SGU Debts Hit £1m

The Scottish Golf Union's biggest sponsorship deal - a five-year, £220,000 package with oil giants BP - has been offset by £1 million debts which are being blamed on investment in the Scottish National Golf
Centre.

The centre, at Drumoig in Fife, made a loss of £200,000 in its first year of operation and SGU members voiced concerns about the size of the
debt at their recent annual general meeting.

Doubts remain about the centre's ability to generate a profit, and many feel it would be more financially viable if located in the central belt of Scotland. Even new president John Clark said: "I don't think the SNGC will ever make money."

However, the SGU hope to generate income through sponsorship, grants and
commercial activities, and SGU secretary Hamish Grey remained optimistic. He said: "I'm not blase about the situation. We are managing the debt and we now have a strong basis for moving forward."