Newcastle managing director Derek Llambias has revealed the depth of the financial black hole into which the club was plunged by relegation.
The Magpies' revenue was halved from £100million to around £50million - the annual wage bill alone at the time amounted to in excess of £70million - as a result of the drop from the Barclays Premier League, forcing owner Mike Ashley to make swinging and painful cuts.
Llambias told BBC Radio Newcastle: "Basically, from £100million revenue, we have dropped to £50million. A good chunk of that is TV money from the Premier League, so from the Premier League, it's £40million.
"We get a parachute payment of £12.5million and then in the Championship itself, you get £2.4million of income.
"There's a massive void there that needs to be covered. You get a drop in your season tickets, you get a drop in your attendance, retail, it all drops.
"That shortfall needs to be made up. Mike is picking the shortfall up now and it's very, very difficult. But we are getting through it."
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really commical tbh,............in reality people we where probs 5 mins away from being the next leeds. freddy sheppard and his here's 60 million to spend on @#$% to every poxy manager we went through. we get 1 man who was trying to build something ie bobby robson ( r.i.p ) and sheppard sacks him.
in comes ashley and spends 200 million or so buying the club, 100 million + paying off outstanding transfer fees etc..........probs the only decent thing hes done tbh. the mistake was dennis wise. the favour man responsible for signing @#$%, or in truth complete utter @#$%. keegan does nt like it and tbh i cant say i blame him but they end of the day he was nt exactly that ar**d bout the club while trying to get another 20 odd million in severance pay.
end result we get relagated with a team of 95% money grabbers. the only exception is steven taylor and tbh the only player id want to keep. now im not defending ashley but at the same time im not holding him responsible for plight we re in. end of the day hes a businessman who knows f**k all about running a club and with the on/off selling the club saga, the appointments in staff that hes made etc it shows but still reading all these comments i think im the only fan that see's that. selling the studium name is not something im happy with but surely that shows how bad the plight really is.
with ashley loosing half his own fortune and the club running at a major lose etc the situation needs to be sorted and with the mess we re in no big sponsors going to be willing to come aboard.
simple fact is the club needs a new owner and ashley needs to put it down to a really bad move but who thinks barry moat ( the man who could nt stump up the asking price, never mind the money to rebuild the club ) or any other so-called interested parties would make any difference. hopefully promotion will come and we ll be a far more interesting proposition to buyers and the rebuilding can star
Unfortunately if the wage bill is bigger than the revenue and you have to pay for rent etc etc you will lose cash every week. if you dont buy his pies ,drink his beer the company will lose more money. Any money he puts in will then not buy players but you might lose weight. Wont do anything for promotion. the previous owners had fat directors wages. We were in a shambles then. We are still a shambles. When are the complainers going to do something positive. Band together to buy the club. 80 million between 50000 supporters. Thats only £ 1,600 each. Any takers. Or are we still looking for someone else to still baby sit us.
Utter BOLLIX!
Ashley has not invested a single penny in this club; not a cent!!!!!
Any debt that was here has merely been moved, he has said this himself for crying out loud. He is making a massive profit in transfer dealings, where's the season ticket money, where's the Premier League money, where's the other tv money, the parachute payment - and don't forget, people (in their thousands) are paying on a game by game basis, where's THAT money!
Yes players need to be paid, but we've hardly got any to pay man!!!!
Ashley is milking every last penny out of this club; you are even worse than him Liarass, because you are just a snivelling little dogsbody who, i am sure would do his own mother in, if the price was right!
Shut up, pack up, and get out of our club!
I wonder how many thousands of toon fans will show their support for the Ashley regime, by buying beer, pop, pies and burgers etc for themselves and their kids at this weekends game. PLEASE. BOYCOTT EVERY REVENUE STREAM AVAILABLE TO ASHLEY. STAY AWAY FROM THE GROUNDS CATERING OUTLETS AND BARS. BOYCOTT THE CLUB SHOP. AND YOU PEOPLE THAT BUY YOUR GEAR FROM SPORTS DIRECT SHOULD BE ASHAMED OF YOURSELVES.
STAY AT YOUR SEATS AT THE BEGINNING OF THE GAME AND AT HALF TIME, AT EVERY HOME GAME, UNTIL HE EITHER STARTS TO SHOW US SOME RESPECT ( NEVER ), OR UNTIL HE LEAVES.
COME ON. SHOW SOME CLASS. BOYCOTT THE LOT. SHOW SOME SOLIDARITY AND STAY AT YOUR SEATS. WE'LL GET EVERYBODY ON OUR SIDE IF WE SHOW SOME CLASS AND STICK TOGETHER. VIVA LA TOON
Isn't Mike meant to be a billionaire? Where's the cash then? Asset stripping Mike and micey liar Lambias
That's Lambias. Spell it all out in clear terms. One thing you forgot to mention though - it was Mike's fault we got relegated wasn't it? You malignant sub human liar
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