The Australian Rugby Union is in the final stages of sealing a new broadcast rights deal which will help tackle the financial problems the sport has been suffering, according to chief executive Bill Pulver.
The Australian Financial Review newspaper said the ARU and its Super Rugby counterparts in New Zealand and South Africa are closing in on a new deal that should double the amount Australia receives from broadcasters to between A$35m (€24.1m/$27.4m) and A$40m annually for a five-year term from 2016 to 2020.
The Financial Review said pay-television broadcaster Fox Sports is set to retain all live rights to Australian national team games and matches from the Super Rugby club competition. Commercial broadcaster Ten will simulcast Australia’s games and show one Super Rugby game on replay each weekend.
Pulver said he had been “pretty damn nervous, with good reason” a year ago in the face of budgetary issues in the sport, but added his fears have largely been allayed by the impending broadcast deal and a cost-cutting program that has found A$10m in savings out of the ARU.
Pulver said: “Australian rugby will be in a much better shape from 2016 through to 2020. We've been through a broadcast negotiation that has typically been very tense … and we've resolved the negotiations around who gets what share and that's been a very co-operative negotiation. I think it's been a very fair outcome for all unions. The final stage is to finalise the agreements, which I'm hopeful will be done within 60 days.”
However, Pulver said the ARU and the five Australian Super Rugby franchises face a difficult 2015. He admitted the game has been close to insolvency, with the governing body poised for a A$5m to A$10m loss from revenue of A$75m, after losing a similar amount from A$100m of income last year.
He added: “Look, 12 to 18 months ago, that (insolvency) was a very real possibility. I'm pleased to say all of the initiatives we have implemented over the past 18 months mean I am now very comfortable we are going to get through 2015. So that's a really good outcome in the face of a very challenging environment.”