When Ashley Bought Newcastle It Was A Financial Mess


Bobby Moncur has defended Newcastle club owner Mike Ashley today.

Mike Ashley – inherited a financial mess

Mike Ashley is under fire from some Newcastle fans for spending no net transfer money, as yet, this summer in the transfer window, after the owner said in early February he would reinvest the £35M the club got for Andy Carroll from Liverpool.

Newcastle have signed free agents Demba Ba, and French midfielders Sylvain Marveaux and Mehdi Abeid – and the £4.5M fee paid out for Yohan Cabaye was canceled out by the £4.5M Newcastle received from West Ham for former captain Kevin Nolan.

Most of the £35M has seemingly gone towards the wages of the new players, over the length of their contracts, but nothing has yet been shelled out in transfer fees, that’s for sure.

But Moncur has said the complete financial mess that Mike Ashley inherited from former Chairman Freddy Shepherd when he bought Newcastle back in 2007, has made it difficult fot the owner, especially after the club were also surprisingly relegated in the summer of 2009.

Under Freddy Shepherd the club seemed to spend big money, that they just didn’t have – picky picky.

This is what Bobby Moncur said today:

“To be fair to Mike Ashley and Derek Llambias, there’s no doubt the club were in big trouble.”  “They managed to stabilize it and they have a plan to move on from here.”

“It’s not a case of buying massive names – Rome wasn’t built in a day.”  “People say, ‘Where has the £35M gone?’. But I’m sure there’s a good explanation.”

“When Mike Ashley went in, it was a mess. That’s why he tried to sell the club.’’  “I think they got off to a terrible start when they took over. They need to try to get together with the fans.”

That last sentence is what we’ve been saying for the last four years since Mike has been the owner of Newcastle, but the hierarchy for some strange reason refuse to even talk to the Newcastle fans, and that is hardly helping them.

There’s no doubt Newcastle are putting their financial house in order,  and we also have to remember that at some stage the club will need to pay back the £130M or whatever the latest figure is, that Mike Ashley has loaned the club at a zero interest rate, to help pay off the debts.

Mike Ashley did get a surprise two months after taking over Newcastle, that the club  had a £100M debt that he knew nothing about,  when he bought the club in May of 2007, because Mike didn’t take the time to do the requisite due diligence.

Newcastle are seemingly in a much safer and stronger financial stae now,  than they were  four years ago.

Comments welcome.



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32 comments so far

  • mashearer

    Jul 24, 2011 at 3:45 AM

    Comment #1

    all hail ashley!!!

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  • Robby Bobson

    Jul 24, 2011 at 3:49 AM

    Comment #2

    Ive never blamed ashley ovet money…as at the moment we are in the same position as when he took over footballing wise but alot more stable financily wise

    My problem is that hes a ruthless arrogant cock.

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  • aussiemag

    Jul 24, 2011 at 3:58 AM

    Comment #3

    See Ashley’s not all that bad really.
    What other person would lend you 100M Pounds and not ask for a red cent of interest.
    HWTL!

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  • Robby Bobson

    Jul 24, 2011 at 4:03 AM

    Comment #4

    PS…alcohol

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  • Smooth moves Shola

    Jul 24, 2011 at 4:13 AM

    Comment #5

    Mike, you are my salvation, I worship you!!

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  • Smooth moves Shola

    Jul 24, 2011 at 4:14 AM

    Comment #6

    PS… yes please

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  • gndtoon

    Jul 24, 2011 at 4:28 AM

    Comment #7

    JUST GOT BACK FROM THE GAME !!! i am uploading pics right now . it was COMPLETE shite game. reffering was HORRIBLE but please dont be disolutioned. this was a TERRIBLE seriously absoloute piss poor performance. its pre season so nothing very serious but work needs to be done, and alot of it. barton ben arfa and the keys to Newcastle there’s not a single player that played well down the wing. its a huge concern also i’d say forester is behind harper and krul in terms of ability.

