Topic: Glazer debt drains Manchester United (Not nearly 1 billion in new deals)

[Big Red Richie]

I don't know neither SBP / SAF personally. Purely basing it on credentials. Calm down.   

And what credentials would that be.

Fer'gie might of won more trophy's, but that I'm sure is all down to the length of time he's been in the job.

Bob was only in the seat for nine years.

As for the strenth of character.   They couldn't be further apart.

Sir Bob, an old school, old fashioned gentleman.  Fer.gie, a sour faced vindictive bully.

They're light years apart.

[Discipline]

Not saying he's better, I'm saying he's the only one that rivals him.

And again, not comparing their personalities. I'm comparing what they've managed to win for their respected clubs.

[timmyonions]

Sponsoring two rival teams? No wonder the guy got fired.

Celtic and Rangers shared shirt sponsors for years.I hardly think that was the reason he was fired.Probably the amount they signed to pay out got him the sack!

[Cochise]

How much is our training gear? I saw a Man Utd DHL one for £38 the other day.

[timmyonions]

How much is our training gear? I saw a Man Utd DHL one for £38 the other day.

Thats all included in the Standard Chartered deal.

The Mancs on the other hand continually think outside the box.They are light years ahead of us in the commercial department.

[SquirmyRooter]

Celtic and Rangers shared shirt sponsors for years.I hardly think that was the reason he was fired.Probably the amount they signed to pay out got him the sack!

I doubt a single employee could sign a deal for half a billion pounds without the knowledge of his superiors, or that in the unlikely even he did, that they wouldn't pull out of the deal. Companies protect themselves from that type of thing. Cooling off periods etc. Maybe he demanded a kick back???

[timmyonions]

How about your compare the S.C. deal across the board in World Football and factor in when the deals were signed.  Also compare it to the previous deal the club had.

Wasn`t our deal with SC the biggest in football at the time?

The chevrolete deal the mancs have signed is off the charts.

[ttnbd]

Why not wait to see what our next deal is before moaning? The mancs new deal doesn't start until our next one does so you never know what might occur by then.

[Beninger]

Nice to know GM got bailed out with tax money just to turn around and do this. 

[Fuzion6]

For those going on about how great Ayres et al did on our shirt sponsor - this is how you do it properly...

[Beninger]

For those going on about how great Ayres et al did on our shirt sponsor - this is how you do it properly...

I'm sure the club will take note the next time around, now that a precedent has been set.  Who knows what will be negotiated by then.

[El_Pistolero]

Don't know why we're putting our deals into comparison with that. Ours are very good, especially as we've been on the slide for the last 3-years.

Something smells really fishy about that deal, that's a fucking obscene amount.

[Beninger]

Don't know why we're putting our deals into comparison with that. Ours are very good, especially as we've been on the slide for the last 3-years.

Something smells really fishy about that deal, that's a fucking obscene amount.

This article may touch on that a bit...

http://www.businessweek.com/news/2012-08-03/manchester-united-says-gm-deal-to-generate-559-million

[rocco]

This article may touch on that a bit...

http://www.businessweek.com/news/2012-08-03/manchester-united-says-gm-deal-to-generate-559-million

Why are they paying €18.6m this and next season ?

[rafathegaffa83]

They nearly did, the US gov't/taxpayers bailed them out for BILLIONS

I can't see this really benefiting their sales too much. That's probably why that executive was fired. They've already been firing some high profile executives recently due to lagging sales as well.

[4pool]

From the prospectus link, pages 49 and 50..

Net cash Audited June 30th, 2011
Minus £18.569 m


Net cash Unaudited 9 months ending March 31st, 2012
Minus £28.463 m


The Chevrolet deal doesn't start for 2 more seasons.

The $559mil = £357.4m is over the next 9 years. Includes current kit sponsor money and Chevrolets from page 93.
Total revenue payable through the end of the 2020/21 season under our new shirt sponsorship agreement is approximately $559 million.



http://www.sec.gov/Archives/edgar/data/1549107/000104746912007740/a2210523zf-1a.htm#dc71301_business

[ttnbd]

Why are they paying €18.6m this and next season ?

I'm wondering if the mancs have to pay some sort of compensation to Aon for announcing this so early?  Announcing it now could undermine Aon's sponsorship deal as much of the emphasis will be on this new deal since it is a record.  Generally you don't announce something like this so far in advance out of respect for current deals.

[Malaysian Kopite]

On the bright side, if we narrow the gap between us and the Mancs in the next two years when our Standard Chartered deal runs out, we'll be able to demand a lot more.

[Beninger]

I'm wondering if the mancs have to pay some sort of compensation to Aon for announcing this so early?  Announcing it now could undermine Aon's sponsorship deal as much of the emphasis will be on this new deal since it is a record.  Generally you don't announce something like this so far in advance out of respect for current deals.

