HSBC WARATAHS MEDIA RELEASE 28 April 2011

HSBC WARATAHS MEDIA RELEASE
Thursday 28 April 2011

Inaugural AGM of NSW Waratahs Ltd

The new organisational structure of professional Rugby in New South Wales hit another significant mark today with the first Annual General Meeting held at the IBM Centre.

In tabling the inaugural Annual Report, chairman Edwin Zemancheff said that the organisation has and will continue to undertake measures to save on costs as well as implement new and innovative business measures to increase the organisation's income.

"Falling membership in recent years is an area which required addressing and a remodelling of packages after the 2010 season has already seen figures back on the rise," said Mr Zemancheff.

"New sponsorship properties and an increased emphasis on corporate hospitality are opening up new avenues, and the expertise of the NSW Waratahs Ltd directors will be called upon to drive this change.

"There are also opportunities within our licensing program to be explored and we will continue to look at ways to keep driving strong home crowds in a congested Sydney sporting market."

With much of the first year of operation requiring a mid-season transition from the NSW Rugby Union, NSW Waratahs Ltd reported a loss of $201,939.

However Mr Zemancheff highlighted the strong support from its long-standing sponsors as evidence the organisation continues to maintain its high corporate value.

"Importantly, our existing sponsorship base is extremely strong and is led by our naming rights sponsor," said Mr Zemancheff. "HSBC has been emblazoned across the NSW Waratahs jersey since 2002 and the brands are now definitively linked.

"We are proud to have been there right from the start and look forward to being a continuing part of HSBC's association with Rugby through to 2013 and beyond.

"To Mazda, our sleeve sponsors, to IBM, who hold the naming rights to HSBC Waratahs headquarters - the IBM Centre - and to all of our other valued partners, I thank you for your continued support of the team as the Super Rugby competition enters a new era from 2011."

The new structure of professional Rugby in NSW allows the Board and staff of NSW Waratahs Ltd to use their expertise to concentrate solely on the professional game, with a view to generating increased revenue which will be invested back into the sport at all levels.

Similarly, the new structure allows the Board and staff of the NSW Rugby Union to exclusively focus on the health of the game at the grassroots level with community-based programs and competition management.

"Importantly, the new structure does not lose touch with the grassroots of the game," said Mr Zemancheff. "In fact, the structure ensures that the relationship between professional and grassroots Rugby in NSW will always be inextricably linked.

The NSWRU has granted NSW Waratahs Ltd a license to conduct operations under the ‘Waratahs' brand, meaning the intellectual property associated with the historic and iconic brand remains with the NSWRU.

NSW Waratahs Ltd will contribute an annual license fee of $1 million to NSWRU for the use of the ‘Waratahs' brand, and these funds directly enable NSWRU to administer and conduct community Rugby programs and competitions across the state.

Download the 2010 Waratahs Rugby Annual Report by clicking here.