Challenger faces expulsion if sponsorship clash continues

By Suzanne McFadden

The challengers from the New York Yacht Club, the original home of the Auld Mug, have been warned to shape up or ship out of the America's Cup.

Young America have 23 days to sort out a television sponsorship wrangle that could jeopardise coverage of cup racing, starting in Auckland in eight months' time.

If they do not acquiesce, they could be expelled from the regatta.

The row blew up over Young America's sponsorship deal with American media giant Fox. They wanted the company's logo emblazoned on their spinnaker and hull.

But Fox, owned by media magnate Rupert Murdoch, is in direct competition with ESPN, the huge sports cable network that last week signed an $8 million contract to broadcast the cup racing in the United States.

ESPN has threatened to cancel if the Fox logo appears.

The dispute could force other campaigns to pull out of the Louis Vuitton Cup, which precedes the big race, if their sponsors feel they will not get fair television exposure.

A meeting of 13 challengers in Auckland yesterday drafted a change to the challenger series conditions that would stop syndicates putting TV network logos on their boats.

If the rule is set, and Young America breach it, they might not be able to race in Auckland.

Under the contract, Young America now have 23 days to settle the dispute.

Dyer Jones, the executive director of the America's Cup Challenger Association, said the series had a first-class TV package, "but without the rights fee from ESPN the entire plan won't work."

"This is an issue between two media giants. We wound up getting caught in the middle of it."

Young America are reluctant to give up the big sponsorship. One of the syndicate's representatives at the meeting, Kimo Worthington, said they were negotiating with both networks.