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Next Game: Rushall At Home In The League On Saturday 30th November At 3.00pm

Thursday, October 20, 2005

Barnsley Post Record Loss

League One side Barnsley posted a £3.54 million loss for the year ending May 2004, with their Chairman admitting that the side were "technically insolvent".

The one-time Premiership side managed to record a loss that was £610 more than their entire turnover for the season, and Chairman Gordon Shepherd acknowledged that the club were only still operating thanks to the cash injections of Patrick Cryne, head of main sponsors iSoft, and number 874 on the Sunday Times Rich List:

"I must stress that we are only able to continue operating because of the working capital support generously provided by Patrick Cryne. Could I also say that no interest on this working capital has been demanded or paid, it has all been waived. Patrick steadfastly declines any direct operational involvement at Board or other levels and I do not envisage a change in that situation."

Barnsley entered administration in October 2002 and were taken over by former Leeds Chief Executive Peter Ridsdale in August 2003, leaving administration four months later, but he failed to find the necessary cash injections and left in late 2004, selling a majority stake to Cryne.

Club Director Mr Barry Taylor added: "The Club's financial position is improving slowly but surely. I am aware that some people say that we should speculate to accumulate but I know better than most that this approach was a factor in leading to the Club's financial decline. It has also been suggested to me that we invite people to invest in shares in the Club but quite frankly it would be difficult to issue shares in an insolvent company. That concept was tested at the time of administration and also by the bond issued by Peter and it was clear that on both occasions there was very little interest in it."
"Our main option is to trade wisely on all fronts, develop the talent in our Academy and work with all those people who have the best interests of the Club at heart to end the insecurity at Barnsley FC."