Football's Magic Money Tree

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Chester Perry
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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 1:21 pm

It wasn't really talked about by many but one of the reasons behind PPTV/Suning's effort to renegotiate the value of their tv deal was the level of piracy streams in the far East. The Premier League have been working hard on that, even establishing a regional office primarily to support that effort, the approaching season has seen a new campaign from the Premier League in this fight. from SportsBusiness

Premier League launches ‘Boot Out Piracy’ campaign in Malaysia, Hong Kong and Indonesia
Tom King, Asia Office - September 8, 2020

The English Premier League has launched its first anti-piracy campaign in Malaysia, Hong Kong and Indonesia.

The ‘Boot Out Piracy’ campaign will run across digital platforms and will featuring an array of the EPL’s top stars, including Tottenham Hotspur’s Son Heung-min, Liverpool’s Mohamed Salah, and Manchester City’s Raheem Sterling.

The advertising drive aims to raise consciousness of the compromised viewing quality and the risks fans will face if they watch matches using illegal streams.

EPL managers Ole Gunnar Solskjaer, Pep Guardiola and Frank Lampard are also set to feature in the initiative that will launch in Malaysia, Indonesia and Hong Kong ahead of the start of the 2020-21 season.

The campaign comes 18 months after the EPL opened its first Asia-Pacific office in Singapore, established primarily to tackle piracy and support broadcast partners in the region.

Premier League director of legal services Kevin Plumb said: “We want Premier League fans to watch our matches in the best possible way, not ruined by time-lags, glitches or viruses and malicious malware… There is a hidden cost to watching football through pirate services and this campaign reminds fans it is not worth compromising broadcast quality or the risk of becoming a victim of data theft or fraud.

The EPL has already engaged in wide-ranging anti-piracy efforts in Asia which include blocking action against illegal apps and websites in Singapore and Indonesia and blocking illegal websites in Malaysia.

It has also been working with law enforcement authorities to bring criminal action against suppliers of illicit streaming devices and website operators across the region, including in Thailand, Singapore and Vietnam.

Head of sports at Malaysian broadcaster Astro Lee Choong Khay, said: “Together with the Premier League, Astro is committed to working with the authorities to protect the value of intellectual property by fighting piracy. As the official and exclusive broadcaster in Malaysia, Astro is committed to serving sports fans with the best and a hassle-free viewing

The EPL say by using illegal streams supporters expose themselves to the threat of malicious malware and ransomware, which could lead to data theft and fraud.

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 1:39 pm

I must say that this story takes some believing and opens up a huge number of legal/moral/ethical questions - from SportsBusiness

A-League club owners want to decide which players ‘lose 30 per cent’ of salary
Tom King, Asia Office - September 8, 2020

The owners of Australia’s A-League clubs want to push through a scheme allowing them to choose which players are to have their salaries reduced as part of a proposal submitted to the players’ union.

Players and clubs in Australia’s top-tier football league are locked in a dispute with the club owners targeting to cut the wages of selected players by up to 30 per cent.

The Sydney Morning Herald reports that A-League clubs are expected to lose about 50 per cent in their annual grants from the FFA, together with losses from matchday and sponsorship revenue, due to Covid-19 restrictions. As a result the clubs are expected to significantly cut their wage bills before the start of next season.

Instead of submitting a proposal to decrease all players wages however, club owners want to select the players that will have their salaries reduced.

The Herald says sources close to the talks suggest players selected for maximum pay cuts could be forced to accept a 30-per-cent reduction in earnings or leave the club for free.

The Australian Professional Football Clubs Association’s chairman Paul Lederer said: “We are negotiating with the PFA. It’s reasonably amicable as far as I am concerned. We have explained the landscape, they have to make up their minds and we have made them an offer they need to consider.”

The PFA is thought to be unlikely to accept a collective bargaining agreement that gives clubs the authority to reduce selected players’ salaries. The association says the players have already foregone significant earnings and undertaken hardships such as hub relocations to finish this season, and should not be penalised further.

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 4:13 pm

GodIsADeeJay81 wrote:
Mon Sep 07, 2020 10:49 pm
Those financial worries, do we think they'll push prices up for championship players or down to get sales done and cash in?
Interesting piece in the Guardian

The transfer window is working for young, free and single footballers
With clubs struggling financially and facing a salary cap in the Football League, academy players are in demand

By Gavin Willacy for Playing in the Shadows Tue 8 Sep 2020 14.00 BST

There are currently hundreds of men in their twenties and thirties wondering if they are still professional footballers. The majority of those whose contracts ended on 30 June are still without a club and are hurriedly lowering their financial expectations in the hope they can find a club to bite at the right price.

The players who require the lowest wages are finding themselves in demand – and that tends to be unmarried youngsters with few overheads. A glut of players become jobless every year but this year youngsters who can price themselves competitively in the market are finding openings that may have been taken by more experienced – and expensive – players in the past.

The pandemic has almost frozen the transfer market, with many clubs deciding to stick rather than twist. The Premier League resumes on Saturday yet Burnley have not spent any money on transfer fees; Brighton have only invested £900,000; and Aston Villa, who spent £150m last summer, have only paid a fee for Matty Cash. Liverpool and Manchester United have only brought one player each.

The trend is the same in the Football League. Bournemouth have let 11 players leave without signing anyone. Preston still have no new faces. Reading, whose wage bill of £40m for the 2018-19 season worked out as 194% of their turnover, have boiled their squad down to the minimum. Only six of the 24 clubs in the Championship – Stoke, Nottingham Forest, Watford, Norwich, Barnsley and Rotherham – have increased their squad size, all shaping a new team knowing they need something different this season.

Some of this inertia is down to the new salary caps of £2.5m in the League One and £1.5m in League Two. Last season, a middling League One wage bill was £5.6m, three times the new cap. So almost every club in the third tier has a huge challenge on their hands. Sunderland paid £27m in wages the season before last to finish as the 49th best team in the country.

Clubs are not just dealing with a salary cap but also a massive decline in income – plus the likely impending recession. To cope they are either cutting the size of their squads or replacing expensive players with cheaper alternatives. Forest Green, Blackpool and Bristol Rovers have replaced almost their entire squads. Portsmouth have cut their squad size by eight, Accrington nine, and Tranmere and MK Dons 10. Stevenage have swapped one bloated failing squad for an almost entirely different slimmed down one, with 27 players leaving and 12 brought in.

With more experienced and expensive players shown the door, youngsters have been given the chance to step up. Under-21 players do not count towards the salary cap, so promising teenagers are in demand. Most 18-year-olds on their first contracts earn around £150-£200 a week in League Two, £200-300 in League One, and £300-500 in the Championship. These are incredibly cheap for clubs.

MK Dons are down to just 18 senior players, so manager Russell Martin has drafted four scholars into first-team training for pre-season. Martin gave five teenagers game time against Arsenal and Fulham last week. Teenagers Sam Beckwith and Avan Jones have impressed at Luton in pre-season and will hope to retain their places in a slimmed-down Championship squad. The only negative for the youngsters is that Covid-19 regulations stipulate that players cannot move back and forth between the youth team and first-team squads.

Other clubs see the cap as a chance to clamber out of a division they don’t want to be in and are investing in experienced players instead. Bolton, who intend being in League Two for no more than nine months, have signed a whole new squad. Mansfield are also going for it and so are Salford – who have released 15 players and signed nine, including Preston captain Tom Clarke, which says everything about the Class of 92’s spending power. Although the salary cap is coming in with immediate effect, current contracts are assumed to be worth a league average salary until they expire. These clubs know they have to act quick to exploit their financial advantage before the cap levels the field.

Some of Salford’s natural rivals for promotion have had to sit tight. Leyton Orient simply re-signed four of their eight out of contract players, expecting them to play major roles in a promotion push. With a wage bill roughly three times the cap, they have only made one free and one loan signing. Instead, like a lot of others, manager Ross Embleton will make do with what he’s got and hope his many young and relatively cheap squad members come in handy.

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 4:24 pm

Chester Perry wrote:
Mon Sep 07, 2020 10:34 pm
The EFL are to appeal the Derby amortisation practice decision according to the Telegraph

EFL launch appeal after Derby County escape financial misconduct charges
JOHN PERCY SEPTEMBER 07, 2020

The English Football League are set for another legal row with Derby after launching an appeal against the club's escape from misconduct charges last month.

Derby avoided punishment for two alleged breaches of spending rules after charges were dismissed by an independent disciplinary commission following a lengthy investigation.

The Championship club were initially charged with misconduct related to the valuation of their Pride Park Stadium and a separate charge regarding the amortisation of player contracts.

And it was revealed on Monday night that the EFL will be contesting the second charge of amortisation - which is effectively how the purchase price of a player is spread over a contract.

The EFL's deadline to submit an appeal was Tuesday and in a statement they confirmed: "The EFL Board has determined the league will appeal against the outcome of an independent disciplinary commission in respect of misconduct charges brought against Derby County.

"The appeal is specific to the second charge only, which considered the club’s policy regarding the amortisation of intangible assets. There will be no further comment at this time."

Derby said they were "delighted" with the verdict after the charges were dismissed last month.

Sheffield Wednesday will start this season with a 12-point deduction after they were found guilty of breaking the EFL's Profitability & Sustainability rules on July 31.
Derby respond and make a very fair point - re rule change -

Tue 08 Sep - Posted in Breaking News

Time to read: 1min

DERBY COUNTY STATEMENT ON EFL APPEAL
Derby County Football Club is surprised and disappointed to hear the EFL has decided to appeal against the decision of the independent Disciplinary Commission with respect to the second charge against it concerning its policy regarding the amortisation of intangible assets (player registrations).

As is evident from its detailed reasoning, the Disciplinary Commission considered the Charge with great care before dismissing it.

If the EFL is concerned about the wider implications of the ruling then it has always been open to it to recommend a rule change requiring defined amortisation policies, but it has not done so. The Club believes that pursuing a case based on conflicting opinions about accounting policies which, even if the EFL succeeded, would have only led to the Club re-submitting its P&S calculations, is a further waste of the EFL’s resources and an unnecessary distraction to the Club.

The Club shall vigorously resist the appeal and shall make no further comment until it has been determined.

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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 4:49 pm

FIFA releases a maual to help you understand it's rules on Third Party Influence and Third Party Ownership

https://www.fifa.com/who-we-are/news/fi ... -ownership

the manual is here https://img.fifa.com/image/upload/jhre7 ... zi81rn.pdf

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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 4:53 pm


Chester Perry
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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 6:28 pm

Wide ranging interview with Richard Masters CEO of the Premier League on the BBC website covering a wide range of financial issues - some of the numbers seem bigger than we have heard up until now

Premier League chief Richard Masters says it is 'absolutely critical' fans return

By Dan Roan - BBC sports editor Last updated on56 minutes ago.

