We clearly are not signing anyone in January

[Svlad Cjelli]

Surely it's all to do with credit-ratings? The banks absolutely know for a fact that a team relegated from the PL is a major, major credit risk, and so the club would have had a choice - pay off the overdraft or see the interest rate on it rise substantially as well as see the club's credit listing be downgraded.

In exactly the same way that if you owed money to the bank and they found out that you'd suffered a 75% cut in income they'd suddenly be worried.

[UpNorth]

if you are looking for examples of other clubs having to pay back loans this article on the Blades in the Star today is worth a read. The parallels are uncanny. Reading would surely fall into the category of a 'well run club'.There is even a hotel development to throw into the mix...


KEVIN McCabe told shareholders at Saturday's annual general meeting how the global economic crisis effectively punished Sheffield United for being "a well-run club."
United's latest set of accounts reported losses of over £18m as the club presses ahead with restructuring its off-the-field business activities.

McCabe, chairman of United's plc board, said much of that figure could be attributed to property write-downs.

"The climate has been like a financial holocaust," he insisted. "Banks have effectively gone bankrupt. And because we were perceived to be a wealthy club we had to pay back every single penny of what we owed. That was what we were asked to do.

"I know it sounds perverse but those clubs who weren't perceived to be wealthy didn't. They saw people write a lot of their obligations off. But we and others who were seen to be well-run and wealthy had to come up with it all."

Responding to claims that United's exposure to the real estate sector had sucked funding away from their football operation, McCabe added: "During a long period we had the benefit of profit from our property. The losses are not cash but rather in terms of that property value. It's like having a mortgage and you thinking your house is worth 'X' amount but someone telling you that at the moment it's only worth 'Y.' You might want to wait to sell it until, as you will hope, the value gets back to where you think it should be.

"In the past that's not been a problem but in this recession it's the banks that have dragged property prices down. It's been a task and a half to make sure what we've got is safe and secure I don't mind admitting. But we are now there."

McCabe also rejected a suggestion that the transfer of Bramall Lane's Copthorne Hotel to his firm Scarborough Group represented "a conflict of interest."

"The ultimate ownership of Sheffield United is Scarborough…it's part of the re-shaping…why would Scarborough want to do anything that is to the detriment of its subsidiary? It wouldn't make sense."

United's financial director David Harrop added: "The club had to raise funds of around £20m to pay the bank…you have to look at the overall transaction…our balance sheet has benefited by doing that."

Meanwhile, United's chief executive Trevor Birch told supporters "nothing is imminent" in the search for fresh investment after McCabe admitted "myself and my sons were talking to an international organisation about investing recently although I stress 'might'."

[Yellowcoat]

Good spot UN. Sums up the real financial world situation well. Perhaps some of those with more outlandish views on here might take note.

[Harpers So Solid Crew]

So a lot of other clubs have had debt written off according to that, why would banks do that, why would they not just suspend the interest, but maintain the debt for when better times come along.

Personally I never understand why banks write of debt, unless it it a business that has gone bust, or an individual has gone bankrupt.

I said it before, the overdraft was just that, the club needed cash flow to finance the media centre and training ground improvements, I doubt it was ever supposed to be long term, and dont the Prem payments get the last chunk at the end of the season??? So an overdraft would have made good sense.

[Yellowcoat]

Be surprised if many loans or overdrafts were actually written off though. I just think some banks have just been very soft on clubs perceived to be in trouble as it was much easier to withdraw overdrafts from well run clubs as they could guarantee near 100% success in their efforts.

[Alan Partridge]

If that's true, which I doubt, we spunked it away on Stephen Hunt's wages of £25k a week, shit negotiation, Madejski's fault.

LOL

imo thats mugging yourself off a bit there.

regardless of how much "we" hate the pygmy irish pikey for running out on us, and playing shit when we needed him, hes still clearly one of the best footballers weve seen at the club, hence why hes still in the prem(though hopefully not for very long)

although8i obviously agree that as soon as a player expresses a wish to leave our club he automatically becomes shit.

