#raelenecastle

2/3rds of Rugby Australia cash would disappear

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Rugby Australia’s (RA) CEO Raelene Castle says that the franchise can weather paying out Izzy Folau’s $10m claim. Although CM is not sure that paying out $10m + costs which would wipe out almost 2/3rds of the $18mn in cash on the balance sheet is something a CEO would think is worth boasting. What she needs to focus on is the declining operating performance.

Hopefully, Chairman Clyne will get his CEO to focus on NZ Rugby (NZR) as a benchmark.

RA took in approximately A$30m in licensing and sponsorship last year. NZR raked in A$65m. More than double for a country with one-fifth the population. Think about it. The advertising base is smaller yet the sponsors must see the returns as superior to do so.

Total revenues for RA sum to around A$110m. NZR takes in A$182m in 2018.

Matchday revenue for RA reached A$20m last year. NZR collected A$28m.

Total assets for RA sum to A$69m. NZR total assets are A$183m. Total equity for RA is A$27m vs NZR at $99m.

Perhaps understanding why the Wallabies franchise saw a 20% fall in revenues in 2018 is a bigger issue. Expenses fell 15% mainly due to slashing Super Rugby team costs in half and player costs by 33%. Without that, the company would have sunk deep in the red.

RA needs to focus on growth not cut itself into oblivion. When it prioritizes its customer base rather than put precious resources into virtue signaling and diversity programs the board wouldn’t need to park 2/3rds of the cash to cover up their catastrophic lack of judgment.

Nonetheless good to know Castle sleeps easy at the thought of losing such magnitudes.

NZ Rugby vs Rugby Australia – the franchise stats

Well, well, we’ll. Who’d a thunk? NZ Rugby (NZR) is focused on the game, not appearing to be woke. Is it any wonder Australia are unlikely to win the Bledisloe Cup for many more years to come. The investment NZR pour into the All Blacks swamps Rugby Australia’s (RA) pittance into the Wallabies because sponsors and fans see the Kiwi franchise for what it is – a united team of winners with returns!

It shouldn’t surprise us when RA & NZR reveal primary objectives.

Objective 1 in the NZR 2018 Annual Report is “REMAINING ON TOP OF THE WORLD” (p.18)

Objective 1 in RA’s 2018 Annual Report is written as, “For rugby to continue to be a sport of choice in a rapidly changing society…community coaches are responsible…for creating fun, safe and inclusive environments” (p.10).

With that RA mantra, NZR is faced with a longer term dilemma. Because the fans might have to consider they might “get tired of all this winning!”

In all seriousness, NZR should seek to form a new version of the Bledisloe with a worthy adversary in Europe because the Wallabies will drift even further away from being competitive with RA focused on such utter malarkey.

Or to even it up, perhaps the All Blacks under-18s should play the Wallabies?

So why the gap? The numbers between the two are as follows.

RA took in approximately A$30m in licensing and sponsorship last year. NZR raked in A$65m. More than double for a country with one-fifth the population. Think about it. The advertising base is smaller yet the sponsors must see the returns as superior to do so.

Total revenues for RA sum to around A$110m. NZR takes in A$182m in 2018.

Match day revenue for RA reached A$20m last year. NZR collected A$28m.

Total assets for RA sum to A$69m. NZR total assets are A$183m. Total equity for RA is A$27m vs NZR at $99m.

Just looking at financial metrics alone, RA is not going to rebuild this franchise without focusing on what NZ already knows. The business has one sole focus – the pride of a nation.

Should we be surprised that Eden Park has been sold out every game since 1962 when the All Blacks play the Wallabies? That’s a franchise. Maybe RA should ask why Australian based attendance of the same series has drifted 20-35% in the last decade.

Until the Wallabies have a priority that focuses on a winning formula that is driven from the top, expect to see turnstiles become rusty.

Pathetic really. This is exactly why the RA board and leadership need a complete overhaul. Amateurs playing against professionals. Get woke. Go broke.

High Priest of Rugby Australia hits the nail on the head

If Rugby Australia (RA) Chairman Cameron Clyne had a decent product he wouldn’t need to worry about sponsors. Sponsors want brand exposure. That requires packed crowds following the Wallabies.

