Below is a letter posted to North Melbourne Members. It is listed in full and unedited.
To the North Member
As Addressed
Dear Member
By now you would be well aware that your Club has withdrawn from the merger with Fitzroy.
From previous correspondence you are aware that our "aim" was to increase our supporter base through sustained on-field success and embracing the Fitzroy Football Club. The key issue in this quest was an advantageous set of Player Rules - rule that would have enabled us to keep the North Melbourne list intact.
The appointment of an Administrator at Fitzroy precipitated a move by the AFL to set a merger deadline.
As Brisbane entered the scene, the Player Rules that had been agreed were under fire. It became apparent that our "aim" may not be met.
We know the whole issue has been very emotional.
Thank you for the support and trust you have placed in our Board.
We will always act in the best interests of our members and shareholders.
I know you will now join the Club and all its personnel in focussing all our attention and energies into supporting Denis and the players in the quest for a successful 1996.
Yours sincerely
GREG MILLER
Chief Executive
North Melbourne withdrew merger offers. Brisbane has merged with Fitzroy. More details in Club News.
Below is a letter posted to North Melbourne Members. It is listed in full and unedited.
Dear Member/Shareholder,
It is appropriate that we bring our Members and Shareholders up to date.
The Club has completed a study and are satisfied the new identity would have a substantial financial base to commence operation. We are further satisfied there would be no transfer of liabilities once the new entity is established.
The player rules, so vital for the Club to achieve its "aims" have been negotiated with the AFL and we believe they enable the Club to:
(a) Add a good number of Fitzroy youth to our list
(b) Give the Club flexibility in its salary cap to renegotiate longer term contracts with our star players
(c) Put the Club in a strong trading position, should we so desire, in this year's pre-draft.
The "carefully considered" letters, faxes and phone calls since our initial correspondence has been of great value. The clear majority are understanding of the Directors responsibilities for the future direction and well being for the Club. They have shown a trust in the Board to continue making the correct decision for ongoing success.
If I may summarise the correspondence and respond generally:
Why Now!
Although our current player list is strong, a number of our key players are in their mid '20's or a little older. Drafting rules allow little or no entrepreneurial skill. The Club will inevitably face the task of rebuilding the player base in what will be a difficult environment. Free Agency is only a few years away. Your Club will find it difficult to compete in a Free Agency Arena.
The cost of running a Football Club is increasing at around $750,000 per year. The Salary Cap alone is growing at $350,000 pa. In 1995 the Club's income was $7 million, the benchmark has now risen to $12 million.
Fitzroy's offer and the appropriate AFL Player Rules in an opportunity to:
a. Enjoy sustained onfielt success.
b. Broaden our supporter base.
It is the above elements that will ensure our income meets the demand of the National Competition.
Player Concern
Certainly the younger generation of our members are concerned about possible player loss, player focus for 1996 and generally what the players think.
The Club list will grow by the incorporation of Fitzroy's young band of players. No North Melbourne player is at risk. Corey McKernan perhaps more than anyone summed up their feelings by recently signing a new three year contract.
The Club has kept the players informed as events have unfolded. Like many of you they may well be uneasy with the options but understand the necessity and feel comfortable with the Club's handling of the situation.
The administration and players enjoy a unique relationship, the envy of our competitors.
There is no better man that Denis Pagan to ensure our players stay focussed in our quest for 1996 honours.
Fitzroy's Debt
Concern has been expressed at the size of Fitzroy's debt and what will be the ultimate balance of the $6 million on offer.
The end result is not a major issue. The final dollar balance will be a great kick start and enable the Club to move into the 21st century. However, at the end of the day, it will be sustained onfield success and a broader supporter base that will generate the year by year income necessary to compete in the National competition.
Naming Of The New Identity/Club Jumper
There have been so many opinions, threats and general comments on this issue.
If we are to achieve our aim of broadening our supporter base we must decide what are we prepared to give up.
Why should Fitzroy be first named? The Kangaroo should be sacrosanct, the jumper must be preserved, these are varied comments from correspondence and discussions with Members.
Possible the most emotional matter of them all.
Please consider the options. The muted Fitzroy-North Melbourne Kangaroos or perhaps North Melbourne Lions.
Both incorporate the name or emblem of each Club. We need to decide which is better for us to both retain identity, and to ensure a successful Club acceptable to supporters of North Melbourne and of Fitzroy.
We must embrace the Fitzroy faithful, yet we cannot afford to alienate our own members. A difficult task, whatever the final decision.
Amongst many questions, you need to consider the following:
Is the name Fitzroy-North Melbourne Kangaroos fair to both Clubs. Will it be abbreviated by supporters, media and commentators, where are we headed with suburban names against Club logos?
Is the Kangaroo sacrosanct to you or are you more comfortable retaining the North Melbourne Football Club with the Lions logo?
Which name in your opinion best protects your Club's history. What name reflects the thoughts of the new generation of North supporters?
What effect will a name incorporating the Lions have on the jumper style adopted?
I urge you to think through the issues carefully and appreciate the thought process your Board is taking on the issue. Your Board is, in consultation with the Fitzroy Football Club considering what name will best embrace the supporter base of both Clubs. It is true to say this is a most emotional issue and we have and will continue to consider your comments.