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  • gndtoon

    Jul 24, 2011 at 4:28 AM

    Comment #8

    WOR JACKIE WAS AT THE GAME WASN’T HE !

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  • Baro

    Jul 24, 2011 at 4:43 AM

    Comment #9

    Squad vs arsenal

    …………………………..Erdinc……………………..
    Jonas………………..Ben Arfa……………Barton
    ……………………Cabaye….Tiote………………..
    Enrique………….Colo……….Tayls………..TAV
    ………………………….Harper……………………..

    Subs. (down to who wants it the most)
    Krul
    N.Ranger
    M.Abeid
    Marveaux
    D.Simmo
    Ba
    Ameobi
    Best
    Gosling

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  • wynbae

    Jul 24, 2011 at 6:14 AM

    Comment #10

    I agree with Bobby Moncur, as per my comments against the last Erdinc article. Some inital crappy decision making from MA and DL, but the club has got some financial stability now, no more spending cash that doesn’t exist on over-priced players seeing out their career. Still, some good buys so far this window, but we are approaching the point where MA may need to pay the premium to get a couple of extra top players, that will help put us in the top half the table. Sturidge for 15 mill, and Erdinc for 7 -ish. Plus maybe a couple more young Frenchman with potential, seems to work well for us, and they might bring some sulky-but-useful va-va-voom to the provincial table.

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  • NEWEXPATMAGPIE

    Jul 24, 2011 at 6:16 AM

    Comment #11

    The reserves are doing really well here in Holland !
    2-0 behind with 31 minutes to go, won 2-3
    Apparantly Barton played really well.
    Just hope that they brought at least one scout with them!
    There is a rich vein of talent here just waiting to be discovered. Lets hope that we sign the needed players soon.
    Still need to be convinced about the Eerdic striker from PSG. Is it really wise to sign a player who is reported as not wanting to come and play for us? It could be that the press are just printing Bull !

    As for the loss in America ! No Panic !
    And Yes i think the Club is healthier financially now than before Ashley and Llambias took over!

    The support are just extremely unpatient, and expect to become a top four club over night ! We are moving in the right direction and are well on our way to where we should be!
    Time and a new season will let us know just how far we have come!

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  • toonarmy1986

    Jul 24, 2011 at 7:23 AM

    Comment #12

    I don’t understand why we haven’t gone for Gary Hooper from Celtic. He’s young, cheap and has huge potential which he has shown these last two seasons with a stack of goals. Worth a gamble to me, probably more so than 7 million on Erdinc if that happens.

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  • geoff777

    Jul 24, 2011 at 7:23 AM

    Comment #13

    Cheapskate billionaire.

    Get some money spent or sell up … what is the point in him owning the club?

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  • AndytheScientist

    Jul 24, 2011 at 7:41 AM

    Comment #14

    The club is no more secure now than it ever was, it still owes 100M debt. The name on the debt is Ashleys instead of Barclays, and he will have this money back before he goes.

    The club no longer owns the land around st james park (this is now in ashleys name).

    Fact is because of Mike Ashley we got relegated. It was his decisions that sold players we could not afford to sell that season in milner, nzogbia and given. It was Mike Ashley that appointed Joe f-ing Kinnear, who destroyed the team spirit.

    Can’t believe anyone is greatful for what he has done. The truth is if MA had not bought the club, we’d currently be in Man Cities position, and it was our club they wanted to buy first, but he wanted to double his money.

    So am i grateful? Not me, mike ashley has destroyed my love of football, and left a bad taste in the mouth. He doesn’t care less for my club, and is simply using it to promote his rubbish shops for free. 30M in expenses, and 20M off the loan this year, that’s where all the money has gone.

