More Trouble At Leeds

[SirFozzie]

That's probably the worst thing of all. All the fans are kept on pins and needles... K

Kept on pins and needles?

Hmm.. didn't think that was an american saying

Kept waiting, kept wondering I meant.

SirFozzie

[broadsword]

Wokka wokka!

[SirFozzie]

Dat's me!

Anyhoo... gotta catch some Z's.. I have a work shift that makes me think I'm across the pond (2 am-noon local time, guess that's 7 am-5 PM yours). Night folks.

[stuwilky]

It appears that Leeds have gained a 2 week reprieve from their creditors.

I believe that the 'deadline' of tomorrow was just a date pickied by the Leeds board in some, seemingly, misguided attempt to try and get some rich arab/russian/or whatever to invest in a football club they know nothing about.

I dont believe the creditors are pushing for administration as it would mean that any chance they had left of staying up (and therefore being able to pay some money back rather than implode) would disappear with the sale of the likes of Smith, Robinson et al.

stuwilky, you couldn't be more wrong.

Leeds had to come up with about £5m in cash to meet payments falling due in mid-December.

They couldn't find the money and went grovelling to their creditors to beg for more time to pay. They were given four weeks which are up tomorrow. It appears the creditors have gone soft again and will give Leeds another week or two to find the money.

If I were a creditor of Leeds United, I would tell them to sell ALL their players right now and get as much cash as they can for them, bring in new ones earning at most 25% the last lot were on and know that there is a fan base large and loyal enough which can re-pay my debts and interest after the incidentals of rumnning the football club.

If the Directors of the Football Club will not do that, put in an Administrator who will.

Why do I need Premiership football to pay off my debts? I know that a perfectly good First Division outfit can be run for well under £20m a year. Gate receipts at Leeds in Div 1 would still be £20m a year, commercial activities would still rake in £10-15m a year and I could trouser the Premiership parachute payment of £5m  

Remember, most of the debts are to American financiers and that is exactly how they will look at it.

Philipl I take your points, but disagree.  If a club like Leeds start to try and quick sell all their players, they aren't going to get the going value for them.  Therefore minimising the payments to creditors.  I agree about the wages, but if the board are succeeding in getting the players to take a 20-30% pay cut (only speculation I know) then why would anyone want them to be sold and new players bought in who weren't up to scratch.

I would imagine the players may be worth more if they stay the season out and help the team to stay up (a calculated gamble!)  

Its an interesting one thats for sure and only time will tell what will actually happen.

I cant see Leeds managing to shift many players in the 12 days before the window closes once again.  But I am happy to be proven wrong (esp if we buy some of them!)

[philipl]

Stu, the only way Leeds are going to find the £80m they owe with some degree of certainty is from cutting their costs.

If they bring their salaries down from over £40m a year to under £10m a year they can do it and it will not matter that they have lost £20m income through no longer being in the Prem.

This is way beyond the point of sentimentality- either the club does it or the creditors do it for them by appointing an administrator.

It looks like Leeds have grown tired of the non-appearing sheikh and are taking matters into their own hands.

The Evening Standard are reporting that Leeds have told their players that the £5m they need to get to the end of the season will be raised either through a 30% pay cut (deferrment) or enough of them will be sold off to find the money that way.

Interesting to read the PFA web site saying Leeds have been saved to the end of the season.

[philipl]

When there is this amount of brinkmanship there is a real possibility that Leeds will go into administration today.

Note the BBC report that Leeds' debts are now up at £83m- they have lost another £3m in the last month.

Anything other than a football club would have been decently buried by now. As currently structured, there simply isn't anything at Elland Road that makes any sort of business sense whatsoever.

[Alan75]

£83 million, how times have changed. The recievers were brought into the company I worked for up Preston New Rd in 1975 because they owed the bank £3 million.

[broadsword]

Note the BBC report that Leeds' debts are now up at £83m- they have lost another £3m in the last month.

They're so French Connectioned-careless over there, they deserve everything they get.

Prof Reg Holdsworth: "Say Thelma, did you see that 3 million quid I left on the side-board this morning."

Thelma: "Well funny you should say that Reg, because I do remember seeing it this morning, it was sat next to the goldfish. Can you remember where you had it last?"

Prof Reg: "Hmmmm ... I seem to remember having a crap and wiping my butt with a couple of spare fifties, but other than that, I can't think"

Thelma: "You've gone and lost it, haven't you? You French Connection-wit!"

Honestly, it's madness at Elland Road. I dread to think how much of their problem is simply down to mislaying cash.

A simple bit of cash management and it could all have been avoided.

[Nuclearsox]

Note the BBC report that Leeds' debts are now up at £83m- they have lost another £3m in the last month.

They're so French Connectioned-careless over there, they deserve everything they get.

Prof Reg Holdsworth: "Say Thelma, did you see that 3 million quid I left on the side-board this morning."

Thelma: "Well funny you should say that Reg, because I do remember seeing it this morning, it was sat next to the goldfish. Can you remember where you had it last?"