Premier League chief executive Richard Masters says it is "absolutely critical" that fans are allowed back inside stadiums as soon as possible.

He says failure to do so will cost clubs £700m during the 2020-21 season, which starts on Saturday.

Football has been played behind closed doors since its return in June following the coronavirus lockdown.

As it stands, no fans will be admitted to top-flight matches in England before October at the earliest.

Speaking later on Wednesday, Prime Minister Boris Johnson announced there will be a "review" of plans to bring fans back into stadiums from 1 October in England, amid growing numbers of positive Covid-19 cases.

Masters told BBC Sport that matches behind closed doors "can't go on forever", as clubs have already lost more than half a billion pounds from the disruption to the final quarter of last season.

"We have to get back to fans inside stadia as quickly as possible - that's the big thing that's missing, economic or otherwise - we need fans back inside stadiums for all sorts of reasons and it's the number one priority," he said.

Masters also revealed he was still hopeful some fans could return to grounds next month, despite the rising number of cases of coronavirus in the UK and the government's new restriction on gatherings of more than six people, which comes into effect on Monday.

He admitted clubs "would have to adapt" because "there will be bumps in the road".

"It doesn't lower our ambitions - it just means that we'll have to adapt - it's one thing we've shown over recent months, we're able to adapt to the situation," Masters said.

"We wait to see what impact it has on the government's testing programme, and permissions it's going to give, and also on that crucial 1 October date. We wait to see what the government decides and we'll remain in dialogue with them throughout.

"We always knew September was going to be a difficult month at the start of the return to normality the government was talking about, and so we should anticipate bumps in the road."

Premier League's key targets
Masters said the Premier League has three main objectives - the "big challenge" of ensuring 380 matches finish on time this season, getting fans back into full stadia, and returning the Premier League economy to full health.

Premier League revenue was down £700m in the final quarter of last season.

"It's not just the loss of matchday revenue," he said. "Every Premier League match on average generates about £20m for the economy both local and national so we want to play our part in helping the economy to recover as well.

"I think perhaps there is a perception the Premier League economy can withstand just about anything, but if you do lose £700m out of a planned budget it's going to affect things and clubs have had to make some very difficult decisions.

"That is why it is important we focus on those three key objectives and obviously everyone hopes that from next season we can return to full normality, but it's a huge challenge going forward.

"Financial issues are very real, they're there, economic uncertainty is in front of us, and we just have to have a clear plan and stick to it."

'Confidence' that season can be finished if another wave hits
The 2019-20 Premier League season was suspended in March as a result of the coronavirus pandemic and restarted on 17 June, exactly 100 days later.

In last week's Premier League meeting, there was a commitment to complete this coming season should a second wave of coronavirus hit England, although a final decision is yet to be made.

Players and staff will now be tested once a week rather than twice.

"What we were able to create was a very safe environment, a very low prevalence of positive tests around a short campaign of 92 games," said Masters about the end of last season.

"It does give us the confidence that that formula can continue to work.

"You can never rule it out, we have to be cautious, and everyone has to play their part.

"But it must build confidence that we can get our season away and get it finished on time."

'Difficult decision' to terminate China streaming deal
Earlier in September, the Premier League terminated its £564m contract with its Chinese licensee with immediate effect.

BBC Sport was told streaming service PPTV withheld its latest payment of £160m, due in March.

"It was a very difficult decision," said Masters. "PPTV have been a very good partner for us.

"We had some contractual dispute with them that we couldn't resolve so we took the very difficult decision, the commercial decision, to move on and to find a new way of doing things in China."

China was the English top flight's most lucrative overseas television rights territory, with a three-season deal agreed in 2019.

"We hope to resolve the issue as soon as we can," Masters added. "I want to make the best decision rather than the quickest decision, we know that there is a lot of demand to see Premier League matches out there, clubs have got millions of supporters who want to see their matches and so we hope to deliver something as soon as we can.

"There are all sorts of things to take into account, reach and value are two of them, but I think really it's about choosing the right path forward in a very big market, a crucial market to the Premier League."

'Sympathy' for Newcastle fans
Masters also spoke to BBC Sport about the collapse of the potential takeover of Newcastle United in June, saying he had "sympathy" for Magpies fans because of the lack of information they received.

A Saudi Arabian-backed consortium ended its £300m bid to buy the club off Mike Ashley in July, after the group rejected the Premier League's offer of arbitration to determine who would own the club.

The deal was still being scrutinised under the Premier League's owners' and directors' test.

"I think there is a reasonable expectation on all the parties involved for confidentiality, I think that's what we were trying to respect," said Masters.

"We've been as transparent as we possibly can and had, albeit brief, discussions with the Newcastle United Supporters Trust where I've answered their questions and written an letter to local MPs explaining as much as I can about the process and some of the issues we faced, and so hopefully we have been more transparent.

"Obviously what we can't talk about it what might happen in the future.

"We are going to look again at the owners' and directors' test and some of the issues and specifics of it.

"It's time to have another look at it in light of recent events."

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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 7:17 pm

The Telegraph have take a slightly different nuance from that Richard Masters briefing - including that he doesn't expect any rebates generated this season (which I find extremely surprising - though welcome)

Premier League chief Richard Masters says return of fans 'absolutely critical' to clubs
TOM MORGAN SEPTEMBER 09, 2020

Richard Masters, chief executive of the Premier League, has applied pressure on Government to resist delaying the return of crowds, saying it is "absolutely critical" to get fans inside football stadiums soon.

Speaking as the Prime Minister announced a review of the Oct 1 plan to get spectators back, the head of the world's most lucrative domestic league also told reporters that clubs were "ready, willing and able" and empty stadiums "can't go on forever".

Crowd pilots have been given the green light to continue as it stands, but numbers have been reduced to 1,000 at many venues - scuppering potential plans for tests of 20,000 spectators or more at football grounds in September.

During briefings with reporters, he said it was "absolutely critical" that fans are allowed back inside stadiums as soon as possible, and that failure to do so will cost clubs £700million during the season which starts this weekend.

With Tottenham and Manchester United among clubs who were hopeful of staging trials in the coming weeks, he later added that the Premier League was "ready, willing and able to continue with our test events and test proposals and open our turnstiles from Oct 1 if we are given permission to do so". "If Project Restart taught us anything it is that we have to be flexible and be willing to meet the bumps in the road - September was always going to be a difficult month," he added.

The Premier League clubs have already opened the door this week for even more games to be shown live on television this season after reversing their decision to block fans watching 160 of them while stadiums remained closed. When asked whether more games could be shown live, Masters added: "I think we are taking it step-by-step. Yesterday we announced the first three match rounds would be live with our broadcast partners and we are happy to make that clear but also we are going to take the time necessary to react to Thursday's events in the coming days and make a decision on what happens afterwards, when we know know the full picture."

He said the risk of ongoing loss of matchday revenue was a far bigger problem than any possibility of a future loss of revenue due to potential broadcasting rebates. "We are not anticipating any rebates or planning for them," he said. "It is quite clear through our contractual arrangements what would happen. So, no, we go into the season with a clear budget and a clear plan. The main risk to Premier League finances is through loss of matchday revenue and that depends on working with Government to open turnstiles and allow fans back in."

Masters said we "certainly remain very optimistic" full stadiums "can be achieved" by the end of the season, and "it is certainly our ambition and we are doing everything we possibly can".

"We are very pleased the Government has set up the new technology and innovation group to look at how sport and entertainment can provide further mitigation through investments in things which might involve health passports and testing prior to entry plus additional hygiene measures in stadiums to deal with transmission and fully backing test and trace," he added.

The 2019-20 Premier League season was suspended in March as a result of the coronavirus pandemic and restarted on 17 June, exactly 100 days later.

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Re: Football's Magic Money Tree

Post by claretandy » Wed Sep 09, 2020 7:23 pm

Chester Perry wrote:
Wed Sep 09, 2020 7:17 pm
The Telegraph have take a slightly different nuance from that Richard Masters briefing - including that he doesn't expect any rebates generated this season (which I find extremely surprising - though welcome)

Premier League chief Richard Masters says return of fans 'absolutely critical' to clubs
TOM MORGAN SEPTEMBER 09, 2020

Richard Masters, chief executive of the Premier League, has applied pressure on Government to resist delaying the return of crowds, saying it is "absolutely critical" to get fans inside football stadiums soon.

Speaking as the Prime Minister announced a review of the Oct 1 plan to get spectators back, the head of the world's most lucrative domestic league also told reporters that clubs were "ready, willing and able" and empty stadiums "can't go on forever".

Crowd pilots have been given the green light to continue as it stands, but numbers have been reduced to 1,000 at many venues - scuppering potential plans for tests of 20,000 spectators or more at football grounds in September.

During briefings with reporters, he said it was "absolutely critical" that fans are allowed back inside stadiums as soon as possible, and that failure to do so will cost clubs £700million during the season which starts this weekend.

With Tottenham and Manchester United among clubs who were hopeful of staging trials in the coming weeks, he later added that the Premier League was "ready, willing and able to continue with our test events and test proposals and open our turnstiles from Oct 1 if we are given permission to do so". "If Project Restart taught us anything it is that we have to be flexible and be willing to meet the bumps in the road - September was always going to be a difficult month," he added.

The Premier League clubs have already opened the door this week for even more games to be shown live on television this season after reversing their decision to block fans watching 160 of them while stadiums remained closed. When asked whether more games could be shown live, Masters added: "I think we are taking it step-by-step. Yesterday we announced the first three match rounds would be live with our broadcast partners and we are happy to make that clear but also we are going to take the time necessary to react to Thursday's events in the coming days and make a decision on what happens afterwards, when we know know the full picture."

He said the risk of ongoing loss of matchday revenue was a far bigger problem than any possibility of a future loss of revenue due to potential broadcasting rebates. "We are not anticipating any rebates or planning for them," he said. "It is quite clear through our contractual arrangements what would happen. So, no, we go into the season with a clear budget and a clear plan. The main risk to Premier League finances is through loss of matchday revenue and that depends on working with Government to open turnstiles and allow fans back in."

Masters said we "certainly remain very optimistic" full stadiums "can be achieved" by the end of the season, and "it is certainly our ambition and we are doing everything we possibly can".

"We are very pleased the Government has set up the new technology and innovation group to look at how sport and entertainment can provide further mitigation through investments in things which might involve health passports and testing prior to entry plus additional hygiene measures in stadiums to deal with transmission and fully backing test and trace," he added.

