Re: Adelaide Crows Salary cap rorts
Posted: Wed Nov 21, 2012 9:33 am
Here's my link and proof of the massive losses year after year for the Melbourne Storm. How about you show a link where the Storm have ever made a profit? No spin please.ParraEelsNRL wrote:So Bea, going to actually put in the link that the Storm itself loses $6 million a year or do I have to put in my link again that shows they can and do make a profit and the reason $6 million is given is to look after all the VRL competition?
Step up you old poof, either post the truth or be shown up in front of you're little vFL lovers here, you are nothing but a really hopeless piss poor troll, a good troll knows what they are talking about and they will make sure they can't be shown up.
That's not you though, is it.
At the end of last year, the Storm's accounts show that it had made a $1.65 million ''profit''.
That money is believed to be a chimera - league insiders estimate that the club ran at a deficit of up to $6 million.
The Storm's lack of money is covered up by the fact that a wholly owned News subsidiary, Valimanda Pty Ltd, owns the licence from the NRL to run a club in Victoria. In legal terms, Melbourne Storm Rugby League Club then runs the team and charges Valimanda ''management fees'' to cover its costs.
In reality, Valimanda pays varying amounts to the club - $12.93 million last year and $13.62 million in 2008 - to offset the difference between how much the Storm can rake in from memberships, ticket sales, corporate sponsorships and events, and the $17 million a year it has to shell out to pay players, management and marketers.
Included in the money that News pays to the Storm is the annual ''grant'' paid to each of the NRL's 16 clubs, which last year was $3.45 million.
While the Storm's auditors, Ernst & Young, have not commented about the club's financial fragility over the years, the directors note in the accounts that the club is dependent on the drip-feed of money from News.
The Melbourne Storm website says the club has less than 8500 members (it was aiming for 10,000 this year), and that last financial year, memberships generated only $1.13 million - although that was about $260,000 better than 2008.
http://www.kickoff.net.au/Fragile-club- ... s-Ltd.html