Everton change bridging loan from Barclays to company in BVI

[Phenom]

I'd be doing the same (at the eariest opportunity) if there was concern over cashflows.

And there is for every football club.

Or have people not noticed the MASSIVE instability in the financial markets?

That drop affects consumer - BUYING POWER and therefore commercial entities will be looking round to ensure short term finances are robust enough to manage until the economy picks up again.


People putting 2+2 and getting 42 again.


Also the Banks e.g. Barclays have been massively hit in the past three years. The banks recently have again.

So getting security from another source at a better rate (£1.3million instead of £1.6million) is a good indication that...

contrary to this belief being purported by a few that the club is not in any imminent implosion.


PS. VILLA will be paying £21million on their loans this year to Lerner.

AT LEAST WE'RE NOT VILLA!

Damon, I think sometimes you make good posts but ruin it by bringing Villa in to the argument when there's no need to.

 

[Neiler]

It's the address of his BCR Sports. Maybe it's a coincidence. *Chortles loudly*.

You surely cant be making an apology for a man who's charging extortionate (sorry, 'exorbitant') rates for a loan to a club he's the custodian of?

New low reached if you are mate.

Whoah horsey,

So it could be construed Robert Earl has taken out a loan on behalf of Everton Football Club, arent people always banging on about the directors investing - its not the first time he has underwritten loans on behalf of the club - he did it when we signed Yak, Jags, Baines, Pienaar etc. It is the first time he has done it in a long time though and a change of tact for him after previously saying he wouldnt be gauerenteeing or underwriteing any more loans.

Can you explain the: charging extortionate (sorry, 'exorbitant') rates for a loan to a club he's the custodian of? - if true i certainly wont?

 

[Tubey]

Whoah horsey,

So it could be construed Robert Earl has taken out a loan on behalf of Everton Football Club, arent people always banging on about the directors investing.

Can you explain the: charging extortionate (sorry, 'exorbitant') rates for a loan to a club he's the custodian of? - if true i certainly wont?

That's not investing FFS. Not even close.

 

[Neiler]

That's not investing FFS. Not even close.

It is in the PL mate. Directors underwrite loans with the banks. But if your definition of investment is handing someone a brief case full of fifties then your both right and wrong.

 

[Matt Damon]

It is a renewal of an existing loan from 2011/12 season, which in turn is also a renewal of a renewal (vicious circle):
August 2010 - Borrowed against 2011/12 Basic Award Fund - Cost of arrangement £1.6m - Bank: Investec
December 2010 - Borrowed against 2010/11 "Central Funds" - Cost of arrangement £1.6m - Bank: Barclays
August 2009 Borrowed against 2009/10 Basic Award Fund and FAPL Merit Payments Fund - Cost of arrangement - £1.8m - Bank: Barclays

So it's cost almost £6.5m since August 2009 to borrow against future income.

I may have posted this elsewhere but Everton made £49m from Premier League in 2010/11. This figure was £42m the season before. In other words, despite record turnover, we still can't afford to sign new players because existing funds are soaked up by player wages.

*facepalms*

2009, 2010, 2011.

You'd think that the CREDIT CRUNCH never happened?

When other businesses are going to the wall due to constrictions on cashflows and inability to secure short term finance...

Everton have done just that.


And there's a complaint about the £6.9million cost I hear you say?


Compare that to the £60 MILLION+ that Villa have paid and continue to have to pay due to all their loans from Randy Lerner.

Honestly.

Its like talking to a brick wall.


That £6.9million is a cost of the credit crunch on Everton FC.


An unnecessary cost for sure. However given the consequences and pressures other clubs are under. It'll all come out in the wash in the end.

 

[davek]

Whoah horsey,

So it could be construed Robert Earl has taken out a loan on behalf of Everton Football Club, arent people always banging on about the directors investing.

Can you explain the: charging extortionate (sorry, 'exorbitant') rates for a loan to a club he's the custodian of? - if true i certainly wont?

Well at least you're not arguing that it isn't Earl now (which would have been ridiculous to continue with). He (or the feller he's acting as proxy for) have loaned the club monies secured against the tv revenue. That's all. Safe as houses for the near future as the club would get parachute payments anyway in the highly unlikely event of being relegated. The sum of £1.3M is being taken by this company for the *massive risk* involved.

Probably the easiest money ever earned by a *custodian* of a football club...and just for looking after the overall value of their own asset.

Now that's what I call a neat trick. Money goes to money is the old saying, I believe.