Would make sense, considering that they are calling it a "fee".

[zjim]

It just seems so fishy.  The biggest deal in the history of football, so big that the person who agreed to it got fired (forced to resign). I know we like to hunt for the conspiracy......but somethings up

[something awful]

It just seems so fishy.  The biggest deal in the history of football, so big that the person who agreed to it got fired (forced to resign). I know we like to hunt for the conspiracy......but somethings up

The shit thing is, it's probably gonna be like this for a long time. Until they stop being a success on the field, they'll continue to be a juggernaut off it.

And if we're not up there competing in two years, our deal won't match theirs.

[iamrobk]

It just seems so fishy.  The biggest deal in the history of football, so big that the person who agreed to it got fired (forced to resign). I know we like to hunt for the conspiracy......but somethings up

I don't think it's fishy, I just don't think the Chevy guy who agreed to the deal had any idea what he was doing, hence why he got fired.  Of course by that point the deal was legally binding so they couldn't get out of it.

[Gainsbarre]

I don't think it's fishy, I just don't think the Chevy guy who agreed to the deal had any idea what he was doing, hence why he got fired.  Of course by that point the deal was legally binding so they couldn't get out of it.

Come on! You dont sign a deal worth 550 million dolars like that.. He knew how much they were getting from Aon, he knew how much Barcelona are getting.. and he decides to double that? strange.. some might rightly think..

[Andy @ Allerton]

Come on! You dont sign a deal worth 550 million dolars like that.. He knew how much they were getting from Aon, he knew how much Barcelona are getting.. and he decides to double that? strange.. some might rightly think..

[HighSix]

That is one hell of a deal!

I was in Asia last year for the first time & it probably sounds stupid but I didnt truly realise what a monster of a club they are..... I could not believe the amount of their tops, merchandise & adverts.... it was crazy with about 90% of anything football related being United with a bit of Barca, Chelsea, Madrid & Arsenal occasionaly. As much as I despise them their off field deals & growth are a fine example.

[Beninger]

If they did fire that executive for making that deal, his boss should get canned for not keeping tabs and looking into that deal before it was finalized.  Is it any wonder they needed billions in a bailout? 

[BarryCrocker]

For those going on about how great Ayres et al did on our shirt sponsor - this is how you do it properly...

I think our ability to get the deal we did considering we've won very little over the past few years was remarkable. When you’re winning things or at least seriously challenging for them, sponsors will line up for you. With the exception of dubious deals like Ethiad and Invest in Africa, winners always get the better deals.

Pushing for the PL title, winning an FA Cup or qualifying for the CL will see us get the real value out of or current agreement and hopefully gain more leverage for our next.

[Andy @ Allerton]

If they did fire that executive for making that deal, his boss should get canned for not keeping tabs and looking into that deal before it was finalized.  Is it any wonder they needed billions in a bailout? 

BOOM!

[BarryCrocker]

If they did fire that executive for making that deal, his boss should get canned for not keeping tabs and looking into that deal before it was finalized.  Is it any wonder they needed billions in a bailout?

Find it very hard to believe that an individual can sign-off on a deal that big. These thing usually run through a number of governance bodies within a organisation, are presented to a board of directors and formally signed off by a CEO. It’s not like we’re talking about a rogue trader.

[idontknow]

So that's $559 million over either 9 years or 7 years?
Or, at best, less than 1/7th of a dollar, about 14 cents therefore, per 'follower', over that period.

This could shrink, of course, or grow, depending on the birth versus death rate of the 'follower' base during that self-same period, but since no-one precisely knows the details of how the base was calculated it is difficult to predict which way it will go.

They did something similar in the late 70s, inventing 5ps everywhere so they could enrich themselves.

[kapil08]

Pushing for the PL title, winning an FA Cup or qualifying for the CL will see us get the real value out of or current agreement and hopefully gain more leverage for our next.

In a nut-shell. There's no way we're going to get deals like that without proving ourselves.

[SquirmyRooter]

So that's $559 million over either 9 years or 7 years?
Or, at best, less than 1/7th of a dollar, about 14 cents therefore, per 'follower', over that period.

This could shrink, of course, or grow, depending on the birth versus death rate of the 'follower' base during that self-same period, but since no-one precisely knows the details of how the base was calculated it is difficult to predict which way it will go.

They did something similar in the late 70s, inventing 5ps everywhere so they could enrich themselves.

Come again??? :/

[benn25]

http://www.fcbusiness.co.uk/news/article/newsitem=1949/title=must+calls+for+glazer+sponsors%92+boycott

Fri 3rd Aug 2012 | Marketing & PR

Posted by: Aaron Gourley

The Manchester United Supporters Trust (MUST) have called for a worldwide boycott of Manchester United sponsors’ products, in opposition to the club’s proposed IPO.