'clearly one of the best footballers eve seen at the club'

Absolutely NOPE.
If you look up 'average' in the dictionary, Stephen Hunt will be there. A back up player during the 106 season, he played a decent hand the next season and that was it. All effort all energy and a massive lack of quality from day 1. He'd put in the odd decent dead ball but even that had stopped by the end when he was left on the bench. Take the Andy Hughes style running and effort and whats left is a player with the same skill set of Michael Duberry.

I didn't care he wanted to leave, in fact i was delighted i wouldn't have to waste my Saturday's watching him charge up and down before stacking hi 10th cross under no pressure into the North stand and then take home £25k a week.

That's why Reading went down wasting huge money on crap like this when if they'd bombed him out and bought someone who could cross a ball for the same money they MIGHT have survived.

How's he in the Premiership, no idea maybe he's improved since leaving here? But if you seriously think he's one of the best players to play here then your standards must be lower than a snake's belly.

[Ian Royal]

SHunt - the very definition of determination triumphing over genuine skill to make someone extremely effective.

I could list a dozen players better than him who've played for us off the top of my head. But he was bloody effective when he had the hunger to prove himself and really go for it. It was his self belief that allowed him to bundle his way through and get crosses in. His determination to get something, anything, on the ball to get it into the net.

[Alan Partridge]

SHunt - the very definition of determination triumphing over genuine skill to make someone extremely effective.

I could list a dozen players better than him who've played for us off the top of my head. But he was bloody effective when he had the hunger to prove himself and really go for it. It was his self belief that allowed him to bundle his way through and get crosses in. His determination to get something, anything, on the ball to get it into the net.

And when that went in the second half of the Prem season and the 2nd half of the CCC season the next year, what was left? a shambles.

I'd never question Hunt's commitment when on the field, 99% perspiration and 1% inspiration. The moment you've got players like that demanding huge raises, instant transfer list cos you can replace them in a heartbeat. Both Kebe and McAnuff are better than Hunt for me.

For 'one of the best players to play at RFC', i am struggling to think of a high quality goal he scored ever. Tap ins, headers or penalties.

[Ian Royal]

Yes, when he thought he'd proven himself we were left with a stupid player who thought he could piss all over the league and got confused about why it didn't happen any more.

Kebe and McAnuff are far better technically gifted players, but are just as likely to drift in and out of games... just not in half season blocks like SHunt did.

[zummerset]

I don't get this Hunt baiting because he moved on and was therefore rubbish. Hunt as part of the whole team effort was more than worth his place and galvanised the team with his effort, harrying and energy. I would have him back in an instant rather than some of the dreary plodders currrently inhabiting our midfield

[Alan Partridge]

Yes, when he thought he'd proven himself we were left with a stupid player who thought he could piss all over the league and got confused about why it didn't happen any more.

Kebe and McAnuff are far better technically gifted players, but are just as likely to drift in and out of games... just not in half season blocks like SHunt did.

Wingers generally do that, my grievance with Hunt always wasn't that so much. Just the fact he wasn't that good. He'd be talked up as one of our best players, get new contracts every 5 minutes on more and more money yet just was a bit crap. No Little or McAnuff like skills to actually beat players, just head down run into them hope for the best. No consistant Little like delivery. No Kebe like pace to rinse full backs, no decent goals or bits of brilliance like we've seen from most wingers or attacking players worth their salt. Christ even Hughesy scored the odd special goal. I can think of not one from Hunt. Name an attacking player for reading in the last 5-10 years you'll pick out 1 bit of brilliance somewhere, Hunt? Nope. New £25k a week contract. Just massively massively average.

FWIW this isn't 'since Hunt was gone'. Anyone that knows me knew my feelings on him at the time. So you'd rather Hunt than Kebe or McAnuff cos that's where he'd play.

[Ferris]

Absafuckinglutely agree with everything AP has said about SHunt. Vastly overated, absolute joke that he was ever voted POTY and the fact that he did just sums up how poor we were when we got relegated. Distinctly average player, who over achieved for half a season.

