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. macjay1 for Neil Lennon on

    The Celtic Way


    15:11 on


    6 September, 2014



    Tony Donnelly has a student season card, but he never uses it because he`s in with the Green Brigade, in their section. He was once offered a seat in the directors box, but he declined as he hates them all. He is always going on about how they are out their depth at running a football club. He started the latter day `sack the board` movement. He also invented lateral movement. His gob is constantly having a bowel movement. Hope this clears it up for you.





    This sadly ,may well be an accurate representation of the standards of the Green Brigade.



    Nasty bullying and spiteful.

  2. DD



    Me tae. Dying to see our newbies. See ya there. :)))






    Nope, not going tomorrow and I don’t think our bus is running. See you next week though. :-)



    Weefra HH praying to Wee Oscar.

  3. I’ve never witnessed press hysteria on this scale.


    The desire to persuade people to vote no is overwhelming.


    Question is why?


    Why are they doing this?

  4. sipsini



    Hopefully you can make the ole CQN corner for a wee blether. You may well already know me, small world and all that. Ask BT, knew him for 20+ years plus worked with is 2 brothers for 14 years, but didn’t know who he was on here. Hahahaha.




    Weefra HH praying to Wee Oscar.

  5. Can someone explain to me how to upload stuff on to here.Used to just copy and paste,no worky now.




    That TB song had me, well you know.

  6. http://youtu.be/LVyCQo4kpGQ


    Subhuman Blues by Billy No’Well





    If you are going to post YouTube videos just make sure you have the whole address is the easiest way.



    You can get this by hitting the share button under the video or copy the search bar in its entirety. See above you just missed a couple of wee bits. Hope this helps.

  7. millerston tim


    14:26 on


    6 September, 2014


    If sevco go into admin in the near future (hope so ) will they be deducted 25 points as a new club or more as an older club with all there so called history.lets see them all fighting over where the are a newco or oldco.im sure a second admin means being demoted to bottom of scottish football.here, s hoping. HH



    THEY will be punished in a fashion that has no impact on THEM playing us next year.

  8. quonno



    The question is and always will be for them : who pays the wages?



    Regardless of the fondness Scotland has for them as the big house hun would say ” Who pays the wages and that’s the bottom line”

  9. millerston tim


    14:26 on


    6 September, 2014


    If sevco go into admin in the near future (hope so ) will they be deducted 25 points as a new club or more as an older club with all there so called history.lets see them all fighting over where the are a newco or oldco.im sure a second admin means being demoted to bottom of scottish football.here, s hoping. HH



    Despite the above and much as I would love to see it, I just cannot conceive of THEM going out of business.



    My own view of the end game is King picking THEM up for a song and installing Sir Walter as a totem or bonfire for the great unwashed to rally round.

  10. quonno



    So King is going to put up untold millions of his own wedge to put them back where they belong, mmmmm canny see it myself…



    May only the worst come to them..

  11. Macjay why do you describe the GB as Nasty bullying and spiteful?



    Can’t believe Tony Donnelly is ignoring me! It’s a dead simple question as well!

  12. jamesgang.



    I have just arrived today in Munich.If you find a good pub in Munich to watch the game tomorrow could you please let me know.I posted last night that i was coming here and was looking for pub.I may have missed it earlier.Thanks.HH.

  13. so newco survival is possible – thing is , could the culture which created their mess do the straightforward rationalising paul suggests ?



    nae chance

  14. starry plough


    I think King will pick them up after they implode for a pittance, well he will start up something. a the the sevco with NO history and maybe playing out of Hampdump, to try to bleed and console ra peeple.





    You were just in my thoughts bud.

  15. zico-maltese bhoy



    You’re not in Munich for a medical conference are you?


    That would be too funny if you were.



    CQN @ ERS!



    I’ll post where I’m going to watch it tho it’ll likely just be the closest pub with a tv.



    You on twitter? Easier to keep in touch that way?



    HH jamesgang

  16. Lennon n Mc....Mjallby on

    Hard luck Betty


    You missed John Guidetti


    You know youre welcome back


    Thats why weve always paid our tax.

  17. Paul67



    It seems a no-brainer that everything will be sold to stave off Admin2/Liquidation2 , I suspect the deal is already done , all they are waiting for is to get the timing right. If HMRC were owed money , the Rangers board will be genuflecting in front of the Loving cup , praying that HMRC would come after them again. I suspect HMRC to protect the taxpayer will oblige if required.



    I remember sometime back you published an article on the proposed value of the sale-leaseback and if memory serves it was around £10m , which still leaves them short.



    Very short odds now on sale leaseback strategy , however after all the family silver has been flogged combined with the trend for lower season tickets sales now established , I would say extinction in the next 18 months is 50 / 50. There is no saviour on a white charger with pockets deep enough.



    Sept 18th / 19th announcement likely …..




  18. starry plough,



    As regarding the huns, the ranjurs men hung back waiting for the bargain buy, only for the vultures to move in and pick their bones.



    Happily for us, no one, will bail them out, as it would take gazillions to get them said vultures to flee the nest.



    Their fans are turning their backs on them and that was their only asset.



    The proof is in the pudding…think he was called murray…;))

  19. ryecatcher



    15:29 on 6 September, 2014



    cheers for posting that.


    Oh how we sang laughed and cheered that day.

  20. leftclicktic



    The question is who will he be buying from? I think Big Hauns outflanked him and then the Sleazedales made him an offer of some face reconstruction, you’ll no see him till the coast is clear.



    Does anyone actually know who has ra deeds!!



    Bring on Ra Bombur…

  21. I was talking to a friend of mine this morning, and his boss is very friendly with Das Bomber, and his boss told him that das Bomber said people have no idea what’s about to come out of Ibrox, it’s that bad it’s frightening, just passing it on, who knows. I’m not making it up, just posting what I was told, and friend of mine is not a bull sheeter.

  22. My opinion of the entire hun dynasty and the final outcome is that they will never, under any circumstance be totally gone sadly. Too much “tradition” funny handshakes, legal people with big blue noses will see to that they will be allowed to continue. If needs be then rules will be broken, laws changed to suit, but as sure as there is sh##t in a nanny goat, they will continue.


    Wrong , totally wrong but that’s it as I see it sadly.



  23. starry plough


    He will pick up the renmants of the defeated and players willing to play for the cause and they will fade away eventually .



    I dont think he will get his hands on any assets but may be assisted somehow in a licence, to cough cough stop civil unrest.



    their day has been and gone I hope.





    I once had the problem of washing one of our cats………..



    Now I have had dugs for most of my youth and washing them was sometimes funny sometimes less so But our cat, being put it in the shower, left me mentally and physically scarred.

  25. Tony



    If you’re right I’ll plant a big bugs bunny sloppy kiss right on that old forehead of yours.









    HH jamesgang

  26. Just watched the thems game from 1988 which was posted earlier (i was there ) What struck me most was the desire to win.Not trying to be controversial here ,but then we had 11 on the park who were UP for it,Now it seems not so much(withstanding Broony)When you look back to the Lions not a shrinking violet among them.


    Hope the new Bhoys have as much will to win a football match for us as as to win a better contract elsewhere.There is a huge difference.

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