Some quick facts since 2014 vs 2018.

-Wallabies team costs (coach, support etc) +70% ($9.97m)

-Match day revenue -42.1% ($20.17m)

-Sponsorships -11.5% ($28.23m)

-Player contracts +3.2% ($16.79m)

– Licensing revenue -12.9% ($1.67m)

– RA has $18m in cash and equivalents as at 2019.

– RA made $5.87m net profit in 2018 on $119m of revenue but is expected to post a loss in 2019.

The SMH points to the very problems that RA has created for itself. To take the notion that “no” sponsors would want to be associated had they done nothing is absolute garbage. The Australian Christian Lobby might fill the Qantas void…

Does Clyne honestly believe that LGBT staff within RA may have sued it for not creating a safe and respectful environment had Folau not been shot? What a joke. If it is that easy to get a payout, CM would identify as such to ride that gravy train. How weak is the board to fold to this dross?

Did RA do anything when Pocock was arrested for chaining himself to an excavator for 10 hours at the Maules Creek mine? He was charged with “trespass, remaining on enclosed land without lawful excuse and hindering the working of mining equipment.” Raelene Castle wasn’t CEO at the time but Cameron Clyne, Paul McLean and Ann Sherry were and still are board members. Where is the balance in sanctions handed out? Wasn’t there a risk the climate skeptics inside RA might sue for the lack of a respectful environment?

Clyne also mentioned there was a risk of state and federal funding cuts if this wasn’t dealt with. In 2018, these grants totaled $3.5m out of total revenues of $119m. Less than 3%.

Once again if RA was run for the fans it would stand a far higher chance of not needing to fear its own shadow.

Alinta Energy sponsors Cricket Australia post the cheating scandal with the cheats still representing their country. Is cheating any better or worse than tweeting passages paraphrasing the Bible? The point is sponsors took advantage.

Here’s a suggestion. Put Folau back, sack Cheika based solely on (lack of) performance, drop Hooper, Foley and all the other publicly woke players to the bench, replace the board, CEO and chairman, call Qantas’ bluff and watch the fans flood back. A sponsor that is presented with an opportunity to back the team at its nadir will reap the benefits like Alinta.

NSW Chair pleads for a truce

Could it be that those who are fed up with political correctness have proved their pockets are way deeper than Rugby Australia (RA) ever imagined? For the Rugby NSW Chair Roger Davis to pipe up that, “the game is paying too high a price for RA to be proved right in this matter” speaks volumes. Sounds like fear that RA might lose.

The ACL suspended the Folau fund raising as it went over $2m in two days. Now he can comfortably fund an excellent team of silks to prosecute the case against RA. Plenty more ammunition behind that one imagines too. RA is outgunned unless Qantas intends to deploy shareholder capital?!?

Once again, this has moved way beyond Folau’s contractual dispute. People are fed up with the lecturing from the left. Regardless of whether one agrees with what he said or not or the GoFundMe stunt, the people have spoken with their wallets. They don’t want to have corporates tell them how or what to say or behavioral awareness officers at the games marshaling their stress outlets.

Rugby Australia’s problems started way before Folau’s tweets. The attendance and performance of the Wallabies stems from the incompetence at the top. The numbers are abysmal. The identity politics obsessed board which keeps a coach despite the worst track record in the team’s history. Australia will be lucky to make the play offs.

As David rightly said, It’s not about rights or wrongs now, it’s about pragmatics. I don’t think rugby should be defining freedom of religion rights or freedom of expression rights. I don’t think it’s our job,

Exactly. Which is why $2m was lined up to let RA know it should drop all of the gender and identity political garbage period and focus on who pays the bills – the fans.

ACL raised $660,000 for Izzy

As it stands, the Australian Christian Lobby (ACL) has helped raise $660,000 for Israel Folau in only a day since GoFundMe (GFM) pulled his $715,000 crowd funding site down.

What did people honestly expect? That they would stop Folau dead in his tracks by ganging up on GFM to back down? All These activists managed to do was to ram a hot poker into a previously sleeping giant.

