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Oxford

angelic upstart

Very well known Exeweb poster
Joined
Jul 8, 2004
Messages
27,489
So are Oxford in administration or not?
 

MJP_Exeter

Well-known Exeweb poster
Joined
Mar 2, 2006
Messages
9,374
Location
Honiton
 

Grecian2K

Very well known Exeweb poster
Joined
Mar 9, 2004
Messages
32,829
Location
Busy knitting muesli
Interesting insight into their running costs just posted on ConfForums!!
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Oxford United chairman Nick Merry writes that "Fans, sponsors and the press are aware of the action taken by the Stadium Company, Firoka (Oxford United Stadium) Ltd, on Tuesday at the Oxford United home game against Cambridge as they failed to service the Club's food and beverages requirement for the fixture. This affected supporters, sponsors and officials alike and was hugely embarrassing all round for everyone involved with Oxford particularly with the live cameras there showing Oxford United finally break its live-TV duck. We would like to apologise to all of our supporters who dealt with the situation with a tremendous show of loyalty and a large dose of common sense, perhaps buoyed by a great win. It is not the first time that supporters have had to deal with disappointment from this source.

We have been asked to comment publicly on the reported statements made by John Angus and Firoz Kassam in the past 24 hours on this matter. We would preface these responses by pointing out that we have to continue dealing with these people if the main Oxford United objective is ever to be reached of acquiring the Stadium and Conference Centre in order for Oxford United to be self-sufficient with its own incomes and without the current high rent.

Mr Angus is quoted as saying: 'Each quarter a payment is required for the rent which has not been met. We have spoken to the club since lunchtime today (September 23rd) and asked them for payment. The payment was not forthcoming and we could not provide a food service without that'. Mr Kassam is reported as saying: 'The rent is due. Every quarter we have had to get the bailiffs to get the rent. In the current financial climate we are looking to run our business more efficiently'.

The true facts are that the rent was not due at the time of Tuesday's game. It is only due on the 29th September, next Monday which is quarter day. The Stadium Company insisted that it was due on September 25th (this coming Thursday) and - in breach of the Stadium Licence - that Oxford United provides them with a September 25th postdated cheque for the full £117,103 by that afternoon of September 23rd or they would withdraw services from the game. In response to the assertion that bailiffs have been used every quarter to enforce the rent, the true facts are that bailiffs have never been used to get the Stadium rent throughout the 10 quarters since we took over the Club. It is always a great struggle to pay the quarterly Stadium Rent of £117,103 yet on average, over two and a half years and 10 quarters since we acquired the Club, the Rent has been paid an average of only 8 days late and the latest ever was 30 days.

The shop rent of £7,931 was overlooked one quarter and the bailiffs arrived unannounced after only 6 days. That is the only occasion in our tenure when bailiffs have been used against Oxford United as was disclosed at the recent AGM. Most Landlords are reasonable with rental payments, particularly in difficult times. This seems not to be the case with Firoka. For completeness, when considering amounts owed by Oxford United to Firoka, there are always routine small amounts outstanding between the parties for catering, hotels etc. As at Tuesday's invoices, Oxford United owed Firoka £3,645 and Firoka owed the club £1,902... This recent event is a clear example of the kind of unreasonableness which has made dealing with the Stadium Company so difficult over the last 2 years... We make no secret of the financial difficulties of running a Football Club with falling attendances and high Stadium rent and other costs. Every month is a struggle and our Investors and myself have already put in far more money than we wished.

However, whilst a serious possibility, it would be so frustrating and annoying for the Board and for all Oxford supporters for us to fail when we are closer than ever to a realistic partnership which, within 12 months, could return the Stadium to Oxford United, allow Mr Kassam a reasonable financial exit and allow the Club thereafter to fund itself within its own means from stadium revenues. We would ask Mr Kassam to help as much as possible in these mutually difficult times".

Meanwhile, Oxford Mail adds that "After a turbulent few days for the club, chairman Nick Merry and chief investor Ian Lenagan broke their silence, as former owner Firoz Kassam claimed that he was still owed money... No official statement has been made on speculation among fans that the club might opt to go into administration. However, the Oxford Mail understands that option is not being seriously considered. Responding to claims that he was being made a scapegoat for the on and off-the-field problems, Mr Kassam said: 'It's very nice and easy to blame Kassam for everything'... Mr Kassam's Firoka company refused to serve food to United's directors, in protest at what it called 'non-payment of bills'. United pay more than £400,000 a year to their former chairman for the use of the stadium that bears his name... The acquisition of the stadium is crucial to United's future financial stability, but Mr Kassam remained defiant over Mr Merry and Mr Lenagan's apparent inability to come up with the £13m needed to buy it. He said: 'The situation has always been there. If they cannot raise the money it is the current owner's problem, not mine'. When asked if he wanted to see United fold, he said: 'Absolutely not, but people have to run their business'".

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Nearly £1/2 Million a year just to use the pitch (with Kassam apparently also keeping all of the "incidental" revenue) - jeeez.

Our of curiosity, does anyone know what the annual cost of using SJP is??
 
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