Still, I'm sure yopu'll find a way to excuse this type of behaviour.

 

[kenada_blue]

I'd be doing the same (at the eariest opportunity) if there was concern over cashflows.

And there is for every football club.

Or have people not noticed the MASSIVE instability in the financial markets?

That drop affects consumer - BUYING POWER and therefore commercial entities will be looking round to ensure short term finances are robust enough to manage until the economy picks up again.


People putting 2+2 and getting 42 again.


Also the Banks e.g. Barclays have been massively hit in the past three years. The banks recently have again.

So getting security from another source at a better rate (£1.3million instead of £1.6million) is a good indication that...

contrary to this belief being purported by a few that the club is not in for any imminent implosion.


PS. VILLA will be paying £21million on their loans this year to Lerner.

AT LEAST WE'RE NOT VILLA!

At least we're not Man Citeh......

 

[Matt Damon]

Well at least you're not arguing that it isn't Earl now (which would have been ridiculous to continue with). He (or the feller he's acting as proxy for) have loaned the club monies secured against the tv revenue. That's all. Safe as houses for the near future as the club would get parachute payments anyway in the highly unlikely event of being relegated. The sum of £1.3M is being taken by this company for the *massive risk* involved.

Probably the easiest money ever earned by a *custodian* of a football club...and just for looking after the overall value of their own asset.

Now that's what I call a neat trick. Money goes to money is the old saying, I believe.

Still, I'm sure yopu'll find a way to excuse this type of behaviour.

Dave. You are unbelievable do you know that?

My position remains very clear. Infrastructure. Capacity increase etc. Is key to Everton.




But unlike you we don't take every possible conceivable opportunity to attack the club... even when its something which is actually a pretty good indication the club's secure short term.

NOT as stated

"Everton are going into administration" - Dave K - February 2011


Bridging loan was the term you were looking for Dave

 

[DualityNSNO]

Dave. You are unbelievable do you know that?

My position remains very clear.

But unlike you we don't take every possible conceivable opportunity to attack the club... even when its something which is actually a pretty good indication the club's secure short term.

NOT as stated

"Everton are going into administration" - Dave K - February 2011


Bridging loan was the term you were looking for Dave

It's a good thing you're not, really.

 

[Phenom]

Why does every board thread turn into Damon vs Davek slanging match with a bit of Villa as a template.

Its so boring.

 

[davek]

Dave. You are unbelievable do you know that?

My position remains very clear. Infrastructure. Capacity increase etc. Is key to Everton.




But unlike you we don't take every possible conceivable opportunity to attack the club... even when its something which is actually a pretty good indication the club's secure short term.

NOT as stated

"Everton are going into administration" - Dave K - February 2011


Bridging loan was the term you were looking for Dave

So you're ok with a director taking £1.3m out of the club?

Fine. I understand.

 

[kenada_blue]

Dave. You are unbelievable do you know that?

My position remains very clear.

But unlike you we don't take every possible conceivable opportunity to attack the club... even when its something which is actually a pretty good indication the club's secure short term.

NOT as stated

"Everton are going into administration" - Dave K - February 2011


Bridging loan was the term you were looking for Dave

And you find ways to defend the club as the best ran club in the country....

At least we're not -

1 Aston Villa
2 Liverpool
3 Chelsea
4 Newcastle
5 Bolton
6 Man City
7 Man Utd
8 Wolverhampton
9 QPR
10 Wigan
11 Norwich
12 Fulham
13 Stoke
14 Sunderland
15 Arsenal
16 Swansea
17 Tottenham
19 West Brom
20 Blackburn

 

[Matt Damon]

It's a good thing you're not, really.

Dave's seeing these loans and thinking they stack, but because by definition they're securitised on a future payment they don't.

Its actually basically taking a loan until the payment is made.

"A bridge" until the payment is made.


You'd think that people hadn't noticed the £60billion knocked off the UK financial market. Or that the banks have been hammered (again).

Look at whats happening in the world FFS.

Is all I'll say.

 

[Matt Damon]

So you're ok with a director taking £1.3m out of the club?

Fine. I understand.

Yes. But Dave.

Compare that to other clubs. Get out of your gold fish bowl!

It could be in double figures like our favorite example.... Villa.

 

[davek]

Yes. But Dave.

Compare that to other clubs. Get out of your gold fish bowl!

That's fine mate. I know your position now. You feel it's right to slag off Randy Lerner's family trust for extracting interest payments on loans, but you think it's ok when one of our directors does the same.

Understood.