It is highly doubtful that the majority of those that stumped up cash are homophobes in any way. It is way beyond that. It is much more about a protest against the constant political correctness that is thrust in our faces on a daily basis. There is a pecking order in identity politics and the majority are usually the least considered.

The people that donated want to protect freedoms – speech, religious or otherwise – and they’re sick and tired of being lectured by hypocrites. The double standards of these corporations are sickening. CSR is a buzzword but it has two distinct features – to bash companies who don’t conform to activist ideals or the creation of crony capitalism. We’ve already seen the backlash against corporates who get “woke” e.g. Gillette.

It doesn’t matter whether Folau’s crowd funding is viewed as a stunt or how inane his religious beliefs might seem to mainstream Aussies. What matters to them is they can voice dissenting opinions without recrimination. Folau’s dismissal is now but a minor issue in the crowd funding saga. The natives are restless as they’ve grown tired of apologists finding new ways to “shame” their difference in opinions.

CM is hopeful that Folau sends Rugby Australia (RA) into receivership to remove the cabal that runs it. Australian rugby is in tatters because it is not run for the fans but for identity and gender based politics, a role no one has asked it to enforce. The woeful attendance and dismal record of the Wallabies attests to this gross mismanagement. Like Cricket Australia at the time of the ball tampering scandal, RA needs a clean out. Folau will be the catalyst.

The woke never get it. Another self inflicted wound.

Go Fund Me’s double standards

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Well, well, well. How come it took so many days for GoFundMe to come to this conclusion? What ridiculous double standards the site has. It was bullied pure and simple and folded to activist pressure to appear as if it was a clerical oversight. Why not sack the gatekeepers at GoFundMe who should have flagged this up the chain but didn’t until they felt backed into a corner by apparatchiks?

So easy to fob it off using “GoFundMe’s terms of service say it can take down funds that are “for the legal defence of alleged crimes associated with hate, violence, harassment, bullying, discrimination, terrorism or intolerance of any kind relating to race, ethnicity, national origin, religious affiliation, sexual orientation, sex, gender or gender identity or serious disabilities or diseases. It was something it should have immediately caught but didn’t.

GoFundMe’s Country Manager Nicola Britton said the site doesn’t support Folau’s anti-gay views but presumably she supports funds that say hell awaits adulterers, fornicators, liars, drunks, thieves, atheists and idolators.

Regardless of whether one agrees with Folau’s religious beliefs or not, thousands of people still volunteered $750,000 to defend his rights to free speech. Will GoFundMe doxx all of those people who felt his cause was worthy enough to donate to? If he provides his bank account details for deposits, will his bank suspend his personal account?

Many people think it is outrageous that Folau doesn’t sell his properties and self-fund. Yet who are they to determine the voluntary nature of people who helped him raise $750k? They were not forced to. Do those who donated tell the faux outrage mob how to spend their money? No.

The irony is that GoFundMe is more than happy to run campaigns of $3m (GBP1.6m) to attack Folau for his supposed intolerance. Is that the sort of double standard the company operates under? CM is sure that GoFundMe will say it was an accident.

It wasn’t that long ago that GoFundMe happily allowed people to raise funds to pay for ladders assisting illegal immigrants to thwart national border protection laws. So when it comes to breaking federal US laws, then raising funds is OK under GoFundMe guidelines? One presumes that GoFundMe enforces its own arbitrary set of rules against its own pet causes.

Don’t forget that GoFundMe happily allowed $80,000 to be raised for Egg Boi who attacked Fraser Anning. Once again, regardless of Anning’s views, funds were raised for the legal defence of a teenager who committed violence, harassed, expressed hate and showed intolerance of another’s view, no matter how abhorrent the former Senator’s words might have been. Doesn’t that violate the same terms and conditions? Or is that OK because GoFundMe dislikes our politicians?

One hopes Folau moves to another fundraising site and doubles his target. GoFundMe has only shown exactly why free speech is at stake. CM doesn’t think much of his tweet but the reality is that 99.8% of people rolled their eyes and moved on. Rugby Australia (RA) also flicked the chicken switch and appears to have acted in haste and ran the risk of constructive dismissal. RA practices the very discrimination it claims it does not.

