[Archived] Credit Crunch To Hit Football?

[67splitscreen]

You may well be able to wheel and deal your way around the credit crunch.

Pompey have a totally different problem, The Inland revenue, overdue payments.

Next weeks fixture....Pompey 0 Inland Revenue 2

And spuds to lose the shirts off there backs, well at least there 34m sponsor deal.

Mansion on brink of collapse

[thenodrog]

You may well be able to wheel and deal your way around the credit crunch.

Pompey have a totally different problem, The Inland revenue, overdue payments.

Next weeks fixture....Pompey 0 Inland Revenue 2

And spuds to lose the shirts off there backs, well at least there 34m sponsor deal.

Mansion on brink of collapse

Good and Good! No doubt NUFC will be pressurising like mad for Pompey to be put in receivership before the end of the season.

[thenodrog]

http://www.guardian.co.uk/football/2009/ap...l-default-loans

[Billy Castell]

Sadly Gordon, some bunch of Arabs will take over Liverpool and clear the debts, thus robbing us of the pleasure of seeing a big 4 club do a Leeds. Same for Man U. Any casualties will be around our level, Newcastle and Pompey perhaps. I hope Platini has his way on this issue to some extent.

[thenodrog]

Sadly Gordon, some bunch of Arabs will take over Liverpool and clear the debts, thus robbing us of the pleasure of seeing a big 4 club do a Leeds. Same for Man U. Any casualties will be around our level, Newcastle and Pompey perhaps. I hope Platini has his way on this issue to some extent.

Prob damage us but Platini's wishes must be the way forward for football. The Champions League has turned every european countries top division into a carbon copy of the unhealthy situation that has been in place for generations in Scotland. A mega rich top 2/3 with almost automatic entry to European competition guaranteed, with the rest just cannon fodder. It's becoming a sick industry through nothing else but greed. The rich get ever richer whilst the poor get ever poorer, it's just a reflection of the inequalities in wealth all over the world imo.

The fact that all the mega rich clubs are actually in huge mega debt just illustrates the stupidity of the whole shabang. High time for the footballing equivalent of the Big Bang.

[Billy Castell]

Agreed 100% Gordon. The Champions League is such a boring competition that you can now predict one of four teams will win it-Man Utd, Liverpool, Barcelona or Chelsea. There may be another team in the semi finals, such as Villareal or Arsenal, but the winner will probably be from the four I have previously mentioned. Teams that have given us some great moments in European football will never rise to such heights again. Teams like Ajax, Bayern Munich, Hamburg, Porto, Sporting Lisborn etc. can never aspire to lift the trophy as their domestic market is not strong enough to offer a challenge to the clubs in richer leagues. The G14 may have disappeared, but that is only because it has done its job and made European football a cabal of tedious predictability.

On the domestic front, any rules on debts, wage budgets etc. will have to be railroaded into our game as the FA will not want to upset the applecart and challenge the big 4 and the 'excitement' that Chelsea vs. Man Utd bring to the TVs of the world. We may initially suffer if new restrictions are put in place, but if clubs with certain levels of debt are banned from European football, then the likes of Man Utd may just suffer too.

[Jonnolad]

You dont make sense Jonnolad, no extra money has been made available, its just the wages that have been screwed to the nth degree for no extra output on the pitch.

Looks like they've decided to take as much money for themselves before they run.

Are you seriously suggesting that a portion of our fans (the majority in fact it seems) haven’t been crying out for the board to make money available to sign new players in the transfer windows? I can only presume you have just awoken from a coma if you haven’t noticed that. New players obviously means more wages, which people like you then moan about. The board is damned if it does by some fans, damned if it doesn’t by others.

As for our current wages; the board obviously wanted to get players to sign longer contracts so that we get a better return on them in the long run. A player obviously isn’t going to sign a contact unless there is something in it for them (i.e. higher wages). This isn’t exclusive to Rovers – this happens at every club. If the board didn’t do this then a large number of fans would complain that the board didn’t offer the players a better contract to stay and the players then leave for potentially nothing. But on the other side people like you then moan about these player’s wages then being too high.

Like I say the board is damned if we do, damned if we don’t.

The big question is are we paying higher wages than other established Premier League teams in or around us - Newcastle, Sunderland or Portsmouth for instance? The answer is a big fat no. The club must be doing something right then surely. Unfortunately some people will always moan either way though.

[thenodrog]

You dont make sense Jonnolad, no extra money has been made available, its just the wages that have been screwed to the nth degree for no extra output on the pitch.

Looks like they've decided to take as much money for themselves before they run.

You need to apply some responsibility and intelligence to your thought process on this issue Jal. Tell you what just give us your thoughts on the two failed take over bids and where the men behind them are at the moment and then apply that to the situations at Portsmouth and WHU, and then progress to the situations at LUFC, Soton, Luton etc etc.

