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America's Cup- Source named in Bermuda venue leak

by Richard Gladwell, Sail-World.com on 22 Nov 2014
The sun would appear to have set on San Diego's America's Cup aspirations ACEA - Photo Gilles Martin-Raget http://photo.americascup.com/
San Diego sports journalist, Matt Calkins, has named one of the sources of comment that the 35th America's Cup will be held in the British Oversea Territory of Bermuda.

Writing in the San Diego Union Tribune, Calkins claimed that San Diego Tourism Authority CEO, Joe Terzi, had told the U-T.

Terzi is reported as saying that the America's Cup Events Authority representative he had spoken to 'did not offer much explanation for the decision to go with Bermuda, although a stronger financial bid might have been helpful, he was told.'

'The America's Cup rep said you guys worked hard, we would have liked to have seen a more aggressive bid financially but when it came down to it, Bermuda was the destination Larry needed to choose.'

Also on Thursday, authoritative Associate Press sports writer, Bernie Wilson, reported unnamed sources as also saying that the America's Cup venue would be in Bermuda. Wilson is also based in San Diego, and has broken several major America's Cup stories ahead of time.

Previously, the U-T San Diego reported that ACEA has demanded 10,000 free room nights from San Diego in the build up to the 2017 event, plus a further 7,500 room nights at half-price.

It was reported at the time, in late August that San Diego would instead offer $2million which could be used to offset accommodation expenses, by ACEA.


One of Dennis Conner's long time backers, Malin Burnham, waded into the fray after hearing the reports about Bermuda as the 2017 venue. Burnham was also Chairman of the America's Cup Organising Committee in 1992 and 1995,

'If you stack up Bermuda’s assets with San Diego, they don’t win on any direct comparison,' said Burnham, 'The question is: Why would you go to Bermuda? It has to be for financial purposes.'

'Bermuda is known as a tax haven for rich people. Is that the connotation you want for the America’s Cup?' Burnham added. 'If it goes to Bermuda, it’s going to a place for non-sailing objectives.'

The venue is expected to be announced at a media conference called for December 2 in Manhattan.

If the comments made are correct, it will be the first time that a US Defence of the Cup will be held in foreign territory.

A third newspaper report published in the Royal Gazette, did not confirm or deny the report. However the paper reported that a statement had been issued by the Cabinet Office which read: “Bermuda has been involved in a venue selection process with the America’s Cup Event Authority (ACEA) over the last seven to eight months. We understand that the ACEA will announce their decision on the AC35 host venue in New York on December 2. We look forward to that decision.”

The paper said that the the decision is expected to result in 'a huge financial windfall for the Island.

'Tourism officials would view the 35th edition of sailing’s biggest event coming to these shores as a “game changer”, with tens of thousands of visitors expected to descend on the Island.

'It is expected that the event will create thousands of jobs and inject millions of dollars into Bermuda’s struggling economy', it added.

'Hosting one of world sport’s most prestigious events will also be a huge boost to the local construction industry.

'Hotels, accommodation facilities as well as an international media centre will have to be built to provide the necessary infrastructure.'

Just 30 months remain until the 35th America's Cup is expected to be sailed. There has been no reaction to the Bermuda selection story, from any team, except for Team New Zealand who issued a media statement on Friday afternoon. A spokesman from the team told Sail-World they hadn't been 'sitting on their hands' when it became known that Bermuda was a serious option as a venue. While not going into detail he said that the team had been securing sponsor support for both venue options.

The original short list for the venue consideration included several US cities including San Francisco, Chicago, and San Diego, plus the British Overseas Territory of Bermuda. San Francisco, the home waters of the Defending Club, Golden Gate Yacht Club, was first to be eliminated, followed by Chicago, and with San Diego, the last US city/port left on the mix.

In terms of placement in TV time zones, Bermuda does well, with a 2.00pm race start in Bermuda being 7.00am in NZ, 10.00am on West Coast of USA, 6.00pm in Britain and 7.00pm in Italy (all current times and will move for applicable daylight saving in June/July, the above times are for a race starting on Nov 22 and the applicable DST's etc).

Recent Protocol changes also avoided the difficult situation where a $1million Performance Bond and Final installment of the Entry Fee were due to have been paid by December 1, 2014 and ACEA would announce the Venue a day later.

Under the changed rules only $100,000 is due on the Entry Fee on December 1, 2014, with the $900,000 balance now being due on May 1, 2015 and the Performance Bond of $1million also due on May 1, 2015.

Teams have already paid $1million entry fee. All entry fees go into the Regatta Officials Fund, to pay the costs of regatta officials, which are now covered by the competitors instead of the organisers.

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