In any event, GoFundMe’s hypocrisy is there for all to see. If we want to express outrage that people didn’t fund better causes, look no further than the Refugee and Immigrant Center for Education and Legal Services (RAICES). The viral photo-shopped Time magazine picture of a little girl crying at a defiant Trump was used with great effect by RAICES to raise $20mn via Facebook crowdfunding!

Even after it was revealed that the child – stolen from her father – was never separated from the mother (who left her other 3 kids behind) and paid a smuggler to get to the border, RAICES still shamelessly uses the picture to boost its funding target to $25mn. Sanctimony at its finest.

Constructive dismissal?

CM’s view on the incompetence of Rugby Australia (RA) is well documented and reconfirmed by Alan Jones in The Australian today. It appears that Israel Folau looks more like a sacrifice to the altar of the sponsor god, Qantas.

Sponsorship money is important to sports teams but it should never get to a point where the sponsored has to make unconscionable decisions to acquiesce their paymasters. It is unethical.

CM has long held issues over Qantas’ flagrant use of shareholder capital to sponsor the CEO’s activism. It is terrible governance.

Remember the acceptance rings ahead of the same sex marriage debate that Qantas pushed so hard on us? The idea was to distribute these acceptance rings (not fully closed) to customers, clients and travellers.

CM supposed if someone were to politely decline to wear one they risked being be branded homophobic, bigoted and summarily ostracized for expressing such views. It might be that they actually support gay marriage but do not wish to express it openly. That is nothing more than a conscious choice, not categorical staunch opposition. Perhaps failure to wear the ring could cause their career takes a turn for the worse all because they don’t comply with group expression i.e. corporate slavery. The team leader who passes them over because they incorrectly assume the employee is a dissenter. That is palpable workplace bullying encouraged by a woke CEO.

What Jones points out is that the ‘wallaby court’ had already decided the outcome before a word was uttered in defence. It appears it was a ‘hearing’ conducted with the deaf.

RA CEO Raelene Castle apparently told Vanessa Hudson, chief customer officer at Qantas,

I updated her on the situation a day after the post and told her that, confidentially, Rugby AU would be working towards a process to terminate Mr Folau’s contract and that Ms Hudson can share that position with Qantas chief executive Mr Alan Joyce. Ms Hudson texted me later that day saying that she had only shared the update with Mr Joyce and he was appreciative of the transparency and he said that a speedy resolution by Rugby AU was paramount.”

This says a lot about Qantas. If it wants to exert control over RA it should acquire it and manage it as a subsidiary.

Yet where was the pushback by RA? It flaked. If it understood the dwindling fan numbers meant it wasn’t connecting to revenue, it might have thought defending Folau might have been its greatest coup and that many non virtue signaling corporates could replace Qantas’ sponsorship.

The culture of RA is self evident. It is not about rugby anymore but a platform for identity politics.No wonder fans are deserting it. CM discusses dwindling fan numbers yesterday, something Jones alluded to. Put simply, the product stinks and that rot permeates from the top. Fans aren’t stupid.

Coach Michael Cheika’s abysmal win/loss record is tolerated because he tows the line of the C-level cabal. So do some of the players who threatened to boycott the team if Folau was allowed to keep playing.What a joke! These virtue signaling players if given the choice to stand by their beliefs or keep their lucrative contracts would choose the latter every time. They sounded just like those Hollywoodcelebrities that threatened to leave America if Trump won the presidency.Hypocrites.

However it only reinforces the reality of the culture within the RA that encourages this type of numb skulled response to pander to the top. If these players wanted to think about faith in context of not selling out core beliefs they could learn muchfrom Israel Folau.

It increasingly looks like the high level breach has been committed by the board in cahoots with Qantas.

As CM mentioned yesterday, perhaps receivership is the best outcome for RA. That way the apparatchiks get cleared out and replaced by people that connect with fans who ultimately pay the keep the lights on at HQ. It isn’t that hard to fix RA’s problems but it will be impossible with a leadership team which seems to support constructive dismissal at the behest of corporates that champion activism rather than principle. Clearly Qantas is the mean “spirit of Australia”

Get woke, go broke.