Manchester United Debt – Fergie: No market value

Beckham puts on a Green and Gold scarf
Anyone that reads this blog on a regular basis will know and understand what a Fergie supporter I am, however I think we all agree that we do not believe him one bit when he speaks about the lack of quality/value in the transfer market. Today, we’ve seen Barcelona snap up Spanish forward David Villa for a cool £34Million, whereas Manchester City have placed a £20Million bid for Manchester United target James Milner of Aston Villa – whereas Chief Executive David Gill believe United have already done the majority of their spending, with the signings of virtual unknowns Chris Smalling and Javier Hernandez. This has all coincided with the news that the PIK loan that the Glazer family took out in 2006 – will increase by £75million. No market value, or the real reason – no money to spend as United are funding the Glazer greed?

So we’ve been linked with Luka Modric, Karim Benzema, Jack Rodwell, James Milner and Angel Di Maria. As much as I like to think of all the player in the world that I would love to see at Old Trafford, lets get real, we are no longer a club that can purchase a Wayne Rooney for £30 Million – we are now looking at resale value and deals to help balance the book. Why are we balancing the books? To be a safe and well run club? Total nonsense. We are over £700million in debt, which is rising year on year and the only people we are funding are the Glazer family. As much as i’d like to think we could sign these players to make us stronger next season for a potential title challenge, the reality is we are falling behind.

Ferguson has a difficult job, because he had been at the club nearly nineteen years prior to the take over in 2005. He has invested too much time, effort and passion to throw it all away and I, even if some other Reds do not, understand that. With his decision to operate under the Glazer family, he obviously will not come out and do a Rafa Benitez (although that is ironic considering he is the one who spent it all!) and blame the lack of funds to be able to purchase new blood. No, he has to state that he doesn’t believe there is value in the market – which make him look foolish, considering even us amateurs know there is. Where is the £80million Ronaldo money? Why is that not being invested back into the club? What is going on should be illegal.

The latest hefty interest rate rise of 2% to16.25 per cent (as of August) came about after United broke financial rules governing the loan. This is where the extra £75million interest comes into play, so looks like we’ll have £5million left over from the Ronaldo money. News also emerged that the Red Knights bid is looking increasingly doomed as a number of key players are becoming disaffected and are losing hope of persuading the Glazer family to relinquish power at Old Trafford. So all in all a pretty bad day if you’re a Red. The negativity comes from the apparent over-pricing of the club by the Glazer family, who are obviously content on making as much money as they can in anything they do, and a bid would only be submitted to ‘save face’, which would inevitably be turned down. The comes after mysterious reports that the Glazer family rejected a £1.5Billion offer for Manchester United from the far East.

David Gill obviously doesn’t see a problem with the lack of transfer activity or commitment:

“Hernandez and Smalling are signings we’ve already made and the other point to bear in mind is that the Premier League is bringing in squad limits next year of 25, which we clearly operate in European competitions but is now coming to the Premier League. There will be unlimited under-21s and other rules and we’ll be taking all that into consideration.”

I’ve made my feelings on Gill known in the past, which was met by mixed reaction. But the whole head in the sand attitude and Chinese government stance if you say anything negative about the Glazer family is laughable. You just have to look at the reports of long serving stewards losing their jobs because they are sticking up for what they believe in. Where is the fairness in that? Gill once famously said “debt is the road to ruin” – so where does he stand on that viewpoint now?

Anyways, Fergie’s comments are below, and if I am perfectly honest – we could lose more players than we bring in this summer. Expect Macheda, Welbeck and Gibson to be thrust forward even more next term:

‘In the market today it’s very, very difficult and the structure of our squad is good in terms of ages, the balance, the numbers and there’s a lot of good young players. In the market today it’s very, very difficult and the structure of our squad is good in terms of ages, the balance, the numbers and there’s a lot of good young players,’ said Ferguson, who was speaking in New York to promote United’s four-game tour of North America this summer. Sometimes you have to trust in all the development of the last few years and I’m going to stick with that, or most of it. There may be one signing and maybe we’d like to get a good player to the club, of course, but it’s not easy in the present day climate. I’ve nothing definite to tell you because we’re still assessing whoever’s available and the difficulties in terms of who you’d bring in.’

13 Comments on Manchester United Debt – Fergie: No market value

  1. You invalidate everything you post when you take things out of context as you have with the steward.

    Read the article again. The flag was confiscated for being too large. Rather than wait for the owner to come and claim it back the stward took it from OT without permission and took it to his car. Now he claims he was returning it but hadn’t and removing anything that doesn’t belong to you from your employers premisis without permission is THEFT and is an instant sacking offence in almost all companies. Pretty much all of us would be sacked from our various places of employment for the same thing so in this case it has nothing to do with weeklong g&g like the sacked steward claimed

  2. Wakey – fair enough, but you know as well as I do there have been instances where certain staff have been unfairly treated due to their views on the Glazer regime. Why didn’t any of the players pick up a g&g scarf? Presumably because they were told not to right?

    To be fair the steward remark is only a small part of the post.

  3. This is all becoming a circus and Fergie must be cringing on the inside and hating it. These pillocks from America are on the verge of destroying what he has fought so hard to build over the last 24 years & it’s not right. One player is not going to make a huge difference to us next term: what if they got injured in pre-season, then what??? Something does need to be done with them but what??? They are thousands of miles away and well away from the daily dramas in Manchester. What happens if we only sign James Milner??? As good as he is, he isn’t going to be major is he, whereas we need a Suarez or Silva to come and in my opinion at least two quality players are needed.

