Vancouver 2010 reports strong progress on venue construction program; major milestones ahead in 2007

Jun 28, 2007

The Vancouver Organizing Committee for the 2010 Olympic and Paralympic Games (VANOC) reported significant progress on its venue construction program as part of the release of its quarterly results for the three-month period ending April 2007. In its quarterly report, VANOC provided a summary of major activity to date, and a look ahead to initiatives planned for 2007. VANOC also reconfirmed that it is on track to completing most of its venues two full competition seasons before the Games to maximize venue testing and athlete training opportunities.

With construction underway at all major competition and non-competition venues, VANOC’s latest quarterly financial report highlights the significant pace of venue construction for the 2010 Winter Games. The overall venue development budget remains unchanged, at $580 million, including contingency. As anticipated and planned, VANOC continues to allocate funds within the venue development central contingency budget. The report notes a $2.0 million contingency drawdown this quarter, leaving a current contingency of $53.3 million, which is appropriate for the remaining commitments and risks.

“It is almost four years ago that Canadians watched in anticipation as we were awarded the honour of hosting the 2010 Games,” said John Furlong, VANOC Chief Executive Officer. “We made a commitment to deliver extraordinary Games with a balanced budget through the creation of sport venues that will leave lasting legacies for all Canadians. We’re on track to achieve our goal, and look forward to celebrating exciting milestones this fall, including releasing ticket sales information, launching the 2010 mascot(s) and finalizing the 2010 event program.”

Highlights of the quarterly report include:

• a strong positive cash position 
• approval and publication of VANOC’s Business Plan and Games Budget 
• the announcement of new sponsor agreements during this quarter, bringing the total number to date to 23 
• more than half of the venue construction budget has now been expended

“With the groundbreaking in February of the Hillcrest Nat Bailey Stadium Park facility, home to curling during the 2010 Olympic Winter Games and wheelchair curling during the 2010 Paralympic Winter Games, construction is now underway at all major Vancouver 2010 competition and non-competition venues,” said Dan Doyle, executive vice president, construction. “We remain on schedule to deliver all but three competition venues for training and competition by end of 2007, resulting in the earliest completion of competition venues in recent Olympic Games history.”

VANOC also highlighted recent and upcoming major milestones, including:

• the public release of its first of five annual sustainability reports 
• initiation of programming for the Cultural Olympiad 
• release of the 2010 Winter Games ticketing strategy 
• launch of the Vancouver 2010 mascot(s) 
• selection of the Ceremonies Executive Producer 
• finalization of 2010 Event program for sport

The quarterly report, available at vancouver2010.com, includes unaudited interim financial statements for the three months ended April 30, 2007.

VANOC’s revenue (deferred operating revenue) from marketing and sponsorship, the International Olympic Committee (IOC) and other sources for the quarter ending April 30, 2007, was $75.8 million, while expenses (deferred operating expenditures) were $22.1 million. Overall, operating revenue, since VANOC was formed in 2003, totals $197.7 million, while operating expenses total $143.2 million. In accordance with Canadian generally accepted accounting principles, due to the extended business cycle of preparing for the Games, all revenues and expenses are deferred until the Games commence.

VANOC’s venue development expenditures for the quarter were $63.0 million and now total $306.0 million since venue construction began.

VANOC’s next financial report will be released in October 2007 and will include audited financial statements the year ended July 31, 2007.

VANOC is responsible for the planning, organizing, financing and staging of the XXI Olympic Winter Games and the X Paralympic Winter Games in 2010. The 2010 Olympic Winter Games will be staged in Vancouver and Whistler from February 12 to 28, 2010. Vancouver and Whistler will host the Paralympic Winter Games from March 12 to 21, 2010.

Contact

VANOC Communications
mediarelations@vancouver2010.com