The 2019-20 Premier League season was suspended in March as a result of the coronavirus pandemic and restarted on 17 June, exactly 100 days later.
Like i said yesterday...
There won't be any more domestic rebates this season for behind closed door games, the broadcasters understand the unprecedented situation.

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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 7:26 pm

claretandy wrote:
Wed Sep 09, 2020 7:23 pm
Like i said yesterday...
That was slower than expected :lol: - I still don't believe they will get through the season without rebates, as much as I would welcome it

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Re: Football's Magic Money Tree

Post by claretandy » Wed Sep 09, 2020 7:31 pm

Chester Perry wrote:
Wed Sep 09, 2020 7:26 pm
That was slower than expected :lol: - I still don't believe they will get through the season without rebates, as much as I would welcome it
As long as there isn't another complete lockdown.

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Re: Football's Magic Money Tree

Post by Royboyclaret » Wed Sep 09, 2020 7:40 pm

claretandy wrote:
Wed Sep 09, 2020 7:23 pm
Like i said yesterday...
The whole justification behind last season's £340m broadcast rebate (£17m per club) was the fact the rights-holders were not receiving the product as defined in the contract. Lack of crowd, atmostphere etc.

On that basis, what exactly is the difference with the games in the new season?....Surely there's no difference?

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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 7:42 pm

Royboyclaret wrote:
Wed Sep 09, 2020 7:40 pm
The whole justification behind last season's £340m broadcast rebate (£17m per club) was the fact the rights-holders were not receiving the product as defined in the contract. Lack of crowd, atmostphere etc.

On that basis, what exactly is the difference with the games in the new season?....Surely there's no difference?
exactly Roy

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Re: Football's Magic Money Tree

Post by claretandy » Wed Sep 09, 2020 8:11 pm

Royboyclaret wrote:
Wed Sep 09, 2020 7:40 pm
The whole justification behind last season's £340m broadcast rebate (£17m per club) was the fact the rights-holders were not receiving the product as defined in the contract. Lack of crowd, atmostphere etc.

On that basis, what exactly is the difference with the games in the new season?....Surely there's no difference?
I thought it was because the season didn't finish by July 16th ? BTW it's domestic broadcasters who have said no rebates.

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Re: Football's Magic Money Tree

Post by Royboyclaret » Wed Sep 09, 2020 8:42 pm

claretandy wrote:
Wed Sep 09, 2020 8:11 pm
I thought it was because the season didn't finish by July 16th ? BTW it's domestic broadcasters who have said no rebates.
No, no....their argument was around the fact that clubs were not delivering the product as agreed within the contract with the rights-holders in terms of atmosphere at games and lack of crowds etc. Probably a justifiable argument.........So, I ask the question again, what then is the difference between the situation in those last nine games and the one for the upcoming season.

That said, Andy, I sincerely hope that your information is accurate as it could literally be a life-saver for Burnley. We simply do not have the funds to settle the £17m from last season PLUS potentially even greater figures for next season.

Do you have a link for the domestic broadcasters saying no rebates for next season?

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Re: Football's Magic Money Tree

Post by claretandy » Wed Sep 09, 2020 8:52 pm

Royboyclaret wrote:
Wed Sep 09, 2020 8:42 pm
No, no....their argument was around the fact that clubs were not delivering the product as agreed within the contract with the rights-holders in terms of atmosphere at games and lack of crowds etc. Probably a justifiable argument.........So, I ask the question again, what then is the difference between the situation in those last nine games and the one for the upcoming season.

That said, Andy, I sincerely hope that your information is accurate as it could literally be a life-saver for Burnley. We simply do not have the funds to settle the £17m from last season PLUS potentially even greater figures for next season.

Do you have a link for the domestic broadcasters saying no rebates for next season?
This is the link that mention rebates for not finishing the season on time, i don't have a link for no rebates, but a journalist posted similar to what chester has posted above, (think it was Martin Lipton)

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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 09, 2020 9:38 pm

The Premier League have paid for domestic rebates this season by giving extra games and no doubt extra concessions on things like access to players and managers - it was 20 games before the news about the September games being televised - it will detract from earnings in future cycles

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Re: Football's Magic Money Tree

Post by tiger76 » Wed Sep 09, 2020 9:54 pm

More on the Newcastle situation. And they're not happy. Could we see court cases looming?

Newcastle United say they are "considering all relevant options" after claiming the Premier League did not act "appropriately" in its handling of a failed takeover by a Saudi Arabian-backed consortium.

In July the group, which included Saudi Arabia's sovereign wealth fund PIF, said it had backed out of the deal.

The league wanted clarification of the links between PIF and the Saudi state.

But on Wednesday, Newcastle said the Premier League had rejected the bid.

"[Owner] Mike Ashley understands fans' frustrations," the club said, adding the rejection had been based on the Premier League's owners' and directors' test.

However, the Premier League said in August the bid had failed after the consortium had rejected its offer of arbitration to determine who would own the club.

The consortium, which also included PCP Capital Partners and Reuben Brothers, had agreed a £300m deal to buy the club from Ashley in April.

In a statement, Newcastle added: "The club and its owners do not accept that Premier League chief executive Richard Masters and the Premier League have acted appropriately in relation to this matter and will be considering all relevant options available to them.

"This conclusion has been reached despite the club providing the Premier League with overwhelming evidence and legal opinions that PIF is independent and autonomous of the Saudi Arabian government."

BBC Sport has contacted the Premier League for comment.

Speaking to BBC Sport earlier on Wednesday, Masters said he had "sympathy" for Magpies fans because of the lack of information they received.

"I think there is a reasonable expectation on all the parties involved for confidentiality, I think that's what we were trying to respect," said Masters.

Masters also said the Premier League would "look again" at the "issues and specifics" of its owners' and directors' test.

The bid was led by British financier Amanda Staveley, but PIF would have taken an 80% stake.

PIF's chairman is Crown Prince Mohammed bin Salman, and it appeared the Premier League's lawyers had been struggling to establish the precise links between the consortium and the Saudi government.

The Premier League's rules meant it wanted to know who would have control, where funding would come from, and who would appoint the board.

Masters said that because the consortium ended its bid before the issue was resolved, there was "never any point" where the Premier League board was "asked to make an assessment on the suitability of all members of the consortium".

Human rights groups and the fiancee of murdered journalist Jamal Khashoggi, Hatice Cengiz, had opposed the takeover.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 12:11 am

That is an interesting piece of PR from Ashley to the Newcastle fans, added to the significant spend this summer he really seems to be trying to appease them

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 12:31 am

It appears that the Premier League will be back on Chinese TV screens shortly - from the Mail

Premier League chief Richard Masters says they are 'taking steps' to get coverage back on Chinese TV after pulling the plug on £564m deal with PPTV last week over withheld £160m payment amid coronavirus crisis
- Premier League terminated its existing contract with PPTV in China last week
- It came after the withholding of a payment due under terms of the deal in March
- The three-year £564m deal with PPTV was announced last summer
By JAMIE GARDNER, PA CHIEF SPORTS REPORTER

PUBLISHED: 23:47, 9 September 2020 | UPDATED: 23:47, 9 September 2020

The Premier League is 'taking steps' to get its teams back on Chinese television, the organisation's chief executive Richard Masters has said.

The league terminated its existing contract in the country with rights holder PPTV, owned by Suning, last week after the withholding of a payment due under the terms of the deal in March.

The three-year deal with PPTV was announced last summer, and was reported to have been worth more than half a billion pounds.

Masters said he hoped it would not be long before Chinese fans of the Premier League would be able to watch the action again.

'The decision to terminate our agreement with Suning was a very difficult one and they had been a very good partner to us,' he said.

'We had some difficulties that we couldn't resolve and we had to make the decision to move on. We know there are millions of fans in China who want to watch the Premier League so we are taking steps to resolve that situation.

'We need to make the right decision rather than the quickest decision, so we are getting on to that.

'Clearly it creates some financial issues but we are confident that we made the right commercial decision and the right strategic decision for the Premier League.'

Masters also said it was unlikely that the pre-season Asia Trophy would be taking place next summer.

'Having been centrally involved in organising previous Asia Trophies, it is an enormous undertaking and to make it happen, it requires an enormous amount of forward planning which we just haven't been able to get done,' he said.

'We have been to China twice and Hong Kong on a number of occasions and had really positive experiences and I really hope we would be welcomed if we are ready to go back with whatever pre-season format we have in the future.'

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 1:43 pm

If you don't think there is something wrong about Jorge Mendes and his grip on Wolves or Portuguese football - try this (EFL, Premier League, UEFA) from the Mail

REVEALED: Porto paid Jorge Mendes £6.4m of the £35m transfer fee from Wolves for the signing of Fabio Silva... and he isn't even the player's agent!
- Fabio Silva completed a £35m move from Porto to Wolves last week
- It has emerged that £6.4m of that is being paid to Jorge Medes' Gestifute
- But the 18-year-old Silva is not even represented by Mendes and Gestifute
By JACK BEZANTS FOR MAILONLINE

PUBLISHED: 10:12, 10 September 2020 | UPDATED: 11:24, 10 September 2020

Porto have informed the Portuguese stock exchange they will pay Jorge Mendes' Gestifute agency £6.4m out of the £35m transfer fee they received from Wolves for Fabio Silva.

The Premier League outfit completed the mega-money move for the 18-year-old attacker last week, setting a new club record for a transfer fee in the process.

Now, according to a number of reports in Portugal on Thursday, it has emerged that some of that money will make its way to Mendes, even though he is not Silva's agent.

The 18-year-old is represented by the company Soccer Talents Vision (STV), who were alongside him when he put pen to paper on a five-year deal with Wolves.

Fosun International, the company that own Wolves, have previously said that Mendes is an advisor at the club.

Manager Nuno is represented by Mendes' Gestifute company, as well as a number of players. Rui Patricio, Joao Moutinho, Ruben Neves, Diogo Jota, Pedro Neto and Raul Jimenez are also signed to Gestifute.

Matt Doherty, the former Wolves right-back, also switched from his agent to Gestifute while at Wolves, according to The Times back in January.

Doherty left Wolves for Tottenham earlier this month and Tottenham's manager, Jose Mourinho, is also represented by Mendes.

Mendes' influence stretches throughout football but it clearly runs particularly deep at Wolves.

Wolves start the Premier League season on Monday, away to Sheffield United where Silva could make his debut.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 4:03 pm

Chester Perry wrote:
Thu Sep 10, 2020 12:11 am
That is an interesting piece of PR from Ashley to the Newcastle fans, added to the significant spend this summer he really seems to be trying to appease them
Saudi/Newcastle repeatedly refused arbitration for the takeover - Premier League issue a corrective statement to Newcastle's from last night

https://www.bbc.co.uk/sport/football/54 ... ting-story

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 7:15 pm

The vultures are at the door - The Private Equity Investment in Serie is down to two rival bidders now from - from SportsBusiness.com

Serie A clubs back new media company, two proposals in the mix
SportBusiness Staff - September 10, 2020

Italy’s Serie A football clubs have unanimously approved the formation of a new company designed to market the broadcast rights to the top division of the domestic game.

