MONACO -- The international track and field federation plans to reduce its budget by $20 million over the next three years.
The IAAF says it will achieve a balanced budget after 2012 through a combination of cuts and savings from a favorable exchange rate between the euro and dollar.
The cuts are expected to come from all departments in the IAAF, including $500,000 saved this year by postponing an anti-doping seminar as well as reductions in travel and phone costs.
IAAF president Lamine Diack, who is running for re-election, promised this month to make significant budget cuts to address concerns from some European sports officials that the body was in severe financial trouble.
Diack insisted, however, that the IAAF was not facing bankruptcy and implied some of the concerns were overblown. The financial situation was discussed Friday at an IAAF executive board meeting.
Under a revenue-sharing formula reached this month with other Olympic federations, the IAAF will remain as the undisputed top sport in the money rankings and receives $35.77 million from the 2012 London Games. That's up from the $29 million the IAAF received from the 2008 Beijing Games.
With the increased Olympic revenue, the IAAF expects its income through 2012 to be $204 million with expenditures of $203 million.
The IAAF is also counting on a boost in revenue from the signing of a major sponsor for the newly created Diamond League, which kicked off this month in Doha, Qatar.