Prior to this morning’s AGM, which got underway a few minutes ago, Rangers International chairman David Somers issued a statement to the stock market, which he intended to reading at the meeting. It contains powerful insight into reality at the club:
“Graham Wallace (former chief exec) wrote a review [in which]he indicated a desire to spend £20-30 millions in reaching the top levels of Scottish and European football. After visits to various City institutions the Board believed that such a level of expenditure would be supported by the City institutions, and the then monthly rate of loss, would also be supported by the shareholders. In the event, this was discovered not to be the case, because when we came to raise funds through a share issue, we soon found that there was a lack of appetite from shareholders to invest significant extra funds just to pay wages and utility bills.”
No. Kiddiin’. Sherlock.
That £20-30m estimate was conservative, more would actually be needed. The funding requirement remains but it has grown as a result of newly-established commercial deals the club accepted to agree short-term funding in recent months. Charles Green found fools in the City but that ship has sailed, it is staggering that the board believed going back to the same well would have been effective.
The penny has dropped, the most important aspect of Somers’ statement is:
“Accordingly, we have moved to cut costs significantly. Like any household, Rangers can ultimately only spend what it earns and, as has been reported in the media, we have moved quickly to bring our costs down and much more in line with our income. Rangers Football Club has been living beyond its means for many years and much of the cost cutting and efficiency improvements should have been addressed years ago by previous boards when we were in the lower divisions. But they weren’t, so we are doing it. A material part of our costs relate to player costs, however, and these can only be addressed over a long period of time because of the length of the contracts. These contracts are often measured in years, not months.”
Bang, there’s your dinner! Newco are rubbish and they plan to downsize.
They can’t do much about property, security or business services costs, as Somers said, the “material part of costs… relate to player costs”, and with a player budget heading closer to Alloa Athletic than Athletic Bilbao, income potential will nosedive.
Fixed costs to operate a football club, which occasionally hosts 50,000 spectators at Ibrox, run to around £17m p.a. Then they have to employ players, coaches and other football staff.
As I’ve been saying for years now, football at Ibrox is not economically viable. They can survive as long as there are assets to sell-off, but the sharks will soon finish off the carcase. More power to Mike Ashley’s elbow.
Today is the LAST POSTING DAY BEFORE CHRSTMAS for CQNBookstore! Orders placed before 14:00 today will be shipped Special Delivery to ensure you get them next day. Take a look around the store, you know about your Annual, and Caesar & the Assassin, but here are tons of Celtic books and DVDs.
[calameo code=0003901718eccc6101c78 lang=en page=46 hidelinks=1 width=100% height=500]
954 Comments- Pages:
- «
- 1
- ...
- 8
- 9
- 10
- 11
- 12
- 13
- 14
- ...
- 26
- »
Afternoon all.
Had to leave work early to collect my 4 year old from nursery as she is unwell. Nothing too serious. Reading this between cleaning up sick and watching Scooby Doo.
Anyway was really enjoying the Tam from Canada thriller, really disappointed that he really is Tony from Castlemilk.
Geordie Munro………..you’re correct, probably a bigger lead at this point.
LEFTCLICKTIC
Shorthouse was also responsible for the remark about crushing the Marxist Republican Green Brigade.
Craigellachie 10…read that too mate…so sad….
Joe Filippis Haircut & The Honest Cover-up
thanks for the response, not sure he would need to sell out Ipox , he will control costs so strictly ( ask any staff at Newcastle about that). 36,000 season tickets were sold under Charlie Bhoys “we are The Rangers” rants, as for the £18m running costs?? Debatable at least.
http://news.stv.tv/west-central/304454-serious-road-accident-in-glasgow-george-square/
Now on STV, thoughts with anyone with loved ones in the area.
craigellachie
This maybe?
http://www.bbc.co.uk/news/uk-scotland-glasgow-west-30580114
Carry on Glamping.
Hamiltontim
Never once did I ever state or say it was me who brought it up at the meeting, don’t you listen? It was my brother who brought it up, I spoke to JP after the meeting, I couldent bring it up I explained all that, you even said you heard JP Tam Donnelly from Canada, that’s not me, I’m Tony, so cut the spin you got pished Saturday night Sunday morning and made an arse of youself, deal with it.