The 20 clubs gathered at a Lega Serie A assembly meeting yesterday (Wednesday) in Milan, electing to press forward with further analysis of two proposals for stakes in the newco from private equity companies.

Earlier this week, it was reported that the clubs would weigh up three offers for investment in Serie A.

There are now two proposals being considered, with both focused on the creation of a new media rights company.

One is a consortium consisting of CVC Capital Partners, Advent and Italy’s state-backed investor Fondo Strategico Italiano (FSI) for a 10-per-cent stake in the vehicle valued at around €1.63bn ($1.92bn).

Bain Capital, along with NB Renaissance Partners (NBRP), is said to have made a €1.35bn offer for the same stake. US investment firm Fortress was previously said to have joined with Apax and Three Hills Capital Partners in a proposal consisting of equity and debt, with little governance control, but the clubs have elected to focus on the media newco proposals.

Following the meeting, Lega Serie A president Paolo Dal Pino said: “Now there are some steps to be taken, we will analyse the two proposals of the consortiums for the media company because there are some details to be verified. The Lega has worked for years with intermediaries, but it’s time for the value to stay in-house.”

A decision on which of the two proposals will be selected is expected by the end of the month, but Dal Pino said the Lega is committed to the newco strategy.

“If the negotiations do not go through, the only solution remains the media company, regardless of the presence of funds, but this would be the last resort,” he added, according to Corriere della Sera.

Dal Pino stated the option of a pure financial proposal to inject funds into the organisation was never contemplated. He said: “Debt is not admissible in Serie A. Whoever says so has not verified the consolidated financial asset structure. We need financial stability because we are entering a difficult time.”

Commenting on the backing from the clubs, Torino president Urbano Cairo said: “It was a very good decision, an epochal change that will greatly enhance Italian football. A good signal of unity has been given, because it is in the interest of Serie A to make a choice of this kind, delegating the management to competent executives who will be chosen by the private equity fund.”

Dal Pino also referred to legislation that is expected to be approved by the Italian Senate today as key to the future success of the newco. The so-called ‘Sbloccastadi – Stadium unblocker’ has been propelled by former Prime Minister Matteo Renzi in recent weeks and is designed to remove the bureaucratic red tape surrounding stadium development that has served to impede the industry in Italy.

Dal Pino said yesterday: “Tomorrow, there is a fundamental step for our future, namely the approval of the law on stadiums. We must quickly start the modernisation processes of the current stadia and the construction of new stadia in order to stay in step with the rest of Europe. It is also fundamental from the point of view of the media company. If you provide a product with inadequate stadia, it is difficult to compete.”

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 7:33 pm

A thought piece on those huge UEFA tv rebates and what it means for the new reality of Sports finance - from SportsProMedia

Champions League rebates the latest sign of sport’s looming financial reality
With broadcasters getting €575m back from their outlay on Europe's disrupted club soccer competitions, it is becoming easier to put numbers on the impact of a distorted calendar.

Posted: September 10 2020By: Eoin Connolly

There was a period this year where it felt like sport only existed in theory.

Since the start of the Covid-19 pandemic, we have all heard and probably had our share of conversations about whether the improvisations of the last few months might stick. Would models and formats thrown together in the hopes of getting competitions finished have a lasting appeal? How far would broadcasters, after these months of mutual collaboration, be willing to sacrifice a little short-term growth in the name of a healthy experiment?

The answers to questions like this tend to have a dollar value propping them up somewhere and, just now, we are beginning to find out what some of those are. For example: how much did it cost Uefa’s broadcast partners to switch to week-long finals tournaments for soccer’s Europa League and Champions League?

“We are in the process of finalising the accounts with Uefa with a reduction of around €575 million for the international club competitions,” said Juventus president Andrea Agnelli, speaking to representatives of 250 other teams in his capacity as chairman of the European Club Association (ECA) on 8th September.

That €575 million (US$680 million) is being returned to TV companies in compensation for the loss of second-leg fixtures in the quarter-final and semi-final stages, and the shift to less productive dates in the calendar. It is not yet clear how much of that shortfall will show up in cuts to prize money, and how much will be worn by Uefa itself.

Those concertinaed finales drew a decent critical reception, with the nightly drama of winner-takes-all contests on neutral ground filling some of the gap left by Uefa’s own Euro 2020. There is a trade-off between the fun of different competitive set-ups – and their fairness, in some contexts – and commercial performance.

Uefa knows this well: its rights sales partner, Team Marketing, builds detailed financial projections for all manner of formats, with the eventual result produced when those calculations meet the political reality of what clubs will accept. Indeed, Agnelli himself was pushing in March for long-term changes to the Champions League that would recognise the historical importance of teams like, well, Juventus.

Financial shocks have their consequences. Agnelli now says that talks about the future shape of European club competitions “need to stall”, for the time being at least.

Uefa’s rebates are tough news for organisations already feeling the pinch of compromised seasons. Agnelli warned of a potential €4 billion (US$4.73 billion) dip in projected revenues over the next two years, raising the possibility of sponsor rebates and smaller partnerships. It is impossible to say with much certainty when stadiums will reopen and matchday revenues will flow again; harder, even, given a recent uptick in Covid-19 cases across Europe and subsequent tightening of restrictions.

In England, Premier League chief executive Richard Masters has said that continued venue closures would cost teams as much as UK£700 million (US$908 million) over the course of 2020/21. Speaking to the BBC amid news of fresh limits on social gatherings and a tweak to pilot schemes for socially distanced sports crowds, he reiterated the league’s hope to see some fans return to matches by 1st October.

At the start of the month, the Premier League had made the “difficult decision” to terminate a UK£564 million deal with one of its Chinese broadcast partners, PPTV. That came after what Masters described as “some contractual dispute with them that we couldn’t resolve” – namely, a failure on PPTV’s part to pay a UK£160 million instalment of its rights fees in March.

The company blames the pandemic and a failure to compromise; there are observers who sense the effects of geopolitics. Either way, it is a pretty significant reset to take on a few days from kick-off.

Masters is getting used to redrafting plans on the fly. In the UK, a late U-turn means that all 28 Premier League games will be available live on one platform or another through the month of September. In effect, that extends the conditions under which the ‘Project Restart’ portion of the 2019/20 season was screened, when broadcasters were looking to recover value lost in the spring interruption.

It also follows a campaign by the Football Supporters’ Association, which has welcomed the chance for fans locked out of venues to follow their teams, and hopes the innovation can be retained as long as venues remain below full capacity. Still, there is a more practical impetus. The league will be keen to disincentivise piracy and stop any kind of ethical justification forming around it when fans have no other access to games. This week, incidentally, it has also launched a major anti-piracy publicity campaign in Hong Kong and Malaysia.

On the other side of the coin, broadcasters’ own travails will limit what change is possible in the years ahead. Certainly, for all the trends accelerated by this year’s events, some big visions for the future may be slower to arrive.

Global over-the-top (OTT) player DAZN has spent much of the past few months looking for up to US$1 billion of investment, with the pause to live events coming at a bad time for a young subscription channel which had spent aggressively on rights. The Financial Times reported this week that DAZN is cutting two per cent of its global workforce, primarily in its offices in the US and Brazil. It is difficult news – not least in a week where boxer Canelo Álvarez is suing DAZN and promoter Golden Boy for US$280 million after claiming they had failed to create fights.

It is also said to herald a strategic shift from deep-rooted local operations to a more globalised offering. That may have implications in the competition for local rights in some key markets, and it also points to a different baseline focus.

DAZN is on a rationalising streak: its August restructure of a US$2.1 billion deal with Japanese soccer’s J-League, with annual rights outlay cut in favour of a broader share in profit and risk, is understood to be the template for its future discussions in sport. Before Covid-19 and the cashflow crisis it wrought, the aim was rapid expansion. Now, as the numbers crunch earlier than expected, it needs a faster route towards stability. It is hardly alone in that reset.

All of this might only represent short-term discomfort for the biggest beasts. Premium rights holders, perhaps even more than they did in 2019, now offer a flight to safety; the biggest media companies in the world have been consolidating for years. The turmoil, and the real upheaval, could come further down the pyramid.

The case of UK Athletics is a sobering one. It is heading for 2021 without a domestic broadcast deal, facing a considerable hit to its income and the visibility of its sport. It will hope to find a solution in time but there is no doubt that for rights holders in the second and third tier, the figures may be lower but the stakes are sky-high.

This is where creative solutions could really tell in the next couple of years. There is a case for smaller properties to band together in going to market, particularly where they can find shared audiences or compelling grounds for alignment. They might just find ideal partners in challenger media brands designed to serve specialist audiences. Equally, in those groups or on their own, some are going to explore the value of athlete-led content, or of data, or of digital communities, to reduce the pressure on rights sales.

Necessity will breed innovation but make no mistake, the accent is on the former in all too many cases. Right now, the numbers really do need to add up.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 7:55 pm

Chester Perry wrote:
Thu Sep 10, 2020 12:11 am
That is an interesting piece of PR from Ashley to the Newcastle fans, added to the significant spend this summer he really seems to be trying to appease them
Seems I am not the only one who saw that Newcastle Statement yesterday blaming the Premier League for the failed Saudi bid last night as a smokescreen

https://twitter.com/Prof_Chadwick/statu ... 8603123713

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 8:40 pm

Chester Perry wrote:
Thu Sep 10, 2020 7:55 pm
Seems I am not the only one who saw that Newcastle Statement yesterday blaming the Premier League for the failed Saudi bid last night as a smokescreen

https://twitter.com/Prof_Chadwick/statu ... 8603123713
Meanwhile a section of Newcastle fans have been making something of fools of themselves

https://twitter.com/uglygame/status/1304010741847126016

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 9:25 pm

It is the start of the new season and the Premier League is once again pushing it's anti piracy initiatives and the new measures it is taking - from the Mail

Premier League bid to stop fans illegally streaming matches as they plan a crackdown on IPTV services with new warnings sent to customers to tell them they are breaking the law
- The Premier League will clamp down heavy on illegal streams this season
- Further actions are being taken to prevent matches being watched free online
- A Scottish company is leading the charge to lock out all IPTV streamers
By DANNY GALLAGHER FOR MAILONLINE

PUBLISHED: 15:30, 10 September 2020 | UPDATED: 20:14, 10 September 2020

The Premier League is ramping up measures against streaming services ahead of the coming season, in a bid to completely block out all illegal online viewing of top-flight matches.

