" £1.6Mill Compensation for Dave Jones & his staff "

Cardiff City record £13.5m loss as debt rises to £83m
By Simon GaskellJan 25 2013


Cardiff City's debt is now £83m in 2012.



“There’s some likely points as to why we made a bigger loss.

“The cost of sales has gone up a bit, administrative expenses have gone up from £6m to £8m and the query is: why have they gone up by £2m because the stated thing was to make the club more efficient and stop waste but it appears we are spending £2m more on general running costs and I don’t know why.

“£1.6m is exceptional costs – that’s the compensation for when Dave Jones and his support staff were sacked.

“Further down again, the interest charge has gone up and we have 7% interest.”







Cardiff City have recorded losses of £13,605,000 in their latest set of financial accounts – bringing their overall debt to just over £83m.

The Bluebirds posted their latest set of accounts for the year ending May 31, 2012, earlier today.

The figures showed that the club has made a significant increase in turnover, from £15,947,000 to £20,216,000.

And an appearance in the Carling Cup final contributed almost £2.3m to turnover for the year.


But much of that money has come out the other side due to rising administrative costs and interest on loans to the club.

There was also an exceptional cost of around £1.6m – monies largely paid to Dave Jones and his backroom staff after they were sacked following a failed bid to win promotion in 2011. That figure also includies money paid to Malky Mackay's former club Watford for his release.

Elsewhere, it was revealed debt to Langston, the company represented by Sam Hammam, now stands at £19,259,000 repayable by 2016 due to interest.

And it was revealed Langston are due a one-off payment of £5m if the debt remains outstanding by the time City win promotion to the Premier League.

Overall, Cardiff City Football Club (Holdings) Limited - the umbrella company incorporating the football club - owes £51,920,000 to creditors in the next 12 months and £31,175,000 to creditors after that period.

However within the £51m owed over the next year, £37,431,000 is largely notional – money owed to Malaysian backer Vincent Tan.

Elsewhere, the wage bill in 2012 was up to £18.5m from £13.9m the previous year but the accounts do not cover the more recent financial period in which the Bluebirds have forked out big money for signings like Nicky Maynard, Craig Noone and Etien Velikonja.

Outlining the club’s financial position, directors of the club in their report said: “Whilst the dream of reaching the Premiership wasn’t realised, increased revenues and some improvement in operating performance was achieved.

“The results for the year to May 2012 include the impact of reaching the Carling Cup Final at Wembley which contributed almost £2.3m to turnover for the year.

“The club continues to face the challenging financial environment presented by the Championship competition, as illustrated by the operating loss year-on-year, despite significant turnover growth – these gains being absorbed by increased direct football costs.”

In their summary and outlook for City, directors added: “Through the continued support of our Malaysian investors we have invested in the playing squad and hope to see the benefit of that investment during the remainder of the season as we push for the desired aim of promotion and beyond.

“For the 2012/13 season the club made a strategic decision to change the colour of its home strip from blue to red but retained the blue strip for away matches.

“Accompanied by a change in the club’s badge, the rebranding is seen by the club as a positive step in securing future commercial opportunities.

“The new investors have indicated that providing the business develops as planned, they will continue to support the club in the foreseeable future and provide additional finance in order that it can settle its liabilities.”

Accountant and City fan Keith Morgan told WalesOnline: “The headlines are they have made a further loss of around £13.5m.

“It clearly shows the club can’t operate at a profit while it remains at Championship level. I think the other point is, despite the fact the income went up by more than £4m, we still made a bigger loss.

“There’s some likely points as to why we made a bigger loss.

“The cost of sales has gone up a bit, administrative expenses have gone up from £6m to £8m and the query is: why have they gone up by £2m because the stated thing was to make the club more efficient and stop waste but it appears we are spending £2m more on general running costs and I don’t know why.

“£1.6m is exceptional costs – that’s the compensation for when Dave Jones and his support staff were sacked.

“Further down again, the interest charge has gone up and we have 7% interest.”

Being as the wording is that £5 mill is due as a one off payment to langstone when promotion is achieved before the full debt is paid off , that could mean this whole situation being resolved very soon (within the next 10 weeks ) as tan will not want to add 5mill to that debt !
Or does the 5 mill come off the debt owing ?

Annis, Doesn't that fat miserable wanker Jones still want more cash from us

Annis, as you may recall, I was originally a DJ fan but having Malky in charge makes me feel it's money well spent!!

