CAPE TOWN STADIUM: SUSTAINABILITY

1. CAPE TOWN STADIUM: SUSTAINABILITY

2. FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

3. CONTENTS • Management of the Stadium • Operator responsibilities • Financial • Challenges • Support required from National Government FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

4. MANAGEMENT OF THE STADIUM • CoCT appointed SAIL Stadefrance Operating Company to manage Stadium • Management Agreement concluded from 06 0ctober 2009 to 31 October 2010 • Long term lease agreement for 30 year period scheduled to commence on 1 November 2010 FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

5. OPERATOR RESPONSIBILITIES • Provide a business plan and event strategy • Planning training and resourcing of employees • Setting up and testing operational systems and procedures • Engagement with Stakeholders re CT Stadium matters • Maintenance and repairs to all stadium fixtures, fittings and equipment • Adequate supply of maintenance consumables • Pitch Management • Cleaning and Waste Management of Stadium • Procurement of Sponsorships • Communication and Media Releases in conjunction with CoCT • City and Stadium Operator actively secure events • Maximisation of Stadium usage • Business Plan and Event strategy FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

6. FINANCIAL • Current estimated annual Operational and Maintenance costs • Maintenance Cost R18,000,000 • Operational Cost (Staff and Admin) R10,000,000 • Facility Management Cost (Security, utilities, cleansing) R11,000,000 • Informal Traders R 2,500,000 • Green Point Park R 5,000,000 • Total R46,500,000 • Above costs excludes provision of a “sinking fund” for the replacement of major capital elements (eg façade, roof, generators, etc) FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

7. FINANCIAL • Core Activities: • Bowl events (Stadium) • Suite sales • Advertising rights • Pouring rights • Non core Activities: • Conferences • Concessions • Peripheral opportunities FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

8. CHALLENGES • Unprecedented electricity tariff increases • Revised Transport Management Plan • Restrictive ROD and zoning conditions • Safety and security requirements • Securing of an anchor tenant • Securing of major events FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

9. Sustainability • 13-20 events per year • Rentals through suites, concessions, supplier and partners rights • Operator developed two self owned events • Property development opportunities ie Sport , medical and fitness facilities • Further develop as visitor destination • Develop conference facility • Partnerships with business ie V&A Waterfront

10. SUPPORT REQUIRED FROM NATIONAL GOVERNMENT • Operating cost subsidy • Establishment of sinking fund for replacement of major capital elements • Utilisation of National Stadia for National sporting events (including soccer and rugby) • Equitable allocation of National sporting events to National Stadia across the country • Practical and uniform safety and security requirements FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010

11. K YOU DANKIE ENKOSI FOR HOST CITY CAPE TOWN FIFA WORLD CUP SOUTH AFRICA 2010