See Wenger is shouting about our spending and disrespect for FFP

Perhaps he should read this

Example of how club wages might be written off to avoid failing Uefa FFP rules

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. . . which accompanies this piece.

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Season 2011-12: Club X loses £71m.

Season 2012-13: Club X loses £69m.

Club X is monitored for first Uefa FFP monitoring period, 2011-12 and 2012-13. All other things are equal and there is no claim that losses were down to youth and umpteen other get-outs. The losses are £71m and £69m.

‘My goodness,’ say Uefa. ‘You lost £140m in our first monitoring period, and the acceptable deviation is only €45m, or about £39m. How do you explain the other £101m?’

‘Well,’ says Club X. ‘You see that big annual wage bill over there, for 2011-12, of £160m. About £101m of that went on players like our rugged captain John Thomas and our dashing midfielder Frank Flash, who both signed their contracts before 1 June 2010.’

‘Aha,’ says Mr Uefa. ‘But are you moving in the right direction?’

‘Of course we are guv,’ say Club X. ‘Haven’t you noticed the way our losses are surging down from £71m to £69m?’

‘In which case,’ says Uefa. ‘You fulfill the criteria in the rule book here. Move along.’

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So to the next monitoring period (which is over three years).

Season 2011-12: Club X lost £71m.

Season 2012-13: Club X lost £69m.

Season 2013-14: Club X loses £41m.

Club X is monitored for second Uefa FFP monitoring period, 2011-12, 2012-13 and 2013-14. The cumulative losses are £71m + £69m + £41m = £181m.

Club X sends a representative to Nyon with a thick file about the great strides in its youth development programme, its community work, its green agenda and brilliant facilities for mums, toddlers and families. Amazingly, the extra set of kit at the academy, the ’sandwiches for schools’ initiative, the new greenhouse and the new creche have cost £41m. But quality does come dear.

‘My goodness,’ say Uefa. ‘You lost £181m in our second monitoring period, and allowing for the good work deductions, the acceptable deviation is still only €45m, or about £39m. How do you explain the other £101m?’

‘Well,’ says Club X. ‘You see that big annual wage bill over there, of £160m for 2011-12. About £101m of that went on players like our rugged captain John Thomas and our dashing midfielder Frank Flash, who both signed their contracts before 1 June 2010.’

‘Aha,’ says Mr Uefa. ‘But are you moving in the right direction?’

‘Of course we are guv,’ say Club X. ‘If our losses keep surging down like they have from £71m to £69m to £41m we’ll be making money soon!’

‘In which case,’ says Uefa. ‘You fulfill the criteria in the rule book here. Move along.’

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So to the next monitoring period (three years).

Season 2012-13: Club X lost £69m.

Season 2013-14: Club X loses £41m.

Season 2014-15: Club X loses £25m.

Club X is monitored for third Uefa FFP monitoring period, 2012-13, 2013-14 and 2014-15. The cumulative losses are £69m + £41m + £20 = £130m.

Club X can still write off ‘good works’ cash of £41m and will no doubt try to write off more.

But Club X can no longer write off anything on wages, because wages write-offs can only happen in the first two monitoring periods as in the rule book here.

And not only that, the acceptable deviation for the third monitoring period has fallen from €45m over three years to €30m over three years, or about £26m.

And the club has lost £89m.

And the club is in a lot of trouble.

Which shows that the wages write-off will only delay the headache for over-spenders, not negate the need to take action altogether.

Unless Uefa changes the rules before then.

Link

He`s such a bitter old pillock isnt he. He hates that everyone doesnt do what he and his venerable club do. Which is of course take young players from the club that have put years of effort into them only to see good old Arsene cherry pick the ones he wants, Like an old man picking the juiciest apples from an orchard, only to discard the ones that go off.

Could he be anymore jealous? I seriously can't stand Wenger he's been jealous of us for years ever since we took their title away from them. I think he believes we stole his teams chance of dominance (yeah like Man Utd wouldn't have strengthend had we not). He's obviously sh****g himself. He's a plum, the day he retires I will be very happy to see him go.

I think we all need to look at this seriously.....

It will make football manager a lot more complicated.

Arsen Whinger is a sour faced moaning cu*t. As said above he's just jealous.

Look I hate him too. And I think personally that it bothers him he isnt really building anything long terms at Arsenal other than stable finances. The reason they have been so good under him is ability to scout a player. Once he leaves, he isnt going to stay there for 20 years and continue to pick them gems.

But all that said, I hate to think he might actually be right about the spending. In fairness, he should mind his own business, but he has just said what I was thinking aka "How the hell is that gonna work?"

I read Tim's link, and I get that. It also makes a whole lot of sense why we would offer 5 and a half year deals for these new guys. I am not an economics minded guy, but I would like to know how there continues to be a consistent financial loss every year, despite cutting staff, cutting wages, and seemingly trimming the belt of the club everywhere.

The same link featured this: http://www.sportingintelligence.com/2011/01/31/chelsea-a-history-of-rib-tickling-excuses-and-risible-claims-over-consistently-losing-oodles-of-abramovichs-money/

Ignoring the patronizing title, it really does paint a picture doesnt it? How we are losing as much now, when the squad is much smaller and much older, than we were when Roman was letting Claudio and Jose buy players for fun is just mind boggling. What is going on behind the scenes?

Where is the positive progress, financially that has been promised now for ages? This club greatly expanded its marketing, its visibility, its trophy cabinet, and its profile in the world, but somehow none of that is starting to tell at all? A few years ago, we seemed to be on a course to be losing no money by now. By now, a club who are winning on every front and have some of the worlds best players should surely be pulling in enough money to at least put a dent in these losses.

And I strggled to understand being cash positive too. So the money coming into the club exceeded the money going out? Then what accounts for the 70m disparity?

Stadium size is a definite problem for money coming in.

For example, if we had 5000 extra seats and those home match day tickets are £50.... that's an extra £250,000 per match day.

Over a 19 games at home in the league thats £4.75 Million

if the seats are full

if the seats are full

And if they cost nothing to build.

Stadium size is a definite problem for money coming in.

For example, if we had 5000 extra seats and those home match day tickets are £50.... that's an extra £250,000 per match day.

Over a 19 games at home in the league thats £4.75 Million

Don't forget all the money from concessions, food, drinks, beer, and those big foam fingers

if the seats are full

Could he be anymore jealous? I seriously can't stand Wenger he's been jealous of us for years ever since we took their title away from them. I think he believes we stole his teams chance of dominance (yeah like Man Utd wouldn't have strengthend had we not). He's obviously sh****g himself. He's a plum, the day he retires I will be very happy to see him go.

Wenger is a jealous bar steward and I hate him more than any other manager with his continous moaning

about us. However I hope he stays with Arsenal for a very long time and remains as successful as he has

since Roman come on the scene.