I’ve been trying to think if there are circumstances where a company has appointed an administrator when they have been paying all debts when due. Newco Rangers are, to the best of our knowledge, paying creditors when due and have enough cash to continue to do so until the anticipated arrival of cash receipts from new season ticket sales. They are, therefore, also able to fulfil obligations to current season ticket holders to stage football games.
It may be advantageous to the club to call in the administrators, because we all know how this story ends, but before you ask an administrator to ‘do his thing’, you need to give him a job to do. Right now a Newco Rangers administrator would be able to pay all creditors when due – and would have money left over.
Under these circumstances, an admin would have difficulty breaking the contracts necessary to reduce costs for next season. Before a court would agree to appoint an administrator appropriate justification would need to be found, and I don’t see it, yet. There may be as-yet unpublicised justification, but I suspect it would require a thoroughly creative, creative accountant, to produce it.
Season ticket sales for next season imposes an obligation to stage games all the way through to May 2015. If the club have little or no chance of meeting obligations between now and then, the directors must recognise this fact when it formally becomes apparent, stop accepting season ticket money, and appoint an administrator to protect creditors’ interests, before they start to consume this cash to pay for day-to-day expenses.
This is the point administration would normally be considered.
There has also been a great deal of hot air about trading insolently and illegally. Companies are allowed to trade while insolvent if they have a reasonable belief that they will be able to generate enough cash to pay creditors when due. Right now, for Newco, this means they can continue to trade while season tickets are on sale. Doing so beyond the renewal deadline, even in the face of terrible sales, is legally justifiable.
The same goes for claims of foul play over Graham Wallace’ pronouncements in December that his club had enough money to get to the end of the season. It was simply wrong that Newco had enough money to get to the end of the season, but projections – any projections – are so caveat-dependent there is no way the police will do anything more than take a cursory look at the issue. Whoever reported Wallace either doesn’t know the mechanics of projections or is simply trying to pee in the Bovril. If you’re visiting Ibrox soon, avoid the Bovril.
Flying a kite, in the form of a proposed share issue in the autumn, will legally allow the directors to gobble up season ticket money between now and then. If/when investigated following an insolvency event, directors can point to the £22m share issue in 2012 as an example of what they planned to do once the season ticket cash was gone. In short, they can trade throughout the summer, until whatever money they bring in is spent, without fear of personal rebuke or liability.
I was reminded in an article in The Herald this morning of the critical move, made back in 2012, which brought the club to its knees today. “The Rangers Supporters Trust urges fans not to renew season tickets”.
This stance was adopted in an attempt to force Charles Green to sell out to the Blue Knights group. Green was forced to ditch his sustainable business plan, promise to spend big, reward his manager with a contract worth circa four times as much as the one on offer and slash season ticket prices. The original plan was to pay players no more than £50k p.a., retain the manager on £200k p.a. and ask fans to back the future by buying tickets at full price.
Notwithstanding the limitations of the manager, Newco should have reached the Premiership with money in the bank from the IPO, while the original investors in the club, including Green, could have taken the long view, and avoided the unseemly haste to get their cash out.
They would have been a significant force to be reckoned with, Celtic’s guaranteed ticket to the Champions League qualifiers would have been competed for, for at least a season. If you see Paul Murray, any other Blue Knights, or their performing puppets, thank them for all their work.
Big Picture: Find the lady
Keep an eye on the property assets. The Rangers FC Ltd’s major creditor is also their only shareholder, Rangers International PLC. After an insolvency event RIFC would be entitled to acquire property assets to compensate for their satisfied debt. Once this happens they can jettison TRFC Ltd to its fate. They can sit as landlords for as long as TRFC can pay rent, or use their assets for a mixture of landfill (Ibrox) and housing (Murray Park).
Big Picture: Fundamentals
While considering all these fast-moving events, don’t lose sight of the overarching fundamentals. It costs circa £17m to operate Ibrox and Murray Park as football venues, before you employ a footballer or coach. No one has suggested how any club in Scotland, with this level of infrastructure to support, is viable without regular Champions League income.
There is a working assumption in some places that a Rangers brand can phoenix indefinitely. This is clearly not the case, a newco takes tens of millions of pounds and tens of thousands of people. One of which will almost certainly not be available next time around, the other of which is in some doubt. My money is on Sandy Easdale’s hunch, that this toxic bird will rise from the ashes only once.
Congratulations to Kris Commons on his enormously deserved Player of the Year award. He and the magnificent Lisa Hague are a credit to the club, and to the values demonstrate so often. As a player, Kris has been peerless; so valuable, so in tune with his surroundings, he could have been born wearing green and white hoops.
