Bangkok, Thailand, February 25, 2015 – The AVC Finance Committee Chairman Mr Essa Hamzah reviewed the AVC’s financial situation for the time period since the AVC Headquarters had been shifted to Bangkok last October.
Mr Essa Hamzah chaired the AVC FC Meeting at Dusit Princess Hotel in the Thai capital city on Wednesday, with three other Committee Members including Secretary Mr Riad Tayeh from Australia and Japanese Kazuomi Iwamitsu attending.
Said on February 25, the Kuwait National Day, Mr Hamzah from Kuwait informed the meeting that everything was run smoothly for the shift of the AVC Headquarters from Beijing, China to Bangkok. Since the earlier shift of the office from Japan to China, not much money was left in the bank account. This time, after the shift from China to Bangkok, Thailand, the cash transfer to Bangkok was over US$2 million.
“All credits goes to Mr Liu (Jun) and Madam Wang (Juxian) for their tireless dedication in hard work while the AVC Headquarters was located in Beijing,” Mr Hamzah said.
Before Mr Hamzah continued, AVC’s Secretary-General Mr Shanrit Wongprasert gave a welcome speech to the meeting attendants.
“On behalf of the AVC President Dr Saleh Bin Nasser, I would like to welcome all of you to the AVC Finance Committee Meeting here. We will give you possible best cooperation to make the meeting a significant success. For your information, since the AVC Headquarters was shifted to Bangkok, we tried our best in negotiating with the Sports Authority of Thailand (SAT) and the Olympic Committee of Thailand. The main point is that there is no international sports body in Thailand before and the AVC Headquarters then has to work under the sports law sanctioned by the SAT. Fortunately, we received a kind support from the Sports Authority of Thailand,” Mr Shanrit explained.
“The monthly expenses the AVC Headquarters has to cover include the water supply, electricity and maintenance, while the rental fee for the office is free. As for the bank accounts owned by the AVC Headquarters in Bangkok, we have two accounts. One is for US dollars account and another one is for Thai baht to use for expenditure of local maintenance. We (the AVC Headquarters in Bangkok) has no problem with the bank transfer,” he continued.
In his opening remark, Mr Hamzah mentioned two key points to the meeting. “First, we have to realize that AVC Headquarters here in Bangkok is a sports organisation and therefore, has to run under the SAT’s laws. Second, there is no risk opening two AVC’s bank accounts here in Thailand.”
After that, the AVC FC Chairman reported the meeting about the total income and expenses and the overall balance left in the bank accounts at the time being.
“Since we closed the office in Beijing and withdrew all the money left in the bank account, we found that the total sum has been markedly increased. Don’t be surprised, the added sum came from the interests we have been receiving since we opened the account 17 years ago there,” Mr Hamzah indicated.
He added that as the office in Beijing was closed, AVC had paid around US$200,000 to 10 employees who had worked in the office out there both for full time and part time employees.
Meanwhile, Mr Hamzah said that the contract between AVC and three main sponsors comprising Mikaza, Nike and IEC in Sports will soon expire and AVC have to take the matter into deep consideration before making any further decision if they should renew the contract among them. The contract renewal or the signing with the new partners will be decided only when the AVC are pleased with the reasonable quotation to be proposed by those sponsors.
“As for IEC in Sports, which is now holding the AVC’s TV rights and marketing, the contract will expire at the end of this December. However, if we decide not to renew the contract with IEC in Sports, we have to let them know nine months before reaching the contract expiration period. That means if we don’t want to renew the contract, they must be informed about this in March. In an effort of merging the TV rights and marketing campaign together, we decided to get the pick of the bunch from all proposals. I would like to say that so far, four agencies have already submitted their proposals to AVC consisting of IEC in Sports, IMG, Dentsu and one organisation from Thailand. The door is still open. It’s likely that we will consider the quotation of all proposals for the final decision on May 8.”
In his conclusion, Mr Hamzah informed the meeting that so far, the AVC still have five bank accounts – two in China (one in US dollars and another one is in RMB), two in Thailand (one is Thai baht and another one is in US dollars), and one in Kuwait (in US dollars).
“If the situation of the AVC Headquarters in Bangkok remains stable, I will close the bank account in Kuwait and transfer the money of around US$180,000 in the Kuwait account to the Thai account,” Mr Hamzah insisted.
Before closing the meeting, Mr Shanrit proposed that the competition calendar be prepared for three years in order that negotiations for marketing conditions and campaigns can make the possible entire process from the first talk to the contract signing.
“This year, the competition calendar for six indoor volleyball tournament is quite okay, with the confirmation of host countries. In contrast, the competition calendar of beach volleyball has yet been completed. Some vacancies are still possible for the organisers,” said Mr Shanrit.