Showing posts with label TV deal. Show all posts
Showing posts with label TV deal. Show all posts

Tuesday, 1 June 2010

UEFA’s Useless ‘Fair Play’ Rules Bad News for Fans

Last week, UEFA passed unanimously new “financial fair play regulations” that will come into force from the 2012 financial reporting period for all European clubs that wish to maintain a license to compete in European competitions.

At first glance – and it is only a glance, since UEFA will not be publishing details in full until an unspecified date in June – the regulations appear to be laudable. The main proposal is very simple – a club can only spend what it receives in income. Presumably, this was an effort to level the playing field in preventing clubs from “cheating” by stopping wealthy benefactors distorting competition. The main proposal is flexible in that the revenues to expenditures are assessed over three years and allows shortfalls of up to £38 million. Sanctions, as yet not detailed, will be liable to be applied from the 2013/2014 season.

However, according to a Guardian report on 28th May, these shortfalls can be met by club “sugar daddies” and that these subsidies will only gradually reduce until the 2019/2020 season. Again, no details exist about what happens after that period. In addition, the regulations allow Club owners to invest in “infrastructure projects” such as: stadiums; training facilities; and youth development – but only if they appear as equity and not as loans on the club’s balance sheet. Short fall subsidies will also have to be taken as equity and not loans.

RTG applauds the original intention, but as always once politicians and pseudo politicians get involved they mess it up. Yet again, the vested interests of a few have impacted what is essentially a set of compromises by UEFA. All they have really managed to do is to switch the on-field battles firmly into the board room. But by far the worst “compromise” is in allowing the carpet baggers like Glazer/Gillette/Hicks to be able to continue their debt-loading of clubs, enriching themselves at the expense of their clubs’ histories and supporters. Meanwhile, the sugar daddies will be able to continue their game ruinous inflation of transfer fees and salaries for the next two years, with some restrictions in future years.

What UEFA has also totally failed to address is the issue of fairness regarding TV deals, which form a significant part of revenue for major European clubs. How is it that, in Spain, Real Madrid and Barcelona are allowed to negotiate their own TV deals, earning in Real’s case over £100 million last year? Likewise in Italy, while in England the Premier League has a collective shared agreement. How long before a regulation struggling United, Chelsea or Manchester City start to agitate for similar agreements here?

UEFA say that the “fair play” rules will be regulated by a new UEFA body headed up by a former Belgian Prime Minister. They also acknowledge that it will have to put in place strict assessments to prevent financial cheating – over valued sponsorships being singled out as a potential area by UEFA’s own web site pronouncements.

RTG say that if the experienced regulatory bodies governing the world trading markets have allowed Goldman Sachs, Leahman Brothers, Bernie Madoff and a host of others to conduct their financial shenanigans – in some cases over decades, what hope have a non-legally binding set of football administrators in achieving fair play?

No, RTG has thought long and hard over what is good for the game and still believe that unless a formula, whereby supporters are put in the forefront of managing their clubs is devised, without debt and without recourse to wealthy individuals, football will bury itself in its own commercial abyss. There are supporter owned clubs and whilst not all models could be defined as ideal for the good of the game (Real Madrid for a start), better and cleverer minds surely exist to be able to meet the developing and future needs of football – as a sport. Not one that is a compromise on continuing the status quo: carpet baggers, dodgy deals and sugar daddies.

And on a final note, given that most clubs will need to boost their incomes to meet the new regulations, guess who will end up having to pay?


The Keeper


...he Shoots, He Fumbles, He's Scottish!

Accentuate the positive and eliminate the negative Bing Crosby sang. Clearly words that struck a chord with newly appointed England captain Rio Ferdinand before his first game in charge last week. And why not? When asked about the Wembley pitch he located the positive where nobody else had managed to do before him. By alluding to the fact that the players had no idea what the pitches would be like in South Africa, he assured the watching public that, should any of them turn out to be less than perfect, playing at Wembley would prove to be the perfect preparation. Any of you out there who thought that it was an appalling error of judgment on the part of the FA not to make the quality of the pitch the overriding objective in a national football stadium can eat your words. It seems it turns out to have been a masterstroke of genius to have produced something akin to playing football on a sheepskin rug on a newly polished floor on the off chance that it replicates the pitches in South Africa. Surely this has to be the 2010 version of Rio’s World Cup Wind Ups.

