RFU announces £6.3m loss

The Rugby Football Union has announced a loss of £6.3m for the past financial year which ended on June 30, 2012.

http://www.espnscrum.com/england/rugby/story/172773.html

...most of which will be made back by the AIs

anyone else read the article in The Rugby Paper about the waste at the RFU by the Old Farts Brigade?

damage_13 wrote:anyone else read the article in The Rugby Paper about the waste at the RFU by the Old Farts Brigade?

I referred to it in https://www.606v2.com/t37174-thomas-rfu-excess-must-end-now damage.

erm.... well spotted.

Anyone actually read the ESPN article? At the weakest point in the 4 year cycle, they paid off £5m of the loan for the South Stand and made over £5m investment in getting the stadium ready for 2015.

Adding to that, this year they will have 5 more home games (4 AIs that they didn't have in 2011 plus 1 more 6N). The AIs have been quoted elsewhere as being worth £8m to them, the 6N game is Italy, so probably worth a bit less than a typical game - say £1.5m.

£28k per head for the RFU Council members does seem high in aggregate. It's not that dissimilar from what part-time non-exec directors are paid elsewhere, though - the issue is how many council members there are, whether they are actually the right people to be doing the job and whether they would ever actually vote for reform. But it's relatively small compared to the RFU's overall staff spend (500 administrators probably cost them £12-15m, plus there's all the elite game stuff).

Poorfour wrote:Anyone actually read the ESPN article? At the weakest point in the 4 year cycle, they paid off £5m of the loan for the South Stand and made over £5m investment in getting the stadium ready for 2015.

Adding to that, this year they will have 5 more home games (4 AIs that they didn't have in 2011 plus 1 more 6N). The AIs have been quoted elsewhere as being worth £8m to them, the 6N game is Italy, so probably worth a bit less than a typical game - say £1.5m.

£28k per head for the RFU Council members does seem high in aggregate. It's not that dissimilar from what part-time non-exec directors are paid elsewhere, though - the issue is how many council members there are, whether they are actually the right people to be doing the job and whether they would ever actually vote for reform. But it's relatively small compared to the RFU's overall staff spend (500 administrators probably cost them £12-15m, plus there's all the elite game stuff).

I did read the RFU accounts article Poorfour.

Really the Old Farts stuff is really small beer (snigger) in comparison and is best covered elsewhere. But just to address your point on that matter, Thomas made the point that the RFU staff are employed to do the jobs that the farts used to do. So a couple of match tickets and good old boys dinner once a year should cover it.

The fact they spent more than that when Thomas was in charge on "old farts" (£2.3m vs £1.6m) rather taints his view on things.

This was a paper loss for the RFU and was as manipulated as the accounts of Amazon UK and Starbucks UK. Cashflow was positive and cash in bank improved.

Tiger,

You took the words out of my mouth, it is not a problem as long as they don't have debts like the WRU hidden within the accounts on top of the declared debts. The RFU will always fill the ground at much higher prices than the Celtic teams can charge but the RFU money is spread further based on population.