Once all the above matters are finalised the Board will take a step back before a final decision is made. You may will have noticed the queue of Clubs waiting for the North Melbourne Football Club to make their decision. If North Melbourne is not prepared to make the tough decision now, Fitzroy has the option of 6 or 7 other suitors.
Our Members and Shareholders will be kept informed.
Yours sincerely,
GREG MILLER
Chief Executive
P.S. The Club is working through all correspondence, bear with us, all letters will be personally answered.
Below is a letter posted to North Melbourne Members. It is listed in full and unedited.
Dear Member,
In May of 1995, your Club undertook a detailed analysis of options for the future direction of the Club. The study weighed up the costs associated with "going it alone" and staying viable in this rapidly growing National Competition, compared to the advantages/disadvantages of a merge with another AFL Club.
Overtures were made to the Club in 1995 - they were rejected by the Board as not being in our best interests. It was not until a few days prior to our West Coast game, Sunday 12 May 1996, that your Board of Directors made the decision to fully investigate an alliance with the Fitzroy Football Club.
It is vital to our ultimate decision that I present you with the facts so you may make a valued assessment.
A lot has been said through the Press but let me say from the outset; comments from Ron Casey (latest edition North News) were prior to any discussions with the Fitzroy Football Club and those initial statements by Mark Dawson were on Game Day at Subiaco Oval and not an appropriate time to advise our Members.
Your Board of Directors is responsible to its Members and Shareholders ultimately to enshrine the Club History, manage the day to day operations and plan and foresee the future.
It is for the future we must weigh up the benefits of a "possible" alliance with Fitzroy.
The Aim
To build a supporter base large enough to withstand a downturn in onfield performance. A generation of onfield success can build this base.
Onfield
The Club would not place in jeopardy its current player strength. An alliance would not be considered unless we could add to our current player list. The Fitzroy Football Club has much to offer in this regard. An increased player list would cater for a decline in our onfield strength that may occur when our topliners near retirement in the next six to eight years.
THERE IS ABSOLUTELY NO TRUTH IN THE SUGGESTIONS OF PLAYER UNREST OR CONTRACTS THAT ALLOW PLAYERS TO LEAVE THE CLUB IN THE EVENT OF A MERGER.
Denis Pagan, his Football staff and indeed the Board are very mindful of the wonderful opportunity we have for Premiership success in 1996. No stone will be left unturned to ensure our Players remain focussed. Our investigation is not something that could have been left until season end.
We must look beyond out current onfield personnel and understand that Player Rules that allowed us to recruit Wayne Carey, Wayne Schwass, Craig Sholl and John Longmire from other Clubs zones are no longer available to us. We are in the Draft without the advantages that lower Clubs and Northern States teams enjoy.
Off Field
The Club has kept its head above water through the efforts of Bob Ansett and then, in turn, our current Board Members who have made significant contributions.
The task is becoming harder each year. The Salary Cap and associated Player expenses are accelerating at a rapid rate. Despite the outstanding contribution our Members have made, the gap between the benchmarkers; West Coast, Adelaide, Collingwood and Essendon is growing. Their depth of supporter base is hard to compete with.
At the end of our investigation, if a substantial amount of the $6 million on offer is available to the new identity, The Club would:
a. Upgrade facilities at Arden St. The current facilities are not befitting a top National League Club. We ask so much of players, expecting a very high level of professionalism. We must match this with facilities consummate with their input.
b. Invest in the future. Process with and undertake new projects. Build our assets
CONTRARY TO MEDIA SPECULATION FUNDS AVAILABLE WILL NOT BE USED TO REPAY FUNDS CONTRIBUTED TO THE CLUB THROUGH THE SHARE ISSUE.
You would have noticed Fitzroy President, Dyson Hore-Lacy, comment that he would expose up to 6 AFL Clubs who have had merger discussions with them. Your Board has shown the foresight to fully investigate the opportunity on the table.
Please be reassured that your are represented by a Board with the same passion and love for our Club as your have displayed. The North Melbourne Football Club Board has taken the initiatives to keep the Club in the forefront of respected AFL Teams.
Any decisions will not be taken without all information gathered, player rules to give the Club an onfield advantage, and ultimately a valued judgement that the alliance will give us a substantial increased supporter base.
We invite your carefully considered comments.
Yours sincerely,
GREG MILLER
On behalf of the North Melbourne Football Club Board of Directors
Below is a statement that appeared in "The Age", Saturday May 18
To the Members of the North Melbourne Football Club
There has been considerable media speculation over the past days with respect to the North Melbourne Football Club.
In order to clarify the situation, the Board of Directors of the North Melbourne Football Club reiterates its responsibility to Members, Shareholders, Players and Staff and as such is investigating all opportunities that may be available to secure the long term future of the Club.
The Board will not under any circumstances, jeopardise the key assets of the Club - you, our members and our players.
When, and if, we have anything to add to the above we will advise you at our earliest.
GREG MILLER
Chief Executive
on behalf of the NMFC Board of Directors
last updated September 2, 1996