Assessment of financial situation as at 30 June 2001 reaffirms Extraordinary FIFA Congress ratification – FIFA President Joseph S. Blatter: ‘Solidarity is more than ever the order of the day’

No further losses are likely to result from ISL’s bankruptcy other than the CHF 51 million already announced. This is the conclusion drawn in a report made at the behest of FIFA President Joseph S. Blatter to assess FIFA’s financial situation as at 30 June 2001.

The FIFA President enclosed a copy of the report carried out by independent auditors KPMG with the circular addressed to all of the member national associations. One of the conclusions was: ‘FIFA’s financial situation did not change substantially between 31 December 2000 and 30 June 2001.

On the contrary, the precautions taken on 31 December 2000 have proved to be appropriate and right. On 30 June 2001, it was established that the chances of returning unsatisfactory results were considerably less than they had been on 31 December 2000.’

This assessment, which the President promised the Extraordinary FIFA Congress in Buenos Aires on 7 July, thus reaffirms the correctness of the figures produced at that time.

In addition, the FIFA President reported on the developments regarding the cancellation insurance for the FIFA World Cup Korea/Japan 2002(tm) by stating: ‘I am pleased to tell you that FIFA has already restored the protection needed for the FIFA family. A new contract, which cannot be annulled, has been concluded with one of the strongest and best rated insurance companies (National Indemnity) in the world.’

In his letter, the FIFA President also confirmed receipt of the October instalment of revenue from television rights and ended thus: ‘I can assure you that as from 30 June 2001 – and this is still true today – we can look to the future with renewed confidence and strength.’

Trust and support, he added, formed the very foundation of success and stability that were so urgently needed in these turbulent times. Consequently, he concluded, ‘solidarity is more than ever the order of the day.’

For further information please contact:

Fifa
Communications Dept.
Andreas Herren
Tel: +41 1 254 9725
Fax: +41 1 384 9696