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Donkey dangler

The thing in the 2016 NCFC Annual Report (Accounts)

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Note 25 on page 33 of the 2016 NCFC Annual Report refers to Contingent Liabilities:

''Additional payments amounting to a maximum of £17,481,540 will become payable if certain conditions in transfer and player contracts at 30th June 2016 are fulfilled.

Additional signing on fees up to a maximum of £5,898,400 will become payable to players subject to the terms and conditions of their contracts being fulfiled.''

---> Out of this combined £23.3 million, some of it will be reduced by payments this season and next while we have parachute receipts.

Of the remainder it would be useful to know how much of the contingent liability only becomes due if we say get promoted to the Premiership (where we will have the money to pay it) and how much becomes due to say player appearances regardless of what division we are in.

The later may have an impact on the resources we have to alter the squad this summer and in later transfer windows. Interesting to hear in Steve Stone''s interview (see link in the other thread) that we do not have a pot of cash and we will have to sell in order to buy.

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[quote user="Donkey dangler"]a maximum of £17,481,540 will become payable if certain conditions in transfer and player contracts at 30th June 2016 are fulfilled. [/quote]I would imagine a large chunk of that money was for bonuses if we managed to stay in the Premier League. As we didn''t, that figure would have been greatly reduced.Good to see you back Tangy, we''ve missed your guesstimates. [<:o)]

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Whilst some of player bonuses will be individual performance and appearance related I would hazard a guess that the vast majority of that sum is linked to promotion back to the Premier League. Last time we got promoted the figure of £11.1m was included in the accounts for such purposes so reason stands it would be more than that given that our wage bill is roughly 50% higher than it was then.

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Does it say how much is due to us were certain things to happen ie more money if Brady and Olssen stay up in the PL. Appearance (international) for Redmond ?

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[quote user="lappinitup"]

I would imagine a large chunk of that money was for bonuses if we managed to stay in the Premier League. As we didn''t, that figure would have been greatly reduced.[/quote]

The accounts were up to the 30th June 2016 i.e. beyond the point where NCFC were relegated so no bonuses were due for 2015 - 16 and therefore not part of the actual liabilities as at the 30th June 2016.

Contingent Liabilities are liabilities that may occur from the 30th June 2016 depending on other factors.

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[quote user="Carrow89"]Does it say how much is due to us were certain things to happen ie more money if Brady and Olssen stay up in the PL. Appearance (international) for Redmond ? [/quote]

We sold Brady and Olssen in January 2017 so you will have to wait for the 2017 Annual Report covering the 2016 - 17 season.

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[quote user="Donkey dangler"][quote user="Carrow89"]Does it say how much is due to us were certain things to happen ie more money if Brady and Olssen stay up in the PL. Appearance (international) for Redmond ? [/quote]

We sold Brady and Olssen in January 2017 so you will have to wait for the 2017 Annual Report covering the 2016 - 17 season.[/quote]As far as I am aware the accounts have only ever given a global figure for contingent liabilities of this kind. They have never specified  X amount of money for Player X for Reason X or Reason Y.

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Incorrect. The accounts disclose contingent liabilities. They don''t disclose contingent assets at all.

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[quote user="PurpleCanary"][quote user="Donkey dangler"][quote user="Carrow89"]Does it say how much is due to us were certain things to happen ie more money if Brady and Olssen stay up in the PL. Appearance (international) for Redmond ? [/quote]

We sold Brady and Olssen in January 2017 so you will have to wait for the 2017 Annual Report covering the 2016 - 17 season.[/quote]As far as I am aware the accounts have only ever given a global figure for contingent liabilities of this kind. They have never specified  X amount of money for Player X for Reason X or Reason Y.[/quote]I am a simple soul and get easily confused and fall into error, but just in case anyone has become confused about what is right and wrong here, and cares enough, I believe my above post is correct in every respect.

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[quote user="PurpleCanary"][quote user="PurpleCanary"][quote user="Donkey dangler"][quote user="Carrow89"]Does it say how much is due to us were certain things to happen ie more money if Brady and Olssen stay up in the PL. Appearance (international) for Redmond ? [/quote]

We sold Brady and Olssen in January 2017 so you will have to wait for the 2017 Annual Report covering the 2016 - 17 season.[/quote]As far as I am aware the accounts have only ever given a global figure for contingent liabilities of this kind. They have never specified  X amount of money for Player X for Reason X or Reason Y.[/quote]I am a simple soul and get easily confused and fall into error, but just in case anyone has become confused about what is right and wrong here, and cares enough, I believe my above post is correct in every respect.[/quote]

So what value are you adding to my original post about contingent liabilities?

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[quote user="T"]Incorrect. The accounts disclose contingent liabilities. They don''t disclose contingent assets at all.[/quote]

But the notes to the Financial Statements may contain a note relating to contingent assets just like a different note regarding contingent liabilities.

May I refer you to International Accounting Standard 37

and:

a)pages 306 and 307 of Financial Accounting and Reporting (17th ed.) by Barry Elliott and Jamie Elliott

b)page 193 of International Financial Reporting (5th ed.) by Alan Melville.

In addition i believe that if you search the records you will find that contingent assets have appeared in a prior Annual Report of NCFC. but I am not going to spend the time looking through my records.

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[quote user="Donkey dangler"][quote user="PurpleCanary"][quote user="PurpleCanary"][quote user="Donkey dangler"][quote user="Carrow89"]Does it say how much is due to us were certain things to happen ie more money if Brady and Olssen stay up in the PL. Appearance (international) for Redmond ? [/quote]

We sold Brady and Olssen in January 2017 so you will have to wait for the 2017 Annual Report covering the 2016 - 17 season.[/quote]As far as I am aware the accounts have only ever given a global figure for contingent liabilities of this kind. They have never specified  X amount of money for Player X for Reason X or Reason Y.[/quote]I am a simple soul and get easily confused and fall into error, but just in case anyone has become confused about what is right and wrong here, and cares enough, I believe my above post is correct in every respect.[/quote]

So what value are you adding to my original post about contingent liabilities?[/quote]Carrow89 wanted to know if the accounts stated specific contingent-liability amounts and reasons for certain players, such as Brady and Olsson. Your reply (as above) was that since they were sold in the winter window (as they were), Carrow89 would have to wait until the next set of accounts for any answer. The point I was making, without being so crass as to spell it out, was that yours was unfortunately a potentially misleading answer, offering false hope to Carrow89, since unless the club changes policy and starts listing specific amounts for specific players the next set of accounts still won''t be any help to him.

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[quote user="Donkey dangler"]

In addition i believe that if you search the records you will find that contingent assets have appeared in a prior Annual Report of NCFC. but I am not going to spend the time looking through my records.[/quote]It''s going to be a long night..........http://www.eveningtimes.co.uk/resources/images/3906971.png?display=1&htype=0&type=responsive-gallery

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