    And we’re supposed to be thankful.. joke

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  • fungus44

    Jul 24, 2011 at 7:54 AM

    Comment #15

    if it was not for ashley we would have been a protmotuh as for being a man city if they wanted to by us why did they not come for the club be for ashley did i for one am happy he saved us ,but not in the way he is going about doing it on the cheep mone over

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  • ilovetoon8788

    Jul 24, 2011 at 8:00 AM

    Comment #16

    How come we lost to a side which is in the third tier in the USA?? Manchester United are brushing their opponents off and we are struggling. Just a friendly though. Not impressed with Vuckic. Clearly development has stalled. Nowhere near first team quality. Abeid looks like a real gem. So much trickery, pace. Could be our number 10.

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  • wynbae

    Jul 24, 2011 at 8:12 AM

    Comment #17

    I just want to understand who this mystery owner is, that everyone reckons we’d be better off with? Don’t think there’s anyone in the North-East who has cash in the bank to be whacking down 20+ million per player, in the midst of global financial crysis that is far from over. Banks won’t even finance the overdrafts for reckless spending like they used to. So is the consensus that we’d be better off owned by some overseas consortium of dubious heritage? Or should we be owned by someone local who’ll ‘do their best’, with the meagre funds that they’ve got available. That second option sounds like a one-way-ticket to relegation to me. Ash has made some big mistakes, and is paying for it because most of the fans of the club he bought hate him now. The only way he’s going to re-coup the cash he’s invested, and return to the terraces to enjoy watching the club he bought, is to bring it success and results. That’s going to need good decision making, and some smart investment. Yes, we definitely need some more good players though, everyone agrees on that one!!! Probably even Ash.

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  • MAApologist

    Jul 24, 2011 at 8:33 AM

    Comment #18

    So who is responsible for the decline in fortunes at the club?
    We can blame Ashley as he should have known what he was buying when he bought it, is that fair though?
    Sir John seemed very keen to take his £55 million for the shares after investing “£0 ” in the club and using the fans money and complicated loans to ” build up the brand”.
    To me SJH and FS were the ones walking away with the clubs ” fans” money, the money that Ashley does not now have to spend.
    Non of our previous owners invested more in the club than they took out so is our real problem with Ashley that he is no Russian or Arab oil billionaire who wants to throw millions at a team and destabilise the PL?

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  • ardenTOON

    Jul 24, 2011 at 9:28 AM

    Comment #19

    I personally believe AC had to go financially speaking cause he will nevr again be worth anywhere near what liverpool offered us

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  • NEWEXPATMAGPIE

    Jul 24, 2011 at 9:58 AM

    Comment #20

    The doom and gloom prophets are back again!

    If Ashly had not come when he did we would of gone the same way that Leeds, Southampton, and The Boro have gone!

    Man Shitty have a Multi-Billionare owner who has a hell of a lot more money than Ashley has! And any club could be big with that amount of Capital!

    I don,t want us to become another Chelski or Manshitty where Money appears to be more important than the game itself. Maybe i,me being unrealistic but i think that that way of doing business SUX !
    The days when clubs bid over the odds for Prima Donna,s and overpaid,oversexd, and over the top players should be long gone and hopefully there will come a time when that will happen!

    I have an idea that the last two posters on here are not Mags! Where is the decline in relegation one year and Promotion again the year after. Have you been sat with your heads up your Arses for the last two years!

    35 Mil for Carroll was a good deal, Tiote from Twente was an more than excellant coup! The French signings are,nt yet proven but are also good signings!
    So i ask you again, “Where is the Decline and the Doom and Gloom coming from””!

    You are entitled to your opinions of course but i disagree with them, and reserve the right to do so!

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  • MrToon

    Jul 24, 2011 at 10:16 AM

    Comment #21

    Sure Ashley has been great at balancing the books, fans

    love to hear that the club is stable. But what all clubs

    have to remember is that it’s fans that make professional

    football!. With out fans going to games, buying

    merchandise even just watching the game on tv, there

    would be no premier league. So because we are the heart

    and soul of football we deserve to be told the truth about

    our clubs. Not kept in the dark !!!

    If you want to keep your fans on your side, then

    communicate with them.

