30 October 2019

The Acting Executive Director

Department of Sport, Recreation, Arts and Culture
Nelson Mandela Bay Municipality

E-mail: smandaba@mandelametro.gov.za

Dear Acting Executive Director

BRITISH AND IRISH LIONS TOUR, 2021

- NMB STADIUM

We acknowledge receipt of your letter dated 25 October 2019 and received on 28 October
2019.

As you may be aware, I am currently abroad and will only return to South Africa on 6
November 2019. I have therefore requested SA Rugby Event Services RF (Pty) Limited to
prepare this response, as follows: -

- SA Rugby Union incorporated a wholly-owned subsidiary SA Rugby Event Services

RF (Pty) Limited (SARES) with an independent Board to deliver the entire British and
Irish Lions Tour, 2021. SA Rugby Union is not mandated to, nor will not enter into a
Venue Use Agreement in respect of the said Tour. Please be advised that all other
Stadiums in South Africa have signed the required Venue Use Agreement with
SARES directly;

- We note the concerns raised regarding the authority for signature, however due to
timelines for the Tour announcement no further time extension is available. We
remind you that after SARES’ presentation the contract was sent to the Nelson
Mandela Bay Municipality some four months ago and the response queries received
were dealt with expeditiously;

- That the Match Schedule will be announced on 27 November and failure to provide a
signed contract by close of business on the 25th October was deemed to be that
NMBM is not interested in hosting the event; and

- We would concede that the Effective date can be amended to state the date of
signature of the contract.

It was our understanding that as both the MBDA and the City was approached during the
City visits in June 2019 and the receipt of the Letter of Intent from NMB Municipality on 26
June 2019 that the City would be a host for a British and Irish Lions Tour
Match. Subsequently, the Parties engaged (3; 5; 10; 13; 17 and 18 September as well as 4;
7; 8 and 28 October 2019) on all outstanding matters as raised by the City.
SARES believed that the City, as the owner of the Nelson Mandela Bay Stadium and the
sole shareholder of the MBDA, would have the required authority to sign a Venue Use
Agreement.

In light of the uncertainty and delay in signing the Venue Use Agreement with SARES, it
follows that the Nelson Mandela Bay Stadium will not be considered as a host venue for the
upcoming Tour.

Yours sincerely
SA RUGBY EVENT SERVICES RF (PTY) LIMITED

___________
J ROUX