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Mags spending loads

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Sima said:
It's barely been half a season, man. Give him time. There's already rumblings with Palace fans on their forums about how he is making 'illogical' substitutions.
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Just wait till your players are McClarened from top of the championship to missing out on the play offs last season
 

SeahamMackem said:
They've made a profit recently, we haven't. Their spending limitations won't be anywhere near as bad as ours.
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Why, is this the case? They've been relegated since we have been in the premiership. What the hell has been going on here? Apart from the first team being asset stripped and certainly not nurtured, the lifeblood of the club neglected.
 
SeahamMackem said:
They've made a profit recently, we haven't. Their spending limitations won't be anywhere near as bad as ours.
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Their finances are quite similar to ours.

We have similar levels of debt, albeit structured differently.

Last year, they generated a cash surplus of about £30m a year but that's only because of their low transfer fees when compared with our over the last few years.

Contrary to what Mags think about Ashley, again Ashley is bank rolling this spending not NUFC.

Again, NUFC is not generating enough money to sustain itself and invest heavily in the market. Just like SAFC it has to come from the owner or the bank when buying players of any significance.
 
SmellyMags said:
Just read they're after Abdennour from Monaco now :evil::evil::evil:
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Who?

redgauntlet said:
Why, is this the case? They've been relegated since we have been in the premiership. What the hell has been going on here? Apart from the first team being asset stripped and certainly not nurtured, the lifeblood of the club neglected.
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Their income is about 30 mill higher a season. The vast majority of that matchday income. The large bulk of which is corporates.
 
Locke's SAFC said:
Their finances are quite similar to ours.

We have similar levels of debt, albeit structured differently.

Last year, they generated a cash surplus of about £30m a year but that's only because of their low transfer fees when compared with our over the last few years.

Contrary to what Mags think about Ashley, again Ashley is bank rolling this spending not NUFC.

Again, NUFC is not generating enough money to sustain itself and invest heavily in the market. Just like SAFC it has to come from the owner or the bank when buying players of any significance.
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We had around £52m in reserve (profits ~£18m and money stashed in reserve ~£34m) from our 2013/14 accounts. We've spent about £50m. He isn't bank-rolling anything.
 
Sima said:
We had around £52m in reserve (profits ~£18m and money stashed in reserve ~£34m) from our 2013/14 accounts. We've spent about £50m. He isn't bank-rolling anything.
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This level of spending is totally unsustainable though. And he is bank rolling it, you owe him 200 million so there was fuck all in reserve whatsoever.

I truely doubt you are 50 million in the black every season either. Your income was 26 mill higher last season. Your wages were higher. Yet we lost 19 million and you were 50 mill in the black?

I haven't compared the accounts but I'm calling bullshit.
 
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The level of spending doesn't need to be sustainable does it? Transfer fees are one-off costs
 
GK said:
This level of spending is totally unsustainable though. And he is bank rolling it, you owe him 200 million so there was fuck all in reserve whatsoever.

I truely doubt you are 50 million in the black every season either. Your income was 26 mill higher last season. Your wages were higher. Yet we lost 19 million and you were 50 mill in the black?

I haven't compared the accounts but I'm calling bullshit.
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I'll agree on the first part, our squad needed an investment to stand still. A lot of what we are spending will be money that is due in over the course or at the end of the season and will no way be replicated again without severe outgoings. When I last checked the debt was ~£120m, he doesn't take any of this out instead leveraging it against all of the free advertising he gets for his main interest in the stadium and at our training ground (he is well withing his rights to do so, of course). Not sure where you are pulling this £200m from other that being a 'sensationalist' figure attempting to reinforce your point. Your comment in the last paragraph shows your knowledge.
 
GK said:
This level of spending is totally unsustainable though. And he is bank rolling it, you owe him 200 million so there was fuck all in reserve whatsoever.

I truely doubt you are 50 million in the black every season either. Your income was 26 mill higher last season. Your wages were higher. Yet we lost 19 million and you were 50 mill in the black?