  4. The Glazer’s recently hired a crisis management consultant (C/O) due to problems with the Tampa franchise as well as for the green and gold problems they face over here. (You don’t hire these people unless you are seriously in the crapper.)

    It’s been interesting watching the turn around in David Gill’s attitude and SAF take on it,regarding the green and gold and the way he/they now answers, as to the way he did beforehand. Same with the coach of Tampa, You can see they have clearly been coached in how to address questions now, related to the campaign.

    In relation to the article above, we definitely don’t have the money. Last year, it was the transfer market is over inflated and no value ( by United’s own doing – If we were going to buy it had to be before Ronaldo was sold). This year lack of quality. Sorry I just don’t buy it, How long before Rooney is sold?

    The really worrying thing is, SAF is the glue that is holding the club together at the moment. If he decided he has had enough and walked (lack of funds, players having to be sold to meet the grim reapers demands etc), I just dread to think were this club we all love, will end up.


  5. Clear: SAF and Gill ( sadly ) are singing the same tune because: i) they are responsible for buying Berba for 31m pds!!!ii) they just patronize each other for personal reason. Glazers have been decently patient and supportive but for how long? With current team of many 70-year olds ( almost anyway ) dominating, UTd will finish 4th at best. SAF thinks Gibson, Park, Evans, Welbeck, O’shea,Da Silva, Diouf et el are prem lge players???

  6. until utd have a powerfull,dominating for 90mins midfield and a really very good stiker with rooney utd will be sillding down to exit .fergie has no money a lot of inexpienced kids

  7. £34m isn’t good value for David Villa, whichever way you cut it. For another club it might have been, but not for Barca unless they’re going to rake money in through merchandise. It’s significantly better value than the preposterous deal they gave Inter for that useless lump Ibrahimovic, but Villa isn’t going to be worth it in pure football terms no matter how good he is. Barcelona are already a team capable of sweeping a bunch of trophies in a season, how is a £34m striker who you’re possibly only going to get three years of his best from him (as he’s 28) a reflection on “good value” in the market?

    Barcelona are at real risk of being a less gaudy version of Real’s Galacticos.

  8. I should add, I’m not posting that as a defence of the Glazers. My point is more that, yes, the market is fucked but there’s no getting away with it and everybody needs to choose between accepting that and taking the shaft from selling clubs to compete (whatever the consequences of their own finances) or trying to remain stable and hope things settle down long-term.

    Of course we’re in the unfortunate position of ALREADY being fucked.

    Really I just want to know what’s actually in the Glazers’ heads. This isn’t just about making a short-term buck. It can’t be, there’s much easier ways for them to do so that offer significantly less hassle.

  9. I have to agree with you. I been losing patient so much so that i hope we can get rid of the owner. I dont believe their plan will work. Where is the money? People spend thousands and tonnes of their money and time to watch the team play and yet we cant compete with the rest in the market. Thing is looking dim for us and those fans still being optimistic obviously dont have a clue of what is going on. Real fans do care and not sit here and know nothing and do nothing.

  10. To be fair I don’t think Fergie’s public comments neccessarily reflect the way he thinks.

    He’s got to do what he thinks is right for the club; yes, primarily that is getting the Glazers out, but it’s also about doing what he can to keep the club in good shape in that eventuality. He can’t influence the first; he can do the second.

    If he speaks out it will create disharmony and he may get sacked – sending the club into freefall and then it won’t matter if Sir Alex goes and buys a scarf for every member of MUST and becomes their hon. chairman for all the good it will do.

    Clearly it’s a bit of a facade but needs must at the present time until we get the Glazers out.

    This Red Knights thing though; it’s deplorable. They’ve took a lot of time and money for something that has been little more than a publicity stunt, they’ll make a token bid they know will get rejected then say they’re being held to ransom by those nasty Glazers.

    If they are serious and want to submit a bid they should sound out investors from the middle east; if we go by the speculated opinion they have around £800m with which to launch a bid then you would assume that gets about halfway in a bid.. I don’t know. This is just a casual comment so don’t dissect it too much!

  11. If he speaks out it will create disharmony and he may get sacked –
    It will take more than speaking out, for anyone, glazier or not to sign the sacking of Mr. Alex Ferguson!

    You are gonna have to be prepared to damn! even death to do that…

  12. On the whole substance of the essay. Few thoguhts.

    1. The idea that the market has value, is quite simply laughable. Kidding me ?

    2. United! has always been a team that can do and undo – with the market; Its always been that way. Who else sells a player for 80M ?

    3. The glazer problem will sort itself out eventually but not without taking a scalp @ United! – the notion of a side that was a juggernaut, a force of nature. Reason being those american folks are businessmen first, even before they are men…. and they will realise when their $$$ is under threat…

    4. I have no idea out of the mess. Its a situation that needs a lot of time to unravel first, before it can begin to make sense.

    5. All that you and I can do probably, is to step up the anti-glazer sentiments. It might have to cost a season, but hitting them where it hurts most is the the most lethal strategy….but what follows ?

    Football, the business has been too much of unrealistic bubble for too long – and I admit United! has had its fair share of helping to create that monster – and the earlier everyone comes right down to earth, the better, really.

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