Munster Team Talk Thread - New season title pending....

They doubled the repayment in the sense that the notional amount increased from €100k to €200k, but you're not taking into account that the actual gross debt amount materially increased too (+38%).

As I've said, those other concessions were probably IRFU requirements to facilitate another refinancing or effective bailout of Munster Rugby.

My initial point, which you took exception to, remains. It is factual to say Munster have continued to be in financial difficulties as recently as the most recent financial year.

I dunno where you're getting €40m from.

The initial loan was €11.5m for the Thomond redevelopment, noted in the 2007/08 accounts.

By 2016 this amount was down to c. €9.6m, with the following schedule at that time of expected repayments:

30 April 2016 €200,000

30 April 2017 €4,200,000

30 April 2018 - 30 April 2026 (per annum) €500,000

30 April 2027 €761,778,

with the expectation it would be repaid in full by 2027.

Munster were unable to meet the €4.2m payment in April 2017, and restructured their debts with the IRFU at that time, effectively agreeing to pay €100k pa.

In 2022, they doubled that amount to €200k pa, and also undertook that 50% of multi-year tickets and box revenue etc would go towards the repayment.

However, in 2023, they also increased their indebtedness by c. €4.1m again, taking it almost back up to the original levels. This advance did not relate to the Thomond debt. It is unclear what specifically it relates to, but it's noted it's "operational".

I don't think it can be attributed to the pandemic, because none of the other provinces appear to have a similar structure, or indeed have any outstanding indebtedness to the IRFU.

Ulster Rugby also received a historic loan for the Ravenhill redevelopment and repaid it ahead of schedule.

If they had their house in order, they shouldn't have needed what is effectively another bailout here, and would have been in position to retain the multi-year ticket revenue themselves, and to utilise the proceeds from the concerts etc themselves.

The IRFU sanctioned it because they effectively had no choice - the changed payment terms are still way below market levels.

I've asked before, and I'll ask again - do you accept the point that all evidence would suggest Munster appear to still be in considerably more financial difficulty than the other provinces?

Do Munster still sell the 10 year tickets in one felled swoop? I know they did the first tranche in 2008, but can't see anything beyond that.

It would appear as though they are almost always 10-year tickets available for sale, so I don't necessarily know if there is going to be a big block bulk of income coming anytime soon from a particularly large chunk of them selling.

Nah, I'm skeptical that's what it relates to. I would think that type of expenditure would be flagged as being relatively exceptional in nature.

In an accounting context, Operational Costs / Expenses typically refers to the expenses related to the everyday running of the business. So the implication here is that Munster are not covering their costs on an annual basis in at least one year (possibly more, probably more actually given the quantum here).