___ Eats It Posted May 9, 2008 Group: Member Topic Count: 0 Content Count: 8,158 Reputation: 107 Days Won: 3 Joined: 02/11/2004 Share Posted May 9, 2008 No wonder they won't give USF a break on concessions...http://sportsillustrated.cnn.com/2008/writers/gavin_hamilton/05/06/glazer.united/index.htmlBeneath veneer of success, Man. United struggles with finances As Manchester United prepare to face Chelsea in the first all-English Champions League final in Moscow on May 21, it might appear that everything is fine and dandy with the club's owners, the Glazer family.Scratch beneath the surface, though, and a very different story emerges. This week it was revealed that the club suffered a Ã‚Â£58 million loss last year and now owe a total of Ã‚Â£764 million to their various creditors. The accounts for the year ending in June 2007 also disclosed that United owe Ã‚Â£56 million in outstanding transfer fee installments to other clubs.NOTE: Some math for you - 764M Pounds = 1.49 BILLION DOLLARSMost worrying for the Glazers is the news that they still owe Ã‚Â£152 million to hedge funds at a rate of interest of 14.25 percent. (Another Note: Interest on just this 296.5 million dollar portion is over 42 MILLION a year). With a recession threatening to engulf the world's financial markets, the Glazers cannot find anyone willing to take on the debt at a more reasonable interest rate. The hedge fund loans were the most controversial element of the financial package used by the Glazers to fund their takeover of United. This "leveraged" buyout loaded liabilities onto a club which had previously been debt-free. Now the Glazers are struggling to re-finance.The Champions League final will thus be a battle between the free-spending oligarch in Chelsea's Roman Abramovich and the credit-crunched Glazer. While the English media speculate that the Russian billionaire will use a slice of his Ã‚Â£12 billion fortune on a world-record bid for Lionel Messi, United fans must contend with the news that the Glazers only paid off Ã‚Â£42 million of the Ã‚Â£81 million in interest due on their debts last year. The outstanding interest payments, accrued to the hedge funds, have been rolled over, to be repaid in 2016 -- or whenever the Glazers can re-schedule their debts.****************************************Wow. Those amish-bearded mofos are in debt up to their beady little eyes! Link to comment Share on other sites More sharing options...
This topic is now archived and is closed to further replies.