25 Apr 2014

Want a Rangers season ticket? That’ll be cash or cheques only

The Rangers financial statement makes for interesting reading today in a number of areas. Another share issue looks to be more on the cards in the coming months and it will be cash or cheques only for fans wanting to buy season tickets.

 

The company admits very public campaigns for fans to “refrain or delay purchasing tickets” has been a key factor in this decision, though the primary factor – as the board candidly admits – is lack of financial confidence in the club:

“A current example of the difficulty being faced by the club, and which will regrettably impact upon supporters, is that for next season supporters will now be unable to pay for their season tickets by credit or debit card.

“The club’s merchant acquirer, which processes credit and debit card transactions, has advised that it would require extensive security, including standard security to be granted over Ibrox stadium and an insurance policy at considerable cost to the club, to protect itself against any potential liability arising from passing on monies from season ticket purchases ahead of next season’s matches.

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“The board believes that one of the major factors influencing the merchant acquirer to change its terms was the extensive negative coverage of calls in some quarters for supporters to refrain or delay purchasing season tickets.

“As previously stated, the board has no intention of granting security over Ibrox and therefore has regrettably decided that for the current season ticket renewal process it will proceed with direct payment only to the club by way of bank transfer, cash or cheque payment.

“Any supporters who are on the automatic renewal scheme will not have their tickets renewed automatically and will also require to renew their seats individually.

“The club recognises that this will inconvenience a significant number of supporters, however in the board’s opinion, the demands placed upon the club by the merchant acquirer are not in the best interests of Rangers.”

That apart, the board is scathing about the way Ibrox finances have been “managed” in the club’s recent past: “The club’s financial position was precarious as it had mismanaged almost all of its cash reserves following administration.

“The cash position today requires careful monitoring but will improve with the sale of season tickets, improved commercial relationships, the planned injection of further capital and cost management initiatives identified by the review.

“The club raised £70.7m through ticket sales, commercial revenues and share issue proceeds between May 2012 and December 2013, and spent this relatively quickly, and in some areas liberally, with only £3.5m of this cash remaining at 31 December 2013.

“The board considers that the perfect opportunity to rebuild Rangers immediately post administration in a progressive, stable manner with a solid financial base has been completely missed through a series of
ill-defined, short term focused decisions with little advance recognition of medium or longer term requirements.”

Well you can’t criticise them for not facing up to the post-admin profligacy….

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16 reader comments

  1. Ted says:

    “The club’s financial position was precarious as it had mismanaged almost all of its cash reserves following LIQUIDATION” . Sorted that for you ,Alex.

    1. Bruce67 says:

      To be fair to Alex, those were the words of Sevco. Its staggering how they seem to want to whitewash liquidation as if it didn’t happen.

      These, however, are Alex’s words…

      ‘Well you can’t criticise them for not facing up to the post-admin profligacy….’

  2. anton le grandier says:

    But Alex………..post admin?Wasnt that LIQUIDATION?Then what do we have now?

  3. john clark says:

    While RIFC plc may not technically at this minute ‘trading while insolvent’, the likelihood is that many thousands of would-be ST purchasers will be stymied by not being able to pay by credit card, and the consequent unavailability of that season ticket money must inevitably result in early insolvency.
    The SFA and SPFL ( whose lack of oversight of what was going on in the liquidated Rangers FC contributed to the ‘successful’ sports cheating of that club) are again singing dumb as they wait for the train crash. perhaps because they know they will be able to bend the rules again to accommodate a new phoenix club.

  4. Daniel O'Connell says:

    Why is Mr Wallace talking about “since administration?”

    Neither RIFC plc, nor The Rangers Football Club Ltd, has ever been in administration before.

  5. Marci says:

    There isn’t post admin anything. They were liquidated!

    1. a months salary says:

      Correct Marci. We’re so used to this deliberate repetition of the “say it enough and they’ll think we’re right” stuff that the sooner they all move to Wales the better.

      S E V C O will soon follow follow in the steps of Rangers

  6. Flicktokick says:

    There may be some ‘facing up to post-admin’ (liquidation) profligacy, but there seems little appetite to actually change their ways.

    Having outlined how the club have had no long-term strategy for building a team and have wasted money on expensive transfers and contracts the document then outlines their plans for the next three years.

    1. Strengthen the squad in the summer – despite noting that few players are out of contract this summer and that they have the second most expensive playing staff costs in Scottish Football – far greater than Udinese if wider comparisons be required. They do say money will be used on a phased and targeted basis, begging the assumption that previously their was no targeted approach.

