Shortfall Affects Olympics
SYDNEY, Australia (AP) _ Organizers of the Sydney Olympics could be forced to cut $50 million Australian from the budget due to a massive sponsorship shortfall.
SOCOG, which announced $100 million in spending cuts late last year, faced a shortfall of $100 million in sponsorship revenue, the Sydney Daily Telegraph reported Saturday.
The game’s organizers were reportedly seeking government permission to tap into a $50 million contingency fund created by the New South Wales State Government to avoid further cuts.
SOCOG chief Sandy Holloway said organizers would present the SOCOG board with a plan to cut spending by $50 million on Feb. 3, the Telegraph reported.
``We will sign up a few more marketing deals as well as completing the $30 million we have in the pipeline but we are very, very realistic in saying we are not going to get $100 million of what the previous marketing team thought we could get in the middle of last year,″ Holloway was quoted saying.
The budget restraints will be reviewed by the International Olympic Committee’s executive board which meets in Sydney next month.
The IOC has already indicated that it will not accept any budget cuts which would threaten the quality of the Olympics.