Gersnet Analysis: David Murray ââ?¬â?? His Last Performance?

[Davy 0]

Well put Frankie..I keep saying we can only get better not worse...or can we??

[Stefanovitch 0]

A very good read and I find myself agreeing with everything you say. Especially about donating 10% to the RST.

 

Murray has to go and the sooner the better. The least we deserve is to be told what his intentions are. He's becoming the Doug Ellis of our club and I reckon it will take some kind of protest to get our feelings over to him.

[Guest Bertent]

Well put Frankie..I keep saying we can only get better not worse...or can we??

 

 

Sadly that has not been the case, stationary is how we are at best.

[Trailio 0]

Well written Frankie. Excellent point about DM investing 1.5% of his total worth (the same as you or I invest each each year) doesn't seem much when you think about it.

[calscot 0]

But when has DM acually invested anything in Rangers that he can't get back out again?

 

Every transfer budget we've previously had has come from turnover or some kind of loan. It's never been DM's own money. The only money he has invested personally is in return for shares.

 

Besides, even if he gave us 10M to spend, how much of it could we spend on players transfer fees and how much on wages?

 

Vennegoor of Hesselink will cost a combined 10M so that gives the money for one good player...

[Frankie 8,552]

Well, Klos leaves at the end of the season and so will Ricksen with a bit of luck.

 

That frees up nearly £60K per week in wages right away.

[calscot 0]

You're right except Zenit pay some, and probably most of Ricksen's wages already. But I'm sure there will be others leaving which will free up more wages. Hopefully we'll get a million or so for Ricksen as well.

 

So say we have 90 grand freed on wages, the question is, should we go for three players on 30 grand a week or 6 players on 15 grand a week (presuming they are worth it)?

 

At the moment I'd rather go for the former but you'd have to expect to pay at least 3M for these kind of players if not more.

 

I think we are lacking the three or four star players that most teams usually have and the one superstar like Villa Real and Requelme. Even Celtic have Venegoor and Graveson as well as three or four stand outs and who can forget what a contribution Larsson made? These are the players who turn around games and lift the rest of the team. Their presence is so great that the team plays better even when the stars are injured.

 

Barry used to be one of those players but not even close any more, Klos was too and probably still is but we don't use him, Chris Burke is another but he's still learning and usually injured.

 

I would say the rest are actually reasonably good players but nothing really special.

 

I think the likes of Sebo, Buffel, Novo, Boyd and Sionko would probably thrive with a few classier players around them like Laudrup, Gascoigne, pre-injury Durrant, Albertz, Numan, pre-injury Mols, De Boer, Hateley and of course Goram. Stevie Smith would improve with a proper dominant centre half like Gough or Butcher and a classy left winger like Van Bronkhurst.

 

Players like Reyna, Ian Ferguson, Robertson, Brown, Munro, Moore, Johanson Amato and Rod Wallace looked like excellent players when put in teams with the above and of course Barry looked almost world class.

 

I think Murray is getting a bit anal about the debt and as Craig says, all companies run more efficiently with a managable amount of debt - called gearing. If the debt is funding the generation of more income than the interest then you should use it.

 

This is one of those times. We need to invest now to reap the benefits of the CL and of course the income that comes from being champions.

 

Murray has badly managed the club and burnt his fingers, now he's managing it badly in the opposite way. He needs to go a middling route.

 

And in the end I certainly don't think he'll to put a penny of his own money in free gratis...

[craig 5,199]

That is still only 3 mill a year Frankie - it helps, but we need an awful lot more than that.

 

I know you feel the same way, just pointing out that Klos and Ricksen leaving is a drop in the ocean.

 

I like our club being close to debt-free but I still believe that any decent business shiould have some form of financial gearing (there should be SOME debt - my company for instance have a lot of debt on the books BUT we actually obtain better returns from the financial markets than we pay for the debt - so our debt actually generates revenue for us).

 

Also... I keep hearing that DM is trying to get Rangers debt-free to make it more attractive to any potential buyer - whilst I know that this is likely what is happening MANY business acquisitions have numerous caveats in them and numerous conditions - it is actually very commonplace for a business to be sold lock, stock and barrel EXCEPT FOR loans or other liabilities.

 

So there is nothing to stop DM creating more debt for Rangers by allowing funds for transfers and then when he sells up the ownership passes to the new owner whilst DM, or MIM, retain the debt that he has built.

 

The net effect to the new owners would be ZERO (other than the perception that having debt on the books leaves - but if DM retains "ownership" of the debts then it has no impact on the potential buyer).

 

I happen to believe, personal opinion only, that by not investing decent money into the playing squad (especially having a manager that I believe given the right tools can create much success) that he is hindering his chances of obtaining his asking price - we are sliding further and further competitively on AND off the park to our East End neighbours and I think DM will, without investment in this team and club, see his asking price fall even further than it is now.

 

Sometimes you have to speculate to accumulate - if DM had us closer to Celtic and challenging he may actually see his asking price increase - but I doubt that is a risk he is prepared to take, which is a shame given his vast array of personal wealth - I think 20 million would be a huge shot in the arm for our club and yet is is a drop in the ocean to his own wealth (and in actual fact if he liquidated his assets and had 650 mill in cash the interest rate he would need to make 20 mill a year would only be just over 3% - in Bermuda you can get savings rates of 6% just now - and for 650 mill you could get a whole lot more - so he could provide a shot in the arm for this club without touching his own capital).

 

Sadly, not going to happen !