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  • Defiant

    Jul 24, 2011 at 10:20 AM

    Comment #22

    @14.
    St James park and the land around it are part of the Town Moor. It was leased from the Freemen of the city “for the purpose of playing football” under the terms of the Town Moor (1774). The later Town Moor act (1988) specifies that the freehold sits with the city council.
    Thus Newcastle United do not own and never have owned the freehold so no part of it can have been transferred into MA’s name.
    A good example of someone believing what they want to hear. Perhaps you could try doing some research before publishing pub gossip.
    Defiant.

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  • Burni

    Jul 24, 2011 at 10:24 AM

    Comment #23

    Mike ashley used to listen and talk with the fans, often in fact. He also went to away games, in the stands!

    Then he got the fans keegan coz they asked him too. Then keegan tried to tell him how to do his job, spat his dummy out and quit. Now the fans hate ashley.

    Aye before u say wise was buying players and they were crap fair do’s but he went as soon as ashley realised. i also know that they have admitted to lying in the past and thats the one thing i do think hes a tool gor doing.

    I think this whole ‘buy a football club’ malarky is a case of trial and error. I think he is trying to make nufc succesful i really do!

    Its funny too coz some of use are so quick to say that he doesnt care bout the toon but as a lot of people say on here, why would anyone destroy a business which they own, they wouldnt knowingly do it, it doesnt make sense!

    I agree with one poster before who says that they have a bitter taste in their mouth coz of ashley but as others have said, we could be like leeds or boro u know….

    So howay lads it could be worse.

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  • ASTORIA

    Jul 24, 2011 at 11:07 AM

    Comment #24

    I’ve lost a lot of respect for Moncur of late due to his embarrassing defence on the undefencable.

    I’m not sure relegation would class as stabilising in my opinion?

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  • MacToon

    Jul 24, 2011 at 11:13 AM

    Comment #25

    I usually agree with Bobby Moncur but this time I don’t, the big part of the debt was for the stadium expansion and the rest was ofc on players like exEMO, how I see it is that was a controlled debt with the money being paid off for the stadium and players.
    but believe what you like I don’t care, Ashley is our saviour.. all praise the mighty fat one!

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  • GeordieDan

    Jul 24, 2011 at 11:40 AM

    Comment #26

    “When Mike Ashley bought Newcastle it was in a Financial mess” Y-A-W-N

    Really can’t be bothered to get into yet another pointless conversation about a pointless moron like Ashley.

    Its bad enough reading regurgetations of old made-up transfer BS without reading re-hashed bollox about Fat Mike. Couldn’t be less interested.

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  • dave 1961

    Jul 24, 2011 at 12:00 PM

    Comment #27

    AndytheScientist spot on and he did no about the £79m debt he just failed to read the small print that the debt was secured against hall land and when the halls sold the banks called in the loans.

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  • Sav

    Jul 24, 2011 at 12:03 PM

    Comment #28

    What has any of that got to do with appointing the likes of Joe Kinnear, lying to the fans and to KK, hiring Denis Wise or most of the rest of the embarrassment that has characterised Mike Ashley’s ownership. And whatever about Ashley pulling the finaces around, its got nothing to do with the disgraceful streaker, Llambias.

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  • dave 1961

    Jul 24, 2011 at 12:14 PM

    Comment #29

    Defiant your wrong the land St James park is on is lease hold and part of the moor we have 90+ years on it as it was re negotiated by the halls but the land around the metro station was free hold as it was never part of the moor it was part of the city, as this was just outside the city walls and was populated by they poor who could not afford the protection the city walls game.

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  • dave 1961

    Jul 24, 2011 at 12:59 PM

    Comment #30

    Sav these events led directly to the loss of £30m of Ashley money but instead of investing the cash he loaned his own money to himself when he should have just done a capitol injection or re finance the business and we would have no debt Ashley is getting vast amounts of free advertising for his main business I would guess about £30m free advertising annually.