People feared dead in Glasgow bin lorry crash: http://t.co/Cz7OQMj6Tl http://t.co/8sB6SSmszs
6 fatalities seemingly
JIMMYNOTPAUL 1451
The way you put it,it sounds like a Christopher Brookmyre plot line…
the long wait is over
14:21 on
22 December, 2014
Why have informal talks?
Why not have formal , grown up talks?
What a bunch of amateurs.
They are having formal talks in January 27th,I think.
The problem is,there is nothing in the rules to stop Ashley being involved with two clubs in different associations.Playing in Europe will create a problem,but not in the league.Ashley gave an assurance to the SFA that he would not increase his shares beyond 10%.That is how they are able to drag him to Hampden.
If he tells them to “Do one”then,its a different story.Wether they take further action,who knows.What we dont know are Ashleys intentions toward the huns.That is what the “Informal”talks are for.
The Daily Record online has an article about Kano just now.
TOM McLAUGHLIN
Indeed it does,mate.
http://www.dailyrecord.co.uk/news/scottish-news/celtic-fan-who-inspired-childrens-4855439
Thoughts with KANO and his family,and also with those who have been involved in The George Square incident.
Dreadful things both,at any time of the year. But particularly now.
Carry on Glamping.
TonyD
I refer you to my previous post.
I think Ashley knows he will get the backing of the MSM here on his 29.9 or what ever it is and there will be an all out war here, if there isn’t the Ashley is running Scottish football,and the all out war has to come from every club, not just ours, we are one voice and Ashley knows that, so he will be rolling the dice on the rest saying nowt.
Beddiebyes for me,be nice.
Tis the season to be jolly,and thank f..k yer not a hun.
What’s not to like,and why the fallouts when we can just laugh at hunnery?
Just in to say…..
____________
Winning Captains – If yer about…postman just arrived – thanks
to all involved – Hail Hail
Martin Kane and family – if there’s God, he’ll get you all through
this – Best Of Luck.
Off oot, bye.
Hankray,
Aye we were further ahead this time last season.
Mainly due to dropping less points. Partly due to utd having more points this season.
But this time last season we were out of two cup competitions.
HH
hamiltontim
15:04 on 22 December, 2014
TonyD
I refer you to my previous post.
Yes I saw it that only referred to the meeting, what about the rest of it?
tonydonnelly67
15:04 on
22 December, 2014
MA has made it clear he’s not interested in buying other people’s shares again. He can now only get 29.9% by doing that.
He may not need to anyway with his man in charge but it’d make life a lot easier.
m6bhoy
14:28 on
22 December, 2014
Turkeybhoy 13:40 on 22 December, 2014
If as you suggest we play Ambrose in midfield, who do you suggest makes way. Oh and by the way you are wrong. He cannot tackle. Lightweight and powderpuff. Him and Matthews would struggle to negotiate their way out of a wet paper bag.
When we broke the record of shut outs,was Efe not part of that?.When we bear Barca,was he not there also?.I am sure he must have had a good few tackles in these games.Not totally disagreeing with you.A midfield of
Broony,Biton,Efe,Johansen,would not be the worst.Maybe in European games.Who knows.Is it not worth a try?.
He is never a CH,but he has skill.
Double figure casualties at George Square-Sky News
Ooooops,before I go,
Wee reply to 16 ROADS re the Ulster Fry. And the headaches it gives because of the additives.
The offending item in question is a kinda luncheon meat,by ‘eck,it tastes marvellous.
Just googled it,and it seems it’s a Liverpool thing. And not to be confused with a proper OSC Fry. Wi Soda Bread. And stuff. And hopefully beer.
Yer right about the Tennents,btw. But it’s much better than the stuff I’m forced,yes forced,to drink down here!
HH
1) In 2012/13 we won the league with 79 points in a twelve team SPL – pro-rata the lowest ever points total to win the top division (69% success rate) – a repeat this season could mean a close run thing.
