The Official Manchester United Thread

[Kompressor]

Lack of investor interest about to lead to the IPO being scrapped.

First the re-assessed the valuation, now it could be thrown out.

Maybe they'll try again but this time actually free up some power.

This is the real saga of the summer.

[Zizouz]

Sunday Times trashes Glazers’ Manchester United IPO prospectus

Every United supporter (and any potential MUFC share purchaser) should get a copy of the Sunday Times today - business section:

The Sunday Times July 29, 2012 at 7:06 am

Michael Moritz is a top Silicon Valley investor — and a Manchester United fan. He offers an alternative reading of its float prospectus

WE recently changed our corporate name from Red Football LLC to Manchester United Ltd because we thought the former might be considered un-American and confuse prospective purchasers of our shares with the former Soviet Union’s national team.

Our business is a globally recognised brand and we estimate 10% of the world’s population follow our football team. For our entire 2011 fiscal year our revenue was $513m (£326m) — roughly equivalent to the revenue Google generates every five days.

Our club is being listed in New York because legal and regulatory restrictions are more favourable to people who place enormous amounts of debt on companies than in other venues we have considered — such as London, Singapore and Hong Kong.

We have more than $1 billion of debt due within the next 220 weeks that we have no means of repaying. All the assets of the club have been mortgaged against these debts, including our training ground and even our interest in a small freight warehouse.

Since July 2008, we have paid $792m in interest and other finance costs which is more than Sir Alex Ferguson, our distinguished manager, has paid for all the players he has purchased during the past 20 years.

Because we are so desperate to raise money, our corporate tax rate will rise from the 27% levied in the UK to the 35% required in America.

Our legal structure ensures the Glazer family, our main shareholder, will maintain absolute control over the company after the offering. Between 2001 and 2009 our club paid the Glazers a total of $25m in fees and gave them a $15m loan.

Our executive co-chairman, Avram Glazer, was previously the chief executive of Zapata Corp, a fish-oil producer, that once attempted to become an internet company by changing its name to Zap.com. Zapata was bought in 2009 by Philip Falcone of Harbinger Capital who, last month, was charged with securities fraud by the Securities and Exchange Commission.

Our business model is to help the Glazer family, our controlling shareholder, stay one step ahead of the banks. We employ a variety of approaches to achieve this including:

• Raising ticket prices. Between 2005 and 2011 we were able to raise the average ticket price by almost 6% a year, which was almost double the rate of inflation in the UK during the same period.
  
• Increasing sponsorship revenue. Guests of our corporate sponsors, such as Nike, DHL, Aon or Turkish Airlines, will soon be able to view our players’ private training sessions. We used to conduct these activities in strict privacy.
  
• Boosting merchandise sales. Our new team shirts (which differ for home and away games) sell for $85. We sell many other branded products including car air fresheners, short nighties for women, four-poster bed canopies and a special men’s fragrance — Eau de Sport.
  

The competition for player and management talent in the Premier League is intense and our rival owners includes Russian oligarchs, Middle Eastern sovereigns, Indian chicken farmers and American hedge fund managers. Some of these have access to cash — which, unless this offering is successful, we do not.

Fortunately we don’t have to comply with the same reporting obligations as other public companies because our business qualifies in America under the newly passed Jobs Act as an “emerging growth company”. We emerged 134 years ago and in the past nine months our growth was 6%. The word “company” does apply to our club — although in a limited manner.

Old Trafford, our home ground, is called “The Theatre of Dreams”. Prospective purchasers of our stock will understand why.

sauce http://action.joinmust.org/index.php/blog/entry/sunday-times-trashes-glazers-manchester-united-ipo-prospectus/

[Fresh]

Doom & gloom

[Kompressor]

They will find a way to pay of what they have to. The Glazer's are many things, but they're not idiots.

Not surprised the IPO failed, if they revise the terms and make it in anyway attractive, and don't merely patronise the investors by saying "here, give us your money, you won't have any real voting power or decision making stroke, you won't make any "real" money from it, but you will get to say you "own" a piece of a team who is supported by 10% of the world and has more followers on Facebook than Jesus"

Then they may well make a success of it,

Maybe they were hit by a dose of realism as they have found that even getting Fergie to mouth of about how great they are, and talk about certain players by name in the press doesn't hold any weight with busines men around the world.

[Kompressor]

General Motors ousted its global marketing chief Joel Ewanick a little more than two years after he joined the company to lead an overhaul of its marketing strategy.

A source with knowledge of the matter said Ewanick failed to properly report financial details about a recent sponsorship deal between GM's mass-market Chevrolet brand and the world's most popular soccer club, Manchester United.

When asked about the source's observations on the sponsorship deal, Ewanick, 52, said in an email that he could not comment. GM signed on as the soccer club's automotive sponsor in a five-year deal announced in May.

The largest US automaker said on Sunday that Ewanick's departure was effective immediately. He will be replaced on an interim basis by Alan Batey, the head of US sales and service.

"He failed to meet the expectations that the company has for its employees," GM spokesman Greg Martin said. He declined to elaborate.

Ewanick was named vice president and head of GM's US marketing in May 2010, about seven months before the automaker's blockbuster initial public offering in November of that year.

"It has been a privilege & honor to work with the GM Team and to be a small part of Detroit's turnaround," Ewanick said on Twitter. "I wish everyone at GM all the best."

The first major effort under his watch was the "Chevy Runs Deep" campaign that launched at the start of the Major League Baseball's World Series in 2010. He was promoted to global chief marketing officer in December 2010.