Anybody interested in making money from football is an agent and the term 'investor' in football effectively translates as 'donor', and thats that. (I've a feeling the yanks are going to get their trousers taken down at Lpool soon too.)

[Hughesy]

Debt repayments at Manchester United have caused parent firm Red Football Joint Venture to make a £44.8m ($65.6m) pre-tax loss for the year to June 2008.

It covers the 2007/08 season, when United won the Premier League and Champions League, and takes the Red Football's debt from £604m to £649.4m

Debt is increasing for Man U

[Billy Castell]

Sounds like they'd be in the poo if they have a trophyless patch like Arsenal. What a shame.

[philipl]

The finance boys will be sweating on the second leg against Porto far more than whether Man U come first or second in the Premier League, that's for sure.

The Hedge Fund debt has not been rolled and April 2010 is when it is due to be repaid- so about £200m to find then or the Hedge Fund can take control and sell the club from under the Glazers.

The £650m debt figure misses out various other debts Man U have like outstanding transfer payments. And of course it doesn't include a provision for the £32m needed to complete the Tevez deal.

[Jackson]

A Ronaldo fire sale might be on the cards then, Philip?

[JAL]

You need to apply some responsibility and intelligence to your thought process on this issue Jal. Tell you what just give us your thoughts on the two failed take over bids and where the men behind them are at the moment and then apply that to the situations at Portsmouth and WHU, and then progress to the situations at LUFC, Soton, Luton etc etc.

Anybody interested in making money from football is an agent and the term 'investor' in football effectively translates as 'donor', and thats that. (I've a feeling the yanks are going to get their trousers taken down at Lpool soon too.)

What i'm saying is yes, money HAS been made available but in the wages department only, sadly the managements judgement of those having improved contracts simply hasnt improved performances, results and prize money on the pitch - bad management allround would you not say.

Hopefully big Sam can get to working the summer to correct the poor judgements made of the recent past.

[jodrell]

Moan U v Scousers who has the most debt. it's not looking good for those two

http://www.newsoftheworld.co.uk/sport/2607...-Tom-Hicks.html

http://www.newsoftheworld.co.uk/sport/2608...ve-demands.html

[philipl]

NoTW doing a passable imitation of the FT there!

[thenodrog]

Moan U v Scousers who has the most debt. it's not looking good for those two

http://www.newsoftheworld.co.uk/sport/2607...-Tom-Hicks.html

"Recent new deals for Benitez, Steven Gerrard and Dirk Kuyt, and the forthcoming securing of Fernando Torres on a five-year, £120,000-a-week contract, are designed to reassure the banks and potential investors of the long-term security of the club. "

Are bankers that thick that they will lend huge money on something as flimsy as a Premier League footballers contract? No wonder the world has become a financial car crash.

[Billy Castell]

That quote you highlighted is very much like Marie Atoinette. When the French state was going bust, she spent a fortune on diamond necklaces and dresses in order to show that it was business as usual. That is a dangerous game, and we know what happened to the French monarchy.

[Hughesy]

Trouble ahead for Liverpool?? Out of the champs league so no big winnings this year. Hopefully they will also screw the league up.

"Creditors of Liverpool owner Tom Hicks say Hicks Sports Group is in default on debts of £351m. (Wall Street Journal)"

[Billy Castell]

As Phillipl suggested on one of the Liverpool threads, Hicks' financial problems may provide Gillette with a chance to take total control of the club on the cheap which may actually create stability. Then Gillette can sell to some Arabs, and the new stadium may yet be built. In the short term though, they may be a bit shaky.

Man Utd however, sound like they need to keep winning everything or else their debts will catch up with them. Tonight could hopefully provide the first nail in the coffin as Porto put them out. Debts can't keep mounting up without things coming to a head. Fingers crossed, as I'd love to see Ferguson's face as he has to sell the occaisional top player.

[Hughesy]

Ronaldo will probably be sold in the summer for £75m - problem solved and still one of the strongest squads in the league.

[Billy Castell]

Fans won't like that unless someone else comes in, Real Madrid may see how bad Man U are and knock the price down, and the debts could only be temporarily relieved.

[Hughesy]

True - Real usually find a very clever way of getting reduced fees too.

Lots of rumours suggesting Ribery could head to Old Trafford in the summer, along with a new striker.

[philipl]

Ronaldo will probably be sold in the summer for £75m - problem solved and still one of the strongest squads in the league.

5% of the problem solved.

Red Football's accounts revealed that the cost of debt plus committed interest charges to be paid by 2015 comes to

£1.5bn

[Hughesy]

How much realistically do United make (Profit) each year?

[Billy Castell]

Ow, that would be like the chair scene on Casino Royale. Part of me thinks that something will pop up to help them, and our hopes of one of the big 4 ending in ruin will be thwarted. The next manager after Ferguson will be a key appointment.