Time and resources have been poured into finding the best companies to work with in order for the Premier League to make this possible.

And now a Scottish tech company is driving the push to leave IPTV illegal streamers locked out and help the Premier League protect its brand, as report the Daily Record.

The company, Vistalworks have developed a cutting-edge software tool that warns users of the high-risk dangers of signing up to reduced price services that provide live streams and video on demand.

The project has been in the pipeline for some time, with the Premier League trying to clamp down on streaming services season by season.

During the 2018-19 campaign the division blocked 210,000 live streams and over 360,000 clips of its matches.

It is now hoped that the new pop-up tools due to be implemented will deter online users from continuing to source and use high-risk streaming platforms.

Vistalworks chief executive Vicky Brock told the Daily Record: 'Lockdown has led to a rise in people accessing illicit IPTV, and we expect to see that increase further with the return of English Premier League football.

'Our checker alerts people using sites like eBay to search for cut-price streaming products that what they’re looking at is both dangerous and illegal.

'IPTV sales can end up with consumers’ sensitive information being placed in the wrong hands, which in turn can lead to identity theft and fraud.'

Trading Standards have also backed the move by the Premier League, noting the steep rise in ads for streaming services during the coronavirus lockdown, with many people indoors trying to stream the return of live football.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 10, 2020 11:56 pm

Southampton have been rumoured to be up for sale for quite some time now, have they found a buyer at last - this prospective owner )a Private Equity financier) already has previous football ownership experience with Bordeaux who he parted ways with last year (after a single year of ownership and stories from that period do not bode well https://www.sportbusiness.com/news/us-i ... -bordeaux/)- from the Mail

Southampton in £200million American takeover talks with former Bordeaux owner Joseph DaGrosa... with Saints prepared for influx of new signings if the bid is successful
- Former Bordeaux owner Joseph DaGrosa is looking to buy Southampton
- American has entered into a period of exclusive negotiations with the Saints
- He had previously been interested in buying Newcastle United in 2019
- Should takeover prove successful, Saints would likely raid the transfer market
By MATT HUGHES FOR THE DAILY MAIL

PUBLISHED: 22:31, 10 September 2020 | UPDATED: 22:57, 10 September 2020

Southampton are in talks with former Bordeaux owner Joseph DaGrosa over a £200million takeover of the club.

Sportsmail understands that the American has entered into a period of exclusive negotiations with Southampton owner Gao Jisheng, who put the club up for sale earlier this year due to the increasing difficulty of taking money out of China.

DaGrosa spoke to Newcastle owner Mike Ashley about a takeover last year after his private equity company General American Capital Partners (GACP) sold their stake in Ligue 1 Bordeaux, but the talks did not lead to a formal offer.

It remains unclear whether his interest in buying Southampton will be successful, because the proposal is dependent on significant borrowing and the club are already servicing considerable debt, having taken out a £70m loan from MSD Capital earlier this summer.

Gao paid £210m for an 80 per cent stake in Southampton three years ago, but despite protecting the majority of his investment by keeping them in the Premier League throughout that period, he is eager to sell.

The club's valuation has been hit by the coronavirus pandemic which, along with Gao's liquidity issues, led to them taking out a larger-than-usual bridging loan with MSD to ensure they could meet their financial obligations at the start of the season.

DaGrosa is convinced that Southampton and several other clubs are undervalued due to the market overcorrecting amid the pandemic, a theory that GACP also apply to players.

If the takeover is successful, Southampton would see an influx of new signings.

DaGrosa believes that there are bargains to be had because few clubs are recruiting due to concerns over falling income in the absence of gate receipts.

Southampton suffered another setback this summer when a dispute with shirt sponsors LD Sports, a Chinese entertainment and marketing company, led them to cancel the contract.

The club are taking legal action against LD Sports, who have been replaced by another sponsor, betting company Sportsbet.io.

Southampton declined to comment.

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 11, 2020 12:06 am

It appears my impression that surplus parachute payments (as clubs promoted back to the Premier League prior to full earning of them) were distributed to the EFL was mistaken. The EFL has apparently had a request to keep the payments that Fulham would have received refused by the Premier League (who no doubt believe they need the monies to soothe their own needs). From the Mail - not sure why they are not asking for West Brom's year 3 parachute money also

Premier League snub EFL's plea for a share of Fulham's £34m parachute money to distribute to the lower divisions in another blow to cash-strapped clubs
- Premier League rejected EFL's request for a share of Fulham's parachute money
- Fulham's second-year payment of £34m was defaulted back to Premier League
- EFL wanted to keep that as part of a rescue package demanded by Government
By MATT HUGHES FOR THE DAILY MAIL

PUBLISHED: 22:30, 10 September 2020 | UPDATED: 22:30, 10 September 2020

The Premier League have rejected a request from the EFL for a share of Fulham's parachute money to distribute to the lower divisions in another blow to cash-strapped clubs.

Under the terms of the parachute payment system introduced in 2006, Fulham's second-year payment of £34million automatically defaulted back to the Premier League following their promotion in July after one season in the Championship, leaving the elite clubs with an unexpected windfall.

Sportsmail has learned that the EFL wanted to keep that pot as part of a rescue package that has been demanded by Government, a request that is yet to be granted. As it stands, that money will instead be shared by the 20 Premier League clubs.

Culture Secretary Oliver Dowden made it clear in June that the Government's endorsement of Project Restart that allowed last season to be finished was contingent on the Premier League providing financial support for the rest of the football pyramid, but three months later there is no sign of a bailout being agreed.

The Football League season kicks off on Friday evening with the Championship clash between Watford and Middlesbrough, before a full programme of fixtures takes place this weekend in League One and League Two — competitions which were curtailed last season because the clubs were unable to afford the Covid-19 testing programme demanded by the Government.

Premier League chief executive Richard Masters said on Wednesday that conversations were continuing with the EFL board over a rescue package, but it is understood that the clubs are divided about the extent of any financial assistance they are willing to provide.

The Premier League has already lost £630m in broadcasting income over the last few months and total losses could reach £1.25billion if fans are unable to attend matches all season, a major financial hit which has led several top-flight clubs to implement significant redundancy and cost-cutting measures.

Many EFL clubs are fighting for survival however, as they have effectively been operating without income since last season was shut down in March, with their £119m-a-year television contract split between 72 clubs not providing the safety net of the Premier League's £3bn deal, which is divided among 20.

After losing £50m last season, the EFL have put the financial impact of completing an entire season without fans at £200m, a crippling loss that would put many clubs out of business unless a rescue package is provided.

Negotiations with the Premier League have yielded little to date, so the EFL are looking at other funding options including a commercial loan, as Sportsmail revealed last month.

The Premier League have advanced around £77m to the EFL to help clubs with their cash shortfalls, but the lower-division sides have not received any extra funding, leading to fears they are simply storing up problems for later in the season.

'We are in conversation with our colleagues in the EFL,' Masters said. 'We can't put any time frame on it or go into any specifics at this stage.'

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 11, 2020 1:53 pm

A useful reference article from SportsProMedia, outlining the key commercial and Media deals for the Premier League and each of its teams

https://www.sportspromedia.com/analysis ... ghts-deals

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 11, 2020 2:07 pm

A new study has seen almost half the clubs in the English pyramid have been approached by potential investors ad finance Directors warn of financial difficulties - from Sports ProMedia

Study: Half of English soccer clubs concerned about financial health
43% of clubs approached by potential investors in last 12 months, finds BDO survey.

Posted: September 11 2020By: Michael Long

- 45% of finance directors say club’s finances ‘in need of attention’; 5% report ‘grave concern’
- 70% of clubs in top four divisions lose money amid rising player wages and transfer fee inflation
- Private equity interest spikes following UK’s national lockdown in March

Half of clubs across England’s top four soccer leagues are concerned about their financial health and 43 per cent say they have been approached by outside investors in the last 12 months, according to a new report from accountancy and business advisory firm BDO.

Prior to the 2019/20 season, clubs in England’s top four divisions stood to collectively generate record revenues of more than UK£6 billion (US$7.6 billion), but the ongoing disruption brought about by the coronavirus pandemic has intensified existing financial challenges and left some in dire straits.

Responding to the latest edition of BDO’s annual report, 45 per cent of the 42 finance directors surveyed said their club’s finances were ‘in need of attention’, more than double the 21 per cent reported in 2019 and nearly four times the 12 per cent reported a year earlier. A further five per cent said their club's finances were of 'grave concern', though this was consistent with the previous two years.

Prior to the pandemic, BDO notes that 70 per cent of clubs across England's top-flight Premier League, second-tier Championship, third-tier League One and fourth-tier League Two were loss-making, with player wages and transfer fee inflation escalating costs throughout the divisions.

While a quarter of Premier League finance directors reported concerns about their club’s finances, nearly half of Championship sides and over two thirds of teams in League One and League Two, whose 2019/20 seasons were brought to a premature end in June, said their finances were ‘in need of attention’ or worse.

The BDO report notes that clubs in the English Football League (EFL), which comprises the second, third and fourth tiers, have been hit particularly hard by the pandemic because they are more reliant on matchday revenues and earn less from broadcast rights income than those in the Premier League.

Earlier this year, a report by financial services firm Deloitte found that spending on wages accounted for 107 per cent of club earnings in the Championship, while EFL chairman Rick Parry warned of a "financial hole" of UK£200 million (US$254 million) facing his clubs by September.

BDO’s survey found that every League One and League Two club surveyed and 92 per cent of Championship sides had taken advantage of the UK government’s Coronavirus Job Retention Scheme, while the vast majority had deferred employment taxes and VAT payments.

Many of those clubs have turned to secondary funding rather than taking on additional debt in a bid to shore up their finances, with a third leveraging player transfer fee receivables and 40 per cent having sought advances on central funding.

“Many clubs were already struggling to balance the books, but Covid-19 has accelerated and exacerbated the problem,” said Ian Clayden, BDO’s national head of professional sports.

“At club level, as well as working hard to activate new revenue streams, there is a trend towards leveraging future receivables to manage current liquidity constraints. Care needs to be taken of course to secure the future rather than mortgage it and kick the problem into the long grass. Supplementing incomes now will only help in the medium term if action is being taken to dial back player costs – which inevitably takes time.

“If matches continue to be played behind closed doors for an extended period, we may see a number of clubs, particularly in the lower leagues, at risk of insolvency or takeover in the coming year.”

Despite the grave financial implications of the pandemic, BDO’s survey found that interest from outside investors remains strong across English soccer. Of the 43 per cent of clubs that had been approached by potential suitors during the past year, nearly half have received interest since the UK’s national lockdown started in March.

