So, administration has been prevented - or at least delayed - at Ibrox by news of a £1.5million emergency loan from current shareholders Laxey Partners and James and Sandy Easdale. This vindicates the rumblings that have been coming from a certain Irish blogger for the last few weeks - Rangers wouldn't have to do this unless they really had pissed away all £20million-plus raised in their IPO little over a year ago, or if they could get a loan from a bank. Rather than getting their money back, Laxey and the Easdales will get extra shares in return next year. It feels a bit like the corporate equivalent of getting a payday loan from Wonga.
It does appear to be a vote of confidence from these investors in CEO Graham Wallace, who, if only to protect his own professional reputation, appears to be doing everything he can to get the club out of this mess - a huge contrast to his predecessors, Chuckles Green (who seems to have fled the nest with a ton of cash) and Craig Mather (a man incredibly out of his depth). This money would not have been raised if there was no way back. But, for a club who have been losing more than £1million per month, it will simply pay the wages and the bills for a few more weeks, tiding things over until season ticket money begins to come in.
But it is clear that Rangers are in the last chance saloon. We already know costs have to come down - they lost £14million in 2012-13, after all. It's five weeks since the playing squad rejected pleas to take a 15% paycut across the board; it will be amazing if, once Wallace's 120 day review of the runnings of the club concludes in April, the spectre of pay cuts isn't raised once more, particularly as the wage bill is enormous compared to every SPFL club except Celtic. Staffing costs (£9million) were even higher than the players' costs (£8million), which means that, contrary to Ally McCoist's press comments which suggest splashing out on a comprehensive scouting system, it will be more likely that the bloated coaching staff will be pruned. McCoist finally signed off on a 50% paycut in January, which still leaves him as the second highest paid SPFL manager on an obscene salary of £400,000 per year.
The club have one more shot at sorting out this shambles, thanks to Wallace. It is incredible that the reckless spending has gone on so long - unnecessary luxuries such as booking swanky hotels for afternoon naps prior to evening games, as Rangers did before they travelled to Forfar last month, must be expunged for good. Given that fans have already spent what they can, and investors are mostly running a mile, I can't see how a new share issue would raise much more money - and it wouldn't be in the interests of the shareholders already holding the power at Ibrox. The club has to be run at a profit from now on. If the money runs out next season, it runs out when Rangers are in a league that is a million times more tricky than League One, if only because they will be up against a resurgent Hearts. So another administration would unquestionably delay the return to the top flight even further.
How to cut costs? Here's seven players who Rangers should look to move on...
STEVE SIMONSEN (contracted till summer 2014)
Rangers already have Scott Gallacher to back up Cammy Bell, but Ally McCoist wanted Gallacher to get game time out on loan, which is why 34 year old Simonsen, once a £3m keeper with Everton but who last season played for Dundee, was signed. But three senior goalies is pushing it; in fact, no other team in the SPFL has three keepers over the age of 21. Besides, Gallacher is 25 in July and surely is about as good as he's going to get. He also proved himself competent in six starts at the beginning of the season. At least one of Bell's backups needs to go, and Simonsen is the one on a higher wage.
EMILSON CRIBARI (contracted till summer 2014)
Of course, every side looking to mount a challenge in Scotland's lower leagues needs a Brazilian central defender...said no-one, ever - except Ally McCoist, of course. Cribari was a regular last season but has warmed the bench for nearly all of 2013-14, making just 3 league starts so far. The former Lazio and Napoli man offers depth which is not really required.
ROSS PERRY (contracted till summer 2015)
He's probably not of top-flight quality - he certainly didn't look comfortable playing in the SPL pre-liquidation - but he spends so much time injured that it's hard to tell. Perry's last first team game was in February 2013 - a torn hamstring, followed by an ankle injury in the summer, have kept him on the treatment table. Takes up a squad place that should be occupied by a youngster.
KYLE HUTTON (contracted till summer 2014)
Another sicknote. Hutton managed to stay fit through most of last season, but didn't make a league start even when he was fit. He then broke his leg in November. With Black, Lewis Macleod and Nicky Law all playing well, Hutton is surplus to requirements.
ARNOLD PERALTA (contracted till summer 2017)
And, of course, every side looking to mount a challenge in Scotland's lower leagues needs a Honduran central midfielder...said no-one, ever - except Ally McCoist, of course. Given Peralta has started only 10 league games, he's clearly not a first choice, particularly because Rangers only need one combative player in the middle of the park and prefer Ian Black. He'd be useful backup if the Gers could afford it...but, at the moment, they can't afford it, and they will cope comfortably in The Championship without him.
DAVID TEMPLETON (contracted till summer 2016)
Let me remind you that Rangers spent £800,000 to sign Templeton at the end of the 2012 summer transfer window. A few days before that, he had scored for Hearts at Anfield in a Europa League game. Since then he's started only 34 games - that's more than £23,000 for every start. Factor in his £5,000 per week wages and he's expendable, given Rangers' current plight. They might even manage to convince someone to pay a fee for him too - though nowhere near £800,000.
LEE WALLACE (contracted till summer 2017)
Ooh, controversial! Wallace is unquestionably the best player at Ibrox. I was impressed when he appeared as a sub for Scotland in Macedonia that he didn't look off the pace at all, suggesting that he doesn't play down to the quality of the opposition. He's also the only player who could be expected to command a transfer fee of significance. Rangers would get by with Ricky Foster or Steven Smith playing at left-back. There'd be rebellion in the stands if Wallace left, but needs must...
L.
No comments:
Post a Comment