[pea]

I could never warm to Hunt or Oster because seeing their names on the teamsheet just meant it was another game that the far more inspiring and talented Little or Convey were missing through injury. Hunt put in enough effort for me to accept him but never did anything that I looked at and didn't think that Convey could have done it or done it better.

[zummerset]

you guys seem to have allowed your bitterness to have clouded your judgement. Voted POTS for a very good reason i.e. more Reading Fans though he was half good

[pea]

Doesn't mean I have to of. He was decent enough but no way is he one of the best players we've had.

Ill wager this time a year ago half of Reading fans would have said Kebe was crap, Pearce and Cummings would never come good and Davies was our best young talent. Doesn't mean much to be honest and what other people think song change my opinion.

Everyone likes a trier but you have to maintain some perspective. He was a very average player whose determination made him stand out for a short period and when it tailed off slightly he was shown to be a very average player in the league below the one he won his Player of the Year award.

[Ian Royal]

Yes, when he thought he'd proven himself we were left with a stupid player who thought he could piss all over the league and got confused about why it didn't happen any more.

Kebe and McAnuff are far better technically gifted players, but are just as likely to drift in and out of games... just not in half season blocks like SHunt did.

Wingers generally do that, my grievance with Hunt always wasn't that so much. Just the fact he wasn't that good. He'd be talked up as one of our best players, get new contracts every 5 minutes on more and more money yet just was a bit crap. No Little or McAnuff like skills to actually beat players, just head down run into them hope for the best. No consistant Little like delivery. No Kebe like pace to rinse full backs, no decent goals or bits of brilliance like we've seen from most wingers or attacking players worth their salt. Christ even Hughesy scored the odd special goal. I can think of not one from Hunt. Name an attacking player for reading in the last 5-10 years you'll pick out 1 bit of brilliance somewhere, Hunt? Nope. New £25k a week contract. Just massively massively average.

FWIW this isn't 'since Hunt was gone'. Anyone that knows me knew my feelings on him at the time. So you'd rather Hunt than Kebe or McAnuff cos that's where he'd play.

AP I know exactly where you're coming from, no I wouldn't want Hunt back over McAnuff or Kebe. And I'm well aware of your feelings towards him the whole time.

Hunt was certainly more than "Just a bit crap" though. Which is why when he stopped performing we suffered so much, particularly in Coppell's last season. Certainly a player's who's survived on reputation and bustling performance since he became a regular with us. Not worth that level of contract in all probability, but he was one of our most important players in both the relegation season and our failed promotion bid.

In fact he was one of only about 4 players to come out of the relegation season with any credit IMO.

[zummerset]

Listen I like a trier, in our position that counts for a lot which is why Long is in the team and attracts the same criticsm at the moment (it is a kind of shared frustration that he puts in so much and scores to little for the effort expended). What I am getting at is these hard working, energetic players are the backbone that allows the talent in the team to work. The current offerings of Tabb, Leigertwood, Howard in midfield, Church up front and the rather uninspiring defence do not offer the same dynamism - it is all so one dimensional. Player like Hunt both created space and denied it to the opposition, if his final ball was a bit iffy you only noticed it because Hunt was doing a disproportionate amount of the work.

We have some talent (Kebe, McEnough, Noel Hunt and some good youngsters coming though) and they would get more opportunities with a Shunt on the pitch.

[Harpers So Solid Crew]

Be surprised if many loans or overdrafts were actually written off though. I just think some banks have just been very soft on clubs perceived to be in trouble as it was much easier to withdraw overdrafts from well run clubs as they could guarantee near 100% success in their efforts.

So it's a good find for saying that overdrafts were called in elsewhere, yet you doubt the accuracy of another comment on it, why wouldn't banks write debts off, perhaps other Chairmen offered an amount to clear the debt, and the banks took what was on the table, both the club and bank would now that was the end of the line of credit though.

[Yellowcoat]

Yes, may have been possible, but I just feel that many banks would have no need to write off loans or overdrafts for football clubs who are not officially insolvent (although in many cases they should be and in any other industry probably would be). If this government change things to get rid of the football debts first situation and allow HMRC to act quicker it will become interesting though.

[loyalroyaldaz]

Beckham is looking for a winter loan.