Prof Reg: "Hmmmm ... I seem to remember having a crap and wiping my butt with a couple of spare fifties, but other than that, I can't think"

Thelma: "You've gone and lost it, haven't you? You French Connection-wit!"

Honestly, it's madness at Elland Road. I dread to think how much of their problem is simply down to mislaying cash.

A simple bit of cash management and it could all have been avoided.

I wonder if they've checked down the back of the sofa? That's the first place I look if I've lost some money.

It's easily done. You put the £3M in your pocket ready to take it to the bank and think "I'll just have a quick coffee before I go out". Plonk yourself down on the sofa with your coffee and... wooop! ...£3M slips out of your pocket straight down the back of the sofa.

If we can't afford to make a bid for Smith or Viduka. I say way make a sneaky loan move for the sofa.

[broadsword]

"Garry Flitcroft and 500K for your biscuit tin, that old rumpled suit and the secretary's underwear Professor."

There could also be a case for keeping a vigil underneath their office windows.

[Nuclearsox]

"Garry Flitcroft and 500K for your biscuit tin, that old rumpled suit and the secretary's underwear Professor."

There could also be a case for keeping a vigil underneath their office windows.

 

[philipl]

Still no news from Leeds about what is happening whilst their share price slides downwards.

However, Skysports report Graham Taylor as saying a pay cut has been agreed with the Leeds players.

Both Fenerbahce and Besiktas have expressed interest in taking Viduka although Leeds are resisting....at the moment.

[T4E]

Excuse my ignorance but where does Graham Taylor come into it?  

[bob fleming]

Excuse my ignorance but where does Graham Taylor come into it?  

He's just being nosey. Typical of the man. Keep away Graham, it's none of your business.

[philipl]

Gordon- oops!

[colin]

There could also be a case for keeping a vigil underneath their office windows.

A bit dangerous, what with all them shareholders exiting from the fourth floor window in the time-honoured fashion.

[Philly Rover ®]

Both Fenerbahce and Besiktas have expressed interest in taking Viduka although Leeds are resisting....at the moment.

Interesting to see that the Premier League sides are laying low for now.

I would, however, expect a flurry of activity before the end of the month if things stay as they are.

[Scotty]

It's just been confirmed on Sky Sports News that Leeds have been given a week's extension to their deadline.

[jim mk2]

1 SOCCER Leeds Nightlead LEEDS GET SEVEN DAYS

By Ian Parkes, PA Sport

Leeds’ acting-chairman Trevor Birch has today been given just another seven days to find the funds which will prevent the club falling into the hands of administrators.

In a statement to the Stock Exchange, Birch revealed the week-long extension to their ‘standstill agreement’ with the principal creditors who are owed a combined £82million.

Birch now seems certain to turn to the club’s highly-paid stars and ask them to defer a portion of their wages - likely to be around 30% - until the end of the season, which would provide Leeds with the £5million needed to see them through the next four months.

Birch has also managed to agree the possibility of a further two-week extension up to February 6, however, that will only be allowed on certain financial conditions being met.

[philipl]

One week lifeline with only a two week extension provided certain financial conditions are met- Leeds are, as Trevor Birch put it, on a precipice.

They have failed every challenge put to them four weeks ago:

-no buyer

-no reduction in costs

-no capital injection through an asset sale

-no new mamagerial impetus.

Birch has done very well to avoid the plug being pulled today. Doubt is being cast on the players' willingness to forego 30% of their wages- only three have publicly come out and said they would do it despite the bullish noises coming out of the PFA.

Roll up, roll up, Leeds have got to find £5m by next Monday- which players do we want?

[jim mk2]

Good question - wishful thinking but long term: Milner, short-term: Viduka.

[SIMON GARNERS 194]

Wishful thinking it will remain Jim.

Viduka?

[LeChuck]

Matthew Kilgallon...he'd be a more than adequate replacement for Tiny if he goes to Birmingham (not sure if he would cover the right and left back positions though  :'> )

I'd also take Milner and Seth Johnson, I thought Matteo too but it seems he has a constant problem with injuries.  If Bridges is over his injury problems he'd be a better player to have than Yorke as well.

[roversWASmylife]

Worrying situation for the Leeds fans, to have your club turned like that in the space of a few years is bad.

Of the players, my first choice would be to have Alan Smith, would love to see him in a Rovers shirt. Milner looks a good player, there was talk in the Express that United are interested in him. Viduka, he`ll probably leave during the summer, can`t see him leaving at the moment as he`s in Australia with his father who is very ill.

The defender who scored yes, but I`d guess Leeds will hold on to their youngsters if they can.

[American]

Worrying situation for the Leeds fans, to have your club turned like that in the space of a few years is bad.

Of the players, my first choice would be to have Alan Smith, would love to see him in a Rovers shirt. Milner looks a good player, there was talk in the Express that United are interested in him. Viduka, he`ll probably leave during the summer, can`t see him leaving at the moment as he`s in Australia with his father who is very ill.

The defender who scored yes, but I`d guess Leeds will hold on to their youngsters if they can.

I wouldn't think Milner is on huge wages, so they might not have to get rid of him...