Venky bailout at Ewood reaches £282m.

[fatboy47]

https://threadreaderapp.com/thread/1413 ... 61636.html

The ice is getting thinner at Ewood.

Hope this link works.

[Paranoid]

Link works and wow!

[Steve-Harpers-perm]

Crazy amount of money. Is this figure from their latest accounts? I read there had been quite a delay in them publishing them.

[Buxtonclaret]

Eye watering.

I'm not a 'Money Man' like some of our contributers on here, but cant understand what they're doing this for?
Some sort of tax loss?
They seemed to have settled into some multi million pound annual deficit and have decided to just leave it at that.
They really don't seem to be bothered anymore about funding a big drive to get into the Prem.
Maybe they've even just forgotten that the Stableboys is a toy they own.
Easy done, I suppose.

[Steve1956]

Oh dear how sad

[Belial]

Lovely stuff

[GodIsADeeJay81]

Eye watering.

I'm not a 'Money Man' like some of our contributers on here, but cant understand what they're doing this for?
Some sort of tax loss?
They seemed to have settled into some multi million pound annual deficit and have decided to just leave it at that.
They really don't seem to be bothered anymore about funding a big drive to get into the Prem.
Maybe they've even just forgotten that the Stableboys is a toy they own.
Easy done, I suppose.

No one can understand their motives

[tim_noone]

Maybe if we all stopped eating chicken.....

[dibraidio]

I thought there were financial fair play rules in the championship? How can having a 25m wage budget and a 13m turnover be considered sustainable?

[bfcjg]

If they try to flog them who will buy it with debts like that ? Bstards will survive forces long as the Venkys keep pouring cash into the black hole of Ewood.

[Fretters]

Eye watering.

I'm not a 'Money Man' like some of our contributers on here, but cant understand what they're doing this for?
Some sort of tax loss?
They seemed to have settled into some multi million pound annual deficit and have decided to just leave it at that.
They really don't seem to be bothered anymore about funding a big drive to get into the Prem.
Maybe they've even just forgotten that the Stableboys is a toy they own.
Easy done, I suppose.

I'm not a money man either, but I can only think it's to off-set profits on their chicken business, reducing their tax bill.

What choice do they have though, really? I can't see anyone buying the club from them with those losses, even for a nominal fee.

[Fretters]

I thought there were financial fair play rules in the championship? How can having a 25m wage budget and a 13m turnover be considered sustainable?

They've been put under another embargo I heard, partly for this reason I guess.

[Quickenthetempo]

They're hoping to sell Armstrong for £282m so it shouldn't matter.

[GodIsADeeJay81]

https://twitter.com/KieranMaguire/statu ... 52832?s=19

EFL needs to do something

[ElectroClaret]

I keep saying its all unsustainable from the V's point of view, but they seem determined to prove me wrong by keeping on shovelling money in.

God knows what their motives are.

[Lancasterclaret]

Only matters if the Venkys pull the plug

The motivation is beyond bizarre now, as they are clearly making no effort to balance the books, but at the same time are doing nothing in regards to securing promotion, or attempting to sell it

[Spijed]

I've a similar concern with the way our own debt will be serviced if/when we get relegated but don't make a rapid return to the Premier league.

[Bosscat]

The money could be disappearing down one of the "4000 holes in Blackburn Lancashire"

[J50]

The money could be disappearing down one of the "4000 holes in Blackburn Lancashire"

I thought the population was bigger than that and there were more women in Blackburn than just 4,000...

[Bosscat]

I thought the population was bigger than that and there were more women in Blackburn than just 4,000...

https://youtu.be/usNsCeOV4GM

[Colburn_Claret]

If the Venkys ever decide to cut their losses, they are truly shafted.
Nobody would want, or could afford to take on that debt.
A restart from the bottom of the pyramid would be a GOOD outcome in those circumstances.

[GodIsADeeJay81]

Screenshot_20210708-133206.png (859.65 KiB) Viewed 1990 times

Not sure where they're going, but it ain't upwards.

[claretonthecoast1882]

https://threadreaderapp.com/thread/1413 ... 61636.html

The ice is getting thinner at Ewood.

