Warning from Blue Knights comes home to roost


o Newco Rangers have £1.2m in the bank and the courts have just arrested £620k, leaving circa £600k available.  In early September.  Football clubs have their cash high water mark in June, after season ticket money arrives, with the low-point coming the month before, so is liquidation just around the corner?  Not necessarily.

The club has a couple of significant problems: it’s short of money and has significant monthly outgoings, but it also has assets, and may have buyers for those assets.

Murray Park is an outrageous folly and should be sold immediately.  Protests to secure it have been acts of self-harm; swallow your pride and sell.  This is a football club in acute danger, pretentions of grandeur, and Murray Park is exactly that, should be shed immediately.  Albion car park and the Edmiston House office building are superfluous property assets and could be sold without stopping football operations.

Mike Ashley has an asset Newco want back – stadium naming rights.  He could repatriate these rights as a sweetener in a deal to buy Murray Park, Albion and Edmiston.  Newco could leaseback the training ground, Sports Direct would be able to build a stonking big tracksuit shop on the Albion site and the club could boast to fans that they negotiated back Ibrox naming rights.

This might sound like a bitter pill but it will keep the lights on a little longer, makes irrefutable sense and is relatively painless.  The original Rangers existed for over a century without Murray Park, one of Scotland’s best run topflight football clubs’ Motherwell, train on a school sports field, Newco Rangers could do the same.  A little humility right now would be good for them.

There remains a problem: cumulatively, these assets are unlikely to be worth more than the £4m the club hope to raise in their proposed (not underwritten) share issue.  This is still not enough to see them through the season.  Expenditure for the last season accounts are available, 2012-13, averaged close to £3m per month.  The club will need close to £20m between now and season ticket renewal time.

Creditors must be paid or the club will go into administration.  To pay creditors, without sufficient income or credit, more assets must be sold, specifically Ibrox.

If they go into administration before selling Ibrox, don’t expect events to follow a similar path to the one Duff & Phelps took when administering Oldco Rangers.  Duff & Phelps were appointed by a liquidation specialist with a specific remit.  They even tried to sign a player.  Newco in administration would follow a more conventional route: redundancies would take place and assets would be sold to pay creditors.

Ibrox is the only significant asset administrators would have to sell.  It could generate enough to pay creditors in full and get the club through to the end of the season.  Finding a buyer would be the main challenge, but as we all now know, the club can stand or fall, but whoever controls Ibrox can continue to get a rental return from successor club.

An administrator could dismiss the manager and some other highly paid staff, reducing costs to a more manageable level, and pay ordinary creditors in full.

Newco Rangers need to finish in the top four to be in with a chance of promotion, which would be a challenge, but not an insurmountable one with the right manager in place.  They could be a top flight club next season.

This is not how fans wanted the Newco to progress but after they were unable to raise more than the £5.5m Charles Green’s consortium put on the table to buy Rangers assets, the future was mapped out.

Costs for police, insurance, electricity, IT, office staff, security and the million other items needed by a football club who occasionally host 50,000 people will be no less than circa £17m p.a – before you employ a footballer.

Newco’s income could rise from the £19m they earned in season 2012-13 (though possibly not this season), but there’s just not enough money to run a football team.  Scottish Premiership football would be a chastening experience, the levels of austerity required going forward would be draconian.

Fans can protest that they are watching the same old club all they like, but it’s not going to look anything like the Rangers you or I have ever known – and I knew them under John Greig.  And here’s the nub, the most optimistic financial projections are based on Newco selling the same number of tickets Oldco sold.  Would a Newco competing alongside St Mirren and Kilmarnock sell any more than the 23,000 season tickets they’ve sold this year?

The long-term financial fundamentals remain unchanged.  In 2012 the Blue Knights concluded there was no viable future for football at Ibrox if Rangers were liquidated.  Two years later all the evidence reaffirms that position.  This is a dead multi-club franchise.

Looking forward to the Maestro Match tomorrow.  See you there.

