can you see I am serious!"

[Dr Alf Andrews]

St.Carlton

[CQ]

at least they arent asking for handouts.

TARKO TARKO MAN!
I WANT TO BE A TARKO MAN!