Our finances

[Ketsbaia 0]

http://swissramble.blogspot.com/2010/12/ne...-black-and.html

 

It's nothing you couldn't have guessed just from looking at the way the club has been ran over the past decade but a very interesting read none the less.

 

Leazes may want to avoid this one.

Edited December 14, 2010 by Ketsbaia

[Christmas Tree 3997]

Far too long to read (and probably depressing) but my quick skip through and conclusion would be....

 

We were fucked and heading for administration.......Saved by Ashley.......Now starting to look healthy.......Shame he couldnt run the club well while saving our arse.

[Park Life 70]

http://swissramble.blogspot.com/2010/12/ne...-black-and.html

 

It's nothing you couldn't have guessed just from looking at the way the club has been ran over the past decade but a very interesting read none the less.

 

Leazes may want to avoid this one.

 

Everyone should read that.

[Ketsbaia 0]

Far too long to read (and probably depressing) but my quick skip through and conclusion would be....

 

We were fucked and heading for administration.......Saved by Ashley.......Now starting to look healthy.......Shame he couldnt run the club well while saving our arse.

 

 

That's more or less it

[Guest You FCB Get Out Of Our Club]

Interesting read but no new revelations. I'll be interested to see what the turnover was for 09/10, we will have lost £30m at least, and that's another reason why he's being a tight arsed cunt. Without relegation, his fault we'd have never been in that position.

[Park Life 70]

Interesting read but no new revelations. I'll be interested to see what the turnover was for 09/10, we will have lost £30m at least, and that's another reason why he's being a tight arsed cunt. Without relegation, his fault we'd have never been in that position.

 

We can handle one year in the CCC. Bouncing straight back would have mitigated the hit. Parachute payment of 10m over two years banked as well.

[Sonatine 10021]

Far too long to read (and probably depressing) but my quick skip through and conclusion would be....

 

We were fucked and heading for administration.......Saved by Ashley.......Now starting to look healthy.......Shame he couldnt run the club well while saving our arse.

 

 

That's more or less it

 

Aye, but it just makes him even more of a mug for not checking the books in the first place.

[Holden McGroin 4917]

Interesting read but no new revelations. I'll be interested to see what the turnover was for 09/10, we will have lost £30m at least, and that's another reason why he's being a tight arsed cunt. Without relegation, his fault we'd have never been in that position.

 

We can handle one year in the CCC. Bouncing straight back would have mitigated the hit. Parachute payment of 10m over two years banked as well.

 

I was under the impression that when a teams go back up the parachute payments are stopped and shared out with the rest of the division.

Edited December 14, 2010 by Holden McGroin

[Park Life 70]

Interesting read but no new revelations. I'll be interested to see what the turnover was for 09/10, we will have lost £30m at least, and that's another reason why he's being a tight arsed cunt. Without relegation, his fault we'd have never been in that position.

 

We can handle one year in the CCC. Bouncing straight back would have mitigated the hit. Parachute payment of 10m over two years banked as well.

 

I was under the impression that when a teams go back up the parachute payments are stopped and shared out with the rest of the division.

 

Summink like that. But we would have got 10m (I think the total is 15m if you stay down). Can't remember, never really had to look into it.

[Holden McGroin 4917]

Interesting read but no new revelations. I'll be interested to see what the turnover was for 09/10, we will have lost £30m at least, and that's another reason why he's being a tight arsed cunt. Without relegation, his fault we'd have never been in that position.

 

We can handle one year in the CCC. Bouncing straight back would have mitigated the hit. Parachute payment of 10m over two years banked as well.

 

I was under the impression that when a teams go back up the parachute payments are stopped and shared out with the rest of the division.

 

Summink like that. But we would have got 10m (I think the total is 15m if you stay down). Can't remember, never really had to look into it.

 

To sum up. You dont really have a clue then?!?!

[Park Life 70]

Interesting read but no new revelations. I'll be interested to see what the turnover was for 09/10, we will have lost £30m at least, and that's another reason why he's being a tight arsed cunt. Without relegation, his fault we'd have never been in that position.