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  1. Dallas Dallas where the heck is Dallas on

    I meant to put in an earlier post the Aberdeen fans will glory in our champions league qualification failure sorry

  2. Dallas



    We should drown out the dons by our own voices. I am up for a Celtic mass sing song in Paradise on Saturday. :)

  3. jinkynewton



    The 4g pitches are amazing mhate. Kids playing on great surfaces at alloa, Falkirk, Stirling and the like all over the country. Just need to pap the XBoxes oot the Windae!



    I think we’ll see some good kids coming through in Scotland.



    HH jamesgang

  4. TBJ



    Cheers for that auld yin :-)



    Ps I completely respect the wishes of anyone who wishes to see an end to both Republican and Orange parades.



    Just don’t ever equate the two, that’s ignorance.

  5. Jinky newton….



    Most kids in Ireland aren’t remotely interested in Scottish fitba.



    Sad but true.

  6. Scotland isn’t doing to bad, when you consider the cost of players like McCarthy, Snodgrass, McGeady, Fletcher, McCormack – that’s some serious wedge.

  7. HT,



    Don’t forget he was a hunchback as well.



    I mind my ma telling me that years ago and saying “you do realise how he ended up a hunchback” took me quite a while to work out what my ma meant ;))

  8. Am I the only one looking forward to seeing the Maestro back tomorrow ?



    What a player that Bhoy was :-)



    Full family day oot to celebrate his return.



    (For me 2nd only to Daniel Fergus McGrain)



    Hail Hail

  9. Ohhhh goodie Ryecatcher’s now on to tell us all how a Republican parade in Liverpool where we were attacked with bricks, bottles and all manner of weapons was, in his words, a ‘celebration of culture’.

  10. Neil canamalar Lennon hunskelper extrordinaire on

    So independence will undermine the pound but stupid Salmond wants to keep it, doh

  11. First time post……..b gentle withe me ;-)



    A big hi to all you mineshafters, happyclappers, moonhowlers, yes/no/undecided, cynics etc………you know who you are……..all smarter than the average (teddy) bear ;-)



    Was discussing Sevco financial position with my brothers-in-law (1 Tim, 1 Hun) in May and and concensus was that administration was inevitable but was it a 1st or 2nd………u can guess the outcome. Anyway was wondering if he’ll still insist on the 25 point deduction his stance dictates……or will the SFA bend/break/introduce rules to make it a moot point. (nothing would surprise me re thems)



    Back to my corner. Hail Hail & KTF

  12. 67Heaven ... I am Neil Lennon ....The angels are with Wee Oscar in Heaven.. Ibrox belongs to the creditors on




    19:39 on 6 September, 2014



    Republican marches are the Irish diaspora descendants commemorating their forefathers’ struggle for independence / against barbaric oppression / resistance…..and the orangitang walk is a march of hatred of another religion (bigotry & sectarianism) …… and, just to further satisfy their lust for hatred, they include the Irish and Celtic in their repertoire of vile hatred… ……

  13. Mrs HJ and I were in the Pot Still for a while last night. It is a regular haunt. Sometimes I meet Bengybhoy Mul in it for a couple of pints.



    It is like many London bars in the City or West End. People in suits mix with locals . Always a great atmosphere.



    Even better if it is run by good Celtic men.

  14. 67Heaven ... I am Neil Lennon ....The angels are with Wee Oscar in Heaven.. Ibrox belongs to the creditors on




    20:02 on 6 September, 2014



    …and what a CELT he was, and still is…

  15. cowiebhoy



    20:02 on 6 September, 2014


    Am I the only one looking forward to seeing the Maestro back tomorrow ?



    What a player that Bhoy was :-)



    Full family day oot to celebrate his return.



    (For me 2nd only to Daniel Fergus McGrain)



    Hail Hail



    Couldn’t have put that better myself. Danny my all time hero with Paul up there too. What a player.

