Just wanted to clear up something
TF went on about Compass owning the catering rights and having paid 4m for them
THE ACTUAL SITUATION IS
ACL own 77% of a company called IEC Experience Limited which operates the stadium for ACL. ACL sold the other 23% to Compass for 4m.
So ACL because it owns more than 75% of IEC is deemed to control that company and its operations. Yes ACL would talk to its fellow shareholder about a change in operations (say to let CCFC have a share of the income, declare the sales as CCFC 's but be reinvoiced etc) but ACL has outright control and could sanction a deal.
The FFP figure btw was not going to be 100k it was going to be somewhere over £800k which would be the F& B turnover on match days. CCFC would take a commission/profit of £100k on the deal, all costs of supply being met by IEC
just as an aside the lease provides the club with 900 car park spaces and a potential income of £207k
well since you asked ............
The £4m that IEC received from Compass was used to buy a 15year licence from ACl its parent company. That 4m was is then being spent on upgrading the conference and hotel facilities at the Ricoh.
The trade that was previously in ACL (exhibitions, conferences, catering, stadium facility management etc now sits in IEC)
So they were left as a group with Net total Assets, net current assets, no auditors comment about going concernn and it would seem paying their bills as they fall due .............. so passed the test for solvency ...................
Just wanted to clear up something
TF went on about Compass owning the catering rights and having paid 4m for them
THE ACTUAL SITUATION IS
ACL own 77% of a company called IEC Experience Limited which operates the stadium for ACL. ACL sold the other 23% to Compass for 4m.
So ACL because it owns more than 75% of IEC is deemed to control that company and its operations. Yes ACL would talk to its fellow shareholder about a change in operations (say to let CCFC have a share of the income, declare the sales as CCFC 's but be reinvoiced etc) but ACL has outright control and could sanction a deal.
The FFP figure btw was not going to be 100k it was going to be somewhere over £800k which would be the F& B turnover on match days. CCFC would take a commission/profit of £100k on the deal, all costs of supply being met by IEC
just as an aside the lease provides the club with 900 car park spaces and a potential income of £207k
I sometimes wonder where you are coming from ob.
The phrase "spent on upgrading the conference and hotel facilities at the Ricoh." I seem to remember is one PWKH used when saying where all ACL profits went.
It's one that I think is a bit of a smokescreen, saying you have spent the profits does not mean you have made any or not benefited from them!
I had noticed the creation of IEC and it seems to me its effect is to further tie up the F&B revenues and put them further out of reach of whoever owns CCFC.
Do you see it as beneficial to CCFC?
imp:
Just wanted to clear up something
The FFP figure btw was not going to be 100k it was going to be somewhere over £800k which would be the F& B turnover on match days. CCFC would take a commission/profit of £100k on the deal, all costs of supply being met by IEC
just as an aside the lease provides the club with 900 car park spaces and a potential income of £207k
So in other words, for the books we can say F&B delivers SALES of 800 k, but we actually receive 100k?
Still a lot more than we get at the moment and Fisher still turned it down.Thanks, Sales of 800k does not sound a lot. Especially as Fisher stated Charlton bought in 1.8 million in sales....
You'd hope with a partner of a large law firm on the old board they were getting decent legal advice!A question for oldskyblue58.
Fisher made a big case last night for the mess the accounts were in when SISU took over. I know you don't have access to the details, but how much of this would have been evident at the time of the takeover if a thorough audit had been conducted? Or is this further evidence (to go with the lack of legal advice over existing contracts) that SISU skimped on and rushed and botched the whole takeover.
A question for oldskyblue58.
Fisher made a big case last night for the mess the accounts were in when SISU took over. I know you don't have access to the details, but how much of this would have been evident at the time of the takeover if a thorough audit had been conducted? Or is this further evidence (to go with the lack of legal advice over existing contracts) that SISU skimped on and rushed and botched the whole takeover.
What you mean like being able to buy out ACL's shares in IEC and owning the income streams by one simple transaction................that kind of further away thing?
Well to be able to spend profits then kind of implies you had the cash in the first place doesnt it
The information is direct from the filed published accounts
Thanks, Sales of 800k does not sound a lot. Especially as Fisher stated Charlton bought in 1.8 million in sales....
So in other words, for the books we can say F&B delivers a profit of 800 k, but we actually receive 100k?
Thought PWKH used it, I think I might have picked it up and used it a few times. Although having said that I'm considered to be PWKH by at least one person on here.Is the phrase "spent on upgrading the conference and hotel facilities at the Ricoh." in the accounts?
If it is, missed it!
imp:
Thought PWKH used it, I think I might have picked it up and used it a few times. Although having said that I'm considered to be PWKH by at least one person on here.
£1.8 million with our gates for say 30 matches (assuming a good cup run)?We don't receive any of it. The point TF was trying to express. Which is not contradicted by what OSB has said, is that only £100,000 was offered and was not worth pursuing!
He would have expected to be able to realise a profit of 40% on a possible turnover of £1.8 which would be £720,000 income, which would boost our playing budget under FFP by £432k, this would be an increase of 21% on our projected salary cap of £2m next year, and would make a noticeable difference!
Sadly this is not available to even ask for under the current ACL/CCC regime.
imp:
I'm told that I also work for the council, so therefore I should be getting a hell of a lot more money into my bank account each month than I am.Yes OSB used it, I picked him up on it, I was wondering!....
imp:
Proper due diligence should have identified it. Starting point for every audit or due diligence is know your client. You can not plan your work unless you do that. Didnt TF say BDO carried out the due diligence ? So you might expect it to be reasonably thorough or to at least understand who the subject was and what each component did
Yes, there was a tight deadline, not sure of the exact date.Thanks. I don't remember TF saying that about BDO and due diligence, but if they did act for SISU, I presume they would have offered different levels of service e.g. a factual account of trading position showing income, expenses etc.; or a more in-depth review of contractual liabilities, potential liabilities etc.
Whatever, it does appear that SISUs determination to do the deal quickly has caused many of the current problems. I seem to remember that the deal had to be completed by the end of the year, 2007, or it would be off. Anyone else remember that ultimatum?
Yes OSB used it, I picked him up on it, I was wondering!....
imp:
We don't receive any of it. The point TF was trying to express. Which is not contradicted by what OSB has said, is that only £100,000 was offered and was not worth pursuing!
He would have expected to be able to realise a profit of 40% on a possible turnover of £1.8 which would be £720,000 income, which would boost our playing budget under FFP by £432k, this would be an increase of 21% on our projected salary cap of £2m next year, and would make a noticeable difference!
Sadly this is not available to even ask for under the current ACL/CCC regime.
imp:
note 15 ACL accounts to 31/05/12
We don't receive any of it. The point TF was trying to express. Which is not contradicted by what OSB has said, is that only £100,000 was offered and was not worth pursuing!
He would have expected to be able to realise a profit of 40% on a possible turnover of £1.8 which would be £720,000 income, which would boost our playing budget under FFP by £432k, this would be an increase of 21% on our projected salary cap of £2m next year, and would make a noticeable difference!
Sadly this is not available to even ask for under the current ACL/CCC regime.
imp:
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