Some crucial things said by Stockbridge....

[Helicopter Sundae 6,469]

I have just watched the interview with Brian Stockbridge, and I have written down some of the most important points;

"We own all of our assets. We have NOT done a sale and lease back.

No bank debt whatsoever, nor secured on any asset.

Wage bill; cut from £30 mill to £17 mill.

£ 2 mill cut on Operational Items

Deloitte would only sign off if the club has enough cash for the next year.

In addition more cash to come from season tickets.

Only £4.5 mill of the £11 mill is ST. ( As at the cut off date of 30 June, the date of the end of the accounting period)

( Additional revenues) More ST money due in, more match day money due in, sponsorship money and retail.

The loss ( was added to because we received) not a single penny from JJB who went bust, they paid the club NOTHING, so retail is going to be significantly above the historic figures"

The comment about owning all of the assets and not being part of a Sale and Leaseback is absolutely CRITICAL.

The comment about no bank debt, nor any debt secured against any asset is also up there in MASSIVE significance.

Wage bill down by £13 million.

Season Ticket money, as reported in the accounts adds up to £4.5 million of the £11 mill in the bank ( as of the date 30 June).

We had 38 000 ST holders in the previous season, paying £8 mill, so there is potentially another £3.5 mill which could not be reported, to add to the bank.

Any matchday income will obviously be added to revenue, so keep an eye on the attendance figures, and you can work out how much yourself.

JJB basically cost us a packet. The new deal with Sports Direct will see a big rise in income.

Obviously, any cup matches will also add to revenue.

These items are effectively post Profit and Loss/ Balance Sheet items, as THEY only show what a company has done, not what is GOING to happen in a future accounting period.

I personally feel better than I did while waiting for these accounts to come out, and he made the point that he cannot reveal certain things, due to the PLC requirements, such as misinformation launched at the Club.

Certain things within the financial statements need to be explained, ( that is the point of an AGM) but I feel a corner has been turned here.

[gogzy 31,195]

Good post.

[1st_Jan_1994 4,868]

I agree with the gist of it being not as bad as some folk think

But an annual wage bill of 17 million for the bottom of Scottish football is an absolute disgrace

[TheLawMan 6,240]

I agree with the gist of it being not as bad as some folk think

But an annual wage bill of 17 million for the bottom of Scottish football is an absolute disgrace

[iain1712 336]

Thanks H.S.

As I don't work in finance I never bothered to try and decipher the accounts, I would have got nowhere.

This is what I've been hoping to see, thanks for breaking it down for me.

[gogzy 31,195]

I agree with the gist of it being not as bad as some folk think.

But an annual wage bill of 17 million for the bottom of Scottish football is an absolute disgrace

It's far from ideal, and certainly needs to be cut, a lot. Calling it a disgrace is a bit OTT though. That word gets thrown about so much on this forum about our own club that it has lost all impact IMO.

But we have Ally and his backroom staff taking paycuts, I still think the board me renegotiate their wages/bonuses ( more to try and sway the swing voters, than for the love of the club of course)

yu also have to take into account the 7.8m playing staff wage bill included the high earners from last season that have been moved on ( Sandaza, KK, Goian, Boca, ect.)

We also employ over 140 non playing staff.

As our income increases, which IMO it will, we will be able to afford the wage bill a lot easier.

Between jig, The management, and the boardroom all renegotiating their wages/bonuses, there could be as much as a 2 million+ saving right there.

[Essandoh 21,898]

I agree with the gist of it being not as bad as some folk think

But an annual wage bill of 17 million for the bottom of Scottish football is an absolute disgrace

Let's remember that the staff employed pre-administration were not sacked. They were kept on.

It has been said time and time again that Rangers will feel the hit for this for approximately the first two years. This was voiced publicly by Green and Stockbridge himself touches on it in the video posted on the website earlier. On top of the 'regular' non-playing staff, if you will, as well as the players, come the salaries of the Directors in the boardroom et al. Collectively, the Reports state that the annual salary bill stands at £17.9m.

This figure still includes the inflated wages TUPE'd over from RFC 2012 plc to RIFC Company and, evident from the Reports, the salary of McCoist reflects that of an astronomical amount relative to the position that the football club finds itself in at the present moment. Ally will not be the only one with a wage estimating around £15k-a-week. You can put your own money on McDowall, Durrant and many of the other backroom staff from Stewart to Sinclair being on very high wages for the footballing environment Rangers are situated.

Truly, I do not believe that, with these Reports published to the shareholders and support, to be analysed and scrutinised at every turn, that the Rangers board would be plainly stupid enough to fail to address this immediately. Especially considering McCoist's statement of intent on having his wage cut (significantly, you would hope) was released publicly. Perhaps a sly move by Super himself to push the Board in the right direction? Wishful thinking nonetheless but certainly a stern move by the manager.

Let's come back 6 months now and have a look at the wage bill. I would be confident in seeing that figure drop massively again. First on the agenda: bonuses higher than a certain Finance Director's annual salary cannot ever be repeated. If it was within my personal control, bonuses would be frozen until we returned to the top level i.e. The European stage - and even then re-visited and re-evaluated when the time comes.

