Gill: No Stress About The Debt …
ManUtd.Com: Reds’ Chief Executive David Gill says the club looked into plans at how to reduce their massive debts but the uncertainty within the market forced them to reconsider.
Financial experts acting on behalf of the Glazers looked into the possibility of restructuring United’s financial set-up in a bid to reduce the huge annual interest payments on the loans taken out by the family to buy the club. But a rise in the cost of borrowing forced United to scrap those plans.
Gill insists the club is in good financial shape and says the investigations into a possible restructure came about simply because of the advantageous state of the debt market at the time.
“There is no issue whatsoever,” he declared. “The financial structure we have in place at the moment is a long-term structure.
“Given where the debt market was two or three months ago, we looked at the opportunity of improving those financial structures to get the costs down a bit more.
“There was some turbulence in the debt market which meant the refinancing has not gone through. But I stress, it was an opportunity as opposed to having a requirement to do it.
“The club is in good shape financially this year and 2007 will see significant increases in revenue and profits.”
