Interest payments jump at United
Mon 16th Aug 2010 | Money & Finance
The interest rate on a loan taken out by the Glazer family to buy Manchester United is expected to rise by 2% to 16.25% this week after they failed to keep the club's debts below a stipulated level. This will add £5m of interest payments to the £138m payment-in-kind (pik) loan that the Americans used to help fund the purchase of the club.
Pik loans are paid off at the end of their life with the accrued interest added on. The Glazers have to repay their loan in 2017. The additional charge means the pik will have risen from £202m last year to nearly £269m last year. United fans will be concerned that ultimately cash will be taken out of the club to repay it.
- SUBSCRIBE TO THE F.C. BUSINESS RSS FEED
- BECOME A FAN OF F.C. BUSINESS ON FACEBOOK
- FOLLOW OUR TWEETS ON TWITTER
- LINKED IN TO FOOTBALL INDUSTRY PROFESSIONALS
Mon 27th Mar 2017 | Money & Finance
It is that time of year again….the happy financial prospect of promotion for a few or the nightmarish vision of relegation for other clubs. So how does league status affect a club’s...
Thu 9th Mar 2017 | Money & Finance
Rate relief for football in the community: An open goal for Government in 2017 Football clubs, large and small, will not benefit from any substantive ‘give-aways’ following the Chancellors...
Thu 2nd Mar 2017 | Money & Finance
Leicester City today announced its financial results for the year ending 31 May, 2016 – a period of continued growth and unprecedented success for the Football Club. An historic, captivating...
Wed 1st Mar 2017 | Money & Finance
Liverpool FC has filed its annual accounts for the year to May 31, 2016 reporting that revenues are continuing to grow, creating further financial stability for the club. Overall revenue increased to...