Money Inhibits Transfer Activity
Arsene has for the first time broken his self imposed purdah on Arsenal’s transfer budget or money available for transfers.
“I am fed-up with people who think I have £100million in the bank yet don’t want to spend it. How can people think that? The pride of the club is in having moved to a new stadium while maintaining the club at the top level.
“The policy of the club is that they have backed me in what I do and the way I do it. We now have to be strong enough to stick to that. We cannot pump £100m into it, so we must keep faith in what we are doing.”
This is true, even though the club has in the region of £100 million in the bank, this money needs to be held back to cover our loans. The club needs to repay the loan on the development of Highbury Square by April 2010. The club has been trying to renegotiate the £135 million loan repayment, but as yet there appears little movement on this. The only source to repay this loan is through the sales of flats, once again the club has given us any updates on the number of flats sold. This situation will be clarified once the financial results for the year have been announced; this should be in early September.
In addition to the Highbury Square loan, the club needs to ring-fence £20million of cash as part of the loan agreement for the Emirates Stadium.
This is why Wenger states we have little or not as much money as people think and the situation will remain the same until the Highbury Square loan has been repaid. The club have refused to accept the offer from Alisher Usmanov to repay this loan, as he would increase his shareholding in the club. This is a classic case of cutting off your nose to spite your face. The small shareholders who control the club are refusing to allow one of the big shareholders to increase his stake and assist the club in improving it indebtedness.
It is time the Fiszman and Hill-Wood either put their hands in their pockets and pay off the club’s debt or move aside and allow people who are both prepared and able to do so save the club.