RUGBY IRFU AGM:DESPITE JUST one of the eight pieces of silverware on view at last year's IRFU annual general meeting being retained, a surplus of €1.7 million was achieved for the 2009/10 season. It is a reduction of just over €200,000 but the union had budgeted for a loss.

Honorary treasurer Tom Grace stated the surplus is due to the continued success of the Irish teams at both international and provincial level.

Ireland did, he highlighted, finish second in the Six Nations, while Leinster and Munster made the Heineken Cup semi-finals and Connacht reached the last four of the Amlin Challenge Cup.

“Revenues improved by €2.1 million overall to €59.1 million with income from international matches recording an increase of €3.5 million,” said Grace. “This is due largely to the impact of the new Six Nations broadcasting contracts, underlining the vital importance of unfettered broadcasting partnerships to the well-being of the game at all levels in Ireland.”

Both Grace and chief executive Philip Browne felt obliged to mention the live threat to future revenues, of up to €12 million, if Minister for Communications, Energy and Natural Resources Eamon Ryan’s “short sighted and ill-conceived” proposal of Heineken Cup and Six Nations matches being made available on a free-to-air basis proves successful.

“It is a very, very serious threat to our financial well-being and we are giving it the attention it deserves,” said Grace. “It is a delicate area.”

Yesterday’s meeting took place at the Aviva Stadium and not the usual venue of the old Berkeley Court hotel. Regarding the reduced number of tickets available to supporters of the national side, due to the move back to Lansdowne Road from Croke Park, which means a reduction in capacity from 82,300 to 51,000, Grace conceded it was “disappointing” before explaining how the union’s financial well-being will not be unduly hindered.

There will be a significant reduction in rent, for starters, as Croke Park cost €1.3 million per game, while tickets prices will remain in the higher Croke Park bracket.

A total of €85 million has already been generated from the sales of 10-year premium seats and corporate boxes. The international game in Ireland generates 81 per cent of the union’s income.

Commercial income rose by €900,000 due to the new kit deal with Puma and the knock-on effect of the Grand Slam success in 2009.

“The negative side saw ground advertising reduced, indicating the precarious economic environment and how it can affect the union’s finances,” added Grace.

The costs associated with the professional game, match and professional team expense, ensured an increase of €3 million, up to €35 million. These costs are expected to increase substantially in 2011 due to the World Cup in New Zealand.

The continued repayments on the new stadium means an agreement is in place to borrow a further €38 million from AIB bank, which they intend to do over the next 12 months.

“The union continue to contribute into the Aviva Stadium and the cash balances have been reduced to €1 million (from €38 million 2009/10) as part of this commitment. To date the union has invested over €70 million this year into the Aviva Stadium and this remains in line with the union’s long-term financial plan.

“I am pleased to be able to report that the union remains on track to meet its medium and long-term financial goals.”

Caleb Powell, of Lansdowne RFC, succeeded John Callaghan as president of the IRFU having been the schools’ representative on the Leinster Branch from 1980 to 2006.

Sticking to a long-standing tradition, no Connacht representative was elected to the IRFU committee as two each from Leinster, Munster and Ulster were added.

The lone piece of silverware in the cabinet?

The Millennium trophy for the defeat of England at Twickenham.