We have a few tickets available for the Supporters’ Association 70th Anniversary Dinner Dance this Friday at Celtic Park. It’s always a great event, let me know if you would like to be there, celticquicknews@gmail.com
Signed copies of Yogo Bare available below:
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“Notwithstanding the limitations of the manager ”
I swear on my life I was eating a steak bake as I read that and almost choked on it when I laughed!!!
Coincidence csc
Season book renewals arrive today…a week after some others got theirs.
westcoastbias csc ;)
Turkeybhoy.
And if he says that he did when questioned, is the sign held by the gb, the correct message we want to send out?
As the gb message doesn’t name lg, is this the message we should be sending out anyway?
Can we stop talking about spandex and get back to politics!
Furthermore this isn’t a company with a trading history of good times and bad times, boom and bust, rise and fall with a trade cycle. It’s a company whose fortunes have nose dived from the start and is now flat lining with no realistic prospect of improvement.
It’s against that background the directors duties and responsibilities have to be judged.
In the recent Real vs Bayern semi-final, Pep Guardiola put two keepers on the bench as he was concerned about Nueuer’s fitness.
My son reckoned that MON did this with a Celtic selection once but I cannot place this at all.
Can anyone recall such an occasion?
Hamiltontim is praying for Oscar,
That is the most ridiculous reply you could have made.”He may have sang the song”
He may also have gone outside and mugged a couple of pensioners 5 minutes later.
In a pub filled with around 100 people all singing,your notion that LG may have sang the song,is ludicrous.Where is your “Beyond reasonable doubt”proof.”May have”does not cut it.
You dont know if he sang it.Why would you imply by your posts,he did?.
No Celtic player was mentioned on the GB banner.
It was a reminder of the expectations at this club.
As for the Bobby Sands banner. It was Bobby Sands AND William Wallace.
Why does everybody forget the scots part of it.
The Honest Mistake loves being first
12:48 on
28 April, 2014
Turkeybhoy.
And if he says that he did when questioned, is the sign held by the gb, the correct message we want to send out?
As the gb message doesn’t name lg, is this the message we should be sending out anyway?
I have no objections to the sentiments on the banner.I agree with them.Wrong time to show it.It was,aimed at LG.M
I’ve just had a slice of toast with a thick slice of butter from a grass fed cow.
Yummmyyyy.
MWD says YES
I reckon the wrong conclusion has been reached in this article.
These are probably Celtic supporting weans whose bladders cannot be expected to cope with the relentless amusement emanating from Ibrox
Celtic weans
Source – Pathway – Target
The fundamental way of dealing with pollution.
Find the source of the pollution and stop it….or prevent the pollution getting to the target (pathway)……or……remove or modify the target to stop it being polluted.
If the pollution in this case is malaise or disenfranchisement affecting the Celtic support then you have to consider each area in isolation.
There are many supporters who are not affected and so won’t see a problem, however that does not mean the problem is not there.
If the affected target in this instance is sections of the support, attendances fall as the malaise or disenfranchisement spreads. So can we remove these supporters to stop the rot? That doesn’t make any sense. It is self defeating to continually remove the affected supporters be they G.B. or mightytim’s boy or the many others who have decided to pack it in.
There are quite a few people who would see this as the easy solution but if they were honest or fair or a bit more savvy even, they might want to consider alternatives.
So you might want to consider the source or the pathway.
The pathway is the present acquiescence of the board (or the perception of acquiescence) to cow-tow to the corrupt governance of the authorities, be that R.C. Ogilvie and S. Regan or Police Scotland and their agenda of harassment.
Again, there are many who would deny this is a problem. It is not a form of pollution, rather modernisation. If that is how you see it then maybe you just accept downsizing and sanitization as the solution.
The source is the leadership, or the heid honcho’s of Parkhead and their policies regarding the support and the governing bodies (footballing and policing)
It is not in the hands of the support as BRTH or Auldheid espouse to tackle this problem. It is for the PLC to continue with present policy and allow the pollution to run its course until the effects are complete…..or they recognise and take measures to address it.
Meanwhile it affects the support more and more …..day in day out as we see on these pages……. as people become more and more antagonistic. The pollution is taking hold and we are all falling victim to it whether we admit it or not.
Turkeybhoy
It’s ridiculous simply because I have shown that you lied about my reply?!
I’ve said my piece, you’ve said your’s, time to move on methinks.
Hail Hail
They might take our banners but they’ll never take our freedom.
Turkeybhoy:
Without proof, are you implying by your post that he might not have sung it?
The GB banner was its content right or wrong ? in my opinion it was correct and did not single out any one player.The content of the banner could almost be printed on a business card and be given to any player to carry in his wallet when signing for Celtic.H.H.
