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is this some of jjb cash


BasileBoliSoup
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i remember that only around £4m of the £18m payment was put in the profit / loss account! the rest was put aside for when it was needed. if we get the majority of these palyers (Naismith, McCulloch, Faubert, Beasley, Cuellar) do you think that this is where the money is coming from? it means we may be spending but not actually putting the club into more debt!! :pipegreen:

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From what I understand though, the JJB deal is coming in as season payments, rather than as one lump sum. I think it was £5M for 3 seasons then £3M to finish it off.

I might be wrong though, and your theory might stand.

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Rangers got an initial payment of £18 Million, with a minimum of £3 million per year for 10 years, so yes the funding of new players could have came from this.

News

--------------------------------------------------------------------------------

9 Mar 2006

DLA Piper advises JJB on Glasgow Rangers deal

Press Release

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Manchester – Stephen Wright, partner at DLA Piper Rudnick Gray Cary ("DLA Piper") has acted for JJB Sports PLC in a 10-year licence agreement with Glasgow Rangers FC.

The deal is worth a minimum of £48m. The Glasgow club will receive an initial payment of £18m in June, when it launches its new Umbro home kit. A guaranteed minimum annual royalty of £3m will be received by Rangers in each year of the licence.

DLA Piper has previously acted on a number of sponsorship and brand acquisition deals for JJB Sports plc, including in relation to Everton FC, Leicester City FC and Slazenger.

"We are delighted to have been able to support JJB Sports on this very significant deal," said Stephen Wright.

Tom Knight, JJB Sports CEO commented: "As a result of this agreement, JJB becomes the official retail partner to one of Europe’s most prominent football clubs. We have similar agreements in place with Everton and Wigan Athletic and such agreements provide exciting opportunities for us and underline our position as the UK’s leading sports retailer."

JJB Sports is the UK's leading sports retailer. Formed in 1971 to acquire a single sports store which had been established in Wigan during the early 1900's, the store portfolio grew to 120 stores in 1994, at which point the company was floated on the London Stock Exchange.

Rangers chairman David Murray said: "It will allow for the reduction of the club's debt and enable further investment to be made in the team." Murray, who had promised a major announcement once his side were out of the Champions League, said the club's facilities would also benefit.

Stephen Wright was assisted on the transaction by assistant solicitor Rob Sheldon.

http://www.dlapiper.com/global/media/detail.aspx?news=2077

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yup thats what i think as well but in the agm it said that only £3m - £4m was put in the profit / loss account. when i think about it this is a silly thread as how are any supporters supposed to know? it was just a that came to me!! :bouncy:

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yup thats what i think as well but in the agm it said that only £3m - £4m was put in the profit / loss account. when i think about it this is a silly thread as how are any supporters supposed to know? it was just a that came to me!! :bouncy:

Not silly at all mate, if the players we are linked with, and have to pay for, do come to Rangers then we have all been wondering where the money is coming from.

I think the funds put into the profit/loss was just the part of the deal to ease Rangers debt.

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The players we are being linked with have come as a huge surprise! so that would leave around £14m of which some may have again been released to the p/l account so theres a possibilty this is where the money is coming from. We still have not signed any of them yet though so wel need to wait and see. :bouncy:

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

Good point, I think we would only get approx £10 million if we're the only Scottish team left in the CL??? :unsure:

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

I don't know the ins-and-outs mate, but you would think that with Gate Reciepts and TV Revenue we would easily fork in £10m.

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

I don't know the ins-and-outs mate, but you would think that with Gate Reciepts and TV Revenue we would easily fork in £10m.

Oh yeah, never thought about that, but I thought the question was purely on the prize money given to teams who are in the CL.

Hell I haven't got a bloody clue about it! :pipegreen:

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

I don't know the ins-and-outs mate, but you would think that with Gate Reciepts and TV Revenue we would easily fork in £10m.

Oh yeah, never thought about that, but I thought the question was purely on the prize money given to teams who are in the CL.

Hell I haven't got a bloody clue about it! :pipegreen:

I've not got a clue about it either mate, but we should make a tidy profit if we qualify.

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

I don't know the ins-and-outs mate, but you would think that with Gate Reciepts and TV Revenue we would easily fork in £10m.

Oh yeah, never thought about that, but I thought the question was purely on the prize money given to teams who are in the CL.

Hell I haven't got a bloody clue about it! :pipegreen:

I've not got a clue about it either mate, but we should make a tidy profit if we qualify.

I can just remember the season we got into the CL and Celtic never (And vice versa recently).

If both get in then TV money (along with other monies) is split between the two clubs. If only one get in, they get the whole pot set aside for Scottish clubs.

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

I don't know the ins-and-outs mate, but you would think that with Gate Reciepts and TV Revenue we would easily fork in £10m.

Oh yeah, never thought about that, but I thought the question was purely on the prize money given to teams who are in the CL.

Hell I haven't got a bloody clue about it! :pipegreen:

I've not got a clue about it either mate, but we should make a tidy profit if we qualify.

I can just remember the season we got into the CL and Celtic never (And vice versa recently).

If both get in then TV money (along with other monies) is split between the two clubs. If only one get in, they get the whole pot set aside for Scottish clubs.

Thanks for clearing that up.

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I would have assumed that if we do spend the £10m, it would be a gamble assuming we reach the Champions League Group Stages, where we would get the £10m back.

Do we even get that back, assuming both Scottish clubs make it?

I don't know the ins-and-outs mate, but you would think that with Gate Reciepts and TV Revenue we would easily fork in £10m.

Oh yeah, never thought about that, but I thought the question was purely on the prize money given to teams who are in the CL.

Hell I haven't got a bloody clue about it! :pipegreen:

I've not got a clue about it either mate, but we should make a tidy profit if we qualify.

I can just remember the season we got into the CL and Celtic never (And vice versa recently).

If both get in then TV money (along with other monies) is split between the two clubs. If only one get in, they get the whole pot set aside for Scottish clubs.

Cheers for that mate.

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Im sure they were saying a couple of seasons ago if both clubs got into the CL it would be 8 million each, i could be wrong though

Aye, they were probably taking the TV revenue into account Davie.

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i remember that only around £4m of the £18m payment was put in the profit / loss account! the rest was put aside for when it was needed. if we get the majority of these palyers (Naismith, McCulloch, Faubert, Beasley, Cuellar) do you think that this is where the money is coming from? it means we may be spending but not actually putting the club into more debt!! :pipegreen:

A Profit/Loss Account is NOT an actual BANK ACCOUNT! Money does NOT get set aside once it's received for "hobbies" or wee things "the chairman fancies". I'll happily explain this to you by PM if you wish but i dont want to appear patronising so im not goint to post it here.

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Sorry I missed this thread but I was golfing yesterday so didn't get a chance to get online for very long.

The JJB deal is reasonably simple: We were paid £18million up front along with a minimum £3million per season depending on retail performance. Last year's accounts had £3.5million released to them from the initial payment which leaves £14.5million to be used over the course of the 10 year agreement. Rangers may use the bulk of that now or via separate smaller sums.

Obviously our retail performance is also important. That's why we're releasing 3 new strips again this season so ensure JJB make as much money as possible. This could raise the annual payment to around £5million.

The deal is very hard to judge at this moment in time. Financially it makes reasonable sense as strips are getting cheaper thus making it hard for any club's retail to make a substantial profit each season. However, our retail department was performing well (before Nick Peel left in any case) and there have been frequent suggestions JJB haven't been doing a great deal to maximise our exposure out with Scotland.

We'll know more over the next few years.

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