Rodwell to Sporting Lisbon


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No ... Our accounting we amortize the fee of the player over the contract. 10M bought we owe Man C 2M a year with two years left plus 70k a week which is fixed over 2 years. His current value left break even is as of end of August is 3.66M to Man C & Wages 6.66M left on contract. Contract finishes in 22 Months therefore the breakeven on the player about 10.33M.....Therefore must sell for more to receive enough money for a replacement

This doesn't make any sense to me. The start bit seems to disagree with the end.

Ten over five years bit I get. I don't understand the 6.6 thing
 
We'd have to subsidise his wages or let him leave for little or nothing. I'm happy with either providing he's replaced.
 
This doesn't make any sense to me. The start bit seems to disagree with the end.

Ten over five years bit I get. I don't understand the 6.6 thing
We paid 10M with a 5 year contract for Rodwell
Sunderland must pay instalment payments 2M a year to Man City
Wages most be paid in full life of the contract
Therefore
We have 3.66M instalments remaining due to the contract expiring June 30th 2019. 22 months left.
Wages 22 months left equals 6.6M which must be paid you add that to the instalment to City we are underwater with this player.

Do you sell for less & replacement costs to fill that position or do you keep him until next summer with a chance of being useful in the Championship. It makes sense to keep him one more year then we have a better chance of sell and replace. Rodwell break even point will be half next year. A real buyer might come in then..

Unless we structure a loan to buy you never know
 
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We paid 10M with a 5 year contract for Rodwell
Sunderland must pay instalment payments 2M a year to Man City
Wages most be paid in full life of the contract
Therefore
We have 3.66M instalments remaining due to the contract expiring June 30th 2019. 22 months left.
Wages 22 months left equals 6.6M which must be paid you add that to the instalment to City we are underwater with this player.

Do you sell for less & replacement costs to fill that position or do you keep him until next summer with a chance of being useful in the Championship. It makes sense to keep him one more year then we have a better chance of sell and replace. Rodwell break even point will be half next year. A real buyer might come in then..
I thought you only had to pay any outstanding loyalty bonuses rather than pay up his contract for the remaining duration??
 
I thought you only had to pay any outstanding loyalty bonuses rather than pay up his contract for the remaining duration??
I read we changed our accounting to amortise most deals thus the layers of debt we find ourselves in....You could be right on some deals but I pretty sure its case by case...But Sunderland have been layering there deals which is dangerous
 
I read we changed our accounting to amortise most deals thus the layers of debt we find ourselves in....You could be right on some deals but I pretty sure its case by case...But Sunderland have been layering there deals which is dangerous
Amortisation is just in relation to the transfer fee and associated costs, not the wages (they aren't an asset so can't be capitalised to be amortised).
 
Any deal is a good deal here like. I'd even consider paying them to take him.
 
Amortisation is just in relation to the transfer fee and associated costs, not the wages (they aren't an asset so can't be capitalised to be amortised).
I agree but the club is still liable for those wages guaranteed so thus must be put in the calculation to figure out your break even point regardless of a increase or decrease value of the player. Our case here is a decreased value of the player...
 
I agree but the club is still liable for those wages guaranteed so thus must be put in the calculation to figure out your break even point regardless of a increase or decrease value of the player. Our case here is a decreased value of the player...
If we sell him I don't think we are liable for those wages so it's irrelevant.
 
We paid 10M with a 5 year contract for Rodwell
Sunderland must pay instalment payments 2M a year to Man City
Wages most be paid in full life of the contract
Therefore
We have 3.66M instalments remaining due to the contract expiring June 30th 2019. 22 months left.
Wages 22 months left equals 6.6M which must be paid you add that to the instalment to City we are underwater with this player.

Do you sell for less & replacement costs to fill that position or do you keep him until next summer with a chance of being useful in the Championship. It makes sense to keep him one more year then we have a better chance of sell and replace. Rodwell break even point will be half next year. A real buyer might come in then..

Unless we structure a loan to buy you never know

But the wage is dead money surely? Won't still be in the balance sheet. Or am I still not getting it
 
If we sell him I don't think we are liable for those wages so it's irrelevant.

Depends if he asks for a transfer or not. If he requests a move then in theory he loses out on loyalty payments and the remainder of his contract when he moves. Though if a decent fee was accepted the club may offer a sweetner depending on how desperate we are to remove him for the wage bill, what wages hes been offered elsewhere and him accepting those or not. If we're trying to force him out then we're pretty much liable for everything, apart from what someone will pay him.

Given his form, fitness and wages the reality is he's going absolutely nowhere.
 
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