MUST have been strongly opposed to the Glazer family’s ownership which has left the club £430million in debt and has cost it a further £520million in fees and debt repayments.

The planned IPO was initially intended to raise funds and to use all those proceeds to pay down some of the debt but in a u-turn the Glazer family now plan to take half the proceeds for themselves.

The boycott strategy is intended to send a clear message to the Glazer family and club sponsors that without the support and purchasing power of the fans - the global strength of the Manchester United brand doesn’t actually exist.

It is also hoped the companies advising the Glazers on the IPO, and potential investors themselves will recognise that without the full support of fans going forward there are too many uncertainties in meeting the IPO prospectus’ claims on revenue streams.

A spokesman for MUST commented: “Essentially the IPO is bad for investors, the club and the fans.

“The Glazer family sell the rights to our loyalty and devotion for the club to sponsors for many millions but then use that money to pay off their self imposed debt”.

“It has to stop and we want the IPO shelved and a proper fan ownership model put in place – one share, one vote”.

“Our actions are no different to the marketing tactics used by all the clubs sponsors anyway – we’re just executing it in another way. Their efforts are mostly about brand switching and ours are too – we’re just saying more overtly - don’t use those sponsors products – and the sample of fans we’ve spoken to around the world believe this is the right approach”.

“Even without this approach, allowing the Glazer’s to continue running the club unchecked is bad news for sponsors. Less funds for the club (because of servicing current debt levels) means less investment in the team and that could impact on sponsors being associated with a winning, successful team. That would be like sponsors watching their own ROI diminish”.

[kapil08]

Bad times ahead, yeah?

Slimy b@rstewards always recover.

[4pool]

http://www.fcbusiness.co.uk/news/article/newsitem=1949/title=must+calls+for+glazer+sponsors%92+boycott

Fri 3rd Aug 2012 | Marketing & PR

Posted by: Aaron Gourley

The Manchester United Supporters Trust (MUST) have called for a worldwide boycott of Manchester United sponsors’ products, in opposition to the club’s proposed IPO.

MUST have been strongly opposed to the Glazer family’s ownership which has left the club £430million in debt and has cost it a further £520million in fees and debt repayments.

The planned IPO was initially intended to raise funds and to use all those proceeds to pay down some of the debt but in a u-turn the Glazer family now plan to take half the proceeds for themselves.

The boycott strategy is intended to send a clear message to the Glazer family and club sponsors that without the support and purchasing power of the fans - the global strength of the Manchester United brand doesn’t actually exist.

It is also hoped the companies advising the Glazers on the IPO, and potential investors themselves will recognise that without the full support of fans going forward there are too many uncertainties in meeting the IPO prospectus’ claims on revenue streams.

A spokesman for MUST commented: “Essentially the IPO is bad for investors, the club and the fans.

“The Glazer family sell the rights to our loyalty and devotion for the club to sponsors for many millions but then use that money to pay off their self imposed debt”.

“It has to stop and we want the IPO shelved and a proper fan ownership model put in place – one share, one vote”.

“Our actions are no different to the marketing tactics used by all the clubs sponsors anyway – we’re just executing it in another way. Their efforts are mostly about brand switching and ours are too – we’re just saying more overtly - don’t use those sponsors products – and the sample of fans we’ve spoken to around the world believe this is the right approach”.

“Even without this approach, allowing the Glazer’s to continue running the club unchecked is bad news for sponsors. Less funds for the club (because of servicing current debt levels) means less investment in the team and that could impact on sponsors being associated with a winning, successful team. That would be like sponsors watching their own ROI diminish”.

From the investor prospectus:


Over 5 million items of Manchester United branded licensed products were sold in the last year, including over 2 million Manchester United jerseys. Manchester United branded products are sold through over 200 licensees in over 130 countries.

[Smudgester]

Something smells really fishy about that deal, that's a fucking obscene amount.

So fishy in fact the the bloke who agreed it for Chevrolet has been forced to resign because of it.

[Beninger]

Find it very hard to believe that an individual can sign-off on a deal that big. These thing usually run through a number of governance bodies within a organisation, are presented to a board of directors and formally signed off by a CEO. It’s not like we’re talking about a rogue trader.

You'd think that was the case, right?  Even more embarrassing for GM.

[Andy @ Allerton]

This has been done to death hasn't it?

Just forget them. We've got our success we want to try and get back. They have theirs.

We have our deals. They have theirs.

Seriously stop talking about them. You're just winding yourselves up. Let it go.

I'm not that arsed about them any more. Just support your own club. Chillax

[steveeastend]

Nice to know GM got bailed out with tax money just to turn around and do this. 

Fergie votes labour, don´t you know. He knows what´s the right thing to do, at least that´s what Carra said...

[Big Red Richie]

This has been done to death hasn't it?

Practice what you preach Andy.

Lets see if you can go 24 hours without mentioning them.