King Power Writes Off Entire Club Debt

[ClaphamFox]

6 minutes ago, Royston. said:

This is very nice of him but a sceptic may say he is just doing us (and the next owner) a favour

 

May take a while for us to payback 194 million when we're in the football league for the next 15 years and parachute payments are already spoken for.

But that’s the whole point. We won’t have to pay it back any more because it’s no longer debt.

[Foxxed]

30 minutes ago, 5waller5 said:

It’s not paid, as in money leaving LCFC account to arrive in KP account, however the interest still has to be accounted for in the outgoing accruals. 
 

So the motivation may be:

 

To lower FFP risk

To increase transfer funds

To increase borrowing capability

To simplify accounts for potential buyers

To seek new owners or investors

To show commitment to the club 

 

There are potentially another dozen reasons probably involving tax.

 

Whatever the mix of reasons, as a LCFC supporter, it’s hard to find a negative one. 

Great summary. I can't see it indicates he's going to sell or going to remain the owner. As you wrote, all motivations are plausible.

[AyewJoking]

3 minutes ago, ClaphamFox said:

But that’s the whole point. We won’t have to pay it back any more because it’s no longer debt.

Jesus....

[fuchsntf]

Oh well, we just have jerks on the forum,who prefer to take the negative on everything…I suppose we sit out their pampas-rhetoric, KPs next 5yrs tenure will

show how we ride the history that plays out before us…

[sacreblueits442]

1 hour ago, MrSpaM said:

I guess Covid hasnt hit king power quiet as bad as once thought

 

Does make you wonder quite how much money they actually have

...I am sure it did, long term with China now opening up, the scope to get back the level of sales is now there!!!

[ClaphamFox]

1 minute ago, Royston. said:

Jesus....

That’s ‘Mr Jesus’ to you 

[sacreblueits442]

9 minutes ago, ClaphamFox said:

But that’s the whole point. We won’t have to pay it back any more because it’s no longer debt.

...what he is saying is the Top is tidying up the accounts for a prospective buyer!!!

This is a strange thing to do, and I suspect if it is for a sale, it would be to someone close to the family or someone who is actually in the family.

[smudger63]

1 hour ago, foxestalkisfullofidiots said:

Kieran Maguire said on twitter this was a case of tidying up the balance sheets as its money that would be unlikely to ever be paid back, personally I think its a good thing, would imagine a lot of football owners would leave it as an outstanding debt 

He was on Talksport earlier. He said that it was a loan the club itself was never going to be able to pay back anyway, and the only way they would have recovered the debt, would have been to sell the club.  He likened the loan to a parent loaning money to their children, but them knowing and the parent knowing they were never going to pay it back. He said it was the owners showing they were still committed.

[Scanchez]

Don't like this one bit.

Stops me from moaning about him.

He's done this on purpose. 

[fuchsntf]

1 hour ago, MrSpaM said:

I guess Covid hasnt hit king power quiet as bad as once thought

 

Does make you wonder quite how much money they actually have

Let’s pray KP have handled the Corona period shrewdly,and also been ok handling and settling further financial difficulties,in the aftermath of W.wide costs chaos.

How much money they really have doesn’t  worry me, It’s an area we can’t control,

I will take what we see on the pitch…that’s the only reason,I am a fan..!

 

Weird last sentence…

[Mendi]

Some good news

[AyewJoking]

16 minutes ago, ClaphamFox said:

That’s ‘Mr Jesus’ to you 

Thank you jesus

[gurru991]

1 hour ago, lifted*fox said:

 

It's tiring af. I don't visit / post here anywhere near as much in the past but it's pure doom & gloom echo chamber 90% of the time and people wonder why everyone in the real world isn't as angry, it's probably because they're dealing with a myriad of other problems and football, despite not being great right now is still only a 90 minute escape from the other bullshit they're going through and they don't spend 24/7 winding themselves up into a frenzy like some on here. 

I actually spend more time at the RedCafe than I do here!! The football chat there is of a way higher quality than here with much less BS.

[joachim1965]

2 minutes ago, gurru991 said:

I actually spend more time at the RedCafe than I do here!! The football chat there is of a way higher quality than here with much less BS.

Off you pop then.

[Jattdogg]

Seeing as they are so generous perhaps they can tack on my mortgage and write that off for me somehow. 

 

Long time fan representing and building the brand in Canada for 30+ years. Back pay for 30+ years work? No? Tears.

 

Lol

 

 

[Clever Fox]

This is a great jesture by KP and should be taken as intended.

 

You can always find negatives if you go looking for them.

 

Top is still committed to the club and that's as much as we as Fans can hope for.

 

Onwards and Upwards we go.

[filbertway]

32 minutes ago, coolhandfox said:

It's only worth what someone is willing to pay.

Not gonna lie, my first instinct was "well thanks captain obvious". You do raise a good point though that KP have effectively taken on the risk now. If the club underperforms then their shares are worth less. If the club progresses then their shares will be worth more. Of course all in theory.

 

[David Hankey]

"I believe with all my heart in Leicester City and what the Club can achieve for our fans, our people and our communities - in Leicester, Thailand and around the world" says Top.

 

That's good enough for me.

[gurru991]

25 minutes ago, joachim1965 said:

Off you pop then.

Well Done !!

You have just proven my point !!

[hackneyfox]

1 hour ago, sacreblueits442 said:

...what he is saying is the Top is tidying up the accounts for a prospective buyer!!!

This is a strange thing to do, and I suspect if it is for a sale, it would be to someone close to the family or someone who is actually in the family.

The family are going to sell the club to someone in the family?
Can you explain that please?

[hackneyfox]

45 minutes ago, Jattdogg said:

Seeing as they are so generous perhaps they can tack on my mortgage and write that off for me somehow. 

 

Long time fan representing and building the brand in Canada for 30+ years. Back pay for 30+ years work? No? Tears.

 

Lol

 

 

Did you really?

[Freeman's Wharfer]

Football fans make me laugh…
 

Some (including myself) have called out the lack of investment and money loaned against the club’s assets and for the first time since they arrived there has been criticism and question of the owners.

 

Said owners then make this move (which is a genuine investment in the club) and the King Power FC crowd take the moral high ground and start calling out those who raised questions as somehow wrong.

 

This is the step in the right direction we have been calling for. This is them doing what we were criticising them for not doing. If anything, it shows we were right to call it out to begin with!

 

But if your unerring and unquestioning love for Top and/or King Power feels somewhat validated today then I’ll let you enjoy your moment!

 

 

[coolhandfox]

50 minutes ago, filbertway said:

Not gonna lie, my first instinct was "well thanks captain obvious". You do raise a good point though that KP have effectively taken on the risk now. If the club underperforms then their shares are worth less. If the club progresses then their shares will be worth more. Of course all in theory.

 

That's OK 

[dynamark]

All fine as long as we get a beer and a cake twice a year -happy days

[Guest TaggertvsWise]

How is this not the top trending topic right now and for the next year. This is absolutely huge.