Does anyone out there have any kind of confidence in Ashley at all?

[Colos Short and Curlies]

If this question's been asked elsewhere apologies but there is now a variety of threads in which Mike Ashley is discussed. What is the advantage (other than tying in a customer) of a company, the club, apparently having so much cash. By this I mean the income from season tickets, including where people have paid in advance for three seasons; cash from TV rights (not including the additional payments and prize money, paid either ad hoc or at the conclusion of the season); cash from corporate customers for season-long facilities?

 

There may well be other cash paid to the club but some of this is in the course of a conventional commercial activity  (food, merchandising).

 

The cash forms part of the clubs assets and therefore value (we'll assume the balance sheet valuation model is being followed as it is the easiest to understand - what we own less what we owe = value of the club).

 

Say Mr Indian wants to buy the club he sees that we have a balance sheet value of £300m.

 

Potential value adding components:

 

Stadium

Players

Cash

 

Mr Indian does not want to pay cash for cash as he would be paying £1+ for each £1 bought.

 

Therefore he tells Mr Ashley to take the cash out of the club in the form of a bonus, reducing the value of the business to £200m (say).

 

Ashley now has the £100m in cash and £200m from the sale of the club = the £300m valuation as above.

 

Mr Indian has only paid £200m.

 

Everyone is happy.

 

Therefore the moral of the story is that cash rich companies are ripe for takeovers

[AyeDubbleYoo]

Therefore the moral of the story is that cash rich companies are ripe for takeovers

 

True, but then aren't rich companies usually successful companies, meaning they are already making a return for the people in charge so they are less likely to want to sell?

[Colos Short and Curlies]

Therefore the moral of the story is that cash rich companies are ripe for takeovers

 

True, but then aren't rich companies usually successful companies, meaning they are already making a return for the people in charge so they are less likely to want to sell?

 

Successful companies reinvest the majority of their cash or have it earmarked for comitted projects. The return to the shareholders is usually known in advance as they will have a policy of xp per share or a % of profits (which they will budget for almost to the £1 if they are run well).

 

The small net spend (god I hate that phrase) would suggest that there was no urgency to reinvest this cash upfront and Ashley would struggle to take it out of the club as what we make we have spend on the running of the club in recent years.

 

You are right though, to grow a company you need to generate money, but having a massive cash balance sitting there doing nothing would suggest that he is open to a takeover.

[Guest fraser]

If this question's been asked elsewhere apologies but there is now a variety of threads in which Mike Ashley is discussed. What is the advantage (other than tying in a customer) of a company, the club, apparently having so much cash. By this I mean the income from season tickets, including where people have paid in advance for three seasons; cash from TV rights (not including the additional payments and prize money, paid either ad hoc or at the conclusion of the season); cash from corporate customers for season-long facilities?

 

There may well be other cash paid to the club but some of this is in the course of a conventional commercial activity  (food, merchandising).

 

The cash forms part of the clubs assets and therefore value (we'll assume the balance sheet valuation model is being followed as it is the easiest to understand - what we own less what we owe = value of the club).

 

Say Mr Indian wants to buy the club he sees that we have a balance sheet value of £300m.

 

Potential value adding components:

 

Stadium

Players

Cash

 

Mr Indian does not want to pay cash for cash as he would be paying £1+ for each £1 bought.

 

Therefore he tells Mr Ashley to take the cash out of the club in the form of a bonus, reducing the value of the business to £200m (say).

 

Ashley now has the £100m in cash and £200m from the sale of the club = the £300m valuation as above.

 

Mr Indian has only paid £200m.

 

Everyone is happy.

 

Therefore the moral of the story is that cash rich companies are ripe for takeovers

 

Thanks.

[wyn davies]

council own the land do they also own the stadium?

[afar]

council own the land do they also own the stadium?

 

Do the council still own the land, I thought that the club bought it out during SJH's time, it wouldn't make sense if they didn't since they were trying to build a casino on some land of theirs around SJP, I'm pretty sure the metro station is actually on NUFC owned land.

[Tsunami]

council own the land do they also own the stadium?

