The BOPRU's personnel numbers rose after the 2004 Ranfurly Shield win and the union's website lists 25 members of staff, although this list also includes part-timers, coaches and rugby development officers.

Bay of Plenty announced a $760,000 loss in February, although Dennis Pickup, a stautory manager appointed by the NZRU, has also uncovered an additional $156,000 deficit. Operating costs increased to $4.4 million.

The financial situation is far from unique in New Zealand provincial rugby. Tasman, who lost nearly $4 million, has had to pull out of a pre-season match with Southland after not being able to afford to travel. Otago has announced a $1.5 million deficit and even Air New Zealand Cup champions Auckland have forecast a $1 million shortfall.

But this is of little consolation to Cameron - who became chairman a month ago - and interim chief executive Jeremy Curragh, who takes up his position this week. Several sources have told the Bay of Plenty Times of fears that the union would not be able to meet all of its Air New Zealand Cup commitments if action was not taken straight away.

"The board is determined to meet our financial objectives of balancing the books and also meet the obligations to outstanding creditors from 2007," Cameron told the Bay of Plenty Times. "We've got a restructuring proposal that has been discussed with the staff and should it be established, there will be a number of positions that will be affected, but it's important to stress it's only one of a few options the board is looking at to reduce its overheads.

"In these times of high overheads, particularly interest rates and fuel, the union is having to subsidise a lot of the overheads out of cash reserves.

"It's just commercial reality of running rugby in the Bay of Plenty and I'd suspect there are a lot of employers out there looking at similar options to us."