cc_star Posted 4 March 2011 Posted 4 March 2011 Leicester lost towards £7.5m in the season we finished 5th, Milan obviously covered these losses and then probably made it up with the sale of the club to the new owners However the new owners have already invested £10.85m in players since last July (they probably were involved in Abe signing then) So these loan signings sure are expensive This is in the form of LOANS to the parent company (realistically to loaned to the club) Not going up, could & probably will have a drastic impact on funds available in the summer Source: RL
Bob Weasel Fox Posted 4 March 2011 Posted 4 March 2011 Leicester lost towards £7.5m in the season we finished 5th, Milan obviously covered these losses and then probably made it up with the sale of the club to the new owners However the new owners have already invested nearly £11m in players since last July (they probably were involved in Abe signing then) This is in the form of LOANS to the club, so we better hope we get up so we can pay them back. Source: RL its worrying isnt it
darko2k7 Posted 4 March 2011 Posted 4 March 2011 O god the scare mungers are going to have a field day with this
davieG Posted 4 March 2011 Posted 4 March 2011 Even more worrying is if we don't get up within the 2 years, will Sven stick around, will the Thai's want him to stick around, will the Thai's stick around, it's a risky approach to success. Milan may have found someone to take on the debt's but as the debt's get bigger the number of people prepared to take them on shrinks.
Babylon Posted 4 March 2011 Posted 4 March 2011 However the new owners have already invested £10.85m in players since last July (they probably were involved in Abe signing then) Most likely that includes the wages of current players also for the last 8 months.
cc_star Posted 4 March 2011 Author Posted 4 March 2011 Even more worrying is if we don't get up within the 2 years, will Sven stick around, will the Thai's want him to stick around, will the Thai's stick around, it's a risky approach to success. Exactly - It seems we'll either end up a good Prem team or go bankrupt trying Milan may have found someone to take on the debt's but as the debt's get bigger the number of people prepared to take them on shrinks. I don't think they'll be any guardian angels above these, the only way out of it is success & the untold riches it brings, or we follow the well trodden path taken by Leeds & Portsmouth etc, now that the relatively easy path we took has been closed off.
StanSP Posted 4 March 2011 Posted 4 March 2011 Promotion is a must and we have to get out of this division before this gets any worse. If we keep just throwing money at managers/players and not going anywhere with it, then ultimately we're failing and getting nothing out of it. We have to go up to cover the spending we are doing. I'm sure the Thais will only spend so much before getting annoyed at our inability to get to the Premier League.
Guest NGoloMode Posted 4 March 2011 Posted 4 March 2011 Don't like the look of that at all.. very scary
Jackirius Posted 4 March 2011 Posted 4 March 2011 Meh, don't worry. Sooner or later a Leicester fan is bound to win the euro millions.
cairnsy Posted 4 March 2011 Posted 4 March 2011 Wouldn't worry about it, they're successful business men. They knew what they were getting into. And if they didn't want to spend this much they didn't have to
Miquel The Work Geordie Posted 4 March 2011 Posted 4 March 2011 I didn't expect anything else, to be honest. Nothing to get hot and bothered about.
dave the caveman Posted 4 March 2011 Posted 4 March 2011 I didn't expect anything else, to be honest. Nothing to get hot and bothered about. Exactly. A 7.5m loss is probably quite tidy business in the murky world of premiership chasing championship club finances.
MPH Posted 4 March 2011 Posted 4 March 2011 Exactly - It seems we'll either end up a good Prem team or go bankrupt trying . In all honesty, thats a risk i am happy to take... i would rather we give it a bloody good go than not try at all...
ajthefox Posted 4 March 2011 Posted 4 March 2011 Football club in making a loss shocker I didn't expect anything else, to be honest. Nothing to get hot and bothered about. In all honesty, thats a risk i am happy to take... i would rather we give it a bloody good go than not try at all... These 3 posts sum it up for me really.
Fox in a Box Posted 4 March 2011 Posted 4 March 2011 The Club recorded losses in the year to May 31, 2010 of £7.5m - an increase of £1.3m on the losses of £6.2m in the previous year (2008-09). £110,000 per month basically. £7.7M - 6.2M outstanding.
jonthefox Posted 4 March 2011 Posted 4 March 2011 In all honesty, thats a risk i am happy to take... i would rather we give it a bloody good go than not try at all... You would be. Its not your money. I often wonder what the reaction would be if the club started charging £75 a ticket in order to mount a promotion challenge. Uproar i would imagine.