  16. I always remember working with a guy who owned an oil company called caledonia Oil, great guy. He was a big hibee and took young teams round Europe at youth / under 17 level. Always remember him saying that it struck him when in Holland all the European players where right into the fitness etc etc but the Scottish boys were nursing hangovers and smoking fags… Suppose that’s the culture. Also fly into Amsterdam and the place is littered with pitches, I live in rural Aberdeenshire and the town has one really shitty first gen pitch that takes yer skin off if you fall. Doesn’t entice folks off the Xbox. If fat Eck had promised to fix the fitba I would probably vote Yes! But yes we have had some decent ones, pity they all don’t turn out for Scotland.

  17. Dallas Dallas where the heck is Dallas on

    Delaney’s, it would be great to outsing and chant the northern neds next week.



    For about five minutes in the second half v Maribor, the noise inside Celtic Park was fantastic. We need ninety minutes of that next Saturday.



    I should have a better idea if the Green Brigade will be there during the week. My chum who is a member normally let’s me know if they will be there or not.



    I have a feeling they won’t be as they would prefer to be in 111 but the last games they were at as a group, is near where away fans are and I can’t see our friendly, fun lovin polis agreeing to them being next to the away fans.

  18. Only kidding re YES btw.



    Rye, I don’t care if they care about Scottish football, it a market we are rightly targeting as it’s one we can financially dominate… Just like Scotland

  19. cliftonville celt from belfast on




    20:00 on 6 September, 2014


    Jinky newton….



    Most kids in Ireland aren’t remotely interested in Scottish fitba.



    Sad but true.





    Wonder why all the kids round here wear Celtic & Sevco shirts ??

  20. The real referendum has still to come




    the one where Coatbridge will vote to be free of Airdrie.



    You think Alec Salmond and his daft wee stooge Sturgeon could stir things up……. wait till the big one gets going….!



    Viva the people’s republic :-)

  21. Dallas



    My Ryan’s two Green Brigade mates told me today that they are persona non gratis. Sad if true.

  22. thelurkkintim



    So, you have a brother in law who is a hun eh?!






    Very suspicous, if you ask me!






    Welcome ‘tho.




  23. Delaneys Dunky


    20:25 on


    6 September, 2014





    My top three



    1 Danny


    2 Paul


    3 Henrik




    DD mine



    3 Danny


    2 Paul


    1 Henrik

  24. The Comfortable Collective on

    dallas dallas where the heck is dallas


    19:49 on 6 September, 2014



    You are 100% correct to highlight the abuse that Aberdeen supporters have given Neil Lennon over the last few years, non worst than the disgusting behaviour towards him at the league cup semi final between Aberdeen and St. Johnstone at Tynecastle last season.



    However, surely the Aberdeen supporters should be polishing their songs and banners to celebrate Celtics champions league failings. Surely one of the main points of other clubs fans, when they are playing your team, is to revel in your teams shortcomings.



    I hope Aberdeen fans come to Celtic park and spend 90 minutes alternating between supporting their own team and slagging Celtics European performances on the park.



    It’s what away fans should be doing.

  25. 67Heaven ... I am Neil Lennon ....The angels are with Wee Oscar in Heaven.. Ibrox belongs to the creditors on




    20:30 on 6 September, 2014




  26. Most Catholic kids in the North would still be big Celtic Fans, most kids and older Football Fans in the South follow a Premiership team as their first choice and Celtic as their second team. However there is still a strong enough support, you regularly see little kids in the Hoops. A few weeks ago I was in a Supermarket carpark in Carrigaline, just outside Cork and in the space of about 5 minutes 3 cars parked up near me. One was festooned with Celtic Regalia, a young fella and his burd got out of the second resplendent in the Hoops and a guy with a Celtic Trackie top got out of the third one. It kinda made my day.

  27. Neil canamalar Lennon hunskelper extrordinaire on

    We could Remind the dons how they took a120000 hit for our failed CL campaign :)

  28. Cowiebhoy



    Paul McStay was, is and always will be my Celtic hero along with Tommy Burns.



    I can’t wait to see him in the green and white tomorrow it’ll bring back a multitude of memories.

  29. 67Heaven,20:08


    I get the explanation on Republican marches,but OO marches=”hatred of another religion”?? surely you all profess Christianity? all be it both sides from a sectarian or even bigotted standpoint.



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