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Leagues and Governing Bodies

Australian Rugby League Commission Agrees To Pay Clubs Broadcasting Advance

Cash-strapped National Rugby League clubs are set to receive a million-dollar payday by the end of this week after the Australian Rugby League Commission "last night agreed to pay the first instalment" of the A$50M ($37.3M) broadcasting advance in a "show of faith that the parties can end their dispute over perpetual license agreements," according to Brent Read of THE AUSTRALIAN. ARLC Chair John Grant confirmed the first payment of A$1.13M ($842,647) "would be passed onto the 13 clubs who signed the memorandum of understanding late last year, easing the pressure on several who had factored the windfall into their budgets for this season." It is understood the Sydney Roosters, Canterbury and Penrith "failed to sign the MOUs late last year, but they can still access the extra money by signing them in retrospect." Under the MOU, it was "agreed the extra funding" -- a total of A$3M ($2.24M) is due to the clubs -- would "only flow to the clubs once they had reached an accord over the perpetual licence agreements." That proposal "was put into jeopardy" as the National Rugby League and its clubs reached an impasse in negotiations. The money was negotiated "to help guarantee the survival of the clubs as part of the new broadcasting deal," which takes effect from '18. However, the timing of its arrival in club accounts "was put into doubt as they haggled with the NRL over the contents of the proposed license agreements" (THE AUSTRALIAN, 7/6). The SYDNEY MORNING HERALD reported ARL Commission Chair John Grant said that the Commission "did not want to see any club suffer financial stress while the discussions were continuing so the funds would be available immediately." Grant: "A new perpetual license is a very significant step forward for the NRL Clubs and the game and deserves the appropriate amount of time to be applied to its consideration. The Commission is aware that clubs have budgeted to receive funding in the current year and believe that by making the advance, any financial pressure they might come under can be removed while we work towards an agreement" (SMH, 7/5).

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