David Moffett said, “Without the support of Barclays, BT, the Millennium Commission and Cardiff City Council, this restructuring would not have been possible. We have all worked extremely hard to deal with the myriad of complexities that inevitably arise in such situations.
David Moffett went on to say, “This agreement will allow us a level of financial certainty that has not been in place since the Millennium Stadium was opened in 1999.”
The specifics of the agreement cover:
Bank debt – post-restructure, the total Group debt totals £55 million, of which £45 million is to be repaid over 35 years. The remaining £10 million of this total amount is a non-accruing debt, incurring no interest or repayment
As part of the refinancing deal with Barclays, the WRU Group has paid off its debt to BT
Naming rights – permission to seek a naming rights’ sponsor for the Millennium Stadium has been granted by the Millennium Commission on condition that the word Millennium remains in the name
Short Hall arena – The Millennium Commission has agreed a new grant to support the installation of the Arena which is planned to be completed in the early part of 2005
“The management of the WRU and Millennium Stadium understood the need for a wide-ranging restructuring,” said Simon Moore, Barclays Regional Corporate Director for Wales. “Barclays recognised the special nature of this situation and the importance of the Millennium Stadium and Welsh rugby to Wales.
“We worked together to find a solution that meets the needs of all parties, and remain supportive of David Moffett and his team.”
The Millennium Commission supports the move with chief executive Michael O’Connor saying, “The Millennium Stadium is a world class facility but it has been dogged by debts arising from its construction. I congratulate David Moffett for the work he has done to restructure the WRU Group’s finances. Hopefully the problems of the past are largely behind us.”
DAVID PICKERING – ‘OUR GREATEST SUCCESS’
David Pickering, Chairman, WRU and Millennium Stadium said: “As a player, I was fortunate enough to captain Wales and play continually for five years for my country, including successive victories over England at Cardiff.
“As manager of the National Team, I was lucky enough to experience a record 10 victories in a row, including beating South Africa for the first time in our history.
“But it is as Chairman that I have been fortunate to see our greatest success. The refinancing package agreed with Barclays Bank has been 14 months in the making and has secured the future viability of the Millennium Stadium and the Welsh Rugby Union as an entity.
“There is no doubt that the reorganisation of the WRU, the appointment of David Moffett and the direction and responsible attitude of the WRU Board have saved Welsh Rugby for future generations.
“I would personally like to thank Barclays Bank, the Millennium Commission, our partners on the Millennium Stadium Board and Peter Hain in particular, for their support, as well as the clubs in the Welsh Rugby Union who have supported our bold yet often tough leadership which was essential in securing this most stable of positions.
“Welsh Rugby gives the children and youth of Wales a pathway for future rugby education and development which is essential for the health and weath of our nation. Our national sport is the focus of our image, identity and profile around the world and I am grateful that this is now much more secure for future generations of the Welsh people.”
