All Blacks Beauden Barrett heads out to warm up for the All Blacks v England. Photo: Lynne Cameron/ActionPress
Analysis - It's fair to say it's been a pretty good start to the week for NZ Rugby (NZR). On Monday, their much-debated selection policy received its biggest endorsement in a fair while, then today a potential long, drawn out saga with INEOS was abruptly settled without anyone needing to see the inside of a courtroom.
While details are confidential, it's easy to read between the lines here and see that NZR have been paid out, big time. The original INEOS partnership deal that saw the British petrochemical giant become the second biggest brand on the All Blacks after Altrad was rumoured to be around NZD $10 million per year, so it's likely that they are handing over this season's sum at the very least.
While NZR chief executive Mark Robinson couldn't really get into much detail given the obvious legal ramification, his reaction was one of understandable relief - especially after the Silver Lake and board room dramas that dragged on for far too long over the last few years.
NZR CEO Mark Robinson. Photo: Martin Hunter/ActionPress
"We're very satisfied with the settlement outcome. I think it's great for the organisation to have certainty and will obviously have flow on effects into the wider game in New Zealand," said Robinson, referring to the now quite strong financial position NZR is in and just how critical the All Black brand is in financing everything else.
The pay out means there is now a substantial financial cushion until the NZR finds a new sponsor, a process Robinson said was encouraging so far.
"We're pleased with the level of interest across a whole range of sort of sectors and industries who have indicated a willingness to partner... Despite some challenges in some markets, those conversations are really encouraging and reinforce the strength to their brands, around the world. So, hopefully in the next few months we'll be able to communicate with some updates in that area."
So, until then we can play a guessing game as to which potentially obscure foreign company - think Iveco, Lipovitan-D, Replay etc. - we'll be seeing on the All Blacks' warm up shirts.
Finlay Christie. Photo: Lynne Cameron/ActionPress
But it's fair enough to be confident that NZR will be able to match the sort of money that the INEOS deal had. It was telling that Robinson was able to confirm that the sponsorship total for the All Blacks had more than doubled in his time as CEO, from $50 million to $120 million.
So, how do they make sure this sort of thing doesn't happen again? Probably by not getting involved with another European energy concern, by the sounds of it. INEOS have cited "the deindustrialisation of Europe" and "extreme carbon taxes" for their lower profit margins and subsequent withdrawal from sponsorships on the whole, as the failed deal with NZR is just one of a bunch of things the company and owner Sir Jim Ratcliffe are dealing with right now.
British INEOS Group chairman Jim Ratcliffe Photo: AFP
INEOS has interests in Formula 1, cycling, and running and has its own America's Cup syndicate, however, Ratcliffe's part-ownership and cost-cutting at Manchester United has been by far and away the most high-profile amount of negative press he and his company has received. It's not hard to think that they've simply accepted that paying out NZR now is the easiest way of having one less issue that's keeping them in the news for all the wrong reasons.
"We clearly enter into these arrangements in good faith. I don't think anyone could've predicted, what transpired at the end of last year, earlier this year, how that relates to where we ended up," said Robinson about what can be learned from the whole experience.
"We're always learning about how we can partner with people and the sponsorship space… that question's been asked a bit about what we'd do if we could have our time over."
However, it is ironic that NZR have walked out looking pretty clean regarding a deal they were initially criticised for given the sort of environmentally unfriendly business INEOS are in. That certainly feels like a long time ago now, so now it's just a matter of making sure Ratcliffe actually pulls his cobweb-festooned wallet out and pays up.
