NZRU concerned by overspending
January 2, 2011
Southland held the Ranfurly Shield for much of 2010 but are now in a grave financial situation © Getty Images
New Zealand Rugby Union chief executive Steve Tew has revealed that Southland is not the only provincial outfit currently in financial trouble.
It emerged on Saturday that Southland has debts of over $700,000. Given that the team enjoyed a reasonably successful 2010 on the field, the scale of the union's financial problems caused has generated much surprise. However, Tew explained that a number of New Zealand's provinces are living beyond their means.
"It's not rocket science. You have to earn more than you spend or you don't survive," he is quoted as saying by the New Zealand Herald.
"At the end of last year, we made no secret that a significant number of unions are finding it very difficult to bank the income they require to sustain the business model they have put in place. Some are taking longer to adjust to the new environment, longer than they should have, but they will get there.
"There are two or three others who are on close watch by the NZRU and they will have to be very mindful of how they get through the next couple of months and how they set themselves up for the next ITM Cup."
© ESPN Sports Media Ltd.
England must find a way to improve their game by tiny margins and they will get there, writes Phil Vickery
"England remind me of a PlayStation rugby team," John Mitchell on tactics and the search for a first-choice fly-half ahead of the World Cup
Augustine Pulu will return home with little more than 20 minutes rugby in one month on tour. It is time for more midweek games writes Craig Dowd
Samoa's Sivi Tau says the team "come completely prepared", the reality is a world away. Seilala Mapusua on Samoa and building a future