2) At this moment we have 38 points from 17 games (75% success rate)
3) If we can repeat this success rate in the remaining 21 games, we will achieve a points total of 85 points.
4) This should be good enough to win the title.
5) We keep our nerve – sign McGinn, Armstrong, Shinnie and Guidetti – recall Fridjonsson
6) Jettison – Pukki, Baldie, Boerrrighter, Berget, Kayal
7) Search for central defensive replacements for VVD, Ambrose & Denayer, all who will go in June
It’s all down to hard work, on and off the field, between now and July 2015 – we MUST be ready to have a decent shot at the £30 million plus CL Group stages.
weeminger
14:33 on
22 December, 2014
Bawsman
14:29 on
22 December, 2014
The results of the AGM have been released to the Stock Exchange. The resolution (no 9) that would have allowed the Directors to release new shares wasn’t passed.
It’s secured loans from MA (or another party) from here on in. If MA really wants control of Rangers I think (I might be wrong) the only really viable option is admin, liquidation and he buys the assets. Otherwise he’s spending millions to get control alone, without even putting money into the club.
===============================================
Thanks mate, I cannot see him buying shares, he’s already got the assets that are worth anything………………….Admin would be my guess.
BMCUW.
That made me laugh.
That’s how bored I am. Looking after a sick child no fun.
Tam far Canada my highlight. Lol
weeminger
14:33 on
22 December, 2014
Bawsman
14:29 on
22 December, 2014
The results of the AGM have been released to the Stock Exchange. The resolution (no 9) that would have allowed the Directors to release new shares wasn’t passed.
Great news Weeminger.
Where did you get this news.I cant find it anywhere.
So the City,have said GTF,Laxey,etc.
I have to say the hounding of Tony Donnelly on CQN is quite appalling and has been going on since Friday evening.
I have crossed swords with Tony on more than one occasion and often disagree with him, but the way a certain clique has ganged up on him is at best puerile and at worst, cowardly and tantamount to bullying.
I exclude HamiltonTim from this as he has accepted Tony’s explanation in response to his post about the JP Taylor meeting/forum. Why can’t others simply accept Tony’s explanation and move on?
I have to admit that I often find some of Tony’s comments to be quite bizarre and ‘way out there’, but I would say the same about most of KevJ’s comments, but he doesn’t seem to be subjected to the same level of attack as is constantly aimed at Tony. Not that I think KevJ SHOULD be attacked for some of his comments. I merely highlight the difference in general approach to both posters.
Of course, that can be explained by the fact that KevJ is strongly anti-board and anti-PL while Tony regularly defends the board against criticism on CQN.
There’s your answer.
Hail Hail.
Distressing news left and right today, strength to those who need it most.
Good posts earlier by Tamrabam and SFTB on different topics, delivering splendid antidotes to some of the self-absorbed bollox that’s been posted here last few days.
Saw only the highlights of the Utd game. Many talking points in the 5 minutes shown. Virgil freezing at the first goal is a concern, although I’ll not have a bad word said about European football’s prettiest centre half.
Interested to note RIFC failing to get shareholder approval to raise the capital to refloat their listing boat. That’s pretty much the last backstop option gone, and it’s down to Ashley now to determine whether to debt fund them. I reckon about 6 months of him dripping debt in will be enough to let him prepack the whole lot, if that’s what he’s minded to do.
In any event, the discordant dynamics at play amongst the major shareholders could have been composed by Melkor himself.
TonyD
I stand by every word of the rest of it. However, I do apologise for referring to you as a snake.
Turkeybhoy
15:16 on
22 December, 2014
http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/12193551.html
Paul67 et al
Shocking news from Glasgow.
Bad news coming out of Glasgow – incident at George Square
The Clutha tragedy last year at the festive period and now this.
My thoughts and prayers are with those affected by this terrible accident.
People hit at Royal Exchange sq too so seems drove up quite a bit of Queen st.Driver had a heart attack seemingly,6 dead say Sky News
weeminger
15:20 on
22 December, 2014
Turkeybhoy
15:16 on
22 December, 2014
http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/12193551.html
Thanks very much.Best news in ages.DOOOOOOOMED,I tell ye.