If only the average kiwi knew how hated their national sport was in most other countrie!
Hopefully, it goes belly-up for them soon;
Nervous time ahead for NZRU
By TOBY ROBSON - The Dominion Post | Friday, 27 April 2007
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CRAIG SIMCOX/Dominion Post
MODEL PLAYERS: Carl Hayman, Ma'a Nonu and Nick
Evans show off the new jerseys the All Blacks will wear at the World Cup later this year.
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AdvertisementUnder increasing pressure from a soaring exchange rate and an apparent dip in the popularity of its staple competitions the New Zealand Rugby Union faces a nervous year.
Fresh from announcing a $4.8 million loss for 2006 the NZRU yesterday predicted a $4.4 million loss in 2007 with chief executive Chris Moller warning "core activities" could be affected unless the New Zealand dollar dipped before the year's end.
"That's based on exchange rates in the low 60s and low 30s in respect of the pound," Moller said after the NZRU's annual general meeting in Wellington.
"At a bit above 70 cents and 36 pence in the pound it would be in excess of $10 million."
The New Zealand dollar was trading at 74c and 37p yesterday and Moller admitted it was a "worrying trend".
The NZRU gains 67 per cent of its income from overseas and also holds US$20 million and 17 million, the latter a deposit on the hosting fee for the 2011 Rugby World Cup.
"It's certainly going to pose some challenges and we would have to take some action in respect of the business," he said. "Like any other exporter in this country we would face severe financial challenges and would have to take action."
While the NZRU was committed to maintaining all initiatives in regard to provincial unions, clubs and schools this year, that would change if the exchange rate did not, Moller said.
The bleak financial outlook comes at a time when the NZRU acknowledges it has noted falling viewer numbers for the Super 14 and Air New Zealand Cup.
Moller told the AGM that overall attendances for the Super 14 and Air New Zealand Cup were up, but average crowds and viewer numbers were down for both.
In the case of New Zealand's domestic flagship, overall audience was up 20 per cent, but there was an 11 per cent fall in the average crowd, while television viewership was 137,000, short of its target of 159,000.
There was also the spectre of a Bledisloe Cup test in Christchurch that failed to sell out (there were 2000 spare seats) because of a winter freeze. However, while he had noted some downward trends Moller was adamant there were mitigating circumstances in each case and did not accept interest was dwindling.
"The jury's out on that. The situation is that we are seeing a lot of changes in the wider broadcasting market.
"There are a number of other non-sport and non-rugby programmes suffering in terms of audience ratings.
"Some other codes are also having a down-turn in TV ratings. Furthermore, research shows the sport of rugby in this country, and the ABs in particular, remain at an all-time high, so there's conflicting evidence to whether there is too much rugby."
Moller said the revamped Air New Zealand Cup had been a huge success, invigorating rugby in the provinces, while playing numbers continued to rise nationally.
The test in Auckland last year, though sold out, kicked off at 5.30pm - outside the usual prime time spot of 7.30pm - resulting in less international exposure, while the last two games of the Tri-Nations played in South Africa had been dead rubbers.
In fact, Moller said the All Blacks brand had never been more powerful and was well positioned to drive revenue generation on the international market.
The NZRU reaped $4 million extra in domestic match revenue last year because of two tests at Eden Park and an extra home match in the Bledisloe Cup.
It also pulled in $2.4 million from last year's test against England at Twickenham, an increase on tests against Wales and the Barbarians in the two previous seasons.
But Moller said playing test matches was just one way to leverage the All Blacks brand, pointing to new sponsor Ivesco as an example of its international appeal.