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First Wazzock

The Club Debt

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Id imagine that we will be sticking to the re-payment plan that was set up prior to promotion, unless there is a promotion claus built into it. The re-payment was structured for several seasons in the Championship and I doubt that we will have thrown a vast sum at it just because of promotion... better chance of doing that if we secure a 2nd season up here and all that. None of this is fact, more just my thoughts.

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Bearing in mind the accounts that are expected to be released Nov/Dec 2011 are in respect of the 12 month period upto and including 30th June 2011, it''s likely we will not know much about our 1st season income/expenditure and debt level as a result of one (hopefully first of many!) year in the Prem until December 2012.

So no, we will not be having any "announcement" apart from, annual accounts every 12 months.

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Yes

They made it last autumn, when they explained how it had been rescheduled to be paid over a period of time ending in 2022.

I''m sure that when they sat down with their two main creditors to reschedule the debt they would have taken in cinsideration all three possibilities at thee nd of season 201/11 and agreed repayments accordingly.

Unfortunately this has still not stopped some of the terminally dim from squeaking up on here about the club repaying the debt straight away, as if after the game at Fratton Park some kindly old soul from the Premier League gave McNally a cheque for £40m.

For those with a limited IQ who are unable to remember such announcements from the clubm they can click on this link (below) to the club''s website where is all explained. They can even click on the green link which will allow them to download the 2010/11 club accounts.

http://www.canaries.co.uk/page/NewsDetails/0,,10355~2234274,00.html

A word of warning. Some of the not too bright might be a bit put off to find that the figures produced by the club (and signed off by independant auditors) that relate to transfer fees don''t match the idiotic figures that are usually quoted as ''fact''on here.

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Why not ask Tangy to knock up a set of accounts. If course, you can''t expect them to be exact without giving him full details but they''ll be very close (within a few million either way). [<:o)][+o(]

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No need to Lapps. I always rely on City 1st. All knowing, a brain the size of Mrs Miggins Pie Shop and a damn nice chap I am led to believe.

Having said that he doesn''t seem to like us old boys who live sarf of the border

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There is nothing to stop the club making a financial announcement before the accounts come out. It has done so in the past. As to the debt, it needs to be borne in mind that not all the bank debt has been rescheduled to 2002, let alone all the debt. What we owe to Bank of Scotland is due to be repaid by October 2013.

 

And that is potentially an important date. By then - at least theoretically we have to pay back not only what we owe to BoS but also £6m of debt to directors and ex-directors. It is hard to put a precise figure on that combined total of BoS and personal debt, but it is likely to be at least as much as we owe to Axa, for whom the 2022 date does apply. In short, we do not have 11 more years in which to pay off our debt.

 

Of course whether Smith and Jones and Foulger and indeed the Turners are actually going to want their money back is a question. A question that also applies to the holders of B shares, who can now claim the not inconsiderable sum of £1.5m.

 

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[quote user="Tangible Fixed Assets anyone"][quote user="PurpleCanary"]

 As to the debt, it needs to be borne in mind that not all the bank debt has been rescheduled to 2002, .......[/quote]

2002 !?!?

[/quote]

 

A slip. A mere slip. I blame sobriety. 2022, of course.

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[quote user="lappinitup"]Why not ask Tangy to knock up a set of accounts. If course, you can''t expect them to be exact without giving him full details but they''ll be very close (within a few million either way). [<:o)][+o(][/quote][|-)] [|-)] [|-)]

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[quote user="marvin the martian"]"A question that also applies to the holders of B shares, who can now claim the not inconsiderable sum of £1.5m." Is that each ? I need to write a letter !![/quote]

 

 

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In your dreams, marvin, in your dreams...[:P][:D][;)]

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I do not think it is ''terminally dim'' to suggest that as a priority we do pay off the debt. Clearly fiscal policies are in place but the principle here is crucial. Up till now most premiership & championship Clubs have been willing to go into huge debt chasing the dream. In my view football should not go down this root and we should be brave enough to make a stand, and put the debt as our number one priority. If we do this it means we will probably be relegated, and maybe Lambert will go to ''a Club with more ambition'' (cue the rants re ambition and lack of it). Again I believe this is a price worth paying to be solvent and to keep the green flag flying. Obviously the truth is we may have to compromise between the two extremes, gambling and caution. I would prefer caution, but many others would prefer to go for broke. In my view this perpetuates the charade of debt, excessive wages, and asset stripping owners which poisons much of the premiership.

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[quote user="corbs"]I do not think it is ''terminally dim'' to suggest that as a priority we do pay off the debt. Clearly fiscal policies are in place but the principle here is crucial. Up till now most premiership & championship Clubs have been willing to go into huge debt chasing the dream. In my view football should not go down this root and we should be brave enough to make a stand, and put the debt as our number one priority. If we do this it means we will probably be relegated, and maybe Lambert will go to ''a Club with more ambition'' (cue the rants re ambition and lack of it). Again I believe this is a price worth paying to be solvent and to keep the green flag flying. Obviously the truth is we may have to compromise between the two extremes, gambling and caution. I would prefer caution, but many others would prefer to go for broke. In my view this perpetuates the charade of debt, excessive wages, and asset stripping owners which poisons much of the premiership.[/quote]

 

Hello.. Neil.. is that you.. Mr Docaster..hello...

 

I jest, I actually agree with you to an extent. Just because we negotiated our debt to repaid over a long period of time before (because that was the best thing for us) does not mean with our changed fortunes it is still the best thing for us now and cannot be changed!

A crap comparison I know but if I was to win £1million in saturdays lottery would I pay off my mortgage? When I arranged it paying it off over 25 years was best for me, but that would change. The money saved in interest by paying it off eairly would be more than interest gained sitting in the bank.

I also wonder if the 7 players obtained this summer purley chosen because they were realisticly the best player we could get and the players Mr Lambert wanted..or.. were they the players highlighted as being good enough and value for money. After all, we have spent far less than many thought we would no?

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Most of the debt restructurring to 2022 would have contingencies in place for an event like promotion. It might be as extreme as another restructuring taking into account the extra revenue, it might have clauses that state if we stay in the prem this season we have to pay a lump sum to clear some of the debt.

We might never know what conditions are in place.

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[quote user="Paul"]Most of the debt restructurring to 2022 would have contingencies in place for an event like promotion. It might be as extreme as another restructuring taking into account the extra revenue, it might have clauses that state if we stay in the prem this season we have to pay a lump sum to clear some of the debt. We might never know what conditions are in place.[/quote]

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It needs to be remembered that only roughly half our debt has been renegotiated to 2022. Promotion to the Premier League has meant that we now potentially have to repay the other half  by October 2013.

 

Given that, I suspect (only suspect) that there is a not a Premier League Promotion clause relating to the 2022 debt.

 

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