Thursday, 22 May 2008
Man U win Champions League, again (and again)
Many people watched the match last night and the office today is full of token fans of both teams who are happy or sad at the result.
What really matters though to the clubs is the money brought in. Man United is £660 million in debt and needed the £30 million from the Champions League win to help bolster the coffers further. In addition, entry to the World Club championship and European Super-Cup are also good money spinners. Last year Man United turnover was £210 million so winning this competition should boost revenues by at least 10% and perhaps as much as 25% when you add in all the other benefits. With debt repayments at £62 million a year, they should even have some money left over to invest in the team for next year.
Chelsea won't have made quite so much from this adventure, nonetheless it will add to the club's turnover and goal of trying to break even. Although how much this matters depends on the attitude of billionaire owner Roman Abramovich. Losing £100 million a year is about standard for them these past few years.
Alll this must make interesting reading for you Stoke fans out there. Recently promoted to the Premier League to take on in football combat the above two clubs. Their last company house results for May last year had them posting a turnover of £7.9 million and a £3 million loss. No doubt the £30 million boost from the Premier League is really going to help; but reality suggests their whole club would struggle to hire and pay the Man U captain, Rio Ferdinand.
I look forward to watching their efforts to compete with Man United next season. Any takers on them finishing above Man United in the league?
Posted by CityUnslicker