ICC a much bigger player on monetary front

Cricket has joined a much more lucrative club as a result of its financial arrangements with the Global Cricket Corporation (GCC). The amount distributed to the members after the 2003 World Cup was US$143 million more than that distributed after the 1999 edition.

A total of US$194 million has been budgeted for paying out this year, compared to US$51 million in 1999.

Malcolm Speed, chief executive of the International Cricket Council (ICC), commented in the ICC annual report: "In past years, cricket has been criticised because it has not taken full advantage of its commercial power. This year was the first in which the full effect of the 'bundling of rights' under the Global Cricket Corporation agreement has been experienced.

"The ICC's motivation in negotiating and delivering revenue-driving deals is its commitment to the support and development of cricket around the world."

Speed said a study of the ICC's accounts showed that 89% of the organisation's expenses were monies paid directly to members.

In the overall financial performance, the ICC returned a net profit of US$10,632,000 this year compared to a loss of US$4,791,000 last year.

Revenue went up from US$9.7 million last year to US$224.7 million this year. The cash flow at year's end was US$51.2 million compared to US$47.7 million last year.

Salaries and allowances for the year increased from US$1.3 million last year to US$2.7 million this year. Significant cost increases occurred in the funding of the Anti Corruption Unit (ACU) which spent an extra US$501,000 this year, while the implementation of the umpires and referees panels cost US$344,000.

The ICC television costs went up from nothing last year to US$1.263 million this year. The cost of the annual conference and reporting more than doubled from US$64,000 last year to US$142,000 this year.

Out of the ICC's total core operational expense base of US$22 million, 26% was spent on cricket events and 27% on development. The remainder was involved in the commercial programme, the ACU, the umpires and referees' panels and the central administration costs.

Contractural disputes still dog the ICC, however, and Speed said it was regrettable that a compromise reached with Indian players before their participation in the ICC Champions Trophy tournament had to be taken further before the World Cup.

"This was achieved on the basis that the ICC will initiate legal proceedings in the form of arbitration between the ICC and the BCCI."

He also defended the ICC stance on the Zimbabwe issue and said that after considering the matter the ICC board resolved that the only factors in moving World Cup matches from their designated venues would be safety and security.

"Considerable pressure was imposed on the ICC from many quarters, including governments, to change this view and to take a moral stand against the Zimbabwe regime.

"Throughout the debate, the ICC was prepared to articulate its view and it did this consistently and forcefully. There are many people who hold contrary views to that taken by the ICC board. We respect their right to express those views and hope that they respect the ICC's right to focus on cricket issues to the exclusion of political issues."