Ski circus in trouble.
I saw a German Süddeutsche Zeitung headlined its article published on November 3, which discusses the state of the FIS, the International Ski Federation. The conclusion of the article is obvious: the capacity of the major ski countries for FIS activities is starting to fill up.
The focus of the criticism is the chairman of FIS Johan Eliasch, who has made billions as CEO of Head, the largest gear brand in alpine skiing. When the Swedish-Englishman Eliasch became the head of the FIS in the summer of 2021, he promised the national sports federations more money.
Eliasch announced that he will bring in the money by removing the middleman in the sale of media and marketing rights. Eliasch was referring to the media company Infront, which has bought almost all the TV rights for the FIS World Cup competitions from the national sports federations.
The TV rights revenues in question are vital for the national associations. For example, the Finnish Skiing Federation nets about 3.5 million euros from the Ruka and Salpausselä World Cups with the agreement it made with Infront. After expenses, there is up to one million euros left from the amount each year to be used for Finnish skiing. The agreement between the Finnish Ski Federation and Infront ends in the 2025–2026 season.
So Eliaschi’s original message was this: FIS would handle the TV implementation for the 2026-2027 season without Infront, get the money from media and advertising sales itself and distribute it to the national sports federations with a centralized agreement.
This summer, however, the skiing crowd would be rubbing their eyes. The reason was FIS’ announcement that the centralized agreement is ready and will start from the 2026-2027 season. The contract covers eight seasons. Special attention was paid to Infront. FIS announced that, contrary to all expectations, the company would continue to play a central role in TV implementation and the sale of media rights.
It was surprising that the FIS did not consult the national sports federations when making the agreement – i.e. those whose activities depend on the deal in question.
After the aforementioned announcement, FIS has organized only one Teams meeting on the subject. The national unions were not satisfied with the outcome of the October discussion session.
The economy tanked
According to Süddeutsche Zeitung, Eliasch was expected to receive answers regarding the media and marketing agreement in the last weekend of October. At that time, alpine skiing was the first FIS sport to open its World Cup season in Sölden, Austria.
FIS’ finances were also on the agenda. FIS notification published at the beginning of November basis, you can see how FIS’s financial figures have changed in 2022 (the first full year of Eliaschi’s presidency) compared to 2020 (Eliasch’s predecessor by Gian-Franco Kasper the last full year of the reign).
FIS’s personnel costs have increased from 12.1 to 15 million euros, and operational costs, such as legal fees, from 4.6 to 6.8 million. At the same time, the value of the World Cup has decreased from 20.2 to 19 million euros, and the share of other income has dropped from 4.1 to 1.1 million.
FIS made a loss of 4.1 million in the 2022 financial year, although it sold its holdings for 8.2 million. In 2020, the association sold its holdings for only 400,000 euros, but made a profit of 1.5 million euros.
The questions remained unanswered as Eliasch missed the Sölden weekend due to personal reasons. FIS was content to respond to Süddeutsche Zeitung’s requests for information, stating that it does not comment on the federation’s internal matters to the press.
The information line sucks
The silence practiced by the FIS management is not new. In recent years, especially the big skiing countries have been upset that the FIS does not consult them on changes that are relevant to ski sports.
At the grassroots level, the most blatant complaint is related to the ban on the use of fluoride creams. In 2019, the FIS outlined that the ban would be introduced during the transition period of one year, but in the end had to postpone the start by a year no less than three times. The reason was an unreliable test device that should be used to monitor the fluoride ban.
As Urheilu reported a year ago, FIS’ unclear actions in the preparation of the fluoride ban had caused the major ski countries an additional cost of millions of euros.
Although confidence in the performance of the device is still low in the sports circles and alpine skiers protested the fluoride rule just a few days before the Sölden weekend, the FIS introduced a fluoride ban for this season.
The monitoring device was immediately caught in the middle of the commotion. It reported in the test that the skis of the Norwegian alpine skier who skied Eliasch’s ski brand Head had fluoride. In reality, the cream on the bottom of the ski is fluoride-free.
In the midst of the confusion, the national sports associations have reported their financial statements in losses in recent months. Even the well-known Norwegian Ski Association lost more than one million euros.
In Vuonomaa, financial statements with a plus sign will remain a dream next year as well. According to Urheilu’s information, the Norwegian Ski Federation has spent almost 400,000 euros on nine devices with which it should monitor the fluoride ban.
In its current financial situation, the Finnish Ski Federation cannot afford acquisitions like Norway’s. However, if the FIS does not back down from its plan to introduce a ban next season in all national competitions under its jurisdiction, the Finnish skiing decision-makers will have to dig a picture in the style of the Norwegians. One way or another.
Counterforce for FIS?
The big skiing countries have not swallowed FIS’s activities wholeheartedly. Süddeutsche Zeitung writes in its article that eight countries have united to form a single European front in alpine skiing. The countries are Germany, Austria, Switzerland, France, Italy, Norway, Sweden and Finland. The interest is not limited to alpine skiing, but also includes Nordic skiing.
The eight organizes more than 80 percent of the World Cup competitions in all Nordic skiing disciplines and alpine skiing. The overwhelming majority of the stars of the sports come from the countries mentioned above.
In FIS decision-making, the chairman and the FIS board (Council) exercise supreme power. The president and board members are elected by the FIS Congress, which includes 132 countries. Depending on the number of members of the union, the countries have one to three votes in the decisions of the Congress. The more members, the more votes. The countries forming the European front have three votes each, so they only have 24 votes in total.
The show’s promoters therefore pay the violins and are a significant minority.
Saudi Arabia in the picture?
The situation at FIS is already difficult from the point of view of the big skiing countries. At least the image of winter sports is not improved by the fact that the media rights of skiing may soon be part of a big deal.
Switzerland-based Infront is part of the Chinese media giant Wanda Group, which is looking for According to Reuters buyer for his majority shareholding in Infront. One potential buyer is a Saudi Arabian company.
Saudi Arabia recently got to organize the 2034 World Cup tournament, when no counter-candidates were found in the FIFA vote. Infront is already Fifa’s media partner.
In the skiing circles, it is considered entirely possible that in a football-led agreement, the skiing sports will also be transferred to Saudi ownership along with the washing water. That is why chairman Eliasch’s arbitrarily made surprise agreement with Infront worries many.
Saudi Arabia’s skiing ties are strengthened by the Asian Winter Games, which the country won to organize in 2029. For the Games, the oil state is building a winter sports complex called Trojena in the mountains, which is part of the larger Neom project costing 500 billion euros.
Let’s say it again. FIS is chaired by a billionaire who behaves like an autocrat, whose understanding of the finances of the national federations that run skiing is non-existent. The board of FIS does not engage in dialogue with the national federations on issues vital to their operations. The umbrella organization makes millions of losses and may connect to Saudi Arabia in the future through its strategic partner Infront.
It’s no wonder that ski circles are buzzing.