9 Sep 2009

Rugby world cup organisers deny budget blowout two years out from kick off

6:57 am on 9 September 2009

Organisers of the 2011 Rugby World Cup in New Zealand may face a larger than expected loss on the tournament but deny there'll be a budget blowout.

The host union's only allowed to keep ticket revenue with the International Rugby Board retaining all commercially generated income as well as a $150 million hosting fee.

The 2011 tournament, which kicks off two years today, was initially projected to suffer a $30 million operating loss, which the Government has agreed to underwrite,

But the global recession and uncertainty surrounding ticket revenue has led to speculation that could increase to $40 million, but the CEO of Rugby New Zealand 2011 Martin Snedden rejects that.

Snedden says ticket prices will be similar to those in France in 2007 with the average cost ranging from $350 for the quarter-finals to $800 for the final.