Paul67,
All that was missing form the article of our old friend “amortisation”. A forensic analysis of the (wrong)doings down in Govan. Thank you.
Turkeybhoy.
In a team filled with around 30 footballers,your notion that LG is the target of the banner,is ludicrous.Where is your “Beyond reasonable doubt”proof.”May have”does not cut it.
You dont know the gb targeted lg.Why would you imply by your posts,they did?.
ernie lynch
12:44 on
28 April, 2014
Turkeybhoy
12:43 on 28 April, 2014
What’s the chances there might be other videos of the same event?
Whats the chances there are not?.Why bring supposition into it?.
If there were other video evidence of the incident,I am positive our friends in the DR would have let us all know about it.But it would make no difference to you.You have already told us all you are convinced of his guilt.
Turkeybhoy
What is Griffiths doing then?
Turkeybhoy
You avoid things eh?
Are you calling me a liar
What has the media’s reaction been?
The Honest Mistake loves being first
12:59 on
28 April, 2014
Turkeybhoy.
In a team filled with around 30 footballers,your notion that LG is the target of the banner,is ludicrous.Where is your “Beyond reasonable doubt”proof.”May have”does not cut it.
You dont know the gb targeted lg.Why would you imply by your posts,they did?.
For you to print this post is the only thing “Ludicrous”.If you can honestly tell me that you cannot see a connection between the banner and LG,then you are talking nonsense.
Just washed that down with a nice half pint of full cream milk.
Oooooffffftttttt!!!
Talk about amber necta.
MWD says YES
Paul
You’ve out done yourself, once again.
A piece that both informs and entertains.
I especially like the ol’ Freudian slip: ‘trading insolently’.
Love it … !
FF
Turkeybhoy.
It was a copy and paste job of your last post.
Glad you thought it was ludicrous.
Things are getting tight Ian Durrant’s trying to sell his air guitar on ole ebay, at twice the price he paid for it.
BIG-CUP-WINNERS
12:59 on
28 April, 2014
Turkeybhoy
What is Griffiths doing then?
What every one of us has done.Been up belting out songs.Is that a problem.You still have not answered me.When the offensive song started he sat down.Did you actually see or hear him singing the song?.Do you think on the evidence,he is guilty?.
Are sevco still alive. …because you are all in trouble now ,when they raise those season ticket millions, there will be no stopping them
They will be sp champions in three years….and then, Champions league….beware
Don’t say I didn’t warn you all
HH
Cream Eg or Twix for pudding guys, what do you all think?
MWD says YIPPEEE
Joe Filippis Haircut
12:57 on
28 April, 2014
The GB banner was its content right or wrong ? in my opinion it was correct and did not single out any one player.The content of the banner could almost be printed on a business card and be given to any player to carry in his wallet when signing for Celtic.H.H.
—————————–
I dont think its any coincidence that the banner appeared at this time, so it was clearly a reaction to the LG situation
A poster used the phrase ‘timely reminder’ earlier, meaning it was the correct time to remind players what is expected from them when they sign for celtic
i like that phrase, the banner could have been put up anytime over the last 125-odd years but there are times when it is correct to bring things like this to the fore to remind players who maybe werent brought up in the culture
Some of you could start a brawl in a Werther’s Original advert. Granda would get a doing.
Moonbeams WD. Rooting for Wee Oscar. Voting ‘YES’ on the 18th of September. Kano’s yer man.
13:08 on
28 April, 2014
Cream Eg or Twix for pudding guys, what do you all think?
MWD says YIPPEEE
================
BOTH,
dip the twix fingers into the cream egg – scoffin’
Moonbeam,
Foxes double chocolate cookies washed down with coffee.
The Honest Mistake loves being first
13:07 on
28 April, 2014
Turkeybhoy.
It was a copy and paste job of your last post.
Glad you thought it was ludicrous.
That reply is even more ludicrous than your post.People trying to be smart and failing is frankly embarrassing.
Pot Kettle Black
GB Banners ? maybe people in glass houses shouldn’t throw stones.
Turkeybhoy.
Lol. I’m not embarrassed, are you?
All taken out of context, racist my arse, so they sang a song about a guy being an immigrant, I got that so many times when I moved to Canada I couldent count how many times I was called it,I suppose that it’s just the Uni. PC brigade getting there agenda noted, I just laughed at it as it wasent meant, now a days it’s a no no I get that, but it’s getting a wee bit OTT, don’t see Hearts or the Player involved complaining, he prob. Confirms what I have just said, then again he may he may not, only he knows, and only LG knows if he sang it. As I said it didn’t bother me, that make me a racist?