Albion's £8m pa loss [Wake up call tomorrow for the minority of moaners.]

[Hamilton]

Don't panic Mr Mainwairing! Don't Panic!

These fools in charge of the Albion!

What we need is a proper owner that knows how to run a business - somebody who has actually successfully run a business and made a massive profit in the process. In short, someone who has made millions for themselves and who knows how business works.

And then what we need is a ice cold and solid CEO, preferably someone who has run a football club successfully in the past. Somebody who knows what it takes to run a Premiership outfit!

That's what we need. Not these buffoons who don't know what they are doing and have ploughed money into the club just to lose it and throw it all away!

Barber out! Bloom out!

(Is Simon Jordan interested in running a club again? Do you think? We could get him and Murray back.)

 

[PILTDOWN MAN]

No. I think you can broadly draw the conclusion that to actively try and get out of this division in the right direction you are going to be stretching finances hard.

I think you're right. It does not say though if it was an operating loss. With the debt of the stadium, the expansion, training ground development etc we will be posting a loss for many a year. As stated in the prog. this is currently being covered by Bloom in way of loans and equity investment. In future i'm sure another avenue would be able to be used within the rules. Again it doesn't state if Bloom had to put cash into the business and continues to do so to keep it solvent or that much of debt is created by monies already owed to him by way of previous loans ie for the stadium. The club might not be in a position to service these loans through turn-over revenue, so they are in effect a debt that have been converted. Might all be bollox but without further info the article could be a little misleading.

 

[Change at Barnham]

......BTW Birmingham made a £12M PROFIT last year despite being arguably one of the worst run clubs in the championship. It was of course largely down to the parschute payments.

Didn't they also win the League Cup at Wembley? That must have helped their finances.

 

[deletebeepbeepbeep]

Yes, OK. TB is waiting until 2023 until he gets his £125m loan back in full & despite the club storming the league in terms of revenue, with an average playing budget, the clubs finances are spiralling out of control and are unsustainable.

...or the £8m "loss" includes the loan repayments which are being paid and have been since we moved into the Amex.

Here we go again

 

[The Large One]

Yes, OK. TB is waiting until 2023 until he gets his £125m loan back in full & despite the club storming the league in terms of revenue, with an average playing budget, the clubs finances are spiralling out of control and are unsustainable.

You really should have stopped there.

Jesus wept.

 

[The Large One]

It's important to remember that it's greatly in the clubs interest for the fans to think that the club is losing lots of money, it justifies any future rises in prices.

Oh bore off.

 

[The Wookiee]

Just coincidental this is being announced halfway through the transfer window ??

 

[upthealbion1970]

Just coincidental this is being announced halfway through the transfer window ??

What I thought too

 

[Turkey]

Just coincidental this is being announced halfway through the transfer window ??

Well we're supposedly very close to spending 1.6/2m? on Ulloa...

 

[Alex Alex Dawson oo! oo!]

c£8m loss for the last trading year, c£8m forecast for the current trading year. Official club numbers.

Ouch that's a heavy shelf!
Out of interest, where did you get the info from (ie is it published) and do you know if the 2012/13 projection is what Barber took on when he joined or is this the club's view currently?

 

[kevtherev]

With £85m at stake for making the prem this season, it makes £8m seem a drop in the ocean. But of course, it's only a drop in the ocean if you make it. Message to all those people who are happy to sit around in the championship for the next 4 or 5 seasons, that might please you, but I can assure you it does not please the club. The agenda is clear and anyone that things, that is not the case if kidding themselves. The only way in the long term, this club can keep growing is to go up, to stay in this league long term or heaven forbid ever go down would be disastrous.

 

[Se20]

Well we're supposedly very close to spending 1.6/2m? on Ulloa...

But a player will depart to cover the outlay surely ?

 

[CliveWalkerWingWizard]

Or it could be that tax returns are done in Jan so will be public info soon anyway

 

[Brovion]

Well I can't BELIEVE how inaccurate Mr Naylor's tweet was at the beginning of this thread. This is NOT a 'wake-up call to the moaners' it is the exact opposite, it proves how right we were/are to keep criticising the club and pointing out where they get things wrong.

 

[Sergei's Celebration]

A question to the clever people:

Should i be concerned that we are losing 8m a year? (thats a lot of money in my world!)

If not why not, if so what do the club do to lower the lose?

Thanks,

~Stupid Sergei

 

[nwgull]

A question to the clever people:

Should i be concerned that we are losing 8m a year? (thats a lot of money in my world!)

If not why not, if so what do the club do to lower the lose?

Thanks,

~Stupid Sergei

I'm not concerned. It clearly isn't a massive problem otherwise we wouldn't be looking to pay in the region of 1-2M for a striker in this current transfer window.

I'm still adamant that the 11/12 loss and 12/13 loss will include a large amount of construction costs. There's no point in the club publishing a profit if there is any way that an accountant can show otherwise.

 

[pornomagboy]

We have signed leonardo with a 8m loss

 

[Superphil]

If there was an operating profit I would suggest this would be set against the capital debt or interest payments due to Tony's holding company.

Season ticket prices are obviously going to rise by about 7-10% I reckon but keeping match day prices pretty similar to this season, except maybe some categorising of the big games (Palace, Charlton, relegated prem teams).

It's fairly obvious that the "loss" includes the loan repayment to TB.

I heavily suspect the sole purpose of this press release is to soften the fans up for the inevitable price hike of season tickets coming up.

Lot's of fairly adamant statements on this thread, are you all ITK about this? The points you make are fascinating stuff, and pretty much directly contradicts what the club has said all along, they are turning out to be something of a disagrace, and blatantly lying to the fans, sorry, customers. Oh Well

 

[Garage_Doors]

Financial Fair Play (living within your means).

Thank you.

 

[El Presidente]

I'm sure the books won't say we are making an £8m loss and it's just the Argus and club officials reporting our expenditure, the largest (perhaps excluding the playing budget, but not necessarily) obviously being the loan repayments to TB.

You are extremely financially illiterate.

A) The loan is not rescheduled to be repaid until 2020 at the earliest, and irrespective of that
B) Loan repayments are balance sheet items and therefore not offset against profits anyway.