I haven't compared the accounts but I'm calling bullshit.
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Sunderland owe Short £800 million.I haven't bothered to look at the accounts,so it might be bullshit
 
Sima said:
We had around £52m in reserve (profits ~£18m and money stashed in reserve ~£34m) from our 2013/14 accounts. We've spent about £50m. He isn't bank-rolling anything.
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Sima,

Have a look at NUFC accounts.

I had a look the other night.

Profit figures don't tell you anything about what cash the club is generating because it's skewed by player amortisation. Low transfer fees in the past = low amortisation = higher profits - which tell you nothing about the cash the club is generating each year. This chart is what you need to look at. It's the cash generated by the club from operating, financing and investing activities. I'll give you a summary below and I've added in NUFC's debt so you can see where the money is coming from.

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Ashley has put in £130m, which paid off £70m bank debts, £25m has gone into funding the club - whether players or running costs and the remaining £35m of Ashley's money sat in the club's bank account which is presumably now all gone due to the funding of this season's players.

In the 8 year period 2007-2014, NUFC only generated £25m from its operating activities (essentially revenue less player's wages and match day costs), that's £3m a year on average made by the club to invest in players and pay interest to the bank.

Before Ashley took on the debt, of which he is charging the club no interest and so has saved you £5m a year in interest, you were paying interest to the bank which is £16m over the 8 year period, so before buying any players, because the bank has to be paid, you have made £25m less £16m over an 8 year period, meaning £9m or £1.1m a year for 8 years to buy players with.

Problem being, in that period you spent £9m on capital expenditure which I assume is structural improvements on the ground and the like. So, there's your £9m wiped out and so purely on what the club is generating you can't afford to buy any players.

Put simply, revenue from TV money/Premier League less player wages, less running costs and match day costs, less interest paid to the bank less capital improvements needed = 0. That's £0 generated by the club to buy players.

But, in that 8 year period you have spent net £30m on players. So, where has the money come from? Part of Ashley's £130m loan.

What is funding the money for players this year? Considering NUFC generated no cash for players in the past 8 years? The £30m sat in the bank left over from Ashley's loan.

Like it or not, NUFC is in the same boat as SAFC. Both chairmen are funding the purchasing of the club's players. Actually, Ashley has done better than Short in this respect because it's all his own money whereas we owe money to the bank and by buying the club's bank debt and charging you no interest he has saved you about £20m total over the last 4 years - not bad eh! Both club's are paying around £70m in wages and neither are seeing a return for that investment as both clubs can't finish around 7th or 8th in the league while paying the going rate of finishing around that spot.
 
35 million of the 130 ashley put in when he bought us has been sat and is just getting spent now? Sorry locke i think you're misinterpreting. He paid the clubs debt off then he put more in to cover losses in the championship season. He's "bankrolled" nothing since then. We didn't even spend much the season we came up because we hadn't generated it. The reason we're spending it now is because several seasons of thriftiness and profits have left us in a position to do so. There's nothing to suggest he actively puts money to the club for players. He's even on record as saying he would no longer do so (when the Ashley hate first started)
 
DWT said:
We matched Southampton and apart from a poor spell in the last 10 minutes we could have very easily won the game, we played with a better possession based playing style and everyone is pleased with the way we are trying to play.

Swansea was bad but our record against Swansea is awful and they have invested well and are a good team, no shame in losing out to them.

We have brought in some good talent with more on the way, but we still need to strengthen the defence otherwise we will struggle to get past 11th-12th.

Relegation finally for your lot this season, battered off two big relegation contenders already, and buying shite like Kaboul and Coates, I know what position I'd rather be in.
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But you're still a Mag.

Just let that sink in for a moment. You are STILL a Mag....

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redgauntlet said:
Why, is this the case? They've been relegated since we have been in the premiership. What the hell has been going on here? Apart from the first team being asset stripped and certainly not nurtured, the lifeblood of the club neglected.
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Their profits have been down to player sales........carroll and Cabaye ring any bells.......
 
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