The Padster Posted 4 March 2011 Posted 4 March 2011 It's no different to what most clubs are reporting. Here it is in full for those who want. Club Announce Financial Results Posted on: Fri 04 Mar 2011 Leicester City Football Club Ltd today announced its financial results for the year ending May 31, 2010. These results reflect the 2009-10 campaign, in which the Club was playing in the Football League Championship and was narrowly beaten in the play-offs by Cardiff City at the end of the season. The announcement comes as the Club strives to secure a place in the play-offs again, following a solid recovery from a disappointing start to the 2010-11 season. The Club recorded losses in the year to May 31, 2010 of £7.5m - an increase of £1.3m on the losses of £6.2m in the previous year (2008-09). Turnover increased substantially to £16.2m (2008/09 £10.9m), primarily due to increased central distributions from the Football League, increased ticket sales and additional income from reaching the play-offs. Match receipts increased in line with increased average league attendances of 23,943 (2008/09:20,250) of which season ticket sales (including half season tickets) were 13,820 (2008/09: 11,610). Cost control and cost containment featured heavily during the season but operating expenditure (excluding staff costs) increased by £880,000 to £9,222,000 (£8,334,000 in 2009). These increased costs include £570,000 relating to the play-offs.The Club also saw the rates for the Walkers Stadium increase to £245,000 after enjoying a reduced cost (of £92,000) in 2008-09 from an overdue rebate. The Club's consistent strategy of retaining a strong squad to fight for a promotion place limited the amount of sensible costs reductions it could enforce and staff costs rose £3.3m to £14.5m compared to £11.2m in 2008-09. Leicester City Chief Executive Officer Lee Hoos said: "Coming on the back of a promotion-winning season in 2008/09, these figures reflect our attempts to capitalise on the momentum generated by our immediate return to the Championship. "Though a second successive promotion ultimately proved beyond our reach, our competitive position going into the final stages of the current campaign shows that these efforts were certainly not in vain. "With the Club now under new ownership, that momentum can now truly be maximised as we seek to achieve our ambition of winning promotion to the Premier League." [see below post for breakdown] The stadium was revalued on 31 May 2009 by DTZ Debenham Tie Leung Limited on an existing use basis at £41.5m.A change in accounting policy from holding this asset at historic cost gave rise to a revaluation reserve (of £24.7m). At the year-end, there were 17 players for which the cost of their registration has been capitalised and were still being amortised over the period of the respective player's contract.The combined net book value of these players was £3m as at 31 May 2010. The Directors' market value of the playing squad at 31 May 2010 was £16.1m. Following a change in ownership in August 2010, the Club's new owners, Vichai and Aiyawatt Raksriaksorn, have wasted no time in developing a football strategy to raise the profile of the Club. Unfortunately, the demanding nature of the Championship and the Club's poor performance at the start of the season led to a change of manager, with Paulo Sousa being replaced with Sven Goran Eriksson. Underpinned with new funding, Sven has brought fresh impetus and vast experience that have strengthened the Club's ambition to reach the Premier League. We are now on-track to aim for a realistic chance of promotion this season. OS
The Padster Posted 4 March 2011 Posted 4 March 2011 Apologies, the list didn't turn out right. Have some images of it instead
Guest ttfn Posted 4 March 2011 Posted 4 March 2011 Wouldn't worry about it, they're successful business men. They knew what they were getting into. And if they didn't want to spend this much they didn't have to Lots of successful businessmen have ****ed up football clubs. The key info here is what's not published: that is to say the club's debt structure, and what is going through in the current year. The thing is that the accounts reveal nothing we didn't already know. It would be interesting to see the auditors' report. Presumably they've signed it off as a going concern, as they did in the year that we made a £14.5m loss, but with the accounts being signed annually, and the status of the football club changing weekly, the annual accounts are worthless to supporters. Since the Thais took over we'll have lost a hell of a lot more, but as long as they are willing to throw the cash in, it's fine. What I'd be concerned about is the fact that it took 9 months to publish the results (i.e. the maximum allowed period of time). It makes you wonder if they're hiding something.
cc_star Posted 5 March 2011 Author Posted 5 March 2011 Exactly - It seems we'll either end up a good Prem team or go bankrupt trying In all honesty, thats a risk i am happy to take... i would rather we give it a bloody good go than not try at all... There is another way, you don't have to go for bankruptcy to get out of this division, Brian Little & MoN both got promoted by building a team, in a similar way to Swansea (£600k profit over the same period) & to a lesser extent Leeds (£1.6m loss) Forest's (although owner Doughty is owed £60m by the club, thanks to them spending so long in the wilderness under his chairmanship). Sadly for Little the funds needed to have a chance of staying up never materialised so we didn't capitalise on the position like we did with MoN. Outspending the division is a very, very risky strategy it really is all or nothing for us now over this season & the next if we don't make it this time around. Sven's running points total points to him doing things as well as could be humanly possible and if it was for the disastrous close-season and start under Sousa, or Sven's 4 consecutive away defeats before Christmas, we'd be comfortably in the play-offs and over-spending what is sustainable for this division would be looking a great bet, as opposed to a slightly risky one.
CKB Posted 5 March 2011 Posted 5 March 2011 I'm not worried about this at all, was to be expected..move on? Worry more if we haven't made the Premier in 2 years time oh and i also believe the Thai's will still back Sven in the summer if we haven't gone up.. .Sven imo will be here till at least next Jan depending on what happens
MPH Posted 5 March 2011 Posted 5 March 2011 You would be. Its not your money. I often wonder what the reaction would be if the club started charging £75 a ticket in order to mount a promotion challenge. Uproar i would imagine. ok mr pedantic.. 'its a risk i am happy for THEM to take.' that better?
jonthefox Posted 5 March 2011 Posted 5 March 2011 ok mr pedantic.. 'its a risk i am happy for THEM to take.' that better?
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