[nvager 498]

The accounts are a lot better than most people thought. Still some are trying to make mischief.

Let's see what another 6 mos or a year brings.

The auditors signed off so there is income for another year.

Let's get back to football.

[Non_Sucumbi 876]

I agree with the gist of it being not as bad as some folk think

But an annual wage bill of 17 million for the bottom of Scottish football is an absolute disgrace

How much of that money is attributed to non-playing staff? The players are who we pay to watch and can be seen as 'income generators'. The rest are 'overheads' and that is the real disgrace.

Glad the total wage bill has been reduced but we need further cuts for the next 2-3 years.

Still good post by the OP and more positive than the merchants of doom would have us believe.

[pcbear 10,932]

Its the big earning "non playing staff" where the trimming should be savage, the money Green, Imran and Stockbridge took out the club is heading towards obscene, we need maintenance staff, we need laundry ,hospitality, security, admin etc all to keep the old place ticking over nicely, so nicking a 12,000 - 20,000 salary by laying off these people will do nothing, the cuts should be at the top, pay should be in keeping with the like for like salaries outside the game.The coaching staffs money if on ratio par with McCoist also want scrutinised.

[Jimmyblue9 24]

HELICOPTER SUNDAE.what do you mean by £3.5millon not been reported.cheers.WATP

[LarkieDeek 61]

£200k bonus for the team winning the third division

Video aimed to undermine the chairman

Over £14m operating loss

No clear sign of when the business will break even

Authorised a playing budget of £7.8m

Sack him!

[dummiesoot 16,288]

People that moan about playing budget, are the same ones that moan when our team does not challenge for a cup. Surely forfar showed us we needed investment in the team to challenge for a cup. Some of the high earners will be needed when we are back at the top. Wholesale changes once in the spfuckinghell will not work it makes sense to build now.

Director wages too high.

[mitre_mouldmaster 21,511]

"Season Ticket money, as reported in the accounts adds up to £4.5 million of the £11 mill in the bank ( as of the date 30 June)."

You sure about this bit?

If so it is a bit of a worry. Thought the £11m in the bank was purely the income from last years IPO and operations.

This would mean that we have to find a way of trimming £18.5m off the deficit, not the £14m originally thought.

[Fiogh 178]

Its the big earning "non playing staff" where the trimming should be savage, the money Green, Imran and Stockbridge took out the club is heading towards obscene, we need maintenance staff, we need laundry ,hospitality, security, admin etc all to keep the old place ticking over nicely, so nicking a 12,000 - 20,000 salary by laying off these people will do nothing, the cuts should be at the top, pay should be in keeping with the like for like salaries outside the game.The coaching staffs money if on ratio par with McCoist also want scrutinised.

You cant really call the players 'income generators' - i doubt the fans numbers would fall if we only had a playing wage bill of say £4m instead of £7.8. Even if ST/matchday crowds did drop - how many would you have to lose before it equated to £3.8m (just using £4m wage bill as sn example figure).

On that note, surely non playing staff coild also be considered income generators, with direcyors securing sponsorship deals, outside investment etc?

[wrongshapedballs 78]

"Season Ticket money, as reported in the accounts adds up to £4.5 million of the £11 mill in the bank ( as of the date 30 June)."

You sure about this bit?

If so it is a bit of a worry. Thought the £11m in the bank was purely the income from last years IPO and operations.

This would mean that we have to find a way of trimming £18.5m off the deficit, not the £14m originally thought.

Why is it a worry? A proportion of the 2013-14 ST money is in this set of a ccounts, and a similar proportion of the 2014-15 ST money will be in next year's, effectively cancelling each other out.

[mitre_mouldmaster 21,511]

Why is it a worry? A proportion of the 2013-14 ST money is in this set of a ccounts, and a similar proportion of the 2014-15 ST money will be in next year's, effectively cancelling each other out.

2 issues.

Firstly, in the accounts just released, we were taking into account a full years season ticket money, then adding extra into our balance.

Future years will by the sounds of it only have a partial years season ticket Monday accounted for.

Secondly, cash flow is an issue. If we don't have possession of c£4m until after the season finishes, then it causes issues settling bills.

[Turnberry18 3,204]

2 issues.

Firstly, in the accounts just released, we were taking into account a full years season ticket money, then adding extra into our balance.

Future years will by the sounds of it only have a partial years season ticket Monday accounted for.

Secondly, cash flow is an issue. If we don't have possession of c£4m until after the season finishes, then it causes issues settling bills.

Cash flow will always be an issue, however there are certain indicators that it is becoming much more manageable.

[gmcf 35,487]

I think another good bit he slipped in there ( 4.05 ) is that his bonus will now be financial related and not on what goes on the football side.

Sounds sensible to me as it should be proportionate as to how financially successful we are ( assuming its a reasonable amount ).

