RFC finances - The Facts

[Harpers So Solid Crew]

When we asked questions about finance at the start of last season we were told that the club was going to keep everything in place as if we were a premiership club and so not even the parachute payments were enough to make a profit last season,

well, they didn't keep salaries in place "as if we were a premiership club" did they? Were we not told that the players all had a wage cut?

At least two, Doyle and Hunt got payrises to keep them here.

we were told players wages would fall, 40% was the figure mentioned at the time, however it does appear that Doyle and Hunt were both given new contracts on good terms, it could well be that after leaving they were in a position they would have been had we stayed as a prem club, ergo they might have got a loyalty fee from the fee we recieved for them, which might alos be why there is less money to actually spend at the mo thean we would like to think.

[Yellowcoat]

Trouble is was the 40% figure realistic and where did it come from? If only on HNA it may have had no credence at all.

[Dirk Gently]

Certainly, the wages at the start of least season were substantially higher than they were in the CCC winning season. So whilst they fell they didn't fall anywhere near as far as they'd started from.

[Harpers So Solid Crew]

Certainly, the wages at the start of least season were substantially higher than they were in the CCC winning season. So whilst they fell they didn't fall anywhere near as far as they'd started from.

Nor did the ticket prices fall back to the same level, or the income from the parachute payments.

[Sarah Star]

Trouble is was the 40% figure realistic and where did it come from? If only on HNA it may have had no credence at all.

It was mentioned here:

The entire playing and coaching staff at Reading have taken a 40% pay-cut following relegation and Coppell stated: "It is a fact of life that we will probably lose some players. Some will be excited if they are offered Premiership football.

"That's not saying anything detrimental about them, it's just the way it works.

"We have a lot of players who have significant drops in their wages. We have to accept that if an offer comes in it might be the right time."


http://www.readingchronicle.co.uk/articles/2/3287

though that doesn't mean it's necessarily true.

[Royal Rother]

Good digging though!

[ZacNaloen]

Didn't our wage bill increase by something like 150% whilst we were in the premiership?

I seem to recall that it more than doubled.

[Ian Royal]

I can't remember who we brought in and who we sold up to June 2008 tbf. I just seem to remember that our transfer dealings have always seemed to bring in more money than we've paid out.

LMFAO! What universe do you live in? It isn't the same one as Reading FC!

Very rough transfer ins and outs 2003 - 2008
03/04
In: Goater - £500k, Murray - £650k, Ingimarsson - £100k, Kitson - £150k (rising to £300k), Owusu £20k
Out: Butler - £150k, Murray - £650k, Henderson - £175k (rising a fair bit more)
Total: £1.42M

04/05
In: Convey - £815k,
Out: -
Total: £815k

05/06
In: Long - £40k, Doyle - 80k, Lita - £1m, Gunnarsson - £175k, Golbourne - £160k, Halls - £250k
Out: Hughes - £500k
Total: £1.205m

06/07
In: Seol - £1m, Sodje - £350k, Andersen - £100k, Bennett - £250k, Halford - £2.5m, Duberry - £800k
Out: -
Total: £5m

07/08 (up to June 08)
In: Bikey - £1m, Cisse - £675k, Fae - £2.5m, Matejovsky - £1.42m, Kebe - £550k, Rosenior - £1m
Out: Halford - £3m, Seol - £1m, Cox - £200k (rising a fair bit later [post June 08])
Total: £2.945m

Total net transfer spending between July 2003 & June 2008: £10.78m

[Ian Royal]

Trouble is was the 40% figure realistic and where did it come from? If only on HNA it may have had no credence at all.

It was mentioned here:

The entire playing and coaching staff at Reading have taken a 40% pay-cut following relegation and Coppell stated: "It is a fact of life that we will probably lose some players. Some will be excited if they are offered Premiership football.

"That's not saying anything detrimental about them, it's just the way it works.