One of the television ads that ran after GM's IPO shows a boxer being knocked down in slow motion, a failed rocket launch and a motorcycle crash. The tagline reads: "We all fall down. Thank you for helping us get back up." The ad hinted at the automaker's 2009 bankruptcy and federal bailout. GM is 26 percent owned by the US government.

CONTROVERSIAL MOVES

Ewanick joined GM from....

[Kompressor]

Nissan North America, where he served briefly as vice president and chief marketing officer.

Before that, he spent three years as vice president of marketing for Hyundai Motor America, where he helped power sales and market share gains for Hyundai in 2009 during a crushing slump in industry-wide sales. Ewanick pushed Hyundai into advertising at events like the Super Bowl and the Academy Awards just as other automakers, including GM, were pulling back.

In an official company biography, GM said Ewanick "was responsible for improving the positioning of the Chevrolet, Buick, GMC and Cadillac brands and consumer consideration of GM vehicles in the United States."

Ewanick pulled GM's paid advertising from Facebook earlier this year and announced recently that the automaker would not be advertising during the Super Bowl in 2013. Both moves were regarded as controversial within and outside of GM. However, earlier this month, sources said GM and Facebook executives were back in discussions.

Under Ewanick, GM also consolidated its global advertising and marketing, in a move intended to save the company about $2 billion over the next five years.

Reuters

[Kompressor]

Chevrolet to be new sponsors for 7 years.

[Kompressor]

f*ck MUST. if there's one united relate voice that spouts more bullshit than Gill and Fergie it's them.

I wouldn't put it past the Glazer's to pocket the cash, as that's why they bought the club in the first place but I'd prefer to hear the figures from a more reliable source.

If it is true however I guess it could mean that after they went through with that and filled their pockets, it could open the door to them selling the club at a slightly cheaper price than they currently value it as.

However I honestly don't understand why anyone would look twice at the current IPO as it makes no sense from

A investors point of view.

[Kompressor]

not even gonna read it, Taking my little cousins Ice skating later, wanna remain in a hospitable mood,

[Kompressor]

So Mr Manchester United and the head of the family, I.E the man who flogged the family silver could well be a direct financial beneficiary of the dealings.

Lol.

Gotta love the man.

[Young £]

hasn't he earned it?

you don't think?

[Kompressor]

Yes he has, by practically ushering in the glazer regime by way of his bullshit groundless argument with the horse breeders.

Then by offering them unwavering support despite the big price hikes and debt incurred by the clubs and accompanying interest payments and bond buybacks.

Whilst disrespecting any fans who question whether several million pounds worth of debt is in anyway hampering the competitiveness of the club, "f*ck of and watch Chelsea" comes to mind. Despite his socialist and trade union background. There's also the forward he wrote for a book realeased by supporters direct championing the importance of supporters and that they should be respected and involved in the running of clubs in some way.

The fact that he's pocketing bonus' from these movement also adds a extra dash if salt to what his comments should be taken with.

But yes, in terms of facilitating the takeover in the first place and ensuring the Glazer's have had a pretty smooth ride of it he deserves massive bonus'

[Gambino]

Gotta be honest I've never watched the whole owners business as long as we were staying competitive and winning trophies, also doing well with sponsorships etc. But this is taking the f*ck*ng piss them taking all that money if it goes through. Disgusted by that. I want them gone now as well. Fergie has disappointed me too.

[Kompressor]

Some redemption, Fergie's come out and said he's not gaining anything directly or indirectly from the IPO.

He claims he's gone public with it to prevent tge media creating a rift between him and any United fans. Lol

[Young £]

you sound upset?

[Kompressor]

Upset?

i started out with "Some redemption" meaning its a good thing,

if you're referring to my LOL at the end was due to Alex Ferguson constantly having a go at the fans and showing the fans complete contempt since god knows when (i'm not on about his complaints about the atmosphere which he is 100% right about) coupled with his comments last week and now he's on about acting so as not to create a rift with the fans,

there are large groups of fans who have disliked the man (for non-footballing reasons) since the 90's the him talking about "preventing" rifts is a over a decade late, hence the LOL.

[Young £]

yeah I was on about the Lol, get you though.

[Mame Biram Diouf]

Wonder if Ice still thinks they have been great owners

[Kompressor]

My views on the organisation are known already but MUST are trying to get 500.000 names to sign a letter to the banks asking them to stop or foil the IPO.

Takes about 30 seconds to do,

If the IPO does fail the club could well end up being sold.

However on the other side of the coin it could be sold to a rich Arab type or oil barren but could also be sold to Glazer x10

Here the link if anyone's interested.

http://action.joinmust.org/page/speakout/fairshare

[Young £]

Wonder if Ice still thinks they have been great owners

they have

[Young £]

Only July 26, 2012, consistent with our strategy to grow our global sponsorship revenue, we entered into an agreement with General Motors for Chevrolet to become our exclusive shirt sponsor, beginning in our 2014/15 season. The term of the agreement runs through the end of the 2020/21 season. Annual revenue from our new shirt sponsorship agreement will be $70.0 million in the first season, and will increase by an additional 2.1% in each season thereafter through the term of the agreement. We will also receive approximately $18.6 million in fees in each of the 2012/13 season and 2013/14 season under the terms of our new shirt sponsorship agreement. Total revenue payable through the end of the 2020/21 season under our new shirt sponsorship agreement is approximately $559 million

there goes half of that debt?

could this be the reason for the IPO change?

[Kompressor]

Wonder if Ice still thinks they have been great owners

they have

How so?

[Young £]

Wonder if Ice still thinks they have been great owners

they have

How so?

Most successful era in our Clubs History, hard to argue with that ain't it