 

Do the council still own the land, I thought that the club bought it out during SJH's time, it wouldn't make sense if they didn't since they were trying to build a casino on some land of theirs around SJP, I'm pretty sure the metro station is actually on NUFC owned land.

 

We renewed the lease on the land, we own the stadium. One of the reasons SJH wanted to move was because the council wouldn't sell.

[Tsunami]

I'll try and bring this back on topic and tbh this could have been posted in a few threads (probably has). Ashley has lied to us and has been on a long PR run to gain support without investing properly in the team.

 

The final straw was how he dealt with KK (& yes I'm pissed off that KK chose to walk instead of fight from the inside).

 

If there is one thing I will judge Ashley on however it is the fact that he chose Wise over KK, he chose a man with no feeling for the club, who is based in London, who assaulted a taxi driver and broke Callum Davidson's jaw while he was asleep over a man who loves the supporters, who is respected, who has integrity and honesty ingrained in him. A man who was european footballer of the year, who captained and managed his country and believed in trying to give the supporters the team they hoped for.

 

Ashley appointed both and sided with Wise. I'm not having a go at Wise here, he is only doing his job. However, it tells me all I need to know about what type of man Ashley is. And yes, Ashley clearly did chose Wise over KK.

[Baggio]

I'll try and bring this back on topic and tbh this could have been posted in a few threads (probably has). Ashley has lied to us and has been on a long PR run to gain support without investing properly in the team.

 

The final straw was how he dealt with KK (& yes I'm pissed off that KK chose to walk instead of fight from the inside).

 

If there is one thing I will judge Ashley on however it is the fact that he chose Wise over KK, he chose a man with no feeling for the club, who is based in London, who assaulted a taxi driver and broke Callum Davidson's jaw while he was asleep over a man who loves the supporters, who is respected, who has integrity and honesty ingrained in him. A man who was european footballer of the year, who captained and managed his country and believed in trying to give the supporters the team they hoped for.

 

Ashley appointed both and sided with Wise. I'm not having a go at Wise here, he is only doing his job. However, it tells me all I need to know about what type of man Ashley is. And yes, Ashley clearly did chose Wise over KK.

 

How did he side with Wise?

[TRon]

I'll try and bring this back on topic and tbh this could have been posted in a few threads (probably has). Ashley has lied to us and has been on a long PR run to gain support without investing properly in the team.

 

The final straw was how he dealt with KK (& yes I'm pissed off that KK chose to walk instead of fight from the inside).

 

If there is one thing I will judge Ashley on however it is the fact that he chose Wise over KK, he chose a man with no feeling for the club, who is based in London, who assaulted a taxi driver and broke Callum Davidson's jaw while he was asleep over a man who loves the supporters, who is respected, who has integrity and honesty ingrained in him. A man who was european footballer of the year, who captained and managed his country and believed in trying to give the supporters the team they hoped for.

 

Ashley appointed both and sided with Wise. I'm not having a go at Wise here, he is only doing his job. However, it tells me all I need to know about what type of man Ashley is. And yes, Ashley clearly did chose Wise over KK.

 

Wise was following the programme Keegan wasn't. It's hardly surprising Ashley came down on his side, I doubt personality had much to do with it. Ashley is running the club as a business, that much is clear. I'm just not convinced anyone else who comes in won't do any different, unless they put the club into debt. That's what has happened at Liverpool and Man U and they have far bigger income resources than us.

[Robster]

I'll try and bring this back on topic and tbh this could have been posted in a few threads (probably has). Ashley has lied to us and has been on a long PR run to gain support without investing properly in the team.

 

The final straw was how he dealt with KK (& yes I'm pissed off that KK chose to walk instead of fight from the inside).

 

If there is one thing I will judge Ashley on however it is the fact that he chose Wise over KK, he chose a man with no feeling for the club, who is based in London, who assaulted a taxi driver and broke Callum Davidson's jaw while he was asleep over a man who loves the supporters, who is respected, who has integrity and honesty ingrained in him. A man who was european footballer of the year, who captained and managed his country and believed in trying to give the supporters the team they hoped for.

 

Ashley appointed both and sided with Wise. I'm not having a go at Wise here, he is only doing his job. However, it tells me all I need to know about what type of man Ashley is. And yes, Ashley clearly did chose Wise over KK.

