POSTED: March 2nd 2010
NewsUpdate
Rummenigge says Euro clubs have cut deal with UEFA on debt mountain
KEIR RADNEDGE / Sports Features Communications
MANCHESTER, Mar 02: Europe’s top clubs believe they have reached a compromise with European federation UEFA over the introduction of the financial fair play regulations designed to control the debt mountain.
But debt constructions such as that ‘owned’ by Manchester United, currently standing at around £716m, do not count apparently which raises an element of doubt over all these good intentions.
The complexities of the proposed regulatory system were outlined by Karl-Heinz Rummenigge, chairman of the European Club Association, after a general meeting of 93 member clubs from 53 countries during the Soccerex European Forum.
Rummenigge, chief executive of Bayern Munich, said: “We have had a very fruitful and long dicussion about the financial fair play concept presented six months by UEFA and we had full support from all the clubs for the work done by the working group.
“We have had some trouble in the economic world but we have had some economic troubles in the football industry too so this is a good moment to intervene and I’m 100pc convinced it will help.”
Rummenigge – and ECA executive board member David Gill from Manchester United – indicated confidence that the proposed threshold for club accountability could be scrapped, that the conversion of debt into equity was acceptable and that the phasing-in time schedule could be effectively extended (from 2015 to 2018).
Positive trading
Gill, meanwhile, explained that United’s debt was irrelevant as long as the club was trading positively. He refused to comment on reports of a ‘Red Knight’ group considering raising funds to try to buy out the Glazer family.
Rummenigge said that earlier in the week he and UEFA president Michel Platini had had a very positive meeting with Richard Scudamore, chief executive of the Premier League. This was significant because the debt levels of English football have been a target of concern for Platini.
Rummenigge added: “This has been a good day for European club football. Lots of money comes into European and there is no reason the clubs cannot operate properly. We could not go as we have. I have had the feeling that we in the clubs have been spending more and more money and we are always being obliged to buy players, by the press and supporters. But where is the money?”
Finally, and ironically considering its debts, Rummenigge ended with a ringing endorsement of the Premier League.
He said: “I’m one of the biggest followers of the Premier League because every Sunday I watch one or two games and I recognise that the Premier League is No1 in the world. That won’t change because they are doing a good job here in England and that is good for football because we need clubs like Manchester United, like Chelsea, like Liverpool and like the ‘new’ Manchester City.”
Keywords · European Club Association · Rummenigge · Gill · Manchester United · UEFA · Scudamore
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