Arsenal Finances

Discussion in 'Arsenal Talk' started by TheLoneFalcon, Sep 22, 2014.

  1. ChefMan21

    ChefMan21 Well-Known Member

    Without seeing the full details, or description of what their intentions are, looks to me like this is just transferring debt from one location to another, but now with either a few more or few less restrictions and requirements. We still owe the debt as a club, but it's a different owner of the debt.
  2. ChefMan21

    ChefMan21 Well-Known Member

    Less likely imo now with the oil glut. His new refinery might well be sitting idle for a little while...
  3. TheEconomist

    TheEconomist Well-Known Member

    Yep exactly. We just owe KSE the money rather than whichever banks/bond holders we previously borrowed from. The financing from kse is probably cheaper , but we don't know if that's for Arsenal's benefit or for KSEs benefit . Probably the latter
  4. FinnGooner

    FinnGooner Well-Known Member

    How could it not be for Arsenal’s benefit? In what scenario paying high interest rates is better than paying low interest rates? KSE might and probably will benefit as well, at least indirectly, but for sure Arsenal will.
  5. field442

    field442 Hates Journalists Named James

    He doesn’t necessarily have to charge interest either. Or we might only have to pay the interest but not have to pay off any of the loan. There’s a number of different ways this could play out. The flexibility is what’s key. Kroenke could decide to freeze any interest or debt repayments until the clubs financial situation is a lot better, like if we’re back in the Champions League for example. We didn’t have that freedom before this.
    Last edited: Jul 9, 2020
    Dj_sds - and FinnGooner like this.
  6. HairSprayGooners

    HairSprayGooners Transfer Junkie

    People just love to throw knives at the owners whenever they can because they haven't given us 500m in one summer.

    Lads we've spent a stupid amount of money on crap.

    Couldve built a very good team.
    BigPoppaPump, Dj_sds -, dbig and 6 others like this.
  7. 14Henry

    14Henry Well-Known Member

    Couldnt agree more. For what we have spent we could have assembled a good team. Maybe not a title winning team. But a top 4 team for sure. And maybe another cup or Europa league title along the way.
    lomekian likes this.
  8. African Flair

    African Flair Well-Known Member

    I'm sure we'll be paying a good sum in interest to the Kroenkes instead. If they covered the clubs debt by a another loan I don't really think it's beneficial for us. They surely aren't up to losing money for the sake of stability for the club.
  9. TheEconomist

    TheEconomist Well-Known Member

    Fair point, I was thinking along the lines that whatever is saved through the refinancing is frozen to the club by kse so it accumulates as cash and increases the value of the club rather than being of any real benefit to the club. Maybe cynical but I haven't seen any reason not to be cynical as far as kse are concerned
    FinnGooner likes this.
  10. Flying Okapis

    Flying Okapis Most Well-Known Member

    Its always the case, by the sounds of things this recent news is pretty positive but you still got people moaning or acting like we've just been screwed and it wont be long until claims are made that any non negative post on the subject/forum are paid for by Stan himself..
    Trilly likes this.
  11. tap-in

    tap-in Nothing Wrong With Me

    What I take from this is;

    • We still have our debt but at a lower interest rate.
    • The restructuring of the debt frees up ring fenced money for us to spend elsewhere or means we don't need to sell players to buy new ones.
    Both of these are positives so I've no complaints. If KSE are now getting interest from us so be it, its less interest then the banks would have been getting!
  12. Trilly

    Trilly The John Sauce Of Ilford

    The club is their investment.

    Enough blaming Stan Kroenke. He's not Sheikh Mansour but he's not Mike Ashley either. As others have said we've spent competitively just poorly.
    Dj_sds - and Flying Okapis like this.
  13. Jasard

    Jasard Forum Issue Troubleshooter

    It's his staff making poor decision after poor decision.
    Artisan likes this.
  14. DanDare

    DanDare Emoji Merchant

    Think it's hard to know what this means u til we get some kind of finances release.

    Did KSE take a loan out to finance this? If so you presume it was a good time to do so as interest rates are rock bottom. The interest they are paying if it was a loan they probably will pass on to Arsenal but might not, never know.

    Struggling to think of a downside. This idea of them doing something nefarious with Arsenal seems conspiracy theory like. They re buying these for long term investment
  15. Trofton

    Trofton Active Member

  16. Marjorie

    Marjorie Well-Known Member

    Good or bad? I think it's pretty obvious which, when we've got a capitalist yank running the show.
    Trofton likes this.
  17. Tom349

    Tom349 Well-Known Member

    The biggest issue with Stan has always been his lack of care for the club, happy to let Wenger take a large share of the blame for what has happened to the club since he took over when he should have been taking an interest to how we were operating i.e. no clear structure off the pitch.

    It seem Josh actually has an interest in the club and wants to be involved in decision making processes as shown by him being around the club on last preseason tour and getting Arteta to replace Emery.
  18. Dj_sds -

    Dj_sds - Well-Known Member

    This makes absolutely no sense. They own the club, every decision they make will be to increase the value of the club as efficiently as possible. A stable club is a more valuable club.
  19. Hunta

    Hunta NOT In A Caravan Trusted

    Let’s just hope they don’t take the Glazer route and start charging ridiculous interest.

    Otherwise this is good news, rather owe them ~£160m (although I thought it was ~£20m a year until 2031) than the banks.
  20. carter777

    carter777 Thinks Poch Is The GOAT

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