Chronicle Hourihane piece

Given thsy these losses are correct, how come we're not in Admin? In 2003 I understand that the deficit was about £100,000.

 

About £2.5 million wasn't it?

Brought on by ITV digital collapse.

 

And the co-op (I believe) bank called in the loan/debt. (Even though wendy were vastly more in debt to em. ) Directors couldn't or would'nt absorb the losses like the present directors.
Hmrc has to be paid debts in full. Players paid in full.
Creditors only receiving x in the £. Of the purchase.

 

I thought it was co-op bank that got jittery and wanted us to clear the 500k overdraft we had? We didn't have it due to the itv digital payments not happening.

 

This is closer to my memory. There's hell of a difference between £500,000 and £10M.

 

I think the bank wrote off Wendy’s £20 million as they knew they’d weren’t getting it in any shape or form.
Think this was well before our admin.

 

Was NatWest.

And yes - they got the jitters and pulled the overdraft.

They were asked to wait until the end of the season, as player transfer sales would have offset the issues. But NatWest jumped in.

It shouldn’t have happened then, and wouldn’t have happened these days with so little amount but also a sensible financial plan to settle it within a certain timeframe.

We were asset rich, but cash poor. Could seek the assets to raise funds due to wrong time of season.

Absolutely ridiculous.

 

Something really needs addressing with player salaries throughout football.
We have below par squad members, who can’t get a game, but earn more, in salary, than the Prime Minister or the chief executive of Barnsley hospital. It’s just wrong but all stems from the formation of The Premier League and the colossal salaries have just filtered down the line.

 

We were in credit in our trading accounts, but the NatWest wouldn't authorise use of our £1M overdraft facility, meaning we ran out of money. The only liability we had with them was a business loan for the North Stand in the amount of £2.6M and our land/building assets had been valued at almost £10M [Source: Page 142 of John Dennis: The Oakwell Years]. I've avoided becoming a NatWest customer ever since.