[nachothelegend 1,932]

The accounts are a lot better than most people thought. Still some are trying to make mischief.

Let's see what another 6 mos or a year brings.

The auditors signed off so there is income for another year.

Let's get back to football.

I agree with this stability is required.

Some people need to settle as the accounts although not perfect are better than anticipated.

Taigs ,and Mhedia won't be happy so I feel much better than I did before.

Some money in the Bank more to follow and a future going forward.

Must admit I was thinking about the jjb deal the other day and how them going bust affected Rangers. For me it was another fuck up from DM and a bad move.

That along with other risks he took with the Club.

Hope all those within our fan base can see where the Club is going and get back to Football again.

No more troublemakers writhing our own fan base.

We don't need it now.

[Non_Sucumbi 876]

You cant really call the players 'income generators' - i doubt the fans numbers would fall if we only had a playing wage bill of say £4m instead of £7.8. Even if ST/matchday crowds did drop - how many would you have to lose before it equated to £3.8m (just using £4m wage bill as sn example figure).

On that note, surely non playing staff coild also be considered income generators, with direcyors securing sponsorship deals, outside investment etc?

No one is an asset the other is pure liability. If the players, the people we pay to watch, do not generate income, who does?? Unless you count the fans who only go along for the pies and bovril.

So are you saying the directors should be on a higher salary, Non-playing staff wages and bonuses were out of order for last season. Lets hope Mather is as good as his word and cuts them back..... considerably.

[cerberusandorthus 184]

I have just watched the interview with Brian Stockbridge, and I have written down some of the most important points;

"We own all of our assets. We have NOT done a sale and lease back.

No bank debt whatsoever, nor secured on any asset.

Wage bill; cut from £30 mill to £17 mill.

£ 2 mill cut on Operational Items

Deloitte would only sign off if the club has enough cash for the next year.

In addition more cash to come from season tickets.

Only £4.5 mill of the £11 mill is ST. ( As at the cut off date of 30 June, the date of the end of the accounting period)

( Additional revenues) More ST money due in, more match day money due in, sponsorship money and retail.

The loss ( was added to because we received) not a single penny from JJB who went bust, they paid the club NOTHING, so retail is going to be significantly above the historic figures"

The comment about owning all of the assets and not being part of a Sale and Leaseback is absolutely CRITICAL.

The comment about no bank debt, nor any debt secured against any asset is also up there in MASSIVE significance.

Wage bill down by £13 million.

Season Ticket money, as reported in the accounts adds up to £4.5 million of the £11 mill in the bank ( as of the date 30 June).

We had 38 000 ST holders in the previous season, paying £8 mill, so there is potentially another £3.5 mill which could not be reported, to add to the bank.

Any matchday income will obviously be added to revenue, so keep an eye on the attendance figures, and you can work out how much yourself.

JJB basically cost us a packet. The new deal with Sports Direct will see a big rise in income.

Obviously, any cup matches will also add to revenue.

These items are effectively post Profit and Loss/ Balance Sheet items, as THEY only show what a company has done, not what is GOING to happen in a future accounting period.

I personally feel better than I did while waiting for these accounts to come out, and he made the point that he cannot reveal certain things, due to the PLC requirements, such as misinformation launched at the Club.

Certain things within the financial statements need to be explained, ( that is the point of an AGM) but I feel a corner has been turned here.

Good points well made

WATP

[Shuggy 1,308]

I would have liked to have seen the accounts lay out simply the income and expenditure in two columns. My attempt is below but I am sure there are mistakes.

Incoming money in 13 months to June 2013:

Initial Investors: £13M

IPO: £22M

Normal revenues: £19M

TOTAL: £54M

Outgoings:

Staff Costs: £17.9M

Operational Costs: £13.3M

Cash in bank: £11M

Acquisition fees, legals fees, fundraising, Whyte Investigation: £2.0M

Inherited and terminated contracts: £1.7M

Other plant and equipment: £0.8M

Football debts: £2.7M

Edminston and Albion: £2.5M

WiFi and Screens: £1.8M

TOTAL: £53.7M

The last six outgoings I would call non-recurring and add up to £11.5M.

The report also mentioned (page 13) the acquistion of RFC 2012 plc at £6.7M which seems to have been part of expenditure. Would that go in operational costs? If so, costs will be a lot less next year.

Also, player acquisition and agent fees: £1.3M, staff costs or operational costs?

[bawsburst 1,381]

I see the mask has finally slipped on gersnet full attack mode now on Mather and the accounts in general led by the insidious fs and bumslinger, ED wasn't wrong there either, wee frankie will be over shortly to assure us of total impartiality.

[cushynumber 25,178]

I think a bonus freeze should be one of the first things on the cards and at the very least a percentage of it should be based on company profitability. For example where I work I am bonused 50% on personal achievement, 50% on company profitability. If the company doesn't make a decent profit in the year - I dont the get 50% company element.

This would negate the situation we have at the moment at rangers, in that massive bonuses are getting paid to staff on the"personal achievment" side, while the company cant really afford them.