Even the sports affected by the credit crunch

It is alarming to note that even the world of sport is not immune to the consequences of the credit crisis. Recent media reports have presented a series of disturbing events in the world of international sport including local that augurs nothing good, a direct result of the credit crunch, with more revelations and insurance that disturbs to follow.

Directors is released

News of the recent "let go" of Bristol Rugby administrator, Corin Palmer, should administrators around the country very nervous. Director-General of the club citing "very difficult economic conditions", said Steve Gorvett, in January of this year the club was forced to fire Palmer to cut costs. This follows a promotion a few months earlier, so it is clear the action was not based, but rather economically motivated.

Sponsorships below

Many local, national and even international teams are based in sponsorships to increase their income and expenses. However, recent reports that even the name of big teams like Manchester United, are losing sponsorships with the news that one of its sponsors, AIG option not to renew its sponsorship contract, constitute a concern for the smaller, less high-profile teams. In $ 100 million of costs, which is not surprising that tied cash company has opted to seek opportunities of advertising elsewhere - is as big ticket as advertising comes these days! Sponsors of other sports, including high-profile money contenders such as formula one have also been dropping out at an alarming rate.

United Kingdom Olympic headaches

It seems that the joy after the announcement that London is to hold the 2012 Summer Olympics has been dampened too. Several million more than planned originally and he sees trend will continue, with very little interest in the various projects, as investors sit tight, has undermined the construction of the Olympic village and other necessary services. Developers or sponsors have been presented for any of the Olympic preparations and the Organizing Committee seems to already be giving it to spend more than its budget of several million pounds. One has to ask, with consequences both of the global economic crisis, whether that money would not be better spent to alleviate some of the tensions of the citizens or companies.

Global impact

With other events, such as the World Cup 2010, to insert into other countries in the world, one has to wonder if fans can afford the trip to see their sporting heroes in action in a foreign territory. If it isn't, could mean huge financial losses for countries such as South Africa, which have been praising the event as a phenomenal tourism boost. With the future of the commercial sports and even international teams and events in danger, seems here again is another area where we will have to wait and see what happens.

One sure thing, if the credit crunch continues for much longer without relief, players and sports people to earn fantastic salaries so far could be for a nasty surprise. Was I knew with security of employment at that level also at risk?