Rangers Rumours Archive March 04 2013

04 Mar 2013 07:44:39
Radio Clyde reporting that we are losing 1 million pounds a month. Anyone know if that is true?

Seems to be the case. not good.

Well seeing as the press are reporting an operating loss of around £7 M that would be about right. Granted there was money raised through the share option but that was a one off. It now depends on what Green does with that money. If it's banked by major shareholders then that's a bad sign. If it's held and used for developing the team you may have a chance.

Said it from the beginning How can the club sustain Ibrox and Murray Park with income from third division season ticket prices and paying SPl wages It can't add up

Think this could be down to the amount charles green has had to pay out since coming in, hopefully this will now level itself off!

Currently running with a "burn rate" of £1m per month and no overdraft facilities is not a good sign.

This will include signing on fees, transfer fees and probably costs involved with the IPO. Still not the best though. 21million in the bank.

Problem is, there isn't much scope to dramatically increase our earnings. Share issue is a one off. The only way to stop losing money is to cut costs. Unfortunately that means cuts to either the playing staff, ancillary staff (almost 200) or both. Whatever we do will impact greatly on the clubs ability to function as a business and compete on the pitch.
The share cash will keep us afloat meantime but if we don't cut costs soon we'll be back in the sh*t sooner rather than later.

If you read the full story it said that the report was from the 7 months leading upto Dec 31 through these months we still had all our top earners at the club and our wage bill was still about 5m a month for at least two of the 7 months that was reported on so this is not a true reflection on the ins and outs of finances at rangers today
just the media flashing big numbers to get a reaction from fans

Lucky we didn't sign those 5 guys from euro 2012. Or their high wages might have been problem

04 Mar 2013 11:01:26
Am I right in saying, this seems like the same report from last year just before all the cut backs ( wages, G Wylde leaving etc) happened?

Seems nothing has changed. I don't know how every person who comes and trys to run rangers cannot break even

£16.6m for seven months £2.4m a month or £28.8m a year. So for jan/feb £4.8m spent but not included in these figures also in February £2.2m went out door in footballing debts paid so by March 1st I think £7m more gone.

To the poster talking about the high earners, weren't those players on reduced wages and would only have been back to their original wage had they TUPE'D over? Clutching at straws there mate I fear.

What happens next season? £8m season tickets and costs of £30m.
Dun think Ally getting £10m+ transfer kitty. Dun think £9m on Ibrox stadium upgrades. No money there for seating the corners that's for sure. What about unknowns? What about hidden debts? Orlit?
These results with best turnouts also, no more cash with fans.
I think share issue was desperately needed end December as all revenue spent in those 7 months plus £7m loss.

"£16.6m for seven months £2.4m a month or £28.8m a year. So for jan/feb £4.8m spent but not included in these figures also in February £2.2m went out door in footballing debts paid so by March 1st I think £7m more gone".

Add 3 months from March-May there's another £7.2m out. Income from only home games walk-ups and a wee bit hospitality etc. Lucky if £2m.
Added together potentially another £12m down.
ST money for next season won't cover this.
Unless we cut costs we're back where we were a year ago.

The running costs are WAY too high. If this level is maintained, we are down the Swanny once again. We have the second largest wage bill in Scotland while playing in the 4th teir WHY? Will someone please explain this to me. Some of our players are on 6/7/8 grand a week WHY? We could have filled the team with players from Div 1 and 2 at a fraction of the cost. we wi8ll survive financially this year sue exclusively to the share issue. What about next year and the year after?
The new finance streams being talked about will no where near be enough ( along with season ticket sales ) to sustain the financial outlay required at the current rateof expenditure. Solution? CUT THE BLOODY COSTS! or else we are back where we started pre-Charlie

My post from yesterday re the Dry Blackthorn deal, but equally relevant to today's smokle and mirrors results.

So how many multiple millions are you getting from the deal?

What about the Adidas deal that a few months ago Imran ahmad was quoted as saying would be "signed within days"?

The tie up with the Dallas cowboys?

Claudio Reyna being a US based rangers brand ambassador?

The "£30m in the bank by end of July" - Charles green.

Of the £22m "raised" in the dec share issue, it appears that the majority of it is not hard cash, but promissory notes and debt-for-equity swaps.?

How many players have u actually signed on pre contracts for sep 1 registration?

Anyone? Anyone? Bueller? Anyone?

WAKE UP! You guys are being taken for a ride!

Season ticket money for 2013/14 season will be included in next financial year's accounts, not this year's.

Our limited pre season is included when we had games behind closed doors. so no income but paying out wages

04 Mar 2013 14:22:43
you people really need to take the time to read the actual report and not just make silly assumptions and especially don't listen to radio snyde.

Typical of this rubbish hole of a country. If you look at google news about the most recent news on our finances you find -

BBC Scotland: "Rangers reports £7m operating loss"

StockMarketWire.com (London based): "Rangers Int'l FC 7-month pretax profit £9.5m"

That says everything about Scotland right there.

Get Blackie to help out by painting Ibrox with his painting and decorating skills, may as well do something useful for £7k a wk!

Yup read the actual report: the pretax profit comes from the negative good will. Profit/Loss before goodwill write-down:-£11. 55m, this includes football debt and prob some finance costs, the negative good will turns this loss into a profit on paper ffs.

It is a balance sheet item and not real cash. We didn't actually make a profit.