 

We can handle one year in the CCC. Bouncing straight back would have mitigated the hit. Parachute payment of 10m over two years banked as well.

 

I was under the impression that when a teams go back up the parachute payments are stopped and shared out with the rest of the division.

 

Summink like that. But we would have got 10m (I think the total is 15m if you stay down). Can't remember, never really had to look into it.

 

To sum up. You dont really have a clue then?!?!

 

I've made a choclolate monkey out of a perfectly good cake recipie.

[Christmas Tree 3997]

Fat sam sacked, Boro into Admin, all we need now is for Nail Quinn to be arrested for peadophilia.

[tinofbeans 86]

just goes to show how inept the shepherd run side of things was. completely unsustainable. awful. there is no way however i can raise myself to congratulate the fat pig on running us well, he's just done what has been required to keep the club afloat.

 

we need to follow arsenals model though, they will in a few years be untouchable in terms of assets. rather than just scraping the barrel.

[Park Life 70]

just goes to show how inept the shepherd run side of things was. completely unsustainable. awful. there is no way however i can raise myself to congratulate the fat pig on running us well, he's just done what has been required to keep the club afloat.

 

we need to follow arsenals model though, they will in a few years be untouchable in terms of assets. rather than just scraping the barrel.

 

Which means having more than 2 scouts.

[Happy Face 29]

For me this picture says it all....

 

 

Can't see how anyone can say Ashley has the club looking healthy the way our debt has exploded since his arrival.

[Park Life 70]

For me this picture says it all....

 

 

Can't see how anyone can say Ashley has the club looking healthy the way our debt has exploded since his arrival.

 

Can you explain what you see there Nicos?

[Happy Face 29]

For me this picture says it all....

 

 

Can't see how anyone can say Ashley has the club looking healthy the way our debt has exploded since his arrival.

 

Can you explain what you see there Nicos?

 

2005 debt = £55m

2006 debt = £70m (+27%)

2007 debt = £77m (+10%)

2008 debt = £245 (+218%)

2009 debt = £282 (+15%)

 

I know the mortgage got added to the debt, but whenever Shepherd stretched one season....he could pull the throttle back the next and the revenue would give him a profit. Ashley's already strangled every penny out of our spending....but he's lost us so much revenue we still run at a loss and drive up the debt.

Edited December 14, 2010 by Happy Face

[Mac-Toon 1]

All I see is that the debt levels have gone from £77m in 2007 upto £282m in 2009. A jump of £205m. It's about 200% more than previous.

 

Great, eh.

 

Or am I missing something?

[Park Life 70]

For me this picture says it all....

 

 

Can't see how anyone can say Ashley has the club looking healthy the way our debt has exploded since his arrival.

 

Can you explain what you see there Nicos?

 

2005 debt = £55m

2006 debt = £70m (+27%)

2007 debt = £77m (+10%)

2008 debt = £245 (+218%)

2009 debt = £282 (+15%)

 

I know the mortgage got added to the debt, but whenever Shepherd stretched one season....he could pull the throttle back the next and the revenue would give him a profit. Ashley's already strangled every penny out of our spending....but he's lost us so much revenue we still run at a loss and drive up the debt.

 

You think he paid the outstanding transfer fees off in one go? Also we've started paying up front for all incoming.

[ChezGiven 0]

You should be looking at the Gross Debt line in the club's account, not SJ Holdings. That went from 77 to 107 the year he bought the club, which was a result of decisions made in 2006/7. The following year the gross debt went from 107 to 150. Thats the year immediately following the sale and is based on revenues and costs set down in decisions in 2005,6,7 as this is how contracts and business and stuff works

 

If you buy something that is haemorraghing money, then 2 years after you buy it in debt, your debts are much much bigger.

 

The 138m added to the debt of SJ Holdings is the 138m it cost to buy the club. Ashley created a vehicle (tax reasons etc) to buy the club and therefore needed to transfer the money across to do so. The debt is whats on top of the 138m, which is truly observed in the trend from 2005 of 55 to 70 to 77 to 107 to 150 by 2009 reflects the underlying performance of the business over the whole period.

 

By rights we should have gone bankrupt in 2009, 14 months after he bought the club.