 

Wise was following the programme Keegan wasn't. It's hardly surprising Ashley came down on his side, I doubt personality had much to do with it. Ashley is running the club as a business, that much is clear. I'm just not convinced anyone else who comes in won't do any different, unless they put the club into debt. That's what has happened at Liverpool and Man U and they have far bigger income resources than us.

I thought it was Wise not following the programme that caused Keegan to have his tantrum

[Bad Mongo]

Wise was following the programme Keegan wasn't. It's hardly surprising Ashley came down on his side, I doubt personality had much to do with it. Ashley is running the club as a business, that much is clear. I'm just not convinced anyone else who comes in won't do any different, unless they put the club into debt. That's what has happened at Liverpool and Man U and they have far bigger income resources than us.

 

So you're defending someone who runs a business on fraudulent claims that he will invest in new players for the squad. "Following the program" means being part of the scam.

[Guest thenorthumbrian]

I'll try and bring this back on topic and tbh this could have been posted in a few threads (probably has). Ashley has lied to us and has been on a long PR run to gain support without investing properly in the team.

 

The final straw was how he dealt with KK (& yes I'm pissed off that KK chose to walk instead of fight from the inside).

 

If there is one thing I will judge Ashley on however it is the fact that he chose Wise over KK, he chose a man with no feeling for the club, who is based in London, who assaulted a taxi driver and broke Callum Davidson's jaw while he was asleep over a man who loves the supporters, who is respected, who has integrity and honesty ingrained in him. A man who was european footballer of the year, who captained and managed his country and believed in trying to give the supporters the team they hoped for.

 

Ashley appointed both and sided with Wise. I'm not having a go at Wise here, he is only doing his job. However, it tells me all I need to know about what type of man Ashley is. And yes, Ashley clearly did chose Wise over KK.

 

Wise was following the programme Keegan wasn't. It's hardly surprising Ashley came down on his side, I doubt personality had much to do with it. Ashley is running the club as a business, that much is clear. I'm just not convinced anyone else who comes in won't do any different, unless they put the club into debt. That's what has happened at Liverpool and Man U and they have far bigger income resources than us.

 

What was "the programme" ? that wise was responsible for bringing in young players.

Thats what we were told by Ashley when he brought the poison dwarf to the club.

Unless Ashey was lying right from the start.................

[TRon]

I'll try and bring this back on topic and tbh this could have been posted in a few threads (probably has). Ashley has lied to us and has been on a long PR run to gain support without investing properly in the team.

 

The final straw was how he dealt with KK (& yes I'm pissed off that KK chose to walk instead of fight from the inside).

 

If there is one thing I will judge Ashley on however it is the fact that he chose Wise over KK, he chose a man with no feeling for the club, who is based in London, who assaulted a taxi driver and broke Callum Davidson's jaw while he was asleep over a man who loves the supporters, who is respected, who has integrity and honesty ingrained in him. A man who was european footballer of the year, who captained and managed his country and believed in trying to give the supporters the team they hoped for.

 

Ashley appointed both and sided with Wise. I'm not having a go at Wise here, he is only doing his job. However, it tells me all I need to know about what type of man Ashley is. And yes, Ashley clearly did chose Wise over KK.

 

Wise was following the programme Keegan wasn't. It's hardly surprising Ashley came down on his side, I doubt personality had much to do with it. Ashley is running the club as a business, that much is clear. I'm just not convinced anyone else who comes in won't do any different, unless they put the club into debt. That's what has happened at Liverpool and Man U and they have far bigger income resources than us.

 

What was "the programme" ? that wise was responsible for bringing in young players.

Thats what we were told by Ashley when he brought the poison dwarf to the club.

Unless Ashey was lying right from the start.................

 

The programme is buying players whose value will go up instead of down. Most club owners will want that unless they've got limitless funds which they are prepared to write off. There are two so far in the Premier league: Abramovich and now the Abhu Dhabi arabs at City.

[Teasy]

Regardless of whether you trust him or not I'm unsure as to why he's taking so much stick from the fans.