Hope this link works.

Never a huge fat polar bear to jump on the ice when you need one

[Chester Perry]

I have been saying for some time now that it is a false belief that pouring money into shares rather than loans means a club is safe going forward, clubs and fanbases become too accustomed to the overspend and it becomes expected behaviour rather than a short term intervention. Owners carry on until they can afford it no more.

Also don't kid yourself that it is only an EFL problem mainly in the Championship, the EFL actually sanction the practice in Leagues 1 and 2 under it's Salary Cap Management Protocol, whereby owners can lift the wage spend at the club by putting money into the club as equity.

This madness of wage/transfer overspend is happening at all levels of English football, even the Premier League is not immune, the race/spend/demand that European football and the financial rewards that brings is encouraging the same practices we see in the Championship. Both Everton and Aston Villa have gone down the share investment route (though Everton have also taken on both owner and commercial debt) and many other clubs have taken on debt chasing European places especially Leicester, Crystal Palace, Southampton - Tony Bloom at Brighton his the 4th largest ever creditor to a club in English history (Moshri at Everton recently overtook him to get to third) and his current aim is not even a European place.

It is all somewhat ridiculous and comes back to what Arsene Wenger calls financial doping, but absolutely no one seems to care in this country - contrast that to La Liga's financial protocols that are causing Barcelona so many (self inflicted) difficulties this summer as they look to remove 200m from their costs

[Spijed]

I have been saying for some time now that it is a false belief that pouring money into shares rather than loans means a club is safe going forward, clubs and fanbases become too accustomed to the overspend and it becomes expected behaviour rather than a short term intervention. Owners carry on until they can afford it no more.

Also don't kid yourself that it is only an EFL problem mainly in the Championship, the EFL actually sanction the practice in Leagues 1 and 2 under it's Salary Cap Management Protocol, whereby owners can lift the wage spend at the club by putting money into the club as equity.

This madness of wage/transfer overspend is happening at all levels of English football, even the Premier League is not immune, the race/spend/demand that European football and the financial rewards that brings is encouraging the same practices we see in the Championship. Both Everton and Aston Villa have gone down the share investment route (though Everton have also taken on both owner and commercial debt) and many other clubs have taken on debt chasing European places especially Leicester, Crystal Palace, Southampton - Tony Bloom at Brighton his the 4th largest ever creditor to a club in English history (Moshri at Everton recently overtook him to get to third) and his current aim is not even a European place.

It is all somewhat ridiculous and comes back to what Arsene Wenger calls financial doping, but absolutely no one seems to care in this country - contrast that to La Liga's financial protocols that are causing Barcelona so many (self inflicted) difficulties this summer as they look to remove 200m from their costs

How will we be able to stabilize the ship if we drop and don't return?

[Chester Perry]

How will we be able to stabilize the ship if we drop and don't return?

There is always the fall back of handing the club back to Mike G and John B - who have a bit of extra cash at the moment

I keep saying that the prime target of Pace and co is to increase non TV revenues, and how they perform against that measure will be significant the significant determinant as to where we are with the debt relegation or other wise - there are plenty of clubs in the Championship with more debt than we have taken on - I still don't like it but it is what it is.

[Chester Perry]

Kieran Maguire has been talking to Radio Lancashire about these results - last 10 minutes

https://www.bbc.co.uk/programmes/p09nshkq

[Vegas Claret]

Kieran Maguire has been talking to Radio Lancashire about these results - last 10 minutes

https://www.bbc.co.uk/programmes/p09nshkq

he doesn't seem concerned unless they pull out and he doesn't think they would do that

[Chester Perry]

he doesn't seem concerned unless they pull out and he doesn't think they would do that

He is not concerned that Brighton are into Bloom for approaching £400m either - it is not his money I find it interesting how he calls all those other clubs and owners, but is not at all bothered as long as owners meekly stump up the cash - it is not a sustainable approach for the clubs concerned or the game at large as the overspend has a definite ripple effect across the leagues and the wider game. I quite like what little I know about the La Liga approach, though it does re-enforce the current established position unless a club like Barcelona explodes