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11:17pm Tuesday 6th May 2008
Albion are counting the cost of their drop back into the third tier of English football.
The Seagulls made a loss of more than £2.8 million in the year ending June 2007, their first season in League One following relegation from the Championship.
It is the biggest deficit since they moved into Withdean and a massive hike compared to a £253,000 loss the previous year, although that figure excluded over £2 million received from the transfers of Adam Virgo to Celtic and Dan Harding to Leeds.
Albion's annual accounts show that turnover fell by 21 per cent to £4.2 million, largely due to the consequences of relegation.
Their share of central funds from the Football League dropped by more than £750,000 to £499,000, while gate receipts, commercial activities and TV and radio royalties all suffered falls ranging from nine to 40 per cent.
The directors' report says: "The effect of relegation to League One is clear to see on all areas of club revenue.
"Average league attendances fell to 5,829 compared to 6,802 in 2005-06. Clearly league status and the poor facilities at Withdean are the main factors in this drop."
Relegation had one benefit - Albion's wage bill dropped by almost £400,000 to £3.3 million, with six fewer full-time staff and 39 fewer part-time employees.
A further £500,000 was ploughed into Falmer, raising the total spent on the new stadium project to £3.6 million.
The directors' report adds: "The operating loss clearly demonstrates the urgent need for Falmer with all the facilities, commercial and economic benefits and additional revenue streams it will generate, as losses of this nature can only be sustained through the sale of players or shareholder funding."
GitFace, Reality says...
11:52pm Tue 6 May 08
James, Brighton says...
12:07am Wed 7 May 08
mark, brighton says...
7:47am Wed 7 May 08
mark, brighton says...
8:07am Wed 7 May 08
kk, Hove says...
9:08am Wed 7 May 08
Phil, in the middle says...
9:22am Wed 7 May 08
Roy Hills, Heathfield says...
11:28am Wed 7 May 08
man with a brain, the real world says...
11:39am Wed 7 May 08
glenda, hove says...
12:03pm Wed 7 May 08
Andy, Saltdean says...
12:04pm Wed 7 May 08
Andy, Saltdean says...
12:04pm Wed 7 May 08
man with a brain, in the real world says...
1:37pm Wed 7 May 08
Andy wrote:so we lose more than 3 mill a year when its built?? how long will the club survive? i cant wait for it to be built, but i remember when leicster built their new stadium, we were so envious of the walkers stadium,!! the fact thta we lose money at withdean does not mean we wont lose more at falmer, and your point of the other clubs proves that a bank would be silly to lend on some 12000 break even point. i cant see it happening unless a director puts up surities
You'd think from reading the above comments that the Albion's current financial predicament is somehow unique. Although the figures do not make for cheery reading, a quick look around other clubs in our division reveal that things could be a lot, lot worse. The cost of obtaining Falmer is dishearteningly high, but it's not exactly like the board are overmoon at the cost either. The fact is, Falmer has to be built in order for the club to even stand a chance of long-term financial stability - regardless of how many fans actually turn up.
kk, Hove says...
2:07pm Wed 7 May 08
Phil, in the middle says...
2:12pm Wed 7 May 08
man with a brain wrote:Do you live near the pond in Falmer?
Andy wrote:so we lose more than 3 mill a year when its built?? how long will the club survive? i cant wait for it to be built, but i remember when leicster built their new stadium, we were so envious of the walkers stadium,!! the fact thta we lose money at withdean does not mean we wont lose more at falmer, and your point of the other clubs proves that a bank would be silly to lend on some 12000 break even point. i cant see it happening unless a director puts up surities
You'd think from reading the above comments that the Albion's current financial predicament is somehow unique. Although the figures do not make for cheery reading, a quick look around other clubs in our division reveal that things could be a lot, lot worse. The cost of obtaining Falmer is dishearteningly high, but it's not exactly like the board are overmoon at the cost either. The fact is, Falmer has to be built in order for the club to even stand a chance of long-term financial stability - regardless of how many fans actually turn up.
J, Hove says...
2:18pm Wed 7 May 08
john, bexhill says...
3:09pm Wed 7 May 08
drew, Burgess Hill says...
3:33pm Wed 7 May 08
Phil wrote:Phil, can you just confirm which players we should have bought and at what cost (fee plus salary) that would have guaranteed championship survival?
No shock is it? Perhaps some investment in the Team when we were still in the Championship would have been worth while. Instead the Board fails to invest and lets us get relegated without a fight. And the fans get to watch a bunch of kids play in a crap league, so gate receipts fall.
Kit Napier, Hove says...
3:47pm Wed 7 May 08
dean wilkins mum, london says...
4:43pm Wed 7 May 08
dean wilkins mum, london says...
4:45pm Wed 7 May 08
mark, brighton says...
4:47pm Wed 7 May 08
rocky, saltdean says...
4:53pm Wed 7 May 08
David, Hove says...
5:12pm Wed 7 May 08
dean wilkins mum wrote:Adams? we want Mark Magee back
when my dean is sacked tomorrow amd micky adams returns you will all be pleased ....
never wrong dave, Brighton says...
5:47pm Wed 7 May 08
mick, brighton says...
6:32pm Wed 7 May 08
W.H. Iteout, Hastings says...
7:25pm Wed 7 May 08
mick wrote:just enough to guarantee white, loft and loft's agent another contract?
is there anyone who thinks loft deserves a contract? i heard it was not deans decision. any one want to bet how many games loft starts next year?
William of Orange, Brighton says...
11:04pm Wed 7 May 08
man with a brain wrote:Northern Crock?....bugger...m
" bank manager its like this, my company turns over 4 million ish a year, thats down 20% on last year, and the company lost 2.8 million, now what we want is to borrow 35 million, we have no assets, but we may sell our star player loft to hastings," can someone tell me what bank this club will approach? this wont be a runner. simple arithmetic tells you.
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Martyn, says...
11:23pm Tue 6 May 08
Better use of the loan market is essential. Don't be afraid to beg, steal or borrow!