Big loss for Black Cats - Sunderland stand by spending policy

johnnydawg68 · February 15, 2011

http://www.skysports.com/story/0,19528,11661_6754565,00.html

For those that ask where the Sunderland's of the world get money to buy players...they borrow it and go in debt.

World Football, like the world economy, is diseased.

Del · February 15, 2011

A loan of £19million from owner Ellis Short was capitalised - or transferred into shares - in November 2009, and the Texan has since injected interest free-loans of £22.4million and £6million and promised his continued support.

Wish we had an owner like this though

johnnydawg68 · February 15, 2011

everton_del_vina_del_mar said:
A loan of £19million from owner Ellis Short was capitalised - or transferred into shares - in November 2009, and the Texan has since injected interest free-loans of £22.4million and £6million and promised his continued support.

Wish we had an owner like this though

That won't last forever.

Del · February 15, 2011

johnnydawg68 said:
That won't last forever.

Maybe not but as stated he has put 29 million into the club intrest free, there in a far better situation than us at this time

johnnydawg68 · February 15, 2011

everton_del_vina_del_mar said:
Maybe not but as stated he has put 29 million into the club intrest free, there in a far better situation than us at this time

As long as Short is willing to finance them at a loss. They only increased their revenue by 1 million pounds. Not a great return on his investment. They can't even fill their stadium and they're in the hunt for Europe.

Sounds like a ticking time bomb to me.

Matt Damon · February 15, 2011

everton_del_vina_del_mar said:
A loan of £19million from owner Ellis Short was capitalised - or transferred into shares - in November 2009, and the Texan has since injected interest free-loans of £22.4million and £6million and promised his continued support.

Wish we had an owner like this though

So what has those loans been spent on?

Increasing money through the gates?

Why are they making such losses with loans incoming?

Losses £1.4 million higher than the year before. So despite 35million in loans they've lost £55million in two years!

Alio · February 15, 2011

Bad things are ahead for Sunderland, surely

Matt Damon · February 15, 2011

Sunderland have been burning through cash like its gone out of fashion.

kenada_blue · February 15, 2011

johnnydawg68 said:
As long as Short is willing to finance them at a loss. They only increased their revenue by 1 million pounds. Not a great return on his investment. They can't even fill their stadium and they're in the hunt for Europe.

Sounds like a ticking time bomb to me.

They get into Europe, the increase their exposure, they get their stadium filled to about 45k+ a week, things will look better. IMO.

What did Roman do with Chelsea?

johnnydawg68 · February 15, 2011

kenada_blue said:
They get into Europe, the increase their exposure, they get their stadium filled to about 45k+ a week, things will look better. IMO.

What did Roman do with Chelsea?

Chelsea lose a huge amount of money still. Getting into the Europa will help, but as our accounts proved, it's not going to fill a 20+ million gap in your budget, let alone pay off the debt.

Matt Damon · February 15, 2011

johnnydawg68 said:
Chelsea lose a huge amount of money still. Getting into the Europa will help, but as our accounts proved, it's not going to fill a 20+ million gap in your budget, let alone pay off the debt.

Three years in the champions league wouldn't pay off a 55 million two year loss.

TX Bill · February 16, 2011

johnnydawg68 said:
As long as Short is willing to finance them at a loss. They only increased their revenue by 1 million pounds. Not a great return on his investment. They can't even fill their stadium and they're in the hunt for Europe.

Sounds like a ticking time bomb to me.

I'd go as far to say that football as a whole is a ticking time bomb.

If we thought the subprime debacle was bad, wait until we get past the point of no return in football.

kenada_blue · February 16, 2011

johnnydawg68 said:
Chelsea lose a huge amount of money still. Getting into the Europa will help, but as our accounts proved, it's not going to fill a 20+ million gap in your budget, let alone pay off the debt.

End of the day youve got the break some eggs if you wanna make an omlette.

The only difference i see between us and them is that they loaned more but have owners that actually put money into the club.

We can all look at other teams and go...oh those finances are bad theyre gonna pop. If this were the cash youll have about 6 clubs goin out of business. Wont happen.

They have room to grow. Theres nothing stopping them making more money every year cos they have options. Its a calculated gamble i feel.

Or you can be an everton.

I bet stokes and boltons accounts will make people say"theyre gonna pop" as if were in a boss place financially

johnnydawg68 · February 16, 2011

TX Bill said:
I'd go as far to say that football as a whole is a ticking time bomb.

If we thought the subprime debacle was bad, wait until we get past the point of no return in football.

100% agree. Except all it will mean is lower salaries and transfer fees across the globe which is not a bad thing for the fan.

johnnydawg68 · February 16, 2011

kenada_blue said:
End of the day youve got the break some eggs if you wanna make an omlette.

The only difference i see between us and them is that they loaned more but have owners that actually put money into the club.

We can all look at other teams and go...oh those finances are bad theyre gonna pop. If this were the cash youll have about 6 clubs goin out of business. Wont happen.

They have room to grow. Theres nothing stopping them making more money every year cos they have options. Its a calculated gamble i feel.

Or you can be an everton.

I bet stokes and boltons accounts will make people say"theyre gonna pop" as if were in a boss place financially