Attention: Please take a moment to consider our terms and conditions before posting.

West Hams holding company about to go into admin

Does this mean that West Ham will be put up for sale even cheaper now. Will Zeeball get a much bigger club with more potential now ?

Comments

  • I don't think anyone will touch them with a barge pole..disaster area of a club at the moment.
  • Mmmmmmmm interesting to say the least!
  • [quote][cite]Posted By: pete_tong1[/cite]Does this mean that West Ham will be put up for sale even cheaper now. Will Zeeball get a much bigger club with more potential now ?[/quote]

    If Zabeel decided to splash the cash they could change the potential of almost any club in a relatively short period. That would include us.
    Agree with addick 1965, they would buying into a disaster area at the moment, but if they wanted, they could reverse that as well.
    I hope the official statements given by Zabeel were true and they have no interest in West Ham, who are now getting their just deserts after the Tevez debacle.
    if a big backer doesn't come in for them, they are bound to suffer the loss of many high wage players. I see them as serious relegation fodder.
  • edited November 2008
    Olympic Stadium site for nowt, london gateway new homes equals potential supporter. transfer all the 'seen' knowledge on how to run a decent community scheme to their new purchase. A strong large loyal support.
  • Olympic stadium probably won't cost nowt, and would cost a fortune to convert into a football stadium anyway
  • edited November 2008
    based on the same design as Man City stadium me thinks if Manchester City Council can afford to convert the stadium from athletics stadium to football stadium the arabs must be able to.

    Would not be suprised if they did take them over.
  • [cite]Posted By: pete_tong1[/cite]Would not be suprised if they didnt take them over.

    So you would be suprised if they did?
  • I heard last week that papers were being prepared by their solicitors...but thought I would keep stum on this rumour...it would appear my source is kind of reliable and will now seek more info.
  • Anyone got a link on the WHU holding co. going into Admin?
  • [cite]Posted By: Solidgone[/cite]I heard last week that papers were being prepared by their solicitors...but thought I would keep stum on this rumour...it would appear my source is kind of reliable and will now seek more info.

    Is this with regard to WHU going into Admin or Zabeel buying WHU?
  • Sponsored links:


  • Today's Guardian :-

    The shocking extent of West Ham United's financial crisis during the Bjorgolfur Gudmundsson era has been laid bare in the clubs's accounts, which have been obtained by the Guardian. The documents reveal a business strategy that, in the opinion of the club's finance director, Nick Igoe, was "fundamentally flawed".

    The accounts set out a loss of more than £37.4m for the year ending 2008, which was covered by an injection of £30.5m of cash from the holding company of the former owner, Gudmundsson, and £17m of new loans negotiated with the banks in January 2008. Now that the club's parent company, CB Holding, is effectively a subsidiary of Iceland's now defunct bank Straumur, even a marginal loss this year could result in a return to the 2008 crisis.

    In addition, the Hammers have net debt and contingent liabilities approaching £100m. But since West Ham are also yet to file their May 2009 accounts, the true current picture has not been presented. It is believed five syndicate banks have together raised their loans to the club to £50m and whether the auditors, Deloitte, will sign off the most recent accounts is an important consideration.

    West Ham have embarked on a series of cash-saving measures but, despite net transfer proceeds in the 12 months to 5 June this year of £11.67m, troubled times still lie ahead.

    Of paramount concern is the stark admission that the club had breached their debt covenants. This meant that the five banks that had then loaned them more than £20m could have demanded immediate repayment, a move that would have plunged the Upton Park club into administration. Only what the board has termed the "goodwill" of those banks prevented West Ham becoming the first Premier League club to suffer that fate.

    "The scale of operating losses and wages caused the group to breach certain banking covenants in 2007-08," Igoe said. "Although the group's banking syndicate [later] waived these breaches, a business strategy which relies on the goodwill of the group's bankers to waive covenant breaches is fundamentally flawed."

    At that time the annual wage bill amounted to £63.3m on turnover of £81.5m, a ratio of almost 78% that the club recognises as being "unsustainable". Only the removal from the wage bill of players such as Craig Bellamy, Anton Ferdinand, Bobby Zamora and Matthew Etherington has allowed the club to continue trading.

