Roos' cash crisis prompts AFL talks
Caroline Wilson | June 21, 2009
A ONE-MILLION-DOLLAR funding shortfall of North Melbourne's Arden Street redevelopment prompted top-level talks at AFL headquarters two days ago.
Kangaroos' chief executive Eugene Arocca confirmed last night that his club had sounded out the AFL as to whether it could bring forward $1.2 million in payments from 2010 should it reach a cash-flow crisis by October 30 this year.
Arocca said the club was also investigating taking out a $1 million bank loan in order to stem a potential cash-flow problem, a loan which would escalate the North Melbourne debt back above $4 million.
Although concern has been mounting in AFL circles regarding the Kangaroos' financial situation, Arocca insisted the Friday meeting — which included league chiefs Andrew Demetriou, Gillon McLachlan and Ian Anderson — broke up amicably.
"We walked away with them having a better understanding of our financial situation," said Arocca, "and there was some information they weren't aware of which they were pleased about. If they were concerned, they shouldn't be concerned now."
The AFL's concern also surrounded North Melbourne's 2009 financial result. Despite shocking stadium returns from home games, the Kangaroos expect to reap a total of $150,000 from their home fixtures this season. The club claims it remains on track to make a small profit or break even.
Despite this, it has been suggested in recent days the club would be prepared to spend $800,000 in a bid to snare coach-in-waiting Nathan Buckley, although North has refuted those reports.
The AFL's figures have North losing at least $500,000.
Full story here:
http://www.realfooty.com.au/news/rfnews/roos-cash-crisis-prompts-talks/2009/06/20/1244918237084.html
