The end of financial 'fair' play?

[S04]

Does anyone have a link to how much teams will get with the new TV deal?

-- Thu Jun 14, 2012 11:51 am --

Loving this thread..

Can someone confirm for me the Aguero and Nasri signing will be included in this years figures? theres 60 mill straight away...

Doesn't work that way - their costs are spread over the duration of their contract. For example, Aguero was £38m over 5 years so he'd appear in the books as costing circa £7.5m/year.

Isn't that only if we choose to pay in instalments? I thought we were paying everything up front with only the salary spread out?

FFPR calculates everything as instalments..

 

[Deleted member 14625]

A lot of the extra money will go to the players.

With bonuses indeed.

If they were all on, say, £500,000 bonus for winning the title that would go well over what the whole of the money the club would earn for seaoncard sales. Tickets bring in very little money to the club to be honest.

 

[goat boy]

A lot of the extra money will go to the players.

With bonuses indeed.

If they were all on, say, £500,000 bonus for winning the title that would go well over what the whole of the money the club would earn for seaoncard sales. Tickets bring in very little money to the club to be honest.

Yes, but expanding the stadium costs 'nothing' but any extra bums on seats adds revenue, even if it's only an extra million or two. They've a duty to improve revenues at the best of times, more so under the circumstances.

 

[Mr Ed (The Stables)]

Meeting FFP is going to be tight, even with the 'grandfathering' criteria. In fact, it will down to the prerogative of UEFA and how willing they are to exclude teams which can attract big audiences, as Premier League clubs undoubtedly do. Despite the powers that be being upset at us the reality is that they'll probably grudgingly accept we've made it just in time and UEFA's sponsors will not accept us being shut out. UEFA will be in the position to make that call though.

I agree with what you've said but if UEFA didn't agree and tried to ban us from competition, I think this would end up in court "restriction on trade et all". UEFA don't want that no matter what speil pours from that horrible "Twatini"

 

[mayo31]

I swear each of us could right a thesis paper on this subject.

Ha ha, I see what you did there - using the word right

 

[Mr.Banks]

We are pushing £200m a year in revenue?

I'd be shocked if we reported much less than £220m in the financial year just ended.

Then we've got the shirt deal to add, greater revenue from the CL as PL champions (plus we'll hopefully progress out of the group stages). I believe there are some excellent commercial deals in the pipeline as well so we should manage £275m easily in the current financial year. Then, before anything else, we've got something like £35-40m more to look forward to from the new PL TV deal from June 2013. So I'd expect something like £325m income or more in 2013/14.

I don't think M. Platini and his bean-counters will be troubling us too much somehow.

If Platini was really bothered about financial fair play why doesn't he stop the TV rights carve-up in Spain cos that is a fkin joke!!

 

[grunge]

Does anyone have a link to how much teams will get with the new TV deal?

-- Thu Jun 14, 2012 11:51 am --

Doesn't work that way - their costs are spread over the duration of their contract. For example, Aguero was £38m over 5 years so he'd appear in the books as costing circa £7.5m/year.

Isn't that only if we choose to pay in instalments? I thought we were paying everything up front with only the salary spread out?

FFPR calculates everything as instalments..

Thats the first time I've heard that one. And I dont see how it can, If the club pays £30m cash for a player then it causes a loss that year, not a smaller loss over 5 years.

Time to go take a look through FFPR pdf again:)

 

[Bluesince1979]

with PSG splashing cash like theres no tomorrow but with french football bringing fuck all in in the way of income, do you really thinnk that twat platini will exclude a french club from european competition? me neither.

i still think ffp has holes galore in it

 

[waspish]

Does anyone have a link to how much teams will get with the new TV deal?

-- Thu Jun 14, 2012 11:51 am --



Isn't that only if we choose to pay in instalments? I thought we were paying everything up front with only the salary spread out?

FFPR calculates everything as instalments..

Thats the first time I've heard that one. And I dont see how it can, If the club pays £30m cash for a player then it causes a loss that year, not a smaller loss over 5 years.

Time to go take a look through FFPR pdf again:)

What part does it say that can't find it

 

[Prestwich_Blue]

Does anyone have a link to how much teams will get with the new TV deal?

-- Thu Jun 14, 2012 11:51 am --

Loving this thread..

Can someone confirm for me the Aguero and Nasri signing will be included in this years figures? theres 60 mill straight away...

Doesn't work that way - their costs are spread over the duration of their contract. For example, Aguero was £38m over 5 years so he'd appear in the books as costing circa £7.5m/year.

Isn't that only if we choose to pay in instalments? I thought we were paying everything up front with only the salary spread out?

There's no linkage between how we finance a player purchase and how we show it in the accounts. Standard accounting practice requires an asset to be written off over its useful life. If we sign a player on a 5 year contract then we charge 1/5th of the fee to the P&L account as amortisation every year, even if we paid the lot up-front. If we renegotiate his contract after three years, then the remaining book value (what he cost less cumulative amortisation charged to date) is re-apportioned over the life of the new contract. So we can be charging amortisation long after we've finished paying for a player.

There are some circumstances where clubs that don't follow that practice & write off the full amount in the first year and FFP allows for this. But you can't pick and choose how you do it and UK accounting standards require the former to be followed in most cases. A lot of FFP is simply re-stating existing accounting standards, which many people don't realise.

There was a £29m charge to the accounts in 2010/11 to cover 'impairment', which is basically where we felt that players had a financial book value but their value in the books was well in excess of what we could actually get (e.g. Bellamy & Jo). That's quite unusual and was a quite legitimate way of moving a potential loss in future accounts that did count towards FFP into these accounts, which didn't.