The King Edward VII Gold Cup has broken ties with the Swedish Match Tour.

However, Commodore of the Royal Bermuda Yacht Club (RBYC) Jane Correia is confident the decision will not impact the Gold Cup negatively and that the match-racing event will retain its international popularity.

?We have got the top skippers coming again ? defending champion Russell Coutts, Peter Gilmour, Ed Baird ? they have all indicated they are coming. The prize money is very good ? $100,000. It?s one of the highest purses there is,? she said, confirming the Gold Cup would no longer be part of the Tour which is in its sixth year.

Though not disclosing details, Correia explained that potential contractual conflicts necessitated a parting of ways.

?There is a potential conflict between sponsors and we haven?t yet finalised certain other sponsor commitments to the Bermuda Gold Cup and because of that we?re not able to be on the Tour.

?Our contract expires with them at the end of their Tour year which is July 31, 2005, and because of other sponsorship possibilities which we?re looking at there is a conflict,? she said.

Swedish Match Tour director Scott MacLeod, however, said he was given no explanation for RBYC?s decision to pull the Gold Cup from the Tour when Vice Commodore Andy Cox informed him of the move last week Monday.

?It?s quite unfortunate. I don?t know what the decision-making process was or how this affects their event. Obviously, they won?t be getting the international television coverage that the event has received as part of the Tour,? he said.

?I don?t know how that will affect their sponsorships with (the Ministry of) Tourism and other people but obviously television coverage is a key component of why they were part of the Tour. In addition, there wouldn?t be any points for the (Swedish Match Tour) championship given to any of the Tour sailors who participate there,? he said.

?We?re very disappointed especially for the people who helped create the Gold Cup (and) who are the founding members of this Tour actually ? guys like Jordy Walker, Brian Billings.

?We wanted Bermuda to continue to be part of the Tour. It?s been a founding member and they run a good event. However, they have decided, for whatever reason, to go in a different direction. It?s too bad.?

He added that whatever the issue was, he didn?t think ?it wasn?t anything that couldn?t have been worked out?.

Asked if he thought this break could influence whether top skippers opt to compete in the Gold Cup, the tour director replied: ?I don?t know. It could, it certainly could. The television coverage is very important to some of these Americas Cup teams and to the sponsors.?

Regarding whether the Gold Cup could rejoin the Swedish Match Tour or another Tour in the future, Correia revealed that ?the Swedish Match Tour as we know it is coming to an end?.

?Swedish Match is no longer allowed to advertise because they are a tobacco company and because of new regulations they are no longer allowed to be known as the Swedish Match Tour.

?So from what we understand the Swedish Match Tour as it is presently known will come to an end this year. We understand there are other sponsors who are interested in taking it on under another Tour name but we don?t know who those are at this point,? she added, conceding the Gold Cup could possibly be part of the revamped Tour in the future.

The Tour?s website acknowledges that the title sponsor ?manufactures and markets a wide range of tobacco products, matches and disposable lighters? and that company boasts total annual sales of approximately $1.1 billion.