"We have a lot of players who have significant drops in their wages. We have to accept that if an offer comes in it might be the right time."


http://www.readingchronicle.co.uk/articles/2/3287

though that doesn't mean it's necessarily true.

Important to not forget that a number of players, most notably SHunt and Doyle signed new deals which then will have reduced that reduction. If you get what I mean.

[Sarah Star]

All I know is Doyle signed a new contract at the beginning of November 2008 and Hunt at the beginning of February this year though I have no idea what wages that put them on. I haven't seen it reported anywhere myself.

[rabidbee]

It wouldn't surprise me if the wage reduction following relegation was actually because a promotion bonus wage clause was annulled by relegation. Therefore, players who signed new contracts following promotion would presumably have been keen to negotiate no clause that would have resulted in their pay being reduced if we were relegated. Whether or not that was the case, one assumes that Doyle and Hunt would have negotiated Premiership-level wages when they signed new deals, again making any relegation clause in previous contracts irrelevant.

All supposition, of course.

[Ian Royal]

Oh look, RL avoiding the thread so next time a finances one comes around she can claim ignorance of anyone answering her questions and post a load more inaccurate nonsense.

[Royal Lady]

Just oxf*rd right off Ian you condescending little shit.

I ask questions because I don't understand. I'm grateful for the more knowledgeable posters who answer them for me. I don't include you in that btw.

[Ian Royal]

Just oxf*rd right off Ian you condescending little shit.

I ask questions because I don't understand. I'm grateful for the more knowledgeable posters who answer them for me. I don't include you in that btw.

Wow, you've really got the arse at the moment haven't you.

So do you accept yet that we spend significantly more than we receive in transfer fees up to the currently published accounts?
Do you accept that the money hasn't just vanished yet?

Or do you need someone other than me to tell you, because I laughed at your ignorance? Perhaps you should think a little and do some of your own research before making such silly assumptions in future and you'll get a little less ridicule.

[Royal Lady]

There you go again, you just can't help yourself can you?

I was referring to the past 2 or 3 seasons but didn't make myself clear - I accept that - and for that I apologise. In recent years, I would have said that our transfer money in has been more than our transfer money out. Apparently, that's not the case. And it surprises me.

What doesn't surprise me, however, is that you, yet again, feel the need to patronise me.

[Harpers So Solid Crew]

The overall situation is that we borrowed against the assets we had, and have now sold on to pay back the overdraft.

Praise must go to JM for taking the chance last season to get back at the first attempt, sadly it failed and debts had to be cleared to get the club back on a level standing.

[Ian Royal]

There you go again, you just can't help yourself can you?

I was referring to the past 2 or 3 seasons but didn't make myself clear - I accept that - and for that I apologise. In recent years, I would have said that our transfer money in has been more than our transfer money out. Apparently, that's not the case. And it surprises me.

What doesn't surprise me, however, is that you, yet again, feel the need to patronise me.

I can't help it, you make it so easy.

[Royal Lady]

If it makes you feel like a man, knock yourself out mate.

[Thou Voice]

I can't help it, you make it so easy.

You my friend are a keyboard warrior of lowest quality and Thou Voice eats failing posters like you for breakfast, I laugh at your words you pompus excuse for a forum poster...

[RoyalBlue]

Interesting that the club said they were keeping things 'as in the Premiership' last season.

How do the people who were made redundant feel about that I wonder ?

I have to say from my experience there was a fair bit of tightening of the purse strings last season, a lot of it probably sensible rather than knee jerk. It was back office stuff and i think it would probably be more accurate to say they trried to keep the playing side geared up to Premiership standards.....

My god, I'm about to agree with him! Not only were there staff cuts but IIRC management and at least some of the players also took some pretty drastic pay cuts, lower bonuses etc. Added to that we sold a couple of players for decent money, in the process getting their high wages off the books, and also had some high earners leave when they were out of contract. So I guess to that extent I disagree with ST as we didn't even keep the playing side geared up to the same level.