United debt in Uefa spotlight

Manchester United's massive £342million debt is on the agenda for Uefa's clampdown on FFP.

Clubs were punished this season over losses made over two seasons - but talks will be held on Monday about the next stage of FFP.

Uefa and top European clubs will discuss whether debt-ridden clubs like United should also be punished should they qualify for the Champions League or Europa League.

Uefa general secretary Gianni Infantino said "Even though we're now focused on losses, the debt is, of course, part of the loss.
But the question of debt is something that can be put on the table."

The Glazer family took over at Old Trafford in 2005 in a £790m deal.
Buying the club was funded by loans secured against the club's assets while Chelsea and Manchester City were bankrolled by wealthy owners.

Latest figures show United's debt down to £341.8m from £389m.
The cost of servicing that debt is £27.4m.
In 2010, five years after the takeover, the debt had risen to £710m from £660m but chunks have been paid off.

Out to f*****g get us, w*****s!

total nothing story.

Originally Posted by Sparky***

total nothing story.

So what you're saying is that it wont happen?

£#%&!ing years too late

Originally Posted by crockster

So what you're saying is that it wont happen?

I'm saying that they'll punish clubs like city and psg with slaps on the wrist.

If they want to start talking about debt, well then that includes the likes of barca and madrid and a hell of a lot of european Giants.

Originally Posted by red red robbo

£#%&!ing years too late

City and Chelsea would still be small clubs.

Originally Posted by Sparky***

I'm saying that they'll punish clubs like city and psg with slaps on the wrist.

If they want to start talking about debt, well then that includes the likes of barca and madrid and a hell of a lot of european Giants.

Absolutely.

Wouldn't mind though our debts are serviceable.

Originally Posted by crockster

City and Chelsea would still be small clubs.

I was thinking more we wouldn't have the ginger gimps in charge actually.

Originally Posted by crockster

Absolutely.

Wouldn't mind though are debts are serviceable.

This should be the nub of any rules.

Debt is not bad in and of itself. Most companies have a certain level of debt. What it should be is manageable. Debt is usually judged in proportion to your earnings and United make enough money that the debt wouldn't be considered a problem by and criteria likely to be used.

Originally Posted by red red robbo

I was thinking more we wouldn't have the ginger gimps in charge actually.

True but the leeches are good business men after all and the financial joyride they took us on is paying off.

Originally Posted by red red robbo

This should be the nub of any rules.

Debt is not bad in and of itself. Most companies have a certain level of debt. What it should be is manageable. Debt is usually judged in proportion to your earnings and United make enough money that the debt wouldn't be considered a problem by and criteria likely to be used.

Spot on.

Excellent news, hopefully they mean it.

Originally Posted by red red robbo

This should be the nub of any rules.

Debt is not bad in and of itself. Most companies have a certain level of debt. What it should be is manageable. Debt is usually judged in proportion to your earnings and United make enough money that the debt wouldn't be considered a problem by and criteria likely to be used.

Agreed, especially as the principle has also been halved in the last 5 years.

Am I missing something? Anything that obliges the club to reduce its debt is a good thing. The debt may be half of what it was but it's still £350m, I don't really care that debt is used by companies in the business world, we're a football club that has revenues of around £400m, serviceable or not there is no reason to have a roughly the size of a year's revenue

Wasn't the debt taken into consideration?

Was under the impression that although the amount of debt wasn't really in question but the repayments would be included in FFP. If that isn't the case there are quite a few blues in North Manchester who think that is the case anyway.

Originally Posted by Chris Quayd

Am I missing something? Anything that obliges the club to reduce its debt is a good thing. The debt may be half of what it was but it's still £350m, I don't really care that debt is used by companies in the business world, we're a football club that has revenues of around £400m, serviceable or not there is no reason to have a roughly the size of a year's revenue

Yes, you're missing a sense of perspective. If I had a £400m a year salary, I'm sure the bank manager would be delighted to arrange a mortgage of £350m. Plus I wouldn't have just announced a redecoration deal that would bring in over double that in the next ten years. A nice fancy bar chart from the execs of debt vs revenue over the last five or six years will appease the finance bods. The debt will be managed out until it's held purely for tax purposes. Mind you, people will complain when the Glazers are taking out as much as that in dividends or consultancy fees or whatever they feel is the most tax-efficient way of getting £30-40m a year out of United for themselves (but that we can well afford).

Surely the point of this is (or should be) that if some other vultures are eyeing up a football with the hope of financing the purchase with the same debt model the Glazers used will be deterred because UEFA will say you can't enter the Champions League with a certain level of debt. That could only be a good thing.

Its an all out snide war now for City, PSG and to a lesser degree Chelsea to find ways to get their advantage back

Another one is about clubs not having to submit accounts when not in the competition, like the dippers who would have been sanctioned

http://www.dailymail.co.uk/sport/foo...ious-year.html

Originally Posted by 92ToBury

Yes, you're missing a sense of perspective. If I had a £400m a year salary, I'm sure the bank manager would be delighted to arrange a mortgage of £350m. Plus I wouldn't have just announced a redecoration deal that would bring in over double that in the next ten years. A nice fancy bar chart from the execs of debt vs revenue over the last five or six years will appease the finance bods. The debt will be managed out until it's held purely for tax purposes. Mind you, people will complain when the Glazers are taking out as much as that in dividends or consultancy fees or whatever they feel is the most tax-efficient way of getting £30-40m a year out of United for themselves (but that we can well afford).

We don't have a £400 million salary, we have a £400 million turnover.

Originally Posted by Sparky***

I'm saying that they'll punish clubs like city and psg with slaps on the wrist.

If they want to start talking about debt, well then that includes the likes of barca and madrid and a hell of a lot of european Giants.

Yep, Madrid's debt is probably about the same as United's these days. Can't see them going hard at either of us tbh.