Nordic skiing: financial investigation planned
A huge popular success, the Nordic World Ski Championships in Trondheim (Norway) were a grandiose spectacle both on the piste and in the stands, with supporters turning out in large numbers. What was a popular success may not be a financial success, with revenues exceeding profits, according to the Norwegian newspaper VG.
In fact, before the Worlds, the organisers estimated that the event would generate a profit of 20 million Norwegian kroner (around €1.7 million) if the 200,000-ticket mark was reached, a target that has been met. But behind the scenes, the deficit is around one million kroner (around 90,000 euros) and growing.
This gloomy picture emerges from the minutes of a meeting held on 12 May, which attest to the arrival of unexpected bills for the International Ski and Snowboard Federation (FIS).
“It was noted that the financial position of the World Championship Company has changed considerably from what was reported at previous board members’ meetings, where the forecasts from the last owners’ meeting before the championship showed a solid profit,” the minutes of the meeting read.
The company organising the World Championships, Trondheim 2025 AS, is 60% owned by the Norwegian Ski Association, 30% by the Sør-Trøndelag ski circuit and 10% by the municipality of Trondheim.
Aage Skinstad, CEO of Trondheim 2025 AS, and Aasne Havnelid, Chairwoman, said in a joint statement to VG: “We have a board meeting on 28 May and are working to get a better overview by then. We have no further information in the meantime.”
For its part, the Norwegian Ski Association has asked to be updated on debt collection and balance sheet work in order to obtain a complete overview of the World Championships accounts, so that it can initiate “additional and separate measures”. In addition, the Federation has put in place a substantial financial loan of approximately NOK 8 million (around €700,000) which has not yet been repaid.
“As the main owner of Trondheim AS, we stressed that it was important to get as detailed an overview of the situation as quickly as possible, no later than the company’s next owners’ meeting on June 3,” Espen Graff, head of communications at the Norwegian Ski Association, told VG.
As for the municipality of Trondheim, its control committee is now closely examining the finances of the Worlds.
“When, almost three months after the event, there is still no accounting data and, at the same time, there are cases of debt recovery and unexpected invoices for large sums, it is necessary to ask questions about financial management. I am concerned about the way the situation has been managed”, said Gjermund Bungum Gorset, Chairman of the Audit Committee of Trondheim Municipality.
The control commission has called the municipality’s representatives to the board of directors of the organising company for a meeting on 5 June.
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