[Happy Face 29]

For me this picture says it all....

 

 

Can't see how anyone can say Ashley has the club looking healthy the way our debt has exploded since his arrival.

 

Can you explain what you see there Nicos?

 

2005 debt = £55m

2006 debt = £70m (+27%)

2007 debt = £77m (+10%)

2008 debt = £245 (+218%)

2009 debt = £282 (+15%)

 

I know the mortgage got added to the debt, but whenever Shepherd stretched one season....he could pull the throttle back the next and the revenue would give him a profit. Ashley's already strangled every penny out of our spending....but he's lost us so much revenue we still run at a loss and drive up the debt.

 

You think he paid the outstanding transfer fees off in one go? Also we've started paying up front for all incoming.

 

They said they couldn't didn't they. Something about having to keep making payments on players that had already moved on.

[ChezGiven 0]

All I see is that the debt levels have gone from £77m in 2007 upto £282m in 2009. A jump of £205m. It's about 200% more than previous.

 

Great, eh.

 

Or am I missing something?

 

Aye, its a bit confusing as ever with bloody accountants. 138m is SJ Holdings debt, which does cloud the issue somewhat as they own the club.

 

Two things are important, Ashley paid himself 6m back the year we got relegated. With 107m of debt in 2007/8 we would have gone bankrupt during the financial crisis.

[Happy Face 29]

You should be looking at the Gross Debt line in the club's account, not SJ Holdings. That went from 77 to 107 the year he bought the club, which was a result of decisions made in 2006/7. The following year the gross debt went from 107 to 150. Thats the year immediately following the sale and is based on revenues and costs set down in decisions in 2005,6,7 as this is how contracts and business and stuff works

 

If you buy something that is haemorraghing money, then 2 years after you buy it in debt, your debts are much much bigger.

 

The 138m added to the debt of SJ Holdings is the 138m it cost to buy the club. Ashley created a vehicle (tax reasons etc) to buy the club and therefore needed to transfer the money across to do so. The debt is whats on top of the 138m, which is truly observed in the trend from 2005 of 55 to 70 to 77 to 107 to 150 by 2009 reflects the underlying performance of the business over the whole period.

 

By rights we should have gone bankrupt in 2009, 14 months after he bought the club.

 

I wouldn't want my comments to be taken as absolving Shepherd of any blame. Though he could throttle back and rely on turnover...he'd not quite managed that frequently enough.

 

But given that someone had to come in and do a rescue job, it needed a scalpel touch, it didn't require much to maintain turnover. Spending as a percentage of turnover could have been reduced effectively in the long term, with a sensible approach to buying/selling/management. He decided to assett strip the fuck out of the place with a sledgehammer, gambling on our survival.

 

It might have worked if not for Kinnear/Shearer

 

the question is if he's learned from that. Seemed to have over the last couple of windows. Didn't go for the quick money, made sure we can compete.

Edited December 14, 2010 by Happy Face

[Happy Face 29]

Two things are important, Ashley paid himself 6m back the year we got relegated.

 

What's the difference between "Mike Ashley loan" - down £6m in 2009, and "Total Mike Ashley loan" - up £5m in 2009?

 

[Park Life 70]

You should be looking at the Gross Debt line in the club's account, not SJ Holdings. That went from 77 to 107 the year he bought the club, which was a result of decisions made in 2006/7. The following year the gross debt went from 107 to 150. Thats the year immediately following the sale and is based on revenues and costs set down in decisions in 2005,6,7 as this is how contracts and business and stuff works

 

If you buy something that is haemorraghing money, then 2 years after you buy it in debt, your debts are much much bigger.

 

The 138m added to the debt of SJ Holdings is the 138m it cost to buy the club. Ashley created a vehicle (tax reasons etc) to buy the club and therefore needed to transfer the money across to do so. The debt is whats on top of the 138m, which is truly observed in the trend from 2005 of 55 to 70 to 77 to 107 to 150 by 2009 reflects the underlying performance of the business over the whole period.

 

By rights we should have gone bankrupt in 2009, 14 months after he bought the club.

 

Nice breakdown. Cheers.