Stuart McLauchlan
The Highlanders chairman Stuart McLauchlan is confident
he will keep his job despite the looming changes to the
franchise's board.
McLauchlan was defiant yesterday when asked to comment on his
own future and the performance of a board that has
essentially been taken over by the New Zealand Rugby Union.
The NZRU has prepared a rescue package for the financially
troubled Highlanders, agreeing to underwrite the franchise
for the next two years.
It has also shaken up the structure of the board, creating a
spot for a Dunedin City Council director and reducing the
number of provincial directors from four to three, but
McLauchlan said that did not mean his board had failed.
"No, I don't believe we have. I think we've been very
responsible," McLauchlan told the Otago Daily Times from New
York.
"We've kept the NZRU informed and we've been transparent
about what we've been doing."
Asked if he expected to remain as chairman once the
transitional board was in place, McLauchlan replied: "Yes, I
do."
The NZRU has given itself the option to appoint a new
Highlanders chairman, and McLauchlan said the national body
deserved that right because of the support it was giving the
franchise.
He believed other New Zealand franchises had lost money but
the Highlanders had been particularly affected because of
their small catchment area and plummeting crowds.
"We've been struggling over the last two or three years,
mainly because we're the smallest franchise. Crowds have
fallen off, and that's the main driver of income. We wanted
to secure the future of the Highlanders through to the
construction of the new stadium. I believe we've done that
with this arrangement.
"This is a realisation by the NZRU that it needs five strong
franchises. The reality is we're the smallest. Others are
having issues, I'm sure. But we were hit 2 to 3 years ago."
The Highlanders board was already looking for two new
members, with Carisbrook Stadium Trust head Malcolm Farry
stepping down as an independent and Steve Thompson
relinquishing his Highlanders and Otago positions.
Incumbent independents can choose to complete their terms, as
can any provincial directors voted back on to the board.
The new board will be asked by the NZRU to adopt a "recovery
plan" and look at the management of the franchise.
That raises the possibility of the Otago Rugby Football
Union, which handles the day-to-day affairs of the
Highlanders, being squeezed out, though McLauchlan declined
to blame the struggling union for the professional
franchise's woes.
"I suppose rugby in general is to blame. It doesn't matter
whether it's Otago or Southland or Auckland. Everybody has
experienced a substantial downturn in attendances.
"We're a smaller city, so we felt it first. We predicted
others would eventually feel it and they have."
McLauchlan is adamant the Highlanders are going nowhere and
maintains the NZRU is ignoring the occasional call for the
franchise to be relocated.
"There are obviously some sections of the rugby community who
would like the Highlanders to be moved somewhere else. But
that would just be shifting the same problem," he said.
More than anything, the Highlanders need success on the field
to bring back the fans and keep the wolves from the door.
They have had some assistance through the draft but NZRU
chief executive Steve Tew said there were not many other
options available.
"We did all we could last year in the confines of our own
policies," Tew said.
"But we've got to balance it with the fact there are four
other franchises equally keen to have a competitive side and
the talent is already spread thinly."
Tew said the Highlanders were the only franchise getting
special assistance because they were a special case.
He denied the NZRU's moves were necessary because of the
failure of the Highlanders board.
"It's an indication that they're in a very difficult
situation. We don't want to criticise what they've done
because the Highlanders have actually shown some innovation
and put in a lot of energy.
"But at the end of the day, the revenue that drives the
franchise cannot sustain a professional rugby team."
Highlanders board
New structure:
- Three NZRU-appointed directors
- Three provincial union-appointed directors
- One DCC-appointed director- NZRU has right to appoint
chairman- Transitional board for two years
- NZRU to underwrite Highlanders for two years
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