Still, nevertheless, it was good to see positive vibes coming from the head of the England team. Sadly, the previous incumbent, John Terry’s, reputation was done further harm this week by the news that yet another member of his family had fallen from grace. We’ve had his mum caught shoplifting, his dealing cocaine (again!) and JT himself playing away from home with Wayne Bridge’s girlfriend and asking for brown envelopes stuffed with cash to show people round the Chelsea training ground. The Keeper was not surprised, therefore, when he heard this week that JT’s brother Paul has been caught having an affair with one of his Rushden and Diamonds team mate’s missus. Wherever there is a scandal to be found, the Terry family will be around. The Keeper is just relieved that JT is not England skipper anymore as “lifting the World Cup” might mean something completely different in his world and we might never have seen it again.

The fallout from Lord Triesman’s departure continues with news that Ian Watmore’s departure came also because his plans for reforming the FA were not popular, in particular with the Premier League. When he presented his 20 point plan for reform to Richard Scudamore, he apparently described Richard Scudamore’s reaction to it as if he’d deposited a “bucket of sick” in the room. The Keeper can exclusively reveal that this had nothing to do with Watmore’s plans at all. In fact, the staff had been making far too much use of the freebies offered by FA official sponsors Carlsberg and MacDonalds!

RTG reported last week that Fabio Capello had a post World Cup get-out clause removed prior to Lord Triesman’s resignation. The Keeper has found that these reports were not true. This just illustrates succinctly the shambles that the FA is in. Just two weeks before England’s first game, Capello is still in doubt over his long term future as England coach

Following his Dutch success, ex-England manager Steve McClaren took over this week at the helm of Wolfsburg in the Bundesliga. He has proved himself to be the master of chameleon-like re-invention in adapting himself to suit his environment. He successfully transformed himself from the ‘Wally with the Brolly’ to Dutch ‘total football’ coach, complete with plausible ‘akshent’, to, pictured here at his first press conference, German autocrat in auto town. Congratulations Steve.



Monday, 10 May 2010

Owners or Administrators. Are Any of Them 'Fit and Proper'?

For those of us who include a study of the league tables as part of our Sunday morning ablutions, tracking the form of clubs has become rather more convoluted over the last few seasons by the need to refer constantly to one or more asterisks alongside various teams throughout the league tables.

Even those of us who like to think that they are football ‘savvy’ are left in some bewilderment – Crystal Palace minus 10 points, Southampton minus 10 points, Chester minus, don’t know they’ve disappeared, Luton minus 30 points, Leeds minus 10, then another minus 15, Portsmouth about to be deducted 9 points etc.

What’s striking about the deductions is their variability. Why the different deductions? They are all for basically the same thing. They overspent and, quite rightly, this is tantamount to cheating. But why the disparities? What exactly are the rules governing points deductions and why have they been applied with additional sanctions in some cases? Yes - RTG knows that additional rules have been broken in the method and circumstances of clubs facing administration – hence more points deducted – but you would need to be a forensic financial analyst to understand exactly what rule is being broken. Why will Portsmouth get a nine point reduction as opposed to the ten points for other Football League clubs?

All this does is illustrate that there is a paucity of clarity from the FA, Premiership and Football League. Equally so, it represents not just the bust phase of the football boom and bust show, but the total lack of leadership from those that govern football.


"We have to be careful we don't adopt Michel Platini's and the French view of debt, which is that it is bad. Debt is inevitable. You say debt is not healthy but debt, of course, to a degree is healthy. If we are not careful we'll end up where no one is allowed a holiday in France who has a mortgage in England."


Richard Scudamore, October 2008

So Richard Scudamore, like so many fat cats – sorry – corporate professionals – is happy to sit back and do almost nothing to pick up large six figure salaries and large six figure bonuses (pushing his salary well into seven figures) for doing basically nothing. He believes that football is a corporate dog eat dog world and that clubs that are mismanaged will be punished for their profligacy. For some reason, he doesn’t seem to realise that his organisation has an active role in ensuring clubs have the right management with the Premiership’s (alleged) ‘fit and proper’ tests. How is it then that these tests allowed four (or is it five?) different and clearly not fit owners to take over Portsmouth in a few months? Clearly the Premiership applies rules which are meaningless at best, bordering on criminal at worst.

