Glazers, Bond Issue and Debt

[RambleOnRed]

Milan Midfielder David Beckham To Be Invited To Become Figurehead For Manchester United Fans' Protest Against Glazers

MUST hoping to have Becks spearhead their movement

Milan midfielder David Beckham is expected to be invited to become the figurehead of the Manchester United fans' protest to oust the Glazers from the club ownership.

The American owners have taken a fair amount of stick from the fans, owing to the debt accumulated by the club in recent years.

Despite the current owners explicitly stating that the club is not for sale, fans have continued in their protest by wearing green and gold scarves as a sign of resilience.

Beckham was recently seen sporting one following the Champions League game between the Red Devils and the Rossoneri, leading to speculation that the former United player was in favour of the campaign to see the Glazers sell the club to the Red Knights.

However, the 34-year-old quickly distanced himself from the speculation, explaining that the protest was not his business. But Manchester United Supporters' Trust are expected to formally ask the former Red Devil to join the movement.

MUST chief executive officer Duncan Drasdo said: "The gesture David Beckham made by putting on the green and gold scarf sent a powerful message to all United fans. Imagine what it would do if he now got fully behind the campaign."

It has been speculated that MUST will also ask another United legend, Eric Cantona, to join in support of their cause.

Source: Goal.com :whistling:

[Vazza]

Also .. aiming for E.cantona's support!
mostly pleeding all manutd legends to join protest against Glazers!

[Noucamp99]

They've asked for all supporters to sign another letter, along with all former players, as far as I know.

[Noucamp99]

Manchester United chief executive David Gill has rejected claims the club are financially unstable.

United's owners, the Glazer family, have been criticised for plunging the Premier League giants into massive debt, with pressure mounting on the American moguls.

The Red Knights, a group of wealthy investors hoping to take over the club, had suggested that United were now working to an unsustainable business model and faced financial meltdown if they continued to operate in such a manner.

However, Gill insists that is not the case and has sought to reassure supporters that the club are in safe hands.

"People presuppose we have financial problems," he said in The Independent.

"We do not believe that is the correct situation. We are very comfortable and we have a sensible business strategy that will continue for many years to come."

Gill has also denied that the debts incurred by the Glazers will impact on the playing side of the club, promising that any money generated from continued success on the field will be ploughed back into Sir Alex Ferguson's first-team plans.

"We fully understand what happens on the pitch has a real effect on what happens off it," he added.

"Over the years, since the Premier League came into existence in 1992, we have had sustained success under Sir Alex Ferguson, with the great players he has coached and managed.

"It has produced significant financial returns that have been reinvested back into the team, the ground, the training ground and also the players; both in terms of new ones and new contracts for existing ones.

"We are lucky to operate in a sport that produces those results. Our history and heritage means we can bring a lot to the table."

He added: "There is also a professionalism about us, so, while we are in an economic downturn, we are one of the quality partners big entities can still associate with."

Source: skysports.com

[Phil-M.U.F.C.]

Red Knights maintain interest
Consortium claim bid to control United still on course

The Red Knights insist they are edging closer to lodging a bid for Manchester United despite reports of rifts emerging within the group attempting to oust the Glazer family.

Getting in excess of 40 wealthy individuals to not only put their money to such an ambitious project, but also agree a unified plan of attack, was always likely to be fraught with difficulty.

Led by leading investment banker and former United director Jim O'Neill, the Red Knights have been inching towards lodging a formal bid for the Old Trafford outfit, which had been anticipated prior to the World Cup's opening game on 11th June.

Suggestions that the whole scheme is doomed to failure have wrong-footed some senior figures within the Red Knights, who have privately claimed that the past fortnight has been quite a productive period for the group.

There have been problems to overcome, not least the volcanic ash cloud that delayed crucial meetings, but there remains an optimism the bid will eventually arrive, even if the Red Knights are eager not to constrain themselves to a timescale.

"Talks have been going better than ever and are progressing very positively," confirmed a Red Knights source.

source: skysports.com

[RambleOnRed]

Premier League clubs prepare for strict new financial rules

Uefa is expected to ratify new financial rules tomorrow that should bring an end to Premier League clubs running up huge debts.

The “financial fair play” rules drawn up by European football’s governing body will require all clubs to break even from 2012 or risk being excluded from continental competition.

The restrictions were first proposed by Michel Platini, the Uefa president, in 2007 and have been developed with the aim of curbing excessive spending among clubs.

They are likely to have a huge impact on teams in the Barclays Premier League, where clubs such as Chelsea and Manchester City operate at a huge loss and are bankrolled by supremely wealthy owners.

