Anfield

Next Game

Liverpool v M'boro

Tuesday, 23 September 2014, 19:45

Capital One Cup Third Round

Upton Park

Last Game

West Ham 3 - 1 Liverpool

Saturday, 20 September 2014, 17:30

Barclays Prem

Liverpool report debt increase

Liverpool's debt has increased to £87.2million after they posted a loss of £40.5m in their annual accounts.

Last Updated: 04/03/13 at 10:43 Post Comment

Commercial revenue has increased at Anfield but so did the club's liabilitie

Commercial revenue has increased at Anfield but so did the club's liabilitie

The figures apply to the 10 months between 1 August 2011 to 31 May 2012 to coincide with the football season.

Although commercial revenue increased, so did the Anfield club's liabilities, but managing director Ian Ayre played down the significance of the rise in debt levels.

"It's definitely not something I believe anyone should be worried or concerned about. It is seasonal - our debt goes up and down," he said.

"We have money to pay out and money coming in, just like any business.

"The difference in football is some of the swings are significant, so if you look at player trading, we may need to make investments as we do in the summer before our key revenues come in: big sponsorships cheques, big ticket revenues, all the media revenues etc.

"You come to Christmas when you maybe have less revenue coming in but you have got money that needs to go out, both on playing deals that you are doing at the time but also on historic player deals.

"Debt has increased but I think it's a factor of doing business in the time and place we are."

Other contributing factors to the increase in debt were player instalment payments plus exceptional payments of just over £9.5m, relating to matters such as the stadium project, general restructuring and pay-offs to senior employees who left the club.

"We see a big charge within the accounts for amortisation (depreciation in value) of players that have been disposed of within the period that perhaps came in on a higher cost," added Ayre.

"We've made losses as a result of selling them but at the same time we've improved our longer-term position in terms of our wage bill by reducing the wages for those particular contracts.

"We've in the same period refinanced our lending facilities, which gives us ability for working capital to operate as a business."

Since the end of the accounts reporting period, owners Fenway Sports Group have injected £46.8m into the club via a non interest-bearing inter-company loan while credit facilities were also refinanced with three major banks, providing £120m of facilities for three years.

Related News

Most Commented

Readers' Comments

H

ilarious, thanks for that. But if I may, I do suspect the reason of your partners' ire is not Tottenham, but most probably all the compusilve gambling :)

DannySmith
Backing Costa To Keep Banging 'Em In

T

wo police horses in a paddock. Horse 1: What's with the long face? Horse 2: I'm working St James Park this weekend.

hump3.
Pardew braced for protests

T

wo things. First, I can't stop reading your name as 'Dane Bowers'. Second, you used the words 'philosophy' and 'Redknapp' in the same sentence.

ajsr1982
Can United's Defence Handle Ulloa?

Footer 365

Premier League: Christian Benteke closing on Aston Villa comeback

Aston Villa striker Christian Benteke is edging closer to a first-team comeback, manager Paul Lambert has revealed.

Transfer News: Peter Crouch could earn new Stoke contract as QPR maintain interest

Mark Hughes is open to rewarding Peter Crouch with a new contract at Stoke as QPR remain interested in the striker.

Premier League: Crystal Palace beat Everton 3-2 at Goodison Park

Crystal Palace came from behind to beat Everton 3-2 and pick up their first win of the Premier League campaign.

Mail Box

Clattenburg And Assistants Should Be Suspended

It's a Mailbox containing Manchester United fans taking defeat to Leicester pretty well, plus some long thoughts on Gerrard and Liverpool, plus Southampton congratulations...

Liverpool Aren't Even Exciting This Season

Liverpool fans are seemingly resigned to slipping back into mediocrity, which in September isn't exactly ideal. Plus better Arsenal, Allardyce praise and an excited Saint...

© 2014 British Sky Broadcasting Ltd. All Rights Reserved A Sky Sports Digital Media property