 

He's very inexperienced in footballing terms, he's been in the game how long now, a season or so? This shows the problem with trying to adjust from running a buisness to running a football club, it takes time. Unfortunately if he does need this time to settle in I think he's picked the wrong club to own. A club with an impatient fan-base, desperate for success who are sick to death of being let down by the regime.

 

Now if you believe everything you read Ashley has always been keen to seek advice on all his decisions. He was advised to set up the board room structure for example. This further points to his inexperience, such a ruthless decision maker would not need to seek advice if he was certain what to do in his own mind.

 

Now I think far too many fans are misinterpreting this inexperience as him being pure evil. It is still my beleif every decision Ashley has made he has had the best intrest of the club at heart. Now Ashley has made mistakes and it might just be good for him and the club if he sells up. However there is no need what-so-ever for the abuse he's getting when I'm sure he's fully aware he's made a mistake due to a simple lack of footballing experience.

 

Was it simply his inexperience that caused him to lie to the fans for the last 6 months then?

[Skirge]

http://www.journallive.co.uk/nufc/newcastle-united-news/2008/09/11/ashley-staying-silent-on-nufc-future-61634-21793271/

Ashley staying silent on NUFC future

 

Sep 11 2008 by Luke Edwards, The Journal

Newcastle United owner Mike Ashley

 

NEWCASTLE United owner Mike Ashley has steadfastly refused to discuss the future of the football club despite the acrimonious departure of manager Kevin Keegan last week.

 

With the club apparently in turmoil following Keegan’s claim he had been forced to quit as a result of boardroom interference in transfers, it was hoped Ashley would attempt to explain his actions at the annual general meeting of his company Sports Direct International yesterday.

 

Ashley had flown back from America especially to attend the meeting, but with journalists outnumbering shareholders, the billionaire decided not to try to clarify recent events as he ignored any questions about Newcastle or Keegan.

 

A lack of communication from the Newcastle hierarchy has been a feature of their tenure since former chairman Chris Mort returned to London in June to continue his career as a corporate lawyer and the atmosphere of suspicion it generates has helped fuel the anti-Ashley feeling which engulfs Tyneside.

 

That negative atmosphere was

 

ignited in dramatic fashion last week when Keegan, following a row with managing director Derek Llambias over the club’s failure to sign the players he had asked for during the transfer window, decided to quit.

 

Keegan later revealed that promises made to him regarding his overall control of buying and selling players had been broken by executive director (football) Dennis Wise and head of recruitment Tony Jimenez.

 

Although there were a number of so-called insider briefings in the national Press over the weekend, none of the London-based Newcastle board have been willing to answer their critics publicly and a wall of silence has been erected which threatens to create an even bigger divide between those who run the club and those who support it. Indeed, Ashley’s stubborn desire to avoid discussing the crisis which is tearing the club apart could further enflame the situation ahead of Newcastle’s first Premier League game since the furore over Keegan exploded last week.

 

Fanzine editors at The Mag and True Faith, as well as other supporter groups, have already indicated they will use Saturday’s game as a means to protest against the board, with demonstrations planned for before, during and after the match against Hull City. A boycott of all club and Sports Direct merchandise and refreshments has also been called for to try to force Ashley to sell up.

 

However, while fans are desperate to let Ashley and his associates know exactly how they feel about the treatment of Keegan, it is far from certain that any of the key players will be there to face the music on Saturday, preferring instead to stay away from the ground until the storm has passed – as they believe it will.

 

Whether their confidence that things will return to normal after a few weeks is warranted, there is no doubt the mood remains an ugly one among those incensed by what has happened. And the police are bracing themselves for a busy afternoon as they indicated extra officers will be on duty at St James’s Park in a bid to control the thousands of protesters.

 

A Northumbria Police statement said: “The safety of the public remains top of our agenda at all football games throughout the season. The forthcoming game on Saturday, September 13, is no different, policing levels will always be adjusted according to any intelligence about possible disorder. We are aware that there is the potential for protest on Saturday and we will facilitate that in a lawful and peaceful manner.”

 

Meanwhile, whoever eventually replaces Keegan as manager – Tottenham assistant manager and close friend of Wise, Gus Poyet, remains the favourite despite his insistence that he is happy with Spurs – will not be pleased with the comments made by Republic of Ireland manager Giovanni Trapattoni.