The rules will also prevent owners from piling debt on to clubs in the manner of the Glazer family at Manchester United or Tom Hicks and George Gillett Jr at Liverpool. The restrictions should also lead to clubs lowering players’ wages.

However, owners will be permitted to invest permanently in clubs if it is to develop new stadia or academy structures. Similarly, clubs will not be penalised if they have incurred debts by spending money in either of those two areas.

The rules, which should be approved by a meeting of Uefa’s executive committee, are aimed at profligate middle-ranking clubs too, such as Portsmouth, who went into administration last season after running up debts of £120 million.

“We’re not trying to level the playing field,” a Uefa spokesman said. “We want to make sure that the middle-ranked clubs don’t go spending millions that they don’t have as they try to compete with the big clubs.

“The underlying principle is that clubs cannot repeatedly spend more than their generated revenues.”

Source: The Times Online UK

United say they will meet new Uefa spending criteria

United claim they would pass the test, despite payments of £45m annually to service interest on the owners' £507m bond scheme. A club spokesman said: "We support the financial fair play measures. We are confident that we pass them and that we will continue to do so."

The new scheme will come into effect in 2012, although some early flexibility is afforded. Initially, clubs must not return losses of more than €45m (£38m) for the 2012-15 period. After 2015, clubs are given a leeway of €30m (£26m) for three-year losses after which it will be reduced further.

Source: Independent.co.uk (Full story here)

[Noucamp99]

I wonder, though, that where a debt pre-exists this plan, it may be difficult for UEFA to enforce this. So clubs like United and Real Madrid who have a large debt may still be unaffected? Time, as always, will tell.

[RambleOnRed]

Not really news, but might turn out to be useful if anyone wants to catch the show

Manchester United finances under Glazers to be subject of BBC Panorama investigation

Manchester United's finances under the ownership of the Glazer family, the club's £712 million debt and the £80 million raised by the 2009 sale of Cristiano Ronaldo are set to be the subject of an investigation by Panorama, the BBC current affairs programme.

United, who are due to announce quarterly financial results on Friday as a condition of the club's £500 million bond issue, have yet to co-operate with the programme makers ahead of the proposed screening date of June 7.

But with manager Sir Alex Ferguson having not spoken to the BBC since accusing the corporation of "breathtaking arrogance" following a 2004 Panorama expose into the alleged business dealings of his son, Jason, the programme is unlikely to soothe relations.

Although the investigation is understood to be based on a broad theme of football club ownership and the game's financial health, the situation surrounding the Glazers and attempts by the Red Knights to launch a supporter-backed takeover bid for United are believed to form the main thrust of the programme.

Despite the Glazer family's consistently-stated determination to resist any takeover bid, supporter groups behind the green-and-gold anti-Glazer campaign continue to claim that the Americans' business interests in their home country, which include nationwide shopping malls and real estate, are suffering as a result of the economic downturn.

Those claims, and suggestions that United's income is being used to service the club's debt, are understood to form part of the Panorama investigation.

Ferguson has been told he has substantial funds at his disposal should he wish to add to his squad this summer, but the majority of the £80 million banked from the sale of Ronaldo to Real Madrid remains unspent.United have been cleared to reinvest £7 million of the Ronaldo money in the Mexican forward Javier Hernandez, however, after securing a work permit for the 21 year-old at a hearing in London on Thursday.

At the hearing, held by the Football Association on behalf of the Home Office, the club argued that Hernandez deserved a permit on the grounds of "exceptional ability" after failing to meet the criteria of having played 75 per cent of Mexico's fixtures over the past two years. Hernandez, a member of Mexico's World Cup squad, will make his United debut on the club's tour of the United States in July. A game against the player's previous club, Chivas Guadalajara, will be staged on July 30 as part of the transfer agreement.

Source: The Telegraph (UK website)

[RambleOnRed]

Glazer Family Issue Statement Insisting Manchester United Are Not For Sale

Americans have not put club on market

Manchester United owners the Glazer family has announced that the club is definitely not for sale and they will not consider any offers from anyone.

The so-called Red Knights group has been trying to puot together a bid for United, whilst there have also been rumours that the Qatari royal family had lodged a bid of £1.5 billion.

"The board notes recent press speculation regarding a possible bid for Manchester United," the statement reads.

"The owners remain fully committed to their long-term ownership of the club. Manchester United is not for sale and the owners will not entertain any offers."

United chief executive David Gill has insisted that the club's financial state is healthy despite the current levels of debt at Old Trafford.

Source: Goal.com

[Vazza]

great time to call G&G a minority -D.Gill