Financial fair play

[Fulham Broadway 17,367]

I think Chris Kamara should be the head of UEFA. It would be amazing

In all serious, Vedran makes a very pertinent point. If we were to be excluded, you'd have to imagine United's debts, City's incredible expenditure, Barcelona's borrowed money and the €200 million Real Madrid spent last year would see those teams all relegated from the Champions League... and you'd probably have all Scottish, most German and all Spanish teams out of it, since they're all in ridiculous amounts of debt.

Who is Vedran ?

Anyway not worth worrying about -it wont be enforced on any of Europes 'elite'

[zolayes 14,489]

Who is Vedran ?

Anyway not worth worrying about -it wont be enforced on any of Europes 'elite'

except US :censored:

[Fulham Broadway 17,367]

except US :censored:

lol even us mate. Abramovich isnt beyond greasing a few palms. Allegedly.

[LDN Blue 7,903]

Jesus.

Chelsea's annual wage bill has soared to £172.5 million - almost £40 million more than the next highest payers Manchester City.

The figure for the year ending June 2010 is revealed in Chelsea's full annual accounts lodged with Companies House on Friday and shows a significant increase on the previous year.

In 2009, the club spent £165.6 million on wages but that sum included pay-offs worth £12.6 million to sacked manager Luiz Felipe Scolari and his assistants. Excluding the pay-offs, the rise in wages is £19.5 million and represents a 12.7% increase.

Manchester City's wage bill is £133.3 million, Manchester United's £131.7 million and Arsenal are fourth with £110 million spent annually on salaries, according to their most recent accounts.

Chelsea's wages are 82% of their turnover - more healthy than City's 106% - but way off United's level of 46% and Arsenal's of 49%.

The figures also confirm that Chelsea reported losses of £70.9 million compared to £44.4 million the previous year. The club indicated earlier this week that they believe they will halve their losses in the next financial year.

The latest accounts also reveal that Chelsea will be liable for £3.8 million extra in National Insurance contributions if HM Revenue and Customs succeeds in its legal case that image rights payments should be taxed as income.

If that is proved, the players themselves would be liable to pay any tax individually in relation to image rights.

[LDN Blue 7,903]

Prediction: 2010-11 Financial Statement

Chelsea will announce further losses this month when their financial results from the 2010-11 season are unveiled but are expected to reveal that they have taken a step towards meeting UEFA's stringent financial fair play rules.

Chelsea will have reduced the £70.9 million loss they made last season but the £75m signings last January of Fernando Torres and David Luiz will mean their goal of finally meeting a break-even figure will still be some way off.

With improved deals from Samsung and adidas now showing in their figures, as well as extra Champions League and Premier League TV money, Chelsea will at least meet UEFA’s core principle of reducing their losses over time.

They will, therefore, hope to avoid a ban from the Champions League, the ultimate sanction threatened by UEFA for clubs that do not comply with their fair play regulations.

Chelsea might even have been on course to meet UEFA’s requirements, which limit clubs to total losses of £37m this season and next season, had it not been for the Torres and Luiz transfers.

The club introduced major cutbacks 18 months ago, the highest profile being the departures of Michael Ballack, Joe Cole and Ricardo Carvalho, which eased pressure on the wage bill but which also included cutting players’ win bonuses.

The savings were negated when they signed Torres for £50m on wages thought to be £150,000 a week and Luiz for £25m.

Chelsea are still searching for a company to sponsor Stamford Bridge, which could bring in an extra £10m a year and would bring them closer to UEFA’s requirements. Potential sponsors are still in detailed talks about a possible 10-year deal.

http://www.dailymail.co.uk/sport/football/article-2083694/Chelsea-announce-money-losses.html

Bare in mind it's from DailyFail.

[We Hate Scouse 10,332]

I'm absolutely certain the club are very well prepared for this and we will be fine.

Would not surprise me at all if there are a lot of loopholes in the initial rulings.

[Peace. 4,352]

Bare in mind it's from DailyFail.

If the part you have highlited happen to be true, then it will be one more reason to be furious (to say the least) against the ex Looserpool icon...

[Kieran. 6,317]

If the part you have highlited happen to be true, then it will be one more reason to be furious (to say the least) against the ex Looserpool icon...

Not his fault our genius board had the audacity to spend 50m on him..

[Peace. 4,352]

Not his fault our genius board had the audacity to spend 50m on him..

Yes, but it's his fault if he can't repay us, if you know what I'm saying.

[Kostas 1,468]

No numbers. That's no prediction, that's pure guesswork.

I'm sure the geniuses at DailyMail are not even aware with the concept or amortization. If they were they'd realize that for 2011 Torres' impact on Chelsea's books won't be too far off Ancelotti's.

Seems to me like yet another excuse to blame Torres.

Edit: I'm pretty sure that we had another thread which dealt with the club's finances.

One thing regarding this year's results that I'm sure hasn't been mentioned here is how expenses will be reduced due to the almost certain drop in bonus payouts. Sure it may not represent a huge sum but considering how many players and staff participated in the double of 2010 I guess it'll be more than just a couple of millions.