Wednesday, December 23, 2009

After the Power Plays . . .

After facing the prospect of administration and a 10 point deduction due to £5 million loan due on demand, the club has permanently solved that problem by taking on a £5 million loan due on demand FROM SOMEONE ELSE. Boy, lesson learned.

Oh yeah, and we're going to secure that one with a mortgage on the grounds as well.

So I guess we fixed the operation shortfall. Well no, that's still £5 million in the hole even with the pre-sales from the Elton John concert. The solution? If the club can talk investors into this money pit, they hope to raise £7.5 in convertible debt. Good luck. At least it will be permanent capital.

Until the cash runs out again.

For an interesting look at Watford's finances, see Football Finances.

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