Malcolm Murray has jumped to the defence of Charles Green and a highly critical article in the respected US-based Forbes magazine.
Jon Pritchett, an adviser to former Rangers saviour and trucking magnate Bill Miller, explains why they walked away from a deal for the club and gave some details on the unsustainable business plan that he believes Charles Green is pursuing.
Pritchett believes that Green is leading the club towards a second administration as the Sevco chief delivers sugar-coated soundbites aimed at getting supporters onboard for a share issue.
“If Charles Green is not willing to face the fans, explain the economics and risk the torrent of abuse that will follow in the short term, then Rangers will find themselves shortly back in the same place,” Pritchett concluded.
Ignoring the detail of the report the rarely heard Murray was quickly summoned to defend Green.
“The last time Mr Pritchett had sight of any financial information about Rangers was many months ago and, as a result, his article in Forbes Magazine is ill-informed, misleading and scaremongering.
“There is no risk of the club going into administration and any suggestion otherwise is scandalous and appears written to attract headlines.
“Projections Mr Pritchett had sight of have not been relevant since May and from the day I became chairman, I have been committed to ensuring this club lives within its means and never comes to the brink of collapse.
“We have already secured significant investment in the club from the individuals and organisations who are part of our consortium and the successful IPO (initial public offering) later this month will generate many ?millions in additional revenue.”
While Green has made great play of selling 36,000 season tickets in revenue terms they have brought in just over half the money that 40,000 full priced season tickets did in previous seasons.
Murray claimed: “In addition to the 36,000 season ticket holders so far this season, the attendances at our home matches have surpassed many of the top clubs in England and Europe. We have a clear plan to rebuild this great club and believe that with solid business practices and the ongoing tremendous support from the fans, this will be achieved.”
The mysterious plans of Green and Murray cut little ice with Pritchett who reveals in detail the attitude that led to this weeks winding up order with 70% of employees transferred over to the newco on the same terms and conditions.
Pritchett explained: “It may be unpopular and an affront to the personal sensibilities of some, but Rangers needs to learn to live within its means. It’s time to cut the fat from every department and rebuild an organization that values every pound and demands a return on any and all expenses.
“The club can’t afford to pay its manager over £1MM and then give every coach and executive premium health-care, generous pensions, six weeks of vacation, exotic cars, free fuel, appearance fees and other perks. The club can’t afford to provide 45 employees with free cars. The club can’t afford to pay directors annual fees to simply attend matches, socialize and run up a large food and beverage tab.
“Rangers continued to rearrange the deck chairs on the Titanic. Clearly, Rangers believed their Titanic was incapable of sinking – simply too big to fail. Failing to acknowledge the global shifts and winds of change, Rangers continued to pay more than they could afford to players, managers and executives (£26MM towards wages on £35MM of revenue). Employee benefits and perks continued to grow
“This aggressive use of EBT’s came crashing down like a house of cards when the UK’s equivalent of the IRS (Her Majesty’s Revenue and Customs) came knocking seeking over £75 million worth of unpaid taxes and penalties.
He added: “Revenues were in a free fall. The most important revenue stream to Rangers, season tickets, was projected to be down by 20%. The club expected to lose nearly £10MM in 2012/13. Cash-flow from sponsorships was minimal and the administrators had already pulled out the cash from player wages, kit sponsorship and future payments due the club from the sale of several players.
Pritchett concluded: “This will not be easy and the new owner of Rangers, Charles Green, must be prepared to say “no” to people and processes that exist today.
“The right leader will be comfortable being unpopular. Any new owner who is unwilling to stand up to what will be a powerful hue and cry from Rangers fans and supporters is not going to be successful.
“Rangers, like an undisciplined child, needs tough love. Rangers needs a strong hand now. There will be plenty of time for love and respect when the child grows into a mature and responsible adult.”
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ITS JUST NAW FAIR THAT EVEN PROFESSIONAL EDUCATED PEOPLE IN AMERICAN ARE AGAINST SEVCO, DO THEY NOT REALIZE THAT PRINTING SUCH WELL WRITTEN TRUTHFULL FACTS ABOUT OLD RANGERS AND SEVCO ARE BANISHED IN SCOTLAND, ITS VERY DETRIMENTAL TO THE WHOLE SMOKE AND MIRROWS SHENANIGANS HAPPENING DOWN GOVAN WAY, HOW DO EXPECT ALL THEM ZOMBIES TAE PAY AN ARM AND A LEG FOR A SHARE OV SEVCO WHEN YOU KEEP BOMBARDING THEM WITH TRUE FACTS.. SHAME ON THEM WELL INFORMED BUSINESSMEN IN AMERICA.. OCCASIONAL ADMINISTRATION, PERMANENT LIQUIDATION. HAIL HAIL
Still got their heads buried in the sand.
Wonder if they´ll see the end of the season.
HH
Dejavu. The scum are the only people that cant see they wont make it until the end of season. No shock there though.
Fat Sally was only upset at the part about cutting away the fat from every department!
Am sure we heard similar things before they went down the last time , they couldn’t afford to be a premier league when they were in it so am sure they can’t afford to be one in the 3rd division they just won’t learn. All good stuff hail hail
I’m sure it is only the Holding Company that is in big trouble AGAIN…..I can see the old broom getting renewed again but still the same LOL.
Wonder if they find it as easy to get a licence this time around ?
I hate to say this but i do believe they will survive a few years yet.
They are currently working out new, more able to hide corruptions that will see them through until Green can sell and run.
Liquidation one has been so much fun.
Just think how much liquidation two will be.
Will fans of Sevco ever learn.
Having a party when Sevco die.
That Forbes article is a pile of pish and is not credible.
The author talks about Sevco owning 140 years of history.
After seeing that I stopped reading.
Who will play Buffy when the undead get dispatched this time?
“Rangers, like an undisciplined child, needs tough love. Rangers needs a strong hand now. There will be plenty of time for love and respect when the child grows into a mature and responsible adult.”
Thought the above was particularly funny! LOL!
More jelly and ice cream when (The) Rankers FC go pop! Yippeeeeee
The ultimate ‘Demolition Derby’ will all end in tears and another train wreck of a football club.
The fun is just beginning.
its not over till the spl,sfl, and any SCOTISH football body is rid of all the dead wood.
Tsk Tsk