    The result of this…win SPFL Championship in 2014/15

    2. Year 2, finish in top 2 of SPFL Premiership.

    3. Year 3, SPFL Premiership Champions

    So after all the previous words and notes of previous pofilgacy they propose to continue with a policy of spend and win. No consolidation, no sustainable growth just the same old short-sighted cash for points policy.

  7. john mac says:

    All these obsessed Rangers-haters must be separated by now, assuming they weren’t always single to begin with.
    Rangers are the first thing they think about in the morning and the last think that enters their feeble little minds at night. Be it oldco Rangers, newco Rangers whatever co Rangers….these folk are Rangers daft!!
    All day spent posting the same mind-numbing guff on site after site, wishfully praying for the final demise of brand Rangers simply because their indoctrinated hatred demands it.
    So much negative emotional energy invested into wishing harm on a football team and its supporters.
    You have to feel sorry for these people but its only right to utterly condemn their mind-set. No wonder our world is so easily set against each other when there are so many partisan fools around with nothing better to do with their time than obsess and hate.

  8. Philip Edwards says:

    Alex,

    Is there no end to this ridiculous farce?

    Rangers, loony sectarians apart, are one of the greatest British clubs. It will be a blow to World football if they were to completely disappear. I hope it doesn’t happen.

    Maybe it’s time to endure a cathartic era in which the entire game goes bankrupt and starts from scratch with a new model roughly in line with the German ownership model of minimum 51% fans ownership.

    If there isn’t a radical change we are going to see more and more of this kind of garbage.

    Take a close look at the new owner of Leeds United in England. And weep.

  9. Charlie Saiz says:

    Alex can we not dispense with the myth that Rangers Fc manged to walk out of Liquidation.
    No Company and by that I mean a Club who has Incorporated in this case Rangers Fc who Incorporated on 27th May 1899 subsequently failed to agree to a CVA with Creditors and entered into Liquidation in 2012 walks away from it.
    If you need clarification on that go look at the way Chester City Fc was delt with by the FA in England and how the subsequent Phoenix Club that replaced them had to apply for a new License.
    Even though these were the same fans entering the same Ground wearing the same Colours and singing the same Song and had chosen the Original name to go under they all acknowledge that this is indeed a brand new entity.
    It was never in the SFA’s interest to confirm the above they and the rest of the Clubs in the Top Flight know that if 40,000 paying fans suddenly opt to walk away from the sport completely then the Scottish game was going to have serious problems.
    Hence this farce of them,the media colluding in the illusion Rangers Fc somehow walked away from Liquidation?
    They did not and that is a fact.
    The Phoenix Club now masquerading as real Rangers are going to hit the buffers real soon they played along with the myth they were the real Rangers and subsequently copied the Train Crash Approach of the former thinking hey ho we will be fine the mugs will keep digging deep.
    No one dare talk about the fact Charles Green said this prior to the CVA Proposal and subsequently buying the Assets:
    http://youtu.be/0k0IkDTPQWU
    He went on to sell them a contradiction to that of course in a Share Issue which he and the rest made a mint off.

  10. John Finlayson says:

    This is not profligacy! £70M in 17 months for a team in the 4th & 3rd tiers of Scottish football goes well beyond ‘profligacy’. When the actual salary costs of the playing staff is circa. £7/£8 M per season, where are the investigative journalists who were all over the ‘BIg Tax Case’ two years ago and why are they not asking Charles Green what happened to the other £50M+?

  11. Kenny D says:

    For verification of what happens to a Football Club after failing to secure a CVA with Creditors and enters into Liquidation…
    See Chester City Fc
    It’s fairly straightforward when you look at it logically and without bias.
    Chester Fc are a new entity end of story.

  12. Mr Sensible says:

    Do you and Phil sit down at lunch time, talk about your obsession with Rangers and bore each other to death. The question is ‘why does a respected journalist at Channel Four obsess with Rangers. Answers on a post card please

    1. Seamus says:

      Because everyone loves a good comedy.

    2. James says:

      This is a blog, its Alex’s blog, he is not obsessed with Rangers, he took this on board a long time ago its a tale with many twists and interesting financial corruption, its the same story and its still going on. Investigative journalists like to uncover the truth behind lies. If you think he is obsessed why are you even here, are you obsessed with Alex Thomson’s blog.

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