|    FM Home   |    FM News   |    FM Forum   |    FM Blog   |   
Friday 29th of January 2010
January 27, 2010    

Crystal Palace FC in administration

Bookmark and Share

by Kay Murchie

Championship side Crystal Palace has gone into administration as a result of financial difficulties.

In November, cash flow problems were highlighted after players were paid late on several occasions.

The news comes just a month after Watford Football Club saw its shares suspended after its parent company, Watford Leisure, was on the verge of administration.

Watford Leisure recently announced it would run out of cash before Christmas if it did not secure further funding.

However, Watford was saved from the threat of administration after majority shareholder Lord Ashcroft agreed to pay former chairman Jimmy Russo more than £4 million.

As a result, the future of the Watford FC is secure until the end of the season.

Returning to Selhurst Park, home of Crystal Palace Football Club, administrators have been appointed to save the club and restructure its finances while seeking buyers.

According to reports, Crystal Palace has a mountain of debt totalling £30 million and is due in court today to face a winding-up order from HM Revenue and Customs.

As a result of the administration, a 10-point penalty will be automatically applied which will see the club fall from ninth in the second tier to two places above the drop zone.

Administrators Brendon Guilfoyle, Chris White and John Russell of the P & A Partnership said its job is to secure a buyer and “provide certainty for the employees, players and fans for the future.”

However, club manager Neil Warnock said: “The supporters can rest assured that me and the players will fight every inch of the way.”

Discuss this in the Finance Markets forums

Story link: Crystal Palace FC in administration

Related financial stories to: Crystal Palace FC in administration:
Previous: « WH Smith posts 4% fall in Christmas sales
Next: Cadbury workers stage protest over jobs threat »

Visited 1999 times, 151 so far today

No Comments »

No comments yet.

RSS feed for comments on this post.

Leave a comment

Tags: , , , , , , , ,