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  • Real Toon Army Fan

    Jul 25, 2011 at 4:58 AM

    Comment #31

    WHATS GOING ON WITH THE BOARD AND MIKE ASHLEY ? THE CLUB HAS GOT 40 MILLION TO SPEND AFTER THE SALE OF KEVIN NOLAN AND THE SALE OF ANDY CARROL OK THE CLUB CAN KEEP 10 MILLION THE CLUB HAS JUST BROUGHT IN ONE PLAYER FOR 5 MILLION AND THREE FREE TRANSFERS.SO THE FOOTBALL CLUB STILL NEEDS TO SPEND 25 MILLION.

    AND WHY IS THE CLUB LOOKING LETTING ONE MORE OUR BEST PLAYERS GO IN DEFENCE.ALAN PAR DEW IS A YES MAN AS WELL HE DOES WHAT EVER THE BOARD AND MIKE ASHLEY TELLS HIM TO SAY ABOUT PLAYERS ALL THE AT THE TIME.

    CUSS YOU KNOW ITS ALL LIES HE IS SAYING ABOUT THE PLAYERS LIKE NOLAN AND THE OTHER 1 GOOD PLAYER WE HAVE IN DEFENCE ABOUT IE THERE CONTRACTS WAGES ITS JUST A COVER UP MIKE ASHLEY CUSS WE THE FOOTBALL CLUB IS A SELLING AND MIKE ASHLEY IS BLEEEDING US FANS AND THE FOOTBALL CLUB OF PLAYERS DRY .

    CUSS WE ARE TOTALLY TURNING INTO A SELLING CLUB LIKE THE TIMES HAS SAID.UNLESS THE MONEY IS NOT PUT BACK INTO THE CLUB THOUGH PLAYERS AND THE YOUTH SET UP MORE WE ARE NOT GOING DO VERY WELL NEXT SESSION.

    OR IN THE FUTURE THATS WHY I FEEL THE FOOTBALL CLUB NEEDS A TOTAL STRONG 22 SQUAD AND WE NEED 3 WORLD CLASS DEFENDERS 6 IF Jose Enrique GOES SELL Michael Williamson. WE NEED A WORLD CLASS STRIKER SELL SHOLA AMEOBI KEEP THE OTHER 3 AND LOAN RANGER OUT.

    IF THE MONEY DOES GET SPENT WHAT I SAY I BY THE TIME THE TRANSFER WINDOW SHUTS ALL US REAL NEWCASTLE UTD FANS SHOULD GET MIKE ASHLEY OUT HOW YOU ASK THOUGH A FACEBOOK ACTION GROUP, DONT BUY ANY SESSION TICKETS OR TICKETS TO WATCH THEM PLAY.

    DONT SPEND ANY MONEY THE FOOTBALL CLUB IE CLUB SHOP’ SHEARES BAR’ STADIUM TOURS ETC SPORTS DIRECT WEB SITES HIT HIM WERE IT HURTS THE POCKET REMEMBER HE IS A BUSINESS MAN.

    LETS ALL UNITE ON THIS WE NEED AT LEAST HALF OF THE STADIUMS SUPPORT ON THIS ITS PEOPLE POWER REMEMBER THAT MOVE AS A TEAM NEVER MOVE ALONE. BUTS LETS SEE IF MIKE ASHLEY STICKS TO HIS WORD IN WHAT HE SAID AFTER THE CLUB SOLD ANDY CARROLL AND THE MONEY TO SIGN NEW PLAYERS BUT LETS WENT AND SEE.

    AT THE END OF THIS TRANSFER WINDOW ?

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  • puretoon

    Jul 25, 2011 at 9:57 PM

    Comment #32

    It was Ashley’s fault he didn’t do due diligence-he’s supposed to be a business man so find that disgustinig. The Halls et al probs couldn’t believe their luck when Ashley turned up with the cash but didn’t do due diligence!
    The sooner the fat controller and his bitches push off the better.
    I’ve gone off Moncur too now for saying that.

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