 

The Italian, aware of Shay Given’s shock at recent developments at Newcastle, has insisted that Serie A clubs should look to sign the goalkeeper when the transfer window re-opens in January.

[Guest Darth Toon]

The more I think about it, the more I'm coming to the conclusion that Ashley isn't particularly a bad bloke, he's just been very badly let down by those he trusted to run the club for him: i.e. Wise, Llambias etc.

 

The enjoyment he was getting from being among the fans seemed genuine to me, and his biggest mistake is probably in not intervening directly and decisively as soon as he realised the extent to which the Keegan situation was escalating.

 

The situation as it stands is probably that Wise et al have reassured him that they can find a top class replacement manager no problem, and that the fans will soon pipe down once this happens - the longer they go without being successful in doing so (and the longer the list of those turning us down gets) then surely the more pissed off at them he's likely to get?

 

I still haven't totally given up hope in Ashley seeing the light, booting Wise out and trying to bring KK back - probably the only course of action that will allow him to take his place back in the stands ever again. [/blind optimism]

[Belfast Boy]

Not sure if it's been reported anywhere on here, but apparently (article in Belfast Telegraph) only 4 shareholders turned up to Sportsdirect.com's AGM. As expected Ashely refused to talk about Newcastle at the meeting.

[AyeDubbleYoo]

I'm not worried at all by that article, I hope nobody would expect him to use the Sports Direct AGM to talk about Newcastle - they're completely separate businesses.

[manorpark]

I'm not worried at all by that article, I hope nobody would expect him to use the Sports Direct AGM to talk about Newcastle - they're completely separate businesses.

 

He NEVER talks about Newcastle United.

 

Have you ever heard him?

 

I have never heard him talk about Newcastle United.

[BONTEMPI]

I think it's shocking that no words of explanation have come out to the fans, they're a bunch of fucking cowards and anyone who wants them still here are off their heads.

 

I'm hoping this silence and lack of appointment for the Managers position is down to Ashley's selling.

[manorpark]

I think it's shocking that no words of explanation have come out to the fans, they're a bunch of f***ing cowards and anyone who wants them still here are off their heads.

 

I'm hoping this silence and lack of appointment for the Managers position is down to Ashley's selling.

 

He thinks (no, he 'knows') that we are irrelevant to him, so he has (and always will) treat us like an irrelevancy . .  ie, like sh*t.

[Guest Darth Toon]

I'm hoping this silence and lack of appointment for the Managers position is down to Ashley's selling.

 

The lack of appointment seems more likely down to the fact that nee fecker will touch us with a bargepole - if Wise can't persuade his best mate to take it, what chance have we got with actual decent proven managers?

 

Talk of the likes Hiddink and Advocaat is absolute fantasy island stuff - no manager of any pedigree will be remotely interested in us in our current state : "Aye Guus, forget about the World Cup, come here and work for Dennis Wise instead - he's got 12 million to spend you know!!".....

[Swissmag]

I'm hoping this silence and lack of appointment for the Managers position is down to Ashley's selling.

 

The lack of appointment seems more likely down to the fact that nee fecker will touch us with a bargepole - if Wise can't persuade his best mate to take it, what chance have we got with actual decent proven managers?

 

Talk of the likes Hiddink and Advocaat is absolute fantasy island stuff - no manager of any pedigree will be remotely interested in us in our current state : "Aye Guus, forget about the World Cup, come here and work for Dennis Wise instead - he's got 12 million to spend you know!!".....

 

sad but true IMHO

[Guest Mucky01]

I think it's shocking that no words of explanation have come out to the fans, they're a bunch of f***ing cowards and anyone who wants them still here are off their heads.

 

I'm hoping this silence and lack of appointment for the Managers position is down to Ashley's selling.

 

He thinks (no, he 'knows') that we are irrelevant to him, so he has (and always will) treat us like an irrelevancy . .  ie, like sh*t.

 

yep, he has been given loads of stick by his share holders and the stock exchange (after taking their money) and refuses to communicate with any of them only referring to them as “cry babies” – which is probably what the twat thinks of NUFC fans – “cry babies”.