Sydney-Hobart race in doubt

Underwriting support from the NSW Government sought to ensure that the race can go ahead

With a sponsor not yet in place the CYCA has confirmed that it sought some underwriting support from the NSW Government to ensure that the 57th Sydney to Hobart Yacht Race could go ahead.
"We are a non-profit sporting Club charged with running one of the World’s most significant yachting challenges," CYCA Vice Commodore Martin James said today. "It is for us an expensive event to run, particularly with increasing safety costs and a difficult insurance market", he said.

"The race has for some years relied on sponsorship revenue. We must commit substantial resources now to run a safe race, but our efforts to secure a sponsor have not yet reached a satisfactory conclusion. It is the most difficult market to raise sponsorship revenue for many years, with the tragic events of 11 September and the Federal election just adding to the difficulty."

"Whilst we expect our efforts to be successful, it would be irresponsible for the Club and its officers to proceed, without some assurance as to its overall financial position," he added.

Referring to the Club’s request for fallback underwriting support, Vice Commodore James said: "In circumstances where the Government was prepared to risk many times that amount to secure the Volvo Ocean Race coming to New South Wales, we are most surprised that the Premier and the Treasurer cannot see the benefit to New South Wales of this annual classic which began in 1945."

"Whilst we appreciate the contribution that Waterways Authority has made to this year’s race and the participation of the Volvo 60s in it, the NSW Government need to recognise the importance of the event to NSW, indeed Australia, and itself must do more," Vice Commodore James added.

The CYCA confirmed that the Tasmanian Government had offered some support, and that the Club will be speaking further with that Government to see what more may be able to be done to defray race costs.

The Sydney Hobart Race has attracted a strong fleet of ocean racing yachts from around the world and most Australian states, with more than 80 boats nominated by Friday evening’s deadline for applications to enter the 2001 blue water classic.

CYCA has received nominations from yachts representing Sweden, New Zealand, Poland and the USA as well as the eight Volvo Ocean 60s representing Australia, Sweden, Norway, Germany, Italy and the Bahamas. This is one of the biggest international contingents in the history of the 630 nautical mile race down the Australian East Coast and across Bass Strait to the island State of Tasmania.