Over a quarter of those approaches were from global institutional investors, with US private equity taking a particularly keen interest. According to BDO, American investors have often looked to 'form consortia with high net worth individuals, industry specialists and other sports franchises'.

In an effort to improve club finances, the EFL is set to introduce salary caps across League One and League Two, and a similar cost control is currently being considered for the Championship. According to Clayton, such moves could serve to draw more investors to English soccer because they create increased financial certainty and sustainability.

‘If anticipated and necessary financial adjustments promote sustainability (and indeed profitability), a new balance of central control with enhanced global digital opportunities will excite institutional and profile-building investors alike,’ he writes in the report’s foreword.

‘Anecdotally, we can assure you that new investors are waiting in the wing and they have growth capital to invest. However, as always in football, the completion of transactions will depend on whether potential sellers are willing to walk away from sunk costs, or, alternatively, whether buyers will relax their appetite for a bargain and bridge the gap a little. In reality, both are probably needed to some extent.’

-------------------------------------------------------------------------------------------------------------------------------------------

the full ANNUAL SURVEY OF FOOTBALL CLUB FINANCE DIRECTORS 2020 is available here https://www.bdo.co.uk/getmedia/79c9e52e ... 0-BDO.aspx (you may have to register for it)

- here is BDO's own introduction to it https://www.bdo.co.uk/en-gb/football-fi ... ors-report

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 11, 2020 4:56 pm

Hot on the heels of that report in the previous report and mounting anger over the return of crowds at football comes this from the Telegraph

EFL clubs braced for mass redundancies and fire sale of players
MIKE MCGRATH SEPTEMBER 11, 2020
EFL clubs are braced for redundancies and a fire sale of players without crowds this season, with support growing for government financial support like theatre and restaurant industries.

Hopes of getting fans through the turnstiles next month have been plunged into doubt after this weekend’s test event at Cambridge United was moved behind closed doors as a safety measure to prevent the spread of the Covid-19 virus during the pandemic. Football without fans is expected to cost professional clubs £150million a month.

Clubs who have furloughed staff will see the Coronavirus Job Retention Scheme ending at the end of next month, with job losses expected as a result. This will add to the financial concerns of the 2020/21 season as clubs are braced for partially full or empty stadiums for long periods.

“We saw Eat Out To Help Out and there were more people in the restaurants than they thought would,” said one EFL club chairman. “There should be something similar that they bounce around like with the theatres. Sport stadia and football comes into that when it comes to supporting people to come in.

“Nobody knows what the appetite to go to the football will be if they can get it on their iPad, and that is the biggest thing.”

Southend chairman Ron Martin believes clubs will be forced to sell their players to stay afloat this season when the financial reality of football without supporters is realised.

“Most have cash-flowed it and those who rely on their major shareholders will probably get through. I think it forces clubs to sell players where they can to make sure they stay in business,” said Martin.

“There has been a rescue package mooted by the EFL but I’m not sure how they can accurately determine it. It would supplement the loss of income in the result of no fans. That would help. Discussions have been going on with the Premier League but we do not have the details, it is with the board.

“I think everyone is planning for the whole season of having stadiums not full and at around 25 per cent fans.”

“Having the season curtailed is a possibility but we are better prepared, the whole country is better prepared,” he said. “I don’t think that will happen but I think there could be more testing for players, which is very expensive too. Testing might become cheaper. Like anything new, it is expensive to begin with but after time manufacturers can find a way to do it for lesser rates.”

“It will always be worth doing it because people always want football matches to take place but financially people will have to have deeper pockets.”

Clubs also face a tax bill from HMRC after being granted a payment holiday during lockdown when football closed its doors completely. They could face an embargo if they do not pay in full, although the EFL are helping clubs.

“Overall the EFL have tried to be accommodating in unprecedented times, where the rules don’t really accommodate them - so they have tried to be understanding and keep the industry alive,” added Martin.

When crowds are allowed back there are complications that have yet to be resolved. How many supporters allowed in a group will be determined by the Government but it is unclear whether people will be allowed to travel from their seats for concessions and whether alcohol will be allowed at grounds, which will impact income.

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 11, 2020 5:15 pm

A great (if lengthy) written summary of the last "The Bundle" podcast from Unofficial partner in regards to sports media

https://unofficialpartner.substack.com/ ... ce=twitter

you can find the actual podcast here https://www.unofficialpartner.com/podca ... e-bundle-5

Unofficial Partner do an incredibly good range of podcasts which you can find here https://www.unofficialpartner.com/podcast

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Re: Football's Magic Money Tree

Post by Royboyclaret » Fri Sep 11, 2020 5:53 pm

Chester Perry wrote:
Fri Sep 11, 2020 1:53 pm
A useful reference article from SportsProMedia, outlining the key commercial and Media deals for the Premier League and each of its teams

https://www.sportspromedia.com/analysis ... ghts-deals
Albert & Smith ?? :)

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Re: Football's Magic Money Tree

Post by Royboyclaret » Fri Sep 11, 2020 5:57 pm

Chester Perry wrote:
Fri Sep 11, 2020 4:56 pm
Hot on the heels of that report in the previous report and mounting anger over the return of crowds at football comes this from the Telegraph

EFL clubs braced for mass redundancies and fire sale of players
MIKE MCGRATH SEPTEMBER 11, 2020
EFL clubs are braced for redundancies and a fire sale of players without crowds this season, with support growing for government financial support like theatre and restaurant industries.

Hopes of getting fans through the turnstiles next month have been plunged into doubt after this weekend’s test event at Cambridge United was moved behind closed doors as a safety measure to prevent the spread of the Covid-19 virus during the pandemic. Football without fans is expected to cost professional clubs £150million a month.

Clubs who have furloughed staff will see the Coronavirus Job Retention Scheme ending at the end of next month, with job losses expected as a result. This will add to the financial concerns of the 2020/21 season as clubs are braced for partially full or empty stadiums for long periods.

“We saw Eat Out To Help Out and there were more people in the restaurants than they thought would,” said one EFL club chairman. “There should be something similar that they bounce around like with the theatres. Sport stadia and football comes into that when it comes to supporting people to come in.

“Nobody knows what the appetite to go to the football will be if they can get it on their iPad, and that is the biggest thing.”

Southend chairman Ron Martin believes clubs will be forced to sell their players to stay afloat this season when the financial reality of football without supporters is realised.

“Most have cash-flowed it and those who rely on their major shareholders will probably get through. I think it forces clubs to sell players where they can to make sure they stay in business,” said Martin.

“There has been a rescue package mooted by the EFL but I’m not sure how they can accurately determine it. It would supplement the loss of income in the result of no fans. That would help. Discussions have been going on with the Premier League but we do not have the details, it is with the board.

“I think everyone is planning for the whole season of having stadiums not full and at around 25 per cent fans.”

“Having the season curtailed is a possibility but we are better prepared, the whole country is better prepared,” he said. “I don’t think that will happen but I think there could be more testing for players, which is very expensive too. Testing might become cheaper. Like anything new, it is expensive to begin with but after time manufacturers can find a way to do it for lesser rates.”

“It will always be worth doing it because people always want football matches to take place but financially people will have to have deeper pockets.”

Clubs also face a tax bill from HMRC after being granted a payment holiday during lockdown when football closed its doors completely. They could face an embargo if they do not pay in full, although the EFL are helping clubs.

“Overall the EFL have tried to be accommodating in unprecedented times, where the rules don’t really accommodate them - so they have tried to be understanding and keep the industry alive,” added Martin.

When crowds are allowed back there are complications that have yet to be resolved. How many supporters allowed in a group will be determined by the Government but it is unclear whether people will be allowed to travel from their seats for concessions and whether alcohol will be allowed at grounds, which will impact income.
Southend chairman Ron Martin believes EFL clubs will have to sell their best players simply to stay afloat this season. My question would be, who exactly is going to buy all these surplus players?.......Worrying times ahead.

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 11, 2020 6:09 pm

Royboyclaret wrote:
Fri Sep 11, 2020 5:53 pm
Albert & Smith ?? :)
Men's grooming (beauty products straight out of Barrowford) https://www.albertandsmith.com/

on a more thread thematic note you should give that survey of Football finance directors a read some interesting stuff in there
This user liked this post: Royboyclaret

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 1:07 pm

Jonathan Liew with a new game for clubs promoted to the Premier League - you can play it alongside bingo

https://www.theguardian.com/football/20 ... er-league-

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 1:33 pm

@Marcotti with an Interesting piece on the financial impact of Covid19 - it is translated from ESPN's Spanish Language site so may be strange in places

The football economy has felt the impact of COVID-19, although it has not been as bad as feared

2:24 PM Gabriele Marcotti ESPN FC

Let's go back to just under six months ago, and we'll hear apocalyptic predictions about the future of football again. At the time, when the leagues were forced to stop their sporting activity and it was unclear whether they would have a chance to return to the courts; a time when a study by KPMG suggested that the European Five Major Leagues were likely to suffer losses of up to $4 billion for the 2019-20 campaign alone and that player value could suffer a decrease of up to $10 billion. It was a time when everyone was acting like Chicken Little, the character in that 2005 Disney tape because the sky was certainly starting to fall.

Today, we are in September and have a much clearer picture. And while it is true that not everything is fine and we still have a ton of uncertainty in front of us, the situation is not as serious as we had imagined. Certainly, serious consequences will be suffered, but things could have been much worse, and the fact that this is not the case is largely due to efforts made with the aim of resuming football action in most domestic leagues and Champions League, which has been achieved without harmful consequences so far (we play wood).

A report published last month by the Association of European Clubs (ECA) predicts a decrease in revenue of close to €4 billion; however, this figure comprises the 20 First Division circuits across Europe, not just their Five Major Leagues. The most important thing to note is that these losses would occur between two different campaigns, namely 2019-20 and 2020-21.

Four billion sounds like an important figure and certainly is. However, by mentioning it without providing proper context, it does not sound so significant. Therefore, we bring up some context, using the figures of the ECA itself: For the 2019-20 and 2020-21 seasons, in a world that did not yet know COVID-19, revenues close to 45.1 billion were projected; currently, a figure close to 41.1 billion is predicted.

That represents a decrease of 8.9%, which is obviously not good and will have negative effects; however, it is not as catastrophic a figure as you might think. The revenue projected by the ECA for the 2020-21 tournament was $20.7 billion, slightly lower than generated in the 2017-18 season. That is why we have indeed returned to the place where we were just over two years ago.

