Pauly_Boy Posted October 22, 2010 Share Posted October 22, 2010 The whole Rooney saga appears to have raised an unexpected issue! We'll never know, but it sounds like on of the big reasons Rooney was thinking of leaving was Man U's massive debt. The news channels have repeated mentioned how much debt the glaziers have left them in and how it's crippling the club. Combine this with the fact that the club made a big loss last year even tho its raw profit was about £100m Is this bringing home debt issues to ordinary non finance savvy people," if debt is bad for our beloved club, then is it bad for us" Quote Link to comment Share on other sites More sharing options...
scrappycocco Posted October 22, 2010 Share Posted October 22, 2010 What's all the fuss about. I don't follow football but from what I saw in the world cup rooney was a very average boring to watch overrated player. As for debt, how did they manage to rack up so much? Quote Link to comment Share on other sites More sharing options...
SomethingHasToGive Posted October 22, 2010 Share Posted October 22, 2010 (edited) What's all the fuss about. I don't follow football but from what I saw in the world cup rooney was a very average boring to watch overrated player. As for debt, how did they manage to rack up so much? The new owner loves debt so they MEWed... kind of. From http://en.wikipedia.org/wiki/Glazer_ownership_of_Manchester_United However, the majority of the cash used by Glazer to purchase Manchester United came in the form of loans, much of which were secured against the club's assets, incurring interest payments of over £60 million per annum. The remainder came in the form of PIK loans, which were later sold to hedge funds. Manchester United is not liable for the PIKs. The PIKs are held by Red Football Joint Venture Ltd and are secured on that company’s shares in Red Football Ltd (and thus the club). If they are not repaid by 2017, the Glazers will almost certainly lose all their shares in Red Football Ltd (and the club) to hedge funds. The interest on these loans rolls up at 14.25% per annum. Despite this, the Glazers have not paid down any of the PIK loans in the 5 years they have owned the club. In January 2010, the club carried out a successful £500 million bond issue. As of March 2010 the PIKs stand at around £207 million.[1] The club also has a gross debt of £520 million with £45 million in annual interest payments.[2] Manchester United fans opposed Glazer's takeover of the club, particularly once they realised the level of debt that the club would have to take on after having been debt-free for so many years. Edited October 22, 2010 by SomethingHasToGive Quote Link to comment Share on other sites More sharing options...
South Lorne Posted October 22, 2010 Share Posted October 22, 2010 ....Rooney has probably been watching the fight with Liverpool's former owners and thought this could happen at his club....if he thinks the lack of new signings lost them the league last year ...it was his bad form in the last few weeks of the season which blew it for one or two points....and Ferguson stuck with him..... Quote Link to comment Share on other sites More sharing options...
Goat Posted October 22, 2010 Share Posted October 22, 2010 Can I float an idea here for anyone who's interested - is Rooney suffering from depression? Might explain a lot such as his general demeanour, current poor form and why he's suddenly decided to leave united. I can see that the poor world cup, seeing the best players leaving your club and all the intrusions into his private life could well have that effect. Just a thought. Quote Link to comment Share on other sites More sharing options...
REP013 Posted October 22, 2010 Share Posted October 22, 2010 ....Rooney has probably been watching the fight with Liverpool's former owners and thought this could happen at his club....if he thinks the lack of new signings lost them the league last year ...it was his bad form in the last few weeks of the season which blew it for one or two points....and Ferguson stuck with him..... One assumes you are joking? Quote Link to comment Share on other sites More sharing options...
tim123 Posted October 22, 2010 Share Posted October 22, 2010 . As for debt, how did they manage to rack up so much? The Glaziers played pass the parcel; with the debt that they had used to buy the club Quote Link to comment Share on other sites More sharing options...
General Congreve Posted October 22, 2010 Share Posted October 22, 2010 The whole Rooney saga appears to have raised an unexpected issue! We'll never know, but it sounds like on of the big reasons Rooney was thinking of leaving was Man U's massive debt. The news channels have repeated mentioned how much debt the glaziers have left them in and how it's crippling the club. Combine this with the fact that the club made a big loss last year even tho its raw profit was about £100m Is this bringing home debt issues to ordinary non finance savvy people," if debt is bad for our beloved club, then is it bad for us" Yep, debt everywhere as far as the eye can see. Quote Link to comment Share on other sites More sharing options...
Boom Boom Posted October 22, 2010 Share Posted October 22, 2010 What's all the fuss about. I don't follow football but from what I saw in the world cup rooney was a very average boring to watch overrated player. As for debt, how did they manage to rack up so much? By paying a bunch of knuckleheads a fortune to kick a ball around a large lawn. Quote Link to comment Share on other sites More sharing options...
fellow Posted October 22, 2010 Share Posted October 22, 2010 As for debt, how did they manage to rack up so much? the majority of the (£800 million) cash used by Glazer to purchase Manchester United came in the form of loans, much of which were secured against the club's assets, incurring interest payments of over £60 million per annum. Quote Link to comment Share on other sites More sharing options...
Goat Posted October 22, 2010 Share Posted October 22, 2010 (edited) On that subject: Portsmouth 'likely to close down' http://news.bbc.co.uk/sport1/hi/football/teams/p/portsmouth/9120108.stm Edit: and weirdly Rooney has signed a new 5 year contract at old trafford. Edited October 22, 2010 by Goat Quote Link to comment Share on other sites More sharing options...
Redcellar Posted October 22, 2010 Share Posted October 22, 2010 the majority of the (£800 million) cash used by Glazer to purchase Manchester United came in the form of loans, much of which were secured against the club's assets, incurring interest payments of over £60 million per annum. It's incredible isn't it. The club was bought on the back of putting the club under massive debt. Anyone could have done it. Just needed to con(vince) enough banks and investors to loan the money. Then they issued loads of bonds to defer repayments they couldn't make, and called it restructuring. So they have just piled up the debt and pushed it all back to a later date. Exactly what they are hoping will happen at the later date the mind boggles. Given each year they are more and more in the red, it just doesn't stack up. Quote Link to comment Share on other sites More sharing options...
Redcellar Posted October 22, 2010 Share Posted October 22, 2010 On that subject: http://news.bbc.co.uk/sport1/hi/football/teams/p/portsmouth/9120108.stm Edit: and weirdly Rooney has signed a new 5 year contract at old trafford. Money. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.