Aquilani Purchase

[Philosophia]

This may or may not be of interest, or even a surprise to many, but I thought it was worth noting because it speaks to the state of our finances:

My father was at a dinner with John Aldridge this week, and Aldridge told him that of the 30 million we got for Alonso, 25 million went to debt repayment. Apparently we only made a down payment of the remaining 5 million and are now paying him off over the next five years.

Perhaps this is simply how it is done, but Aldridge seemed pretty pissed off with the state of the club, and cited this as an example of the ongoing mismanagement at Liverpool.

[The Birdman]

This may or may not be of interest, or even a surprise to many, but I thought it was worth noting because it speaks to the state of our finances:

My father was at a dinner with John Aldridge this week, and Aldridge told him that of the 30 million we got for Alonso, 25 million went to debt repayment. Apparently we only made a down payment of the remaining 5 million and are now paying him off over the next five years.

Perhaps this is simply how it is done, but Aldridge seemed pretty pissed off with the state of the club, and cited this as an example of the ongoing mismanagement at Liverpool.

Pretty much what I had heard/read somewhere, makes me laugh when the press pile into Rafa for not picking an injured £17m player when he cost £5m up front and the rest in installments.

Think it's fair to say we wouldn't have been able to afford a fully fit Aquilani

[red g]

This may or may not be of interest, or even a surprise to many, but I thought it was worth noting because it speaks to the state of our finances:

My father was at a dinner with John Aldridge this week, and Aldridge told him that of the 30 million we got for Alonso, 25 million went to debt repayment. Apparently we only made a down payment of the remaining 5 million and are now paying him off over the next five years.

Perhaps this is simply how it is done, but Aldridge seemed pretty pissed off with the state of the club, and cited this as an example of the ongoing mismanagement at Liverpool.

think this is common knowledge that we put **** all down on him, read that elsewhere, also the fact that without injuries Roma would have wanted nearer 30million to.

We are royally screwed for sure

[Bender]

this is how all/most transfers are done by clubs

[BFG]

It'd be handy to know how the Alonso deal was structured before making judgement.

[JohnDoe]

It'd be handy to know how the Alonso deal was structured before making judgement.

It was all up front.

[BillobShaisley]

The thing is we still have to pay the 12-15mil for Aquillani. Prices over the summer went silly after Real Madrids activity and a lot of clubs simply decided to hold tight for a window.

Shaving 25mil from the debt should save roughly 3mil/year in interest which over 5 years covers the payments for Aquillani and reduces the debt. If we have any spare cash its better used as a debt repayment (saving around 7%) than sat in our account earning about 0.5%. On the other hand, should the right opportunity (or risk) come along then we can shift that money around to invest where its most crucially needed.

[BFG]

It was all up front.

Sauces?

[Exiled_red]

I'm sure details of this were published in the papers a could of days after the transfer was completed. Whatever happens we'll have to put the cash aside to pay for the transfer. I guess the question is whether or not these installments come out of future transfer budgets or last summers was ring fenced. Especially if so much as been put towards paying off debts.

[redlancer]

The thing is we still have to pay the 12-15mil for Aquillani. Prices over the summer went silly after Real Madrids activity and a lot of clubs simply decided to hold tight for a window.

Shaving 25mil from the debt should save roughly 3mil/year in interest which over 5 years covers the payments for Aquillani and reduces the debt. If we have any spare cash its better used as a debt repayment (saving around 7%) than sat in our account earning about 0.5%. On the other hand, should the right opportunity (or risk) come along then we can shift that money around to invest where its most crucially needed.

way i'd see it
seems perfect accounting, doesn't mean our finances are good or bad.

[-V-]

This may or may not be of interest, or even a surprise to many, but I thought it was worth noting because it speaks to the state of our finances:

My father was at a dinner with John Aldridge this week, and Aldridge told him that of the 30 million we got for Alonso, 25 million went to debt repayment. Apparently we only made a down payment of the remaining 5 million and are now paying him off over the next five years.

Perhaps this is simply how it is done, but Aldridge seemed pretty pissed off with the state of the club, and cited this as an example of the ongoing mismanagement at Liverpool.

Roma stated on their website on the day of the transfer that the payment was £5m and rest in instalments over a couple of years

[Roboklopp]

The thing is we still have to pay the 12-15mil for Aquillani. Prices over the summer went silly after Real Madrids activity and a lot of clubs simply decided to hold tight for a window.

Shaving 25mil from the debt should save roughly 3mil/year in interest which over 5 years covers the payments for Aquillani and reduces the debt. If we have any spare cash its better used as a debt repayment (saving around 7%) than sat in our account earning about 0.5%. On the other hand, should the right opportunity (or risk) come along then we can shift that money around to invest where its most crucially needed.

aye, this makes sense

[javier_monsterano]

Which means if he turned out to be a total failure,which i doubt.
We could send him back on the cheap?

[wildman]

I'm sure details of this were published in the papers a could of days after the transfer was completed. Whatever happens we'll have to put the cash aside to pay for the transfer. I guess the question is whether or not these installments come out of future transfer budgets or last summers was ring fenced. Especially if so much as been put towards paying off debts.

surely they'll come out of future budgets that would make sense to me anyway

[Shanks]

This would make sense..

"Contrary to all the rubbish printed by the British press regarding a 20 million pound deal for Alberto Aquilani, Roma have themselves revealed the true extent of the payment structure for the Italian (both to the stock exchange as well as their own official site).

The 20 million EURO transfer fee is broken up into the following:

- 4 cash instalments of
- - 5 million EURO upfront
- - 3 million EURO by 4th January 2010
- - 7 million EURO by June 30th 2010
- - 5 million EURO by June 30th 2011.

Further Add ons include:

- 300,000 EURO for every year Liverpool qualify for the Champions League from 2010/11 to 2014/15

- 250,000 EURO everytime the player reaches 35 appearancs, 70 appearances, 105 appeances and then 140 appearances.

- 1 million EURO the first time Liverpool either wins the Premier League or Champions League by 30 June 2014.

- 5% of any future transfer fee will be paid to Roma.

Details can be found here (for those fluent in Italian) -
http://www.asroma.it/UserFiles/988.pdf

So next time you read any article and it says we paid 20 million Pounds or any other funny amount, reference this article!

That being said, if we've only paid 5 million EURO for Aquilani, and got 30 million POUNDS for the Alonso deal right away....is there more money to burn or is it going to our esteemed American owners to re-finance their deal?


http://forums.lfconline.com/showthread.php?t=91854