Steve Gibson writes off nearly £107 million of loans

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Otto42 said:
This is the option indeedido has touted for some time, I think it’s a significant statement of intent. I actually think if we could get promoted in the next couple of years we could be more sustainable as a top flight entity than we were back in the late 90s. We are looking to develop players now out of necessity, indeed more like we were late 80s. Only my take and am no expert, but imho it’s a great thing.
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We always developed players no matter what era.
 
Good to see a bit of humble pie eaten.

Ive always had the opinion that he is the best chairman we ever had or probably ever will have. We were a nothing club for the most part and he made daydreams come true.
I do hope he sells to the right people, if its like Newcastle Leeds etc that's me out after 55 years.
 
indeedido said:
As others have posted, nobody can be remotely sure of his motive or timing.

But they can be sure that it is not just a gesture or gimmick.
That money was owed to Group, but effectively Bulkhaul where the Undertakings were offset. It impacts the look of Bulkhaul if it were a Stand alone company - markedly.

Converting that debt to equity when you already have all the shares and they are not listed is effectively taking money from the Balance Sheet of Bulkhaul and adding it to MFC.
Prior profit earned by Bulkhaul had effectively been sat as a loan (liability) on MFC's books. Bulkhaul's Nett Value was maintained, but that loan has effectively been cancelled, writing down the Book value of where it came from, but making MFC look much less disastrous and in fact more in line with lots of other clubs.
That the losses will continue in this league, means GON will still have to cover them.

Stuff Ive been posting for ages is still completely valid.
MFC needs promotion to access revenues that give it a chance of being self sufficient. In the Championship there is no chance and somebody has to cover them.
The Bank of Gibson O'Neill does not have a bottomless pit.
Not going up last season was a huge blow for him once it looked highly likely we would.
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Is promotion really the golden goose. Clubs are still having to pay out 90% plus of their turnover on wages just to try and win a point.
 
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