Formation of The National Rugby League
With twenty-two teams playing in two competitions in 1997 crowd attendances and corporate sponsorships were spread very thinly, and many teams found themselves in financial difficulty by the end of the season. Despite having the financial backing of Optus, the Australian Rugby League decided that it was not in the best interests of the game to run two competitions and undertook moves to approach News Limited and invite the traditional clubs back into the main competition. As a consequence of the negotiations that followed, on 23 September 1997 the ARL announced that it was forming a new competition in partnership with News Limited. The National Rugby League was formed from the ARL and Super League competitions.
It was announced that the 1998 season would have 20 teams competing, 19 of the ARL and Super League teams and the Melbourne Storm, who were owned by News Limited. Clubs on both sides of the war were shut down. News decided to close the Hunter Mariners and the financially ruined Western Reds, who were $10million in debt at the end of 1997, while the ARL decided to close down the South Queensland Crushers, who were also in financial trouble. Additionally, at the end of the following season News Limited would decide to close down the Adelaide Rams and the ARL would close down the Gold Coast Chargers, even though they were one of the few clubs to make a profit during the Super League war.
Read more about this topic: 1997 ARL Season
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