Knights chief promises grilling but Gallop still has mates
Greg Prichard and AAP
February 9, 2007
NEWCASTLE chief executive Ken Conway said there would be no excuse for the NRL losing millions of dollars in a sponsorship deal because of a contract bungle, and if it did, league chief executive David Gallop would have some explaining to do to the clubs.
Conway was reacting to a column written by Phil Gould in the Herald on Wednesday, which added to speculation that the NRL would lose at least $3 million over six years in a naming rights deal with Telstra because significant internet and mobile phone rights could not be included.
The NRL sold those rights, along with the television broadcast rights, to Channel Nine and Foxtel.
"I would be really disappointed if what Phil Gould said is the truth, and I'll be certainly - I'm sure along with the other CEOs - asking questions at our next CEOs meeting [in mid-March]," Conway said.
"I would be extremely concerned if the bungle that he's [Gould's] saying has happened, has happened, because I don't think there's any excuse for the NRL to not understand their contracts and [not] to have been properly briefed on the technology when they were signing contracts.
"They have an obligation and a duty to get the best possible advice."
But while there was concern among some other club chief executives that a substantial amount of money could be lost in negotiations, there was also plenty of support for Gallop as he came under fire.
"It sounds like a really good deal to start with, at $90 million [over six years]," said Brisbane chief executive Bruno Cullen. "It's a big increase on before.
"If there was any major damage to that figure, then we would have to ask questions, but I want to give the league the chance to complete it first. If it ends up $90 million, no worries."
North Queensland chief executive Peter Parr added: "There has been a lot of speculation, and at the end of the day, I'm sure someone will ask the question about what exactly was involved, but I'll wait to see what happens first.
"I'm not overly concerned. David Gallop and his team are extremely competent people, and I'm confident they'll come up with a good deal. They've got my support."
Wests Tigers chief executive Steve Noyce said he had met with Gallop and came away believing the deal would end up being a good one.
"I believe some things have been exaggerated by some people," he said. "We might end up doubling our previous deal. I'm sure it will end up OK."
Cronulla chief executive Greg Pierce said that when negotiations were complete and Gallop explained the final deal to the clubs, if any of the chief executives were unhappy about elements of it, "they could jump up and down then".
But, Pierce added, the league should be allowed to complete the deal without the clubs interrupting.
"I'm sure whatever decisions they make will be in the best interests of the game," he said.
South Sydney chief executive Shane Richardson said the NRL's critics were "making a mountain out of a molehill".
"I believe we're talking about the loss of $2-$3 million over six years. That's not a substantial amount of money in a $90 million dollar deal," Richardson said. "We're dealing with a new area of technology here and it's complex. For people to be calling for the heads of good people to roll over this is ridiculous."
Parramatta chief executive Denis Fitzgerald said he had "no worries at all" about the negotiations, adding: "I've got full confidence in the NRL management team."
Chief executives Simon Hawkins (Canberra), Brian Canavan (Sydney Roosters), Brian Waldron (Melbourne), Grant Meyer (Manly), Gold Coast managing director Michael Searle and Penrith general manager Mick Leary all said they were comfortable with the process.
From:
http://www.smh.com.au/news/league/k...still-has-mates/2007/02/08/1170524233032.html
