£100 million gamble, plus maybe having to pay Ashley back the £100 million loan he's put into the club...
The True Price Of Buying Newcastle United | Twohundredpercent
Loss of income -
9% on season ticket prices
£37.2m from the Premier league to just £12m parachute payment.
But they will get the £2.5m Championship TV money as well.
Expected reduction in match day attendances of at least 10%.
Estimating 40,000 average attendance, I'd say they'll be getting £16m gate receipts plus £12m parachute payment and £2.5m TV money, making just over £30m income.
Wage bill - £1.2m/week, reducing to £860k/week (£44.7m/year) once the five out of contract players are off the books. (That's the income gone then)
£4.8m in wages and loyalty bonuses being paid to just those 5 players between the last day of last season and their contract expiry next week.
Costs of hosting an extra 4 home games (given Newcastle's size, and the reduction in season ticket prices anyway, any extra income generated from these games will be dwarfed by policing costs for them).
Now, if they want to get rid of some of the players in contract, they need to pay up the loyalty bonus on those players. Given that they have an estimated 14 players on over £20k/week (after the 5 out of contract are released) they may want rid of some. That would cost £2.5m for Alan Smith, £3.1m for Fabricio Coloccini (who?) or £31.3m to pay up the lot (should they be able to find anyone willing to take them on - not easy, given that the players will likely only move if they're offered deals as good as they're on at Newcastle - not likely given that they're all shit.
Then there's transfer fees due. Newcastle still owe a total of £29.2m on players they've already bought due to the way modern transfer payments are now structured.
Then there's image rights, generally 10% of salary for a player, but 20% for that t**t Joey Barton, so another £6.2m/year.
The only good news for the fans is that they don't own the ground, so anyone who does buy them won't be asset stripping. But who will buy them? There are much better choices available for anyone with some spare cash.
Last edited by naboo; 22nd June 2009 at 22:06.
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
Gotta be a life long fan or a complete idiot I think! and definatly not in it for the $$$.