It's a 'but' but if VT converts his debts to equity then so what it was well worth £1.6m to get rid of that bottler.

Annis, as you may recall, I was originally a DJ fan but having Malky in charge makes me feel it's money well spent!!

Annis, Doesn't that fat miserable wanker Jones still want more cash from us

Yes he does.

Football must the only job where you get sacked and still get a pay off

Jones was well paid whist at the club and once you leave that should be it

Football must the only job where you get sacked and still get a pay off

Jones was well paid whist at the club and once you leave that should be it

He didn't leave he was sacked,so he wanted his contract paid up

Football must the only job where you get sacked and still get a pay off

Jones was well paid whist at the club and once you leave that should be it

not true, banks?,bbc? Politicians?

The best 1.6 million we've ever spent. Getting rid of that miserable c**t and getting Malky.

annis will our debt ever actually be paid off? if so how and how long would it take?

annis will our debt ever actually be paid off? if so how and how long would it take?

Everyone carries debt, individuals and businesses. It's not a big deal if you are considered a good future prospect. This debt sounds big but the large part of it has effectively been an investment in premier football next season. Being a CCFC fan we all think there are dangers waiting for us in the next few months but history shows that there is a point in the season when a championship leader continues through to promotion and I think we have passed that. Also, and more importantly, there is now an all round commitment to success.

Football must the only job where you get sacked and still get a pay off

Jones was well paid whist at the club and once you leave that should be it

He didn't leave he was sacked,so he wanted his contract paid up

not true
he was put on a years notice as the riddler have given him a one year rolling contract.
therefore he was on gardening leave and was being paid monthly. dave jones then left for the wednesday job before his notice expired.

well thats football for you, failure is met with reward.

as others have pointed out, at least it means we have a proper manager in charge now, and that the new PL deal comes into effect next season, meaning shed loads of cash for the club (or mr tan )

Football must the only job where you get sacked and still get a pay off

Jones was well paid whist at the club and once you leave that should be it

That's just the nature of contracts, mate

The club (or Directors) thought him 'worthy' at the time of signing and once they decided he wasn't for them he was entitled to a 'pay off' and the same would happen in reverse if he had been 'poached' by another club (or even offered the England job ) in as much as WE would have been looking for compensation

Money talks ON ALL SIDES in the modern game, as some recent sackings have proven

Being as the wording is that £5 mill is due as a one off payment to langstone when promotion is achieved before the full debt is paid off , that could mean this whole situation being resolved very soon (within the next 10 weeks ) as tan will not want to add 5mill to that debt !
Or does the 5 mill come off the debt owing ?

that was the only question i had asked perfectly.

Was shocked when numbers were put out on how much DJ - TB - and the rest of the backroom staff were on.

Compare what MM and his backroom team were on when they took over,our manager now and his staff deserve a bonus if we go up

Was shocked when numbers were put out on how much DJ - TB - and the rest of the backroom staff were on.

Compare what MM and his backroom team were on when they took over,our manager now and his staff deserve a bonus if we go up

Tony, WE tried to tell everyone, but got shot down once again.

DJ had £100,000 Bonus for loosing to Blackpool

Was shocked when numbers were put out on how much DJ - TB - and the rest of the backroom staff were on.

Compare what MM and his backroom team were on when they took over,our manager now and his staff deserve a bonus if we go up

Tony, WE tried to tell everyone, but got shot down once again.

DJ had £100,000 Bonus for loosing to Blackpool

Just shocking Annis - i do blame the people who gave this money away for ....NO REASON

Was shocked when numbers were put out on how much DJ - TB - and the rest of the backroom staff were on.

Compare what MM and his backroom team were on when they took over,our manager now and his staff deserve a bonus if we go up

Tony, WE tried to tell everyone, but got shot down once again.

DJ had £100,000 Bonus for loosing to Blackpool

was that more a bonus for making it to the final rather than if you lose this game we will give you £100,000?
makes you wonder what his bonus would have been if he had won the game!

Was shocked when numbers were put out on how much DJ - TB - and the rest of the backroom staff were on.

Compare what MM and his backroom team were on when they took over,our manager now and his staff deserve a bonus if we go up

Tony, WE tried to tell everyone, but got shot down once again.

DJ had £100,000 Bonus for loosing to Blackpool

was that more a bonus for making it to the final rather than if you lose this game we will give you £100,000?
makes you wonder what his bonus would have been if he had won the game!

Someone correct me if I am wrong but a figure of £1m was rumoured