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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rwe
16:10 on 28 April, 2014
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You and your son are braver men than I could ever be. Puts a lot into perspective, horrible disease.
Geordie
Kevin Bridges will be there.
Charliemac
Murder and mayhem was carried out on all sides. I know because I was there. I agree with you that it should not be glorified now, especially as the people concerned have moved on and embraced a new way forward. The armchair rebels need to leave it be.
charliemac
16:54 on 28 April, 2014
‘I am an Irish Citizen’
###
Then I would assume with a degree of certainty you’ll be aware of the song.
And I’d assume, albeit with slightly less certainty, you’d know what it was about.
So it only remains for you to say whether you would condemn those who would sing the song at Celtic Park.
Ernie Lynch 16.12
Perhaps that is the basis of the statement about not making a statement.
“We see no point in making any statement that changes nothing and will simply be portrayed as an act of schadenfreudal epicaricacy.”
That should clear the air.
Corkcelt.
Sometimes God’s wee saints already walk among us.
Thank you Fhriend. She was inspired and tickled by the notion of a bunch of fitba fans praying for her.
God Bless you too. You’re in my wee box too from here on in!
HH jamesgang
Bada Bing. Thanks for your words
Ernie Lynch. Thanks for tip on the name Lou Gehrigs is the more common name here.
Cultsbhoy Just did a wee video call and he says he sees you comment. Thanks
Leftclicktic. Thanks. Appreciate it.
DBBIA. Thanks. Just wish there was a known cause and then we’d work on a cure.
Hamiltontim. Thanks. Tony was a High School English teacher for a while
jamesgang. Thank you. Know you have had your own challenges recently
tomtheleedstim. Yes. He told relatives recently that his weightlifting career was over. :o)
pogmathonyahun. He’s the man really. I just float about.
HH
Auldheid
17:19 on 28 April, 2014
Are you suggesting that Lawrie from Dennistoun is responsible for Celtic’s PR?
Mind you, it would explain a lot.
Ernie Lynch-
I have observed from a distance that you engage a select few over your shock and awe conversational style.
I am still awaiting a response from you over my lengthy reply to you when you addressed me directly by asking if I was a “Nat”.
The silence is deafening…
The club just need to release this:
http://data.companieshouse.gov.uk/doc/company/SC004276
as a statement.
It’s in black and white, why do some need the club to confirm it?
Here BMCUW his been quiet since he landed must still be in his Mams :)))))
Living_in_the_Love_of_the_Commons_People
17:22 on 28 April, 2014
You’ll forgive me if I haven’t giving your post the attention you feel it deserves.
In truth I don’t recall reading it.
When was it?
Could you copy it, or do you expect me to go looking for it?
Any of the north east CQN lads about? If I remember correctly there’s a wee hootenanny taking place in Eberdeen on Wednesday! Anyone got details on where or when? I’ll be up in that area, not booked any digs yet. So if any loons or quines could pass on details, I would be extremely grateful.
Mmmm,
I see that the tuneless and clueless resident of the Rubber Room has credited Trotsky with the first use of -racist .
Wrong ——— an American called Richard Henry Pratt was using the word in the early 1900s ———– some 25 plus years before Trotsky used it .
I’ve noticed a narky streak in Ernie the past couple of days. I’ve also noticed these irritable”periods” come round every 4 weeks or thereabouts.
I reckon he might be”on the rag”, so a bit of sympathy and is understanding required.
Frantic07- I’m meeting Ylurc and LambosFrontTeeth in the Prince of Wales at 7.45 on Wednesday.
You’re more than welcome to join us.
Softunis- me and your old da off to Haltwhistle to relieve them of some beeves
Oh how I wish we could retrieve and read our previous posts!
I said right at the begining that Craig Whyte had split the entity in two……..the part which owns the bricks and mortar and the part that operates a football team.
When Murray sold the club for a quid everything was owned by one entity.
The bricks and mortar company own everything tangible and all the operating debt of the football company.
Football companies can come and go……….the bricks and mortar company stays….LOL
Seems to me like Ticketus (remember them?), The Easdales, Craig Whyte, Margerita Holidings, Blue Pitch something or other et al are the share holders in the bricks and mortar company and are legally skimming the money?
They would all have been (commercially) extremely foolish to have owned a piece of the football company really.
John Brown understands this
John Greig understands this
Walter Smith understands this
Dave King understands this
Richard gough understands this
Fat Salary McCoist understands this but is complicit in the financial rape of the orc punters….their very own Judas.
Who would have thought?
“Have you got no home of your own”………indeed!
