Annual Accounts

[True_Ger_1872 2]

Yes but the auditors also need to consider the going concern issue up to the point of signing off the accounts. So whilst the financials are only through June 30th, Deloitte have considered going concern till almost end of September !!

 

Which is a real worry as there was great relucantce in issuing these accounts from what it seems!! They were always going to be this bad and i can only imagine the types of talks between Rangers and Deloitte in trying to sign off the going concern.

[forlanssister 3,114]

Yes but the auditors also need to consider the going concern issue up to the point of signing off the accounts. So whilst the financials are only through June 30th, Deloitte have considered going concern till almost end of September !!

 

September 2013?

[TheTinMan99 0]

We seem to be really small fry these days.

 

One wonders if our potential would increase somewhat if we ditch our controversial baggage...

 

I think Daly has a 2 year contract.

[craig 5,199]

September 2013?

 

I wasn't clear.... They would have been considering going concern for 12 months after balance sheet date but using information available to them up until the point they signed off the financials, which was September 2013.

[ian1964 10,761]

http://www.scribd.com/doc/172380995/Nomads-2

 

 

http://imgur.com/iXFQNeW

[forlanssister 3,114]

http://www.scribd.com/doc/172380995/Nomads-2'>http://www.scribd.com/doc/172380995/Nomads-2

 

 

http://imgur.com/iXFQNeW

 

The Scott Murdoch email is a red herring.

 

http://www.scribd.com/doc/172380378/Nomads-1 should be read first to get the context of http://www.scribd.com/doc/172380995/Nomads-2

[forlanssister 3,114]

I wasn't clear.... They would have been considering going concern for 12 months after balance sheet date but using information available to them up until the point they signed off the financials, which was September 2013.

 

Pardon my ignorance does that mean Deliotte view us as a going concern till 2014?

[crucible 0]

They disagree but it doesn't mean it can't happen....

 

Like world war three or bankers getting the jail.

[ian1964 10,761]

Lifted from FF:

 

 

For anyone who doubted the assertion that Charles Green was working in the best interest of the club.

 

Page 36 of the Accounts, relating to the acquisition of the club and RFC2012 assets from D+P states the following

 

Valuation of assets at the time of purchase £27.215m

Valuation of assets now: £20.465m

 

The £6.75m difference was used to cover the acqusition costs

 

 

£5.5m cash to D+P

£1.25m cash in "preacquisition costs".

 

Reading the CVA/purchase proposal dated 29th May only "preacquisition costs" referred to is the £200k exclusivity payment to D+P.

 

That still leaves £1m + change. Legal fees and due diligence surely could not amount to that much.

 

This £6.7m cash used to purchase the club is straight from the proceeds of the IPO.

 

The IPO prospectus (page 31) stated the funds raised would be used as follows

 

 

Quote:

6. Use of proceeds and effects of the proceeds

 

#The Company plans to use the money raised from the Placing to improve the infrastructure of the Club.

In particular, the Directors have identified:

 

•upgrades to Ibrox Stadium (approximately £5.5 million);

•acquisition and development of land assets adjacent to the stadium (approximately £4.5 million);

•other identified projects which could result in additional revenue generating activities (approximately £3.0 million); and

•general working capital purposes.

 

In addition, should the Company receive funds from the Offer, the Directors have identified other potential investments that would go beyond the scope of the Group’s strategy in the next 12 months, but which could further enhance revenue opportunities.

 

In particular, the Directors have identified:

• further upgrades to Ibrox Stadium (approximately £3.5 million); and

• other identified projects which could result in additional review generating activities (approximately £2.0 million).

 

Additionally, cash could also be used to provide the Directors with additional flexibility to opportunistically consider appropriate investment opportunities as and when they arise.

No mention anywhere in that prospectus of using a single penny of IPO cash to fund the purchase of the club.

 

I think we all knew that the club would be purchased by Green and the money used to do so repaid as a loan. I don't think any of us could reasonably have expected this loan to be paid back in one lump sum and certainly not with IPO cash.

 

If Admin II, God forbid, becomes a reality there must be serious questions asked of why the board (still almost entirely Green's cronies) allowed £6.7m of our cash has taken out of the business so quickly.

 

There is not much that can be done just now. But in the mean time I would call on all the supporters groups to recognise these anomolies and demand that the board itemise and evidence the "Preacquisition costs" by the tine the AGM is held, so that we can end any speculation of corruption (ie backhanders to D&P).

[bossy 0]

In relation to a possible 'going concern' qualification, it appears that we have enough cash in the bank plus further revenue from season ticket sales and other receipts to make it through the next year. My quick guesstimate is £11 million cash in bank, plus £4.5 million gate receipts gives us around £15.5 million. Add in a few million from other sources and we probably have somewhere in the region of £18-£20 million which is enough to get us through the year.

 

But it is also quite clear that our costs are higher than our ordinary revenue sources. So we are going to have to increase revenue significantly and decrease costs if we are to make it through subsequent years.