Broncos Leagues Club $10 million + in debt

[fumbler]

Broncos Leagues is $10 million in debt and needs a saviour.

http://www.couriermail.com.au/subsc...tory-fnn8dlfs-1227348707489?memtype=anonymous

Will Easts takeover?

http://www.couriermail.com.au/sport...ality-agreements/story-fnp0lyn6-1227349362901

Will the Storm now break their alignment with Easts?

How does one get so far into debt?

 

[bigleague]

Has next to no impact on the Broncos Football club, completely separate entity, the Broncos leagues club would have very little crossover to make any sell off of management rights to Easts cause problems with the Storms affiliate agreement with the Tigers Qld Cup side.

As I understand it a bank loan that was due at the end of 2017 was called due because the club failed to satisfy a debt covenant, but the bank are comfortable and haven't called in the debt. They also had a heavy write down on some assets. It's not as dire as has been made out to be and could be a blessing in disguise with Easts coming in to manage for 5 yrs might get the club back on the right track again.

 

[fumbler]

So the Club uses facilities that the Leagues club has but they are a seperate entity? If the Leagues club went belly up, where would the Broncos train and have their management and support groups go?

$10 million + in debt isn't dire

 

[bigleague]

So the Club uses facilities that the Leagues club has but they are a seperate entity? If the Leagues club went belly up, where would the Broncos train and have their management and support groups go?

$10 million + in debt isn't dire

just because they may have a lease agreement doesn't change the fact they are two completely separate legal entities with distinct ownership. The football club would be fine & could even purchase the leagues club if they had to, but construction is about to begin on the football clubs new high performance centre which will house the entire football clubs organization anyway. If it were dire the leagues club would be selling the building, not the management rights.