We have more. The projections made by the ECA are based on the assumption that stadium attendance will be close to an average of 50% across Europe for the 2020-21 tournament. This assumption seems to be extremely empirical, but that is not the fault of the clubs: the pandemic (and the response of different governments and local authorities) has been brutally unpredictable. To date, however, we have some leagues like the Swiss, which plans to admit crowds of up to two-thirds of the capacity of their stadiums in the immediate future. And in the Premier League, fans could return in limited quantities, possibly in October. And of course, there's a chance of having a vaccine sometime next year.

Fans present in stadiums not only affect the collections at the box office, although it is obviously an important factor in revenue generation. Followers who make an appearance in the arenas also affect auspices contracts within stadiums, hospitality and merchandise sales, which are substantial revenue channels for clubs. The widespread impression is that a figure close to 50% could be conservative; therefore, those estimated $4 billion in losses could end up being a much higher figure.

Obviously, there are other ways in which the pandemic has impacted the world of football. Most leagues have been forced to offer rebates on television rights contracts signed with multiple channels and payment systems. The Premier League will return approximately $360 million; the Bundesliga, 200 million euros and UEFA will refund an amount close to €575 million.

"We have not found ourselves in a position capable of fulfilling our commitments with sponsors and television tVs," said Andrea Agnelli, president of Juventus and the ECA.

Additionally, when it comes to sponsors and televisions, there is a deeper concern: As your core businesses feel the negative effects of the global economic slowdown, they will not only ask for contractual refunds: they will also offer less lucrative contracts in the near future.

We also have the liquidity problem. Having cash to pay bills and drive business day-to-day is totally different from having balance sheets showing earnings or at least a balance between must and credit. This Twitter thread (https://twitter.com/SwissRamble/status/ ... 71713?s=20) posted by the excellent @SwissRamble account demonstrates how, despite having shown accounting profits close to $200 million (178 million pounds) over the past three campaigns, working capital is limited, even for a large club like Liverpool, which has achieved many successes on the court. (If any, they suffer a kind of Sword of Damocles, because the global recession means that the Reds will not be able to fully capitalize on their rising brand use revenue, even though they have raised premier league and Champions League titles.)

Not all clubs are in the same situation. Some have homeowners in a comfortable enough position to inject cash or take on debt to handle these issues; however, the problem is very real, and this is palpable in the transfer market. It might seem like something not excessively important because, in short, when buying and selling players, most of the money "stays within the system", moving from one club to the other; in fact, in accounting terms the "exchange of players" (and the fact that, thanks to the magic of accounting depreciation, you can generate paper revenue almost out of nowhere) is an extremely crucial issue for many clubs. Therefore, while the previous estimate that "the value of players could decrease by up to $10 billion" could be exaggerated (as it actually is), there is no doubt that the decline in sporting activity strongly affects different clubs in different ways.

However, we must go back to the reference figures. We are talking about an 8.9% reduction over a two-year period and that is based on extremely negative and conservative assumptions. It could be more or probably, it could be less. And in any case, it would not be as brutal as the damage suffered by other branches of the leisure and entertainment industry.

Football has been helped by the fact that it was able to return to activity in most European countries and that it was able to bring to a happy end the different European competitions of the 2019-20 season. UEFA's decision to temporarily relax Fair Play Financial restrictions as a result of the pandemic also helps free clubs from some pressure, encouraging greater investment. Despite all the criticism of the FPF over the years, its existence has meant that, since its implementation in 2013, the European football has gone from losing nearly $2 billion to solid gains in recent years. In other words: football has become a real, investment-friendly business, with the kind of solidity that helps you navigate storms of the gravity of a pandemic like the one we suffer today. Above all, the key difference lies in the attractiveness of football itself and the appetite felt by fans of this sporting discipline.

Agnelli spoke of the "deep scars" left by the pandemic in European football and that is certainly true. However, despite the mistreatment suffered, the football stays alive and kicking. And he'll recover, despite the apocalyptic scenarios.

The unknown that still stands is what long-term football will look like, after 2024, when the existing agreement on the international calendar expires. If there is a radical restructuring (whether dividing Super Leagues, a substantial change in the format of Champions Leagues or regional competitions with several countries) will be at that time. And because this is a business, you'll need to define what exactly will happen before spring 2022 because, as Agnelli says, that's the latest time when you can go to the market to sell the format you want to sell to sponsors and advertisers.

It's only 18 months to go. And the most radical and divisive scenarios (among which are, for example, turning the Champions League into a league with home and away matches, playing weekends, creating some kind of global version under the auspices of FIFA, a Super League managed and created by the big clubs with guaranteed quotas) will require a lot of time for its definition.

Therefore, while the sporting field, and the general world, will almost certainly have recovered at that time, it is not at all clear that the appetite for radical change (of the species that only serves to increase the gap between elite clubs and the rest) will remain. And that could be one of the few positive consequences of this pandemic.

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 1:54 pm

It has been a while - The chaps at Vysyble with a new blog piece as the football season gets underway - including a bit of I told you so

https://vysyble.com/blog

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Re: Football's Magic Money Tree

Post by ewanrob » Sat Sep 12, 2020 2:08 pm

So Leeds with a potential drop of 48million for this season, calcs showed they could earn upto 170 million with tv revenue and gate receipts etc....that is some hit.

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 2:11 pm

An example of the anticipated revenue reductions for last season - pre Covid Barcelona were comfortably expecting to break through Euro 1 billion last season - much less in reality - from SportsProMedia

Barcelona expecting 30% revenue reduction for 2019/20
Covid-19 losses mean La Liga club now set for reduced income of €735m.

Posted: September 11 2020 By: Ed Dixon

- Barca had projected revenues of €1.05bn; set to miss out on €315m
- Club will adjust and balance budget for new season
- Presidential elections confirmed for 20th and 21st March 2021

Barcelona are estimating their income from the 2019/20 season to fall by 30 per cent as a result of lost revenue due to Covid-19.

The La Liga giants started the last campaign expecting to bring in €1.05 billion (US$1.24 billion) over the course of the year, which would have represented the highest annual revenues of any club in soccer. However, the estimate means that the club believe the pandemic has seen them miss out on €315 million (US$370 million) in revenue.

Barca president Josep Maria Bartomeu admitted in April that the club would fail to reach that target due to the global health crisis, saying at the time that the Spanish side would need to “change models and the way we do things”.

Having implemented cost-cutting measures, including a 70 per cent pay cut for players, Barca have since shed further light on the financial impact of coronavirus on the club. The 30 per cent fall in income, based on the assumption that club activity should start returning to normal around the start of the coming year, means Barca are now on course to achieve revenues of around €735 million (US$871 million) for 2019/20.

The 2018/19 season saw the Catalan club record income of €990 million (US$1.17 billion), up from €914 million (US$1.08 billion) for 2017/18.

Barca will now adjust and balance their budget for the upcoming La Liga season, which kicks off on 12th September.

‘These measures are in addition to those that the club already implemented at the outset of the pandemic, in order to maximise savings to minimise losses due to the lack of revenue in the final quarter of the 2019/20 season,’ Barca said in a statement.

The club also confirmed that the elections for a new president will be held on 20th and 21st March 2021, which will choose a replacement for Bartomeu. The 57-year-old, who has been in charge of Barca since 2014, has been heavily criticised for the team’s downturn in form on the pitch, culminating in an 8-2 thrashing in the Uefa Champions League quarter-final by eventual tournament winners Bayern Munich.

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 2:49 pm

It has taken a while but next week sees Nasser al-Khelaifi go on trial in Switzerland as part of the FIFA corruption investigation - he is President of PSG, Chair of Bien Media group an ECA representative at UEFA and was heavily involved in Qatar's world cup bid, which is why he was investigated,

https://apnews.com/a92faa77fb1ccac4352201bfffba517a

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Re: Football's Magic Money Tree

Post by FactualFrank » Sat Sep 12, 2020 2:57 pm

ewanrob wrote:
Sat Sep 12, 2020 2:08 pm
So Leeds with a potential drop of 48million for this season, calcs showed they could earn upto 170 million with tv revenue and gate receipts etc....that is some hit.
I think they'll spend like it doesn't matter. They've already spent £60 million on players.

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 3:07 pm

FactualFrank wrote:
Sat Sep 12, 2020 2:57 pm
I think they'll spend like it doesn't matter. They've already spent £60 million on players.
Their Chairman also said this week he had another £50m or so to spend - they have factored the TV earnings to get that - also have a number of parties interested in investing in the club, he has turned down approaches to buy outright this summer, wants partners, thinks he can get the club to a value of £1 billion over next 5+ years

I have been saying for a while that Leeds have the potential to challenge Everton and West Ham financially

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Re: Football's Magic Money Tree

Post by FactualFrank » Sat Sep 12, 2020 3:15 pm

Chester Perry wrote:
Sat Sep 12, 2020 3:07 pm
I have been saying for a while that Leeds have the potential to challenge Everton and West Ham financially
They're certainly in a much more fortunate position than us in terms of where they are located, and that they're the only club in a 750,000+ population city.

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 3:19 pm

FactualFrank wrote:
Sat Sep 12, 2020 3:15 pm
They're certainly in a much more fortunate position than us in terms of where they are located, and that they're the only club in a 750,000+ population city.
Even in the Championship they were a top 10 club on commercial income (in English football) and that has grown significantly already - Shirt sponsor this season paying around 11 times more than last season (separate sleeve sponsor paying more than last seasons shirt sponsor too)

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Re: Football's Magic Money Tree

Post by FactualFrank » Sat Sep 12, 2020 3:22 pm

Chester Perry wrote:
Sat Sep 12, 2020 3:19 pm
Even in the Championship they were a top 10 club on commercial income (in English football) and that has grown significantly already - Shirt sponsor this season paying around 11 times more than last season (separate sleeve sponsor paying more than last seasons shirt sponsor too)
I severely doubt they'll go down this season and be nearer top 10, so looks like we're just going to have to get used them being around spending big.

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Re: Football's Magic Money Tree

Post by Steve1956 » Sat Sep 12, 2020 3:38 pm

FactualFrank wrote:
Sat Sep 12, 2020 3:22 pm
I severely doubt they'll go down this season and be nearer top 10, so looks like we're just going to have to get used them being around spending big.


You really should come out of the closet and reveal your love of Leeds,you talk about them more than the media do. :)

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 3:40 pm

FactualFrank wrote:
Sat Sep 12, 2020 3:22 pm
I severely doubt they'll go down this season and be nearer top 10, so looks like we're just going to have to get used them being around spending big.
It was always likely once someone got a proper grip on the club with a proper strategy - clubs like ours rely on others being in a mess to eat at the top table - for months I have been saying we are being squeezed out by finances with a large and distinct 2nd tier emerging om the Premier League

Big 6 - Man Utd, Man City, Liverpool, Chelsea, Spurs, Arsenal (now they seem to be getting their act together)

Tier 2 - Everton, West Ham, Leeds, Wolves, Leicester, Newcastle, Aston Villa

Currently leaving Sheffield United, Southampton, Crystal Palace (whose potential I have mentioned already today), Brighton, Burnley, West Brom, Fulham - the last 3 being the smallest by some margin.