On top of that, two of the world’s biggest clubs, Manchester United and Liverpool, have been allowed to mortgage their very existence to allow a handful of disinterested American ‘carpet baggers’ to enrich themselves at the expense of loyal supporters. It is in the ownership and continuing health of all clubs that Mr Scudamore should be judged.


"We have a cosmopolitan approach to players and a cosmopolitan approach to ownership and that is paying off."


Richard Scudamore, January 2007

His last re-signing of the Sky TV deals, a deal that merely continues a 20 year association with Sky at a slightly raised fee (which earned him a £250k - £500k bonus according to whichever report you believe) are the easy parts of his job. The hard parts are to have leadership in the areas which are causing supporters the most anguish: How to ensure a fair and exciting competition? How to prevent the carpet baggers? In reality, how do you ensure the future health of the game? It’s the easiest thing in the world to fly around in first class and sign deals which are just inflation adjusted contracts for the same things. In truth, clubs like Liverpool and Manchester United have done just as much, if not more, than Mr Scudamore in spreading the word to foreign fields.

Mr Scudamore, earn your millions by tackling the difficult issues!

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The Keeper
...he's got it covered!


We’re all trembling with anticipation and tension as the final stages of the season draw out to decide who will be crowned champions of “the most exciting league in the world”™. Entering the final stages, it was a three way race between the three clubs who have won 16 of the 17 “most competitive league in the world”™ titles. Entering the final weekend, it is a race involving the two clubs who have won the last 5 titles between themselves. How those Scottish fans must be envying us!

And if that’s not enough excitement for football fans, we’ve got the FIFA World Cup™ coming up in about six weeks time. It’s come around so quickly again – feels like a matter of months, rather than the four years since Germany’s 2006 tournament when we England fans were sweating over the fitness of several players, including the now obligatory metatarsal troubles, as well as the English media’s wildly optimistic expectations of an England win. Or was that 2002? Or 1998? Plus ca change, as they say on Groundhog day.

Talking of World Cups and South Africa 2010, recent reports following the death of apartheid advocate Eugene Terre’Blanche seem to suggest that the world cup will be played out during a civil war. In fact, the threat of violence is being used to explain poor ticket sales for the Greatest Sporting Event in the World™. Trust us it has absolutely nothing to do with airlines doubling/tripling flight prices, ditto hoteliers for rooms (if available at all) and ticket prices that make Wembley seats appear like a day out to watch your local pub team compete in the inter-brewery play-offs. FIFA don’t even have the comfort of over priced sales to corporate saps because of the global slowdown. Our hearts bleed!

But hurrah! It might just be wishful thinking on the part of certain areas of the media but talk is that Capello wants to take David Beckham along as a motivation to the rest of the selected England squad. That may just be the managerial stroke of genius that could propel England to the world title. After all, wouldn’t you be inspired by someone who gets paid five to 10 times as much as you do for playing intermittently for an English League 1 side and who acts as a Milanese seat warmer in between? Imagine all that invaluable experience of last 16/quarter final exits: the missed penalties, the jumping out of tackles, the petulant sending offs, the shirt sales. On the downside, the players might just be overawed by the presence of this high achiever. But hey – here’s another inspirational idea: why not complete the Hello! package by getting Mrs Beckham to come along as squad dietician. At least no-one will be puking before a match with nerves!

Those of you out there who desperately want to see England win something before you shuffle off this mortal coil—yes you who would dare to suggest that 11 players out on the pitch who are fit and possess the in-built belief that they can actually win something would be a better tactic to follow, can only hope, like us, that Capello really is the man to shake off the shackles of FA mismanagement and make the difference this year. Otherwise will we once again be contemplating the usual FA post-mortem in July that, no doubt, will sound something like the closing scene in the movie ‘Burn After Reading’ where the CIA superior is talking to his underling:


CIA Superior: What did we learn, Palmer?
CIA Officer: I don't know, sir.
CIA Superior: I don't fuckin' know either. I guess we learned not to do it again.
CIA Officer: Yes, sir.
CIA Superior: I'm fucked if I know what we did.
CIA Officer: Yes, sir, it's, uh, hard to say
CIA Superior: Jesus Fucking Christ.

Jesus Fucking Christ indeed!