http://www.independent.ie/sport/rugby/magners-league/leinster-debt-shock-2196169.html
DESPITE a bumper 2009 when they landed their first Heineken Cup ***le, Leinster Rugby are set to announce a considerable financial deficit at their Annual General Meeting this evening.
The costs accrued through player, coach and academy investment, allied to the significant financial burden of redeveloping Donnybrook Stadium (estimated at €8m) and the province's rented use of the RDS for home games, are believed to have produced a loss of several hundred thousand euro.
After the successes of 2009, such a significant financial loss will raise concern among Leinster supporters given the money available to their overseas rivals, particularly in France.
Donnybrook has proven to be a costly white elephant given the delayed planning permission and the fact that Leinster have outgrown their former home (now used for club, schools and various representative fixtures) and are paying considerable rents for the use of the 18,500 RDS ground.
The province's financial situation also emphasises the strong opposition from Leinster and the other Irish provinces to Minister Eamon Ryan's proposals to produce free-to-air Heineken Cup coverage, which would deny Irish rugby an estimated €12m annual income from Sky.
However, supporters of Ryan's proposals will point to the fact that the Irish rugby model, which was defended stoutly last week, still saw a province produce a financial loss the year they landed the Heineken Cup.
Although Leinster declined to comment on specific figures ahead of tonight's AGM, a spokesperson said their financial position is in keeping with projections and said the branch are confident this deficit will be steadily reduced over the next few seasons.
"We are in a strong financial position. The fact that we have secured our sponsors for the coming season(s) and our season-ticket sales have already surpassed the 11,000 we sold last season means we are confident of being on a comfortable financial and commercial footing in a difficult economic climate."
Although Leinster were defeated at the semi-final stage of the Heineken Cup last month, their run to this Saturday's Magners League final has produced revenue from sell-out crowds for the home semi-final against Munster and this weekend's Grand Final against Ospreys -- a combined attendance of over 38,000. The availability of the 50,000-capacity Lansdowne Road stadium for bigger games from next season would also be seen as a means of increasing revenue.
