FOLLOWING the announcement of a new revenue sharing deal between the Power, the Crows and AFL at the Adelaide Oval, portadelaidefc.com.au sat down with Port Adelaide chief executive Keith Thomas to answer 10 key questions...
Why did the stadium deal review take so long?
Keith Thomas: The new financial model was a complex deal that involved multiple stakeholders. The deal was important for the future of South Australian football so it was critical that we got it right. Therefore it was important that we took the necessary time and we are now confident that we have achieved a great result for all football parties in this state.
Who were the key players in the review process?
KT: Working parties from the key stakeholders were established in the early stages of the review process. These parties worked closely with AFL chief executive Gillon McLachlan who chaired the review. By the end of the process, both club chairmen and chief executives worked with Mr McLachlan and South Australian Football Commission chairman John Olsen to finalise the arrangement.
Is this new financial model a good deal for Port Adelaide?
KT: Yes. Under the original Adelaide Oval financial model, Port Adelaide had a $4.3 million uplift in 2014 compared to the previous model at AAMI Stadium.
If we maintain our 2014 attendances and corporate uptake at Adelaide Oval, we will benefit from a further $1.5 million uplift in 2015 and $2 million in 2016 and 2017.
How will attendances affect Port Adelaide's new financial model?
KT: Under this deal we are now financially incentivised to maximise our attendances at Adelaide Oval. Quite simply, the more people who attend our games the better it is for our club.
Is the deal the same for both Port Adelaide and the Crows?
KT: Yes. The deal is identical for both clubs.
When is the next review of the deal?
KT: The deal will be reviewed at the end of 2017 at which point we would have had four years of operations at Adelaide Oval and gained an even greater understanding of the stadium’s economics. We anticipate that our financial deal will improve even more after the 2017 review.
Is Port Adelaide still dependent on the SANFL?
KT: Our licence is no longer held by the SANFL and we no longer receive any financial assistance from the SANFL.
What are the key components that will impact Port Adelaide's financial return under the new model?
Quite simply there are three key components that will affect our financial return – attendances, corporate uptake at Adelaide Oval and on-field success.
We have significantly more corporate inventory to sell, greater access to world-class signage opportunities and reserved seating along with extra incentives to drive attendances and to host finals at Adelaide Oval.
What role will food and beverage takings at Adelaide Oval have on Port Adelaide's financial return?
The vast majority of the food and beverage takings will remain with the Adelaide Oval Stadium Management Authority who will continue to dictate the prices of all food and beverage sold at the stadium.
Do you have any final acknowledgements you wish to make?
The negotiations throughout this process have been robust, but always respectful. I thought Gillon McLachlan was outstanding in the way he chaired the review and acknowledged the needs of all parties.
To enable a complex deal like this to be achieved, it is important that everyone keeps an eye on the bigger picture. The big picture in this case is the future of South Australian football and I am delighted to say every party throughout this process has delivered on their responsibility to football in this state.