    There are further financial pressures off the pitch that will continue to hit home. The collapse of the former shirt sponsor, XL, is estimated to have cost the club £4m. The settlement with Sheffield United after the Carlos Tevez inquiry has added another £21m in future liabilities, to be paid in four equal tranches each year to February 2013.

    Add to that the £17.8m that the club owe following Gudmundsson's spending spree and it is apparent that the Hammers remain on shaky ground. "It is clear with the benefit of hindsight that not all of the investment undertaken in the playing squad in the period under review was prudent," Igoe said. "West Ham United purchased three high-profile players in 2007-08 at a combined cost of £20m with total annual wages in excess of £12m. Those players made 36 starting appearances between them in the season."

    Those three players were Freddie Ljungberg, Bellamy and Kieron Dyer. While their arrivals characterised the profligacy of Gudmundsson's stewardship of the club, their injuries characterised the 2007-08 season and it was remarkable that the club finished in mid-table.

    However Igoe qualified that by adding: "Whilst creditable, the 10th place finish has to be viewed in the context of a £21m increase in wages [almost exclusively player wages] and a further £15.7m net investment in transfer fees, following the £29.9m investment in the previous season. Again ignoring exceptional expenses, the group recorded a loss before player trading and after interest of £7.4m."
  • I blame Curbs ;-)
  • [cite]Posted By: Salad[/cite]I blame Curbs ;-)

    Don't know about Curbs. The dreaded Pardew was there as well!!
  • I don't understand this modern football sensation of piling millions upon millions into a club and then it going into administration. Why bother putting so much money in? Last I saw, Chelsea were in massive debt, and they're relatively succesful. Where are the holding companies/chairmen getting money out of it?
  • didnt Pardew buy some forward always injured ex Norwich for about £9million when he was at WHU ?
  • [cite]Posted By: Goonerhater[/cite]didnt Pardew buy some forward always injured ex Norwich for about £9million when he was at WHU ?

    Dean Ashton.
  • Were the decisions to buy these players the manager's, or those of an interfering chairman?
  • [cite]Posted By: Chaz Hill[/cite]
    [cite]Posted By: Salad[/cite]I blame Curbs ;-)

    Don't know about Curbs. The dreaded Pardew was there as well!!

    The 2007-08 season was nothing to do with Pardew, he'd already been fired the year before - and was in the process of feckin up our club.

    Mr Curbishley was the manager at The Scammers, so unless I'm mistaken, Freddie Ljungberg, Bellamy and Kieron Dyer were his signings.
  • Ouch!

    Signing Kieron Dyer. What was he thinking after his injury record?
  • Curbs was always willing to take a gamble on signing a player with a poor injury record - think Gary Rowett, of course, and even Clive Mendonca who often played with pain killing injections for his back and hip.

    Neither player let us down, even though in the end time ran out for them.
  • Sponsored links:


  • Gary Rowett tried to nick my jacket at the POTY do
  • I think that whilst Curbs can be accussed of spending the moeny, it was egg head who sanctioned the spend. It does put Curbs's " forced " resignation in context. No wonder they wanted to offload players - with or without the managers permission.
  • [cite]Posted By: Oggy Red[/cite]
    [cite]Posted By: Chaz Hill[/cite]
    [cite]Posted By: Salad[/cite]I blame Curbs ;-)

    Don't know about Curbs. The dreaded Pardew was there as well!!

    The 2007-08 season was nothing to do with Pardew, he'd already been fired the year before - and was in the process of feckin up our club.

    Mr Curbishley was the manager at The Scammers, so unless I'm mistaken, Freddie Ljungberg, Bellamy and Kieron Dyer were his signings.

    Still can't believe Pardew had nothing at all to do with it!
  • Hard to believe isn't it!
  • Pardew signed Zamora, Etherington and Dean Sicknote Ashton. So he wasn't completely blameless.
Sign In or Register to comment.

Roland Out!