Look outside the Premier League and you would say Sunderland and Sheffield Wednesday could join tier 2 if they ever got their acts together and Notts Forest, Derby, Middlesbrough Birmingham City and Norwich City are clubs that are capable of being much larger than us financially I would put Hull City Ipswich, Portsmouth, Bristol City, Cardiff and Plymouth Argyle in that category too.

Somewhere in this is what the big 6 see as the ideal Premier League from a commercial perspective and we do not figure - of that I am sure, even from a useful plucky underdog with a long history perspective.

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 12, 2020 3:57 pm

Rory Smith in the New York Times with 6 Questions for the coming season

Six Questions Looming Over the New Season in Europe
Soccer’s new calculus must account for infection rates, empty stadiums and a compressed schedule certain to exhaust everyone involved.

By Rory Smith Sept. 11, 2020

An hour or so after the fireworks had finished, long after the smoke had cleared and the lights had dimmed, a handful of Bayern Munich players returned to the field at the Stadium of Light in Lisbon. In near darkness, Serge Gnabry, Joshua Kimmich and David Alaba sat down on the turf. At last, the strangest season was over. Now was the time to rest and to reflect.

Or it should have been, at any rate. Yet even before Bayern collected the Champions League trophy, the new season was already underway. A peppering of domestic leagues had started across Europe. The early rounds of the next Champions League and Europa League were already being played. Other teams had long since returned to preseason training.

This feels like the weekend that the 2020-21 season starts: the opening of the new Premier League and La Liga campaigns, with Serie A and the Bundesliga scheduled to return in a few days’ time. The reality, though, is different: Soccer never really went away.

This is still, though, a watershed moment. The restarts of the continent’s major competitions in May and June felt, at the time, somehow novel, isolated events, make-do exceptions on the road back to normality.

Now, though, players and fans alike can see that this is how it is going to be for the foreseeable future: stadiums empty or open at only a fraction of their capacities, plans interrupted by the coronavirus, the ever-present sense that another shutdown could be on the horizon. For Gnabry, Kimmich and Alaba, and for everyone else, the strangest season may just be starting.

1 - The Soccer Season Is Starting. What if It Can’t Finish?
The problem, the clubs of the Premier League quickly realized this spring, was that there was no rule for this. The competition’s handbook stretches to hundreds of pages, but as executives pored over it and a dozen or so appendices in March and April, they saw that not one of them addressed what happened if a season could not be finished.

Six months later, they admit that the “rule book did not adequately deal with the situation,” as the league’s chief executive, Richard Masters, put it this week. In a meeting of all 20 teams last week, the hope was that an agreement could be reached that would — in his words — “add more certainty.”

It did not quite work like that. England’s clubs agreed that “finishing the season is the No. 1 priority.” Playing games behind closed doors is “now enshrined as one of the things you would have to go through before you reached curtailment.” But beyond that, there is no plan for what will happen if coronavirus cases spike again and the league cannot continue. “The issue of a cutoff point, or a number of matches to be played for a season to be valid, was not agreed,” Masters said. The same is true in Spain, where La Liga has no blueprint for a worst-case scenario.

As Europe grapples with the virus’s lingering presence and localized lockdowns and international quarantines become more commonplace, then, the soccer season opens with a backdrop of uncertainty. Games are already underway in France and Scotland. England and Spain start this weekend. Germany’s season begins next Friday and Italy’s a day after that. After six months of conversations, what happens if they cannot finish their schedules is anyone’s guess.

2 - How Will Teams Manage Outbreaks?
Europe managed to finish last season thanks, in no small part, to the willingness of the players who comprise the competition to put their lives on hold for a few weeks. Premier League players, for example, were told that they would be under as much scrutiny as special forces troops to ensure plans for the restart were not thrown into doubt by a virus outbreak.

The game’s authorities accept that while such an approach could work for six weeks, it is not particularly realistic over the nine-month span of a full season. Indeed, in the short break between campaigns, a raft of players have contracted coronavirus. Paris St.-Germain alone has reported seven cases, including Neymar and Kylian Mbappé.

In March, of course, it was confirmation that Callum Hudson-Odoi, the Chelsea forward, and Mikel Arteta, the Arsenal coach, had contracted the virus that essentially forced the Premier League to shut down. That is no longer the automatic response; in France, the authorities have said that teams with four or more players who return positive tests will see their games postponed.

That does not mean, though, that the course of the season will not be influenced by the virus. Teams that register significant outbreaks will face daunting schedules to try to make up lost ground, and individual players who test positive will lose at least two weeks of training during their period of isolation, and then require time to be brought back to full speed, affecting their coaches’ plans and their teams’ hopes.

3 - Will Fans Be Back? And Will They Stay Back?
Some already are: in France, a number of stadiums have permitted a small percentage of fans to return over the course of the first two games of the season. Others are hopeful: RB Leipzig has received permission to host 8,500 fans at its opening game in the Bundesliga next weekend.

UEFA, European soccer’s governing body, had hoped to show its member associations the way by staging the European Super Cup — between Bayern Munich and Sevilla in Budapest, Hungary, on Sept. 24 — in front of around 13,000 fans, though that has since been complicated by Hungary’s decision to close its borders.

Progress elsewhere is slow. Spain does not expect fans to return in numbers until a coronavirus vaccine is available, and England’s plans for test events with 2,500 fans in attendance — ahead of a possible broader return to stadiums in October — have been altered or canceled because of a rise in case numbers in recent weeks.

At this point, certainly, the idea that stadiums will be even vaguely recognizable before the latter part of the season — at the absolute earliest — seems remote. Much of the season will be held either entirely, or largely, without fans in attendance, leaving clubs across Europe facing a massive shortfall in revenue.

4 - How Will They Fit In All the Games?
With difficulty. During the long, tense negotiations over how to restart the season, the UEFA president, Aleksander Ceferin, was struck by how smoothly soccer’s various squabbling factions came together in extremis. The good of the game, he said, was paramount; red lines that had been sources of tension for years suddenly faded away.

A quick glimpse at the fixture calendar for the next nine months is enough to suggest that self-interest did not lay dormant for long. UEFA has made sure to find space for its Nations League project, as well as playing all six Champions League group stage games in the space of eight weeks before Christmas.

More impressively, various national associations have managed to squeeze in a couple of friendlies — England against New Zealand, anyone? — too. Only minor concessions to things like exhaustion or burnout have materialized: The Bundesliga will have a two-week winter break, rather than the traditional month, and England’s Football Association has abandoned replays in the F.A. Cup.

This season, then, is likely to be the survival of the fittest. The winter, in particular, will be arduous and endless in equal measure. The teams that have the physical conditioning — and, more significantly, can afford the depth of resources — to cope with its demands are likely to be those that emerge on top.

That should reduce the (already minimal) likelihood of surprise contenders challenging the established elite in domestic leagues; it may also give Bayern Munich a better-than-average shot of retaining the Champions League: suddenly, Germany’s 34-game league campaign has the look of a distinct advantage. It may also mean that the continent’s stars will be gasping for air by the time they arrive at the European Championships next summer, after 13 months of almost constant soccer.

5 - So Where Is the Entertainment?
While the compressed schedule and the lingering threat of the coronavirus are the season’s overarching themes, there is no shortage of subplots.

Italy has the look of the most intriguing title race: a Juventus team coached by a novice, Andrea Pirlo, but boasting the timeworn talents of Cristiano Ronaldo and, likely, Luis Suárez going for a 10th Scudetto in a row, with the Internazionale of Antonio Conte, Romelu Lukaku and Achraf Hakimi, the summer’s best signing, standing in the way.

It is a similar plotline in Scotland, where Celtic stands on the brink of a 10th consecutive championship, too, something that is all but unthinkable to Rangers, its nemesis. Bayern Munich is on eight straight in Germany (there is a theme here, and it is not one that bodes well for European soccer as a whole) and Borussia Dortmund will need Erling Haaland to maintain the ruthlessness that marked his first few months in the Bundesliga to stop that becoming nine.

The French season, already underway, is more intriguing. Thomas Tuchel’s P.S.G. lost its opener to Lens on Thursday night, giving heart to its two likeliest contenders, Marseille and Lyon, the latter fresh from its run to the Champions League semifinals and yet to be plucked bare by the continent’s predators.

The Premier League looks more evenly poised than in some time. Manchester City has a title to regain from Liverpool, and Pep Guardiola, its coach, has a point to prove. And as Liverpool must find some other sense of purpose after ending its 30-year wait for a domestic title, Manchester United, Arsenal and Tottenham all ended the season on an upward curve.

Everton has added stardust, in the form of James Rodríguez, and Marcelo Bielsa’s Leeds United adds intrigue, but it is Chelsea that is most transformed. Frank Lampard, its rookie coach, was tasked with bringing through a new generation last year. This time, after spending $250 million on the likes of Kai Havertz and Timo Werner, expectations, internal and external, will be far weightier.

And then, of course, there is the story that dominated the late summer, and the one that could yet prove to be the most defining of this curious, compact season.

6 - Is This the Last Dance for Lionel Messi?
Deceived and dejected, Lionel Messi returned to the Barcelona fold in the first week of September. It was a strange kind of triumph for the club: its crown jewel, a player who towers over its history, confessing that he had wanted to leave for a year, shredding the reputations of its administrators, expressing how little he believed in its approach, admitting that he has only stayed because he could not leave.

He has vowed that the circumstances will not see him simply go through the motions in the final year of his contract; he is too driven, too competitive for that. There is a temptation to believe that it sets up a Last Dance scenario, with Messi reviving Barcelona one more time before heading into the sunset in Manchester or Paris.

For that to happen, though, Messi would have to be proved wrong: Barcelona would have to demonstrate that it does have some idea of how it wants to return to the summit, some plan in place, some grand vision of what the future looks like. For all that Ronald Koeman, its new coach, is self-confident enough to impose himself at Camp Nou, it feels a distant prospect.

More likely is a far sadder denouement than anyone could have expected, even a year ago, one far bleaker than Messi deserves, but somehow fitting for the world we find ourselves in: a season played out in front of empty stands, the greatest of all time watching the ticking of the clock, the games coming so thick and fast that nobody has chance to catch their breath, the virus such a threat that nobody — not even him — has chance to say goodbye.

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