President Hall Reports on the State of the Board

Following the two-day AGM of board of directors of the West Indies Cricket Board (WICB), President Rev. Wes Hall has been reporting on some of the main points coming out of their deliberations. Speaking during a press conference, Hall told reporters: "Our auditors presented draft financial statements for the year ending [30th] September 2001 that show a loss of US $7.5 million."

Hall continued to explain that the loss of 2001 "follows a loss of US $5.4 million for the year ending [30th] September 2000. The losses experienced over the last two to three years are of grave concern to me and to this board." In total, the WICB have suffered losses in excess of US $15 million over the past three years.

The main reasons for the loss in 2001 was that the Board decided despite decreased revenues -- from overseas tours and losses on investments -- to follow through with its commitment to finance the development component of the strategic plan including the expansion of the Red Stripe Bowl and Busta Cricket Series.

Key factors contributing to decreased revenues were: commitments under the ICC 10-year tour programme and the unfavourable fee structure, losses from home tournaments and the South Africa series television production costs that could not be offset by television rights, as well as the losses from the disposal of investments made in 2000 -- on the stock market.

"I took office in July 2001 and since then I have placed a high priority on setting West Indies cricket and by extension the organization, on a firm financial footing. The Board is committed to reversing this trend of losses and has approved a break-even budget for this financial year."

Hall continued by saying: "In order to finance the medium term cash-flow shortfall we have obtained a loan from First Citizens Trust and Merchant Bank based in Trinidad and Tobago. We also expect to earn substantial revenues this year from television rights for the India tour that will help us achieve a break-even position.

"To this end the Finance & Audit Committee will be amalgamated with the Executive [Committee] to allow for closer linkages between financial and operational matters. The Board will also be making greater efforts to encourage timely reporting from member associations that will allow us to get a clear picture of the finances in time to make adjustments operationally if necessary."

Meanwhile, Hall took the opportunity to announce the appointment of Barry Thomas as the new Chief Financial Officer (CFO). Thomas replaces the long-standing Richard Jodhan, also of Trinidad & Tobago, who tendered his resignation last year but was asked by the Board to stay on until a new CFO was recruited and hired.

Hall then went on to say: "A draft of the financial procedures manual has been prepared and a new Chief Financial Officer appointed. Ensuring adherence to strict financial procedures and budgetary limits will be a priority for the CFO and the entire staff of the Headquarters."