Ernie
I stand by my original comment in it’s entirety – let’s not go down the splitting hairs road.
Surely the point doesn’t take too much figuring out.
To promote one thing and condemn the other suggests that there is a serious problem with their sense of Celtic (and humanity)
South Of Tunis
This the same man who stated that Bobby Sands had condemned Ronald Reagan’s star Wars project even though BS died in 1981 and the Strategic defense initiative was only rolled out in March 1983
Trivia Quiz
Who was the British man who won Olympic Gold Medal in his athletic speciality who also played football for a then 2nd Division (would now be Championship) English side?
Should be easy of you know the history. I actually saw him play so that should narrow it down a wee bit :o)
Addiscombe CC
17:35 on 28 April, 2014
You’re obviously a classy guy.
I look forward to you entertaining us all with further such instances of witty repartee and badinage.
timbhoy2
16:06 on
28 April, 2014
there is not a person on this earth ,who can truthfully say they havent made racists or bigot comments, .if there is he or she is the only one .
=========================================================
Don`t think this guy has, but he wouldn`t tell you…
http://www.imdb.com/name/nm0555617/
RWE- Faither?
DBBIA
Nope although Ronnie did about every else it seems
ernie lynch
15:32 on 28 April, 2014
I wouldn’t know what the meaning of the song is , haven’t a clue to be honest just like you and everybody else.
Ernie-
It was about a week ago, not sure how to find it.
The fact that you chose to ask my political affiliations (of which I have none) and then completely ignore my response says it all really, as at the time you were harassing another contributor at the time as I remember.
Thunder Road my son has had this operation done twice. He needed 2 ligaments fixed results of injuries in his chosen sport. First time in 2009 and was done in Bradford through the English institute of sport. Unfortunately this came undone due to the way it was fixed and again his sport. 2nd time done in Ross hall through Scottish institute of sport. This was early 2011 and he has had no trouble since. The surgeon was Mr Kumar who is recognised as the best in this field. Long time rehab helps also.
Hooe this helps..
‘A man must be a Celt on and off the field, otherwise he is of no value to this club’. Willie Maley
”It’s Not His Creed Nor His Nationality that Counts, It’s the Man Himself” Willie Maley
LiviBhoy – God bless wee Oscar @ 13:34
Thanks for the fine post about LG and the Roseburn. I have deliberately avoided discussing it with staff and punters since, and none of the resident hibees have said anything.
Might venture a question or two next time – that’s if they are not hanging themselves from the light fittings! Pretty much resigned to play offs even before the derby game !
Interesting that on Saturday night, a quick chorus of a hibee ditty (not that one!) emanated from their table, quickly met with a few ironic jeers from the jambo fraternity. All over in a few seconds and quite good natured really.
No Celtic players were harmed in the telling of this story. HH
DBBIA .
Dont let him anywhere near whisky or Newcastle Brown . If he needs pacifying ,his Art Tatum box set usually does the necessary.
Celtic team to play in Glasgow Cup final: McCabe; Wardrop, Hill, Breslin, McIlduff; Nesbitt, McCart, Thomson, Tierney; Hendry, Lafferty
@CFC
hun skelper
17:52 on 28 April, 2014
ernie lynch
15:32 on 28 April, 2014
‘I wouldn’t know what the meaning of the song is , haven’t a clue to be honest just like you and everybody else.’
###
I take it you’re referring to the ‘Rudi Skacel is a f*cking refugee’ song?
And you don’t know the meaning of it?
Yet, apparently, you can access the internet and post on a website.
Wow.
Brattbackinanger. Thanks for the details. Hopefully I can make it along, usually stay in Peterhead. Will try to get a guest house/hotel near the meeting place. Once again cheers.
RWE
I think Daley Thompson played football in the 90s but I don’t think his team was in the 2nd tier.
Got to go out so…
Trivia quiz answer is Daley Thompson. Twice gold medal winner of the decathlon, 1980 & 1984.
He played for Mansfield but I saw him turn out for Reading FC at the old Elm Park ground. I was in the covered south terrace opposite the main stand.
At the final whistle, Daley came over to the terracing smiled, waved then walked away…with his shorts down over his bum. Huge cheer and much laughter. Still the joker even then (circa 1993/4), but today he would be up on a charge for that.
His first ambition as a kid was to play football but he had to settle for 2 Olympic golds.
HH
Living_in_the_Love_of_the_Commons_People
17:52 on 28 April, 2014
Right.
So the gist of it is that about a week ago I suggested you were a nat, you denied being a nat, and since then you’ve been sitting at your computer waiting for a reply?
Is that what we’re talking about here?