The tv is correct.

The house broker expects a loss in 2013 of £3.5m before we make a profit in 2015 of over £10m. Can't see that happening right enough, would be happy to break even and grow from there.

Rangers are in a league where they won't make money. They have season ticket holders but all at very reduced rates and they are still paying players thousands of pounds every week. The share issue stated that some of the cash was for operating expenses, that is the worrying part as far as being a Rangers fan is concerned. If you are not making enough through the door to cover what's going out then that ends in. well you know what happens then. The new kit deal with Puma won't be worth that much I wouldn't think, seems a bit bargain basement that, what happened to Adidas? Rangers need to cut costs again and will need to do so for the next 3 years until they can try and get back to the SPL, BUT you have all said you don't want to get into the SPL. Here's a wee reality check for you. IF you don't get to the SPL you will die as a club. Please don't pin your hopes on Chick getting you into the EPL, not going to happen.
Rangers need to get back to the top tier to get better sponsorship, revenue through the door, prize money and potentially European money, without the SPL none of that happens. Now, personally I don't care if you don't come back because as the saying goes water finds its level and next year things will be better for the teams in Scotland as they will have adjusted to the various financial issues they are presented with so the loss of a game against Rangers won't be that bad. BT have taken on the new tv deal for more money and that runs for another 4 years so no panic there so in reality Rangers are the only one's suffering. This is the reality of the situation and something needs to be done before the £22m raised is all poured into the players pockets in wages. or to the Chief Exec in bonuses!

Not business minded myself but one thing I do firmly grasp is the principal of grossing more in profit than you lay out in expenditure in order to remain solvent. one thing I don't get is Mr Geene extracting a sizable wedge of much needed funds for zero investment. maybe I'm not too clever but Mr Greene certainly is.

Shock it didn't take all the anti rangers haters ons this supposed RANGERS site to jump on the 7 million bandwagon, listen to the financial experts who say it will even itsself out, but hey why not just keep up your bile anyway, as heck you all must be experts NOT NOT

FFS people on here are not spouting bile, it's time to stop looking through blue tinted specs and WAKE UP! Is this the same Financial experts which got this country in the crapper in the first place. You cannot run your own household spending more than you take in every month. FACT!

To the poster citing "anti rangers haters". For a start that's really a double-negative term and literally means "those who hate those who are rangers haters".

I digress though, the problem for Scottish Footbal now is that the a serious financial crisis has enveloped RFC, the Charles Green regime has done nothing to halt that. If anything it is worse than the Whyte year. A fan buy-out was possible at one point. Now RFC are in the same position (if not worse than Plymouth and Portsmouth), some financial vehicle (CG's buddies) own the assets and will have £££'s for RFC flesh.

AlexSandyBilly

To the one on about the 'anti-Rangers haters' (have a think about what this actually means): where is all the hatred and bile you go on about. It doesn't take a financial expert to realise this will not even itself out as outgoings are much greater than incomings and will continue this way. Are you happy that so much is going out in wages and bonuses to those at the top with little coming into pay for this?

Rangers have won the league this season if the SPL/SFL vote to accept new status quo this will spell disaster financially as extra year in the lower tier without promotion. They need to cut costs now and get rid of SPL players who are just sucking the club dry. There must be enough young hungry talent who would jump at the chance to play for the club they most probably love. i'm not a rangers fan you may have guessed but neither is Green. He is just a very canny businessman who is playing the game very well, unlike Whyte he is on top of things for now. He only needs to drop a few stereotypical soundbites and the drums do the rest and the bandwagon rolls on. He is cleverly portraying the club as a wounded animal who everyone is having a poke at which simply just takes the focus off the real goings on. Time will tell as it cannot continue as it is, something will have to give.

Is charles green for real. just heard on the news he wants to stenghen ally squaid significantly using the money coming from changing the stadiums name. I can tell u one thing not one penny of that will got to buying players, more players more wages and singing on fees then even more spending money rangers don't have

Love it how everyone is accountants and financial experts, especially Clyde 1! Get a grip

When will we see accounts that are actually signed off on. Blind faith in anything will get you killed

Clyde 1 quoted the whole official statement, you still don't believe?

The losses will be wiped out next year when CG puts a gun to the head of the fans for a massive ticket hike. The business model needs more working capital, the sooner the better.

Lower wages = lower quality = lower attendances = vanishing investors.

RFC and CG needs cup success NEXT SEASON OR ELSE.

Looks like cg has the mentality of spending as much money as can to get back to spl, I know he says he won't join spl again but as soon as back his opinions will change again, what I'd be afraid of is when back in spl what will the debt be, it is common knowledge that there is no money in scot football, {The Ed039's Note - Rangers wont be back in the SPL, the top flight will be called something different when Rangers are there, reconstruction will sort that "technicality" out)

Losing 7 million a year and that's the squad we put on the park. Love to see what the football wage expense is in relation to it all

Worrying. We don't gererate any income as such, are in a poor league- are players aren't up to scratch and are saleable items. we are haemorrhaging money each month- for all charles greens spin I think we are heading for a dark place again. Our share issue money won't last forever.

Mr green is doing his best and should be given the time to turn the club around in the financial climate this isn't helping much I agree the the running costs of players we have is over budget and far too high its the long haul ahead i'm afraid

We are screwed the club will go back into administration if we keep listening to cg