Derek LLambias was forced to defend his decision to sign a sponsorship deal with Wonga, the pay-day loan company, and Derek says the club did background research into the company, and found nothing wrong with the way they do business.
Alan Pardew and Derek LLambias at news conference yesterday
The deal has the Newcastle City Cuncil members seemingly up in arms, that Newcastle United have become associated with a company that hardly has a good name in the UK.
This is how Derek LLambias defended Newcastle’s decision:
“We have done our background research into Wonga. They are a legal company, they have licences.” “They have 30,000 customers in the region. Their complaints are next to zero. There are banks and institutions with far worse feedback than Wonga. There are enough people saying Wonga is a terrible brand, but why?”
“People buy into Wonga because they buy into it. You are not forced to sign a deal with Wonga, you are not forced to sign a deal with any bank or lender. People in the North East or anywhere, have a mind to themselves to decide whether they want to sign a deal or not. I am delighted to have this club associated with this brand.”
One reason it’s thought that sponsoring Newcastle would be a good deal for Wonga, is that they are expanding into South Africa, where Newcastle have a very good following, as you saw in the summer, when there were rumors Newcastle would play some of their pres-season games there.
What are the chances that Newcastle will tour South Africa next summer?
It would be great for the many fans in South Africa, who were bitterly disappointed that Newcastle chose not to play there last summer.
Finally, we are running a poll to try to gauge what fans think of the overall deal – please vote if you haven’t already done so.
78 comments so far
beefman13
Oct 10, 2012 at 12:27 PM
Comment #41Etihad, sponsor man city from a country who still surpress their own women, thats very moralistic isnt it, and man city are a figure head for their company.
no fuss about that cos they got in hundreds of millions.
Peter Beardsley
Oct 10, 2012 at 12:29 PM
Comment #42@beefman13
I think you’ll find plenty of fuss being made about Man City and their owners! 😮
beefman13
Oct 10, 2012 at 12:30 PM
Comment #43pb, are those other bloggers disrespecting my views and opinions as well i think so they are always moaning their tits off, lemon suckers 99.99 per cent of the time, bit like your self.
do you not get sick of moaning about something every day, it pulls everything down you`s are just a complete depressant.
beefman13
Oct 10, 2012 at 12:33 PM
Comment #44beardsley, i have not heard a thing in the papers about man city and not even when they done the deal. they as a sponsor surpress their own people.
pbNcl
Oct 10, 2012 at 12:34 PM
Comment #45Go thru my past posts sweetheart, you’ll see I’m no moaner. Quite the opposite. However, this deal, is a disgrace
Back to work anyhow lunch over
beefman13
Oct 10, 2012 at 12:37 PM
Comment #46Its bloody double standards by our fans winging on.
we go out we mainly talk about football woman and booze, i have not ever heard anyone bring up the morality of what wonga are doin until we get sponsored by them.
get yourselfs to preachers corner in hyde park.
pbNcl
Oct 10, 2012 at 12:38 PM
Comment #47Lemon suckers! Hahaha have you heard yourself you clown. Chucking insults about with no intelligence, I’m constantly positive about NUFC. I don’t like wonga. And I don’t like your stinkin attitude
Woof woof
Peter Beardsley
Oct 10, 2012 at 12:38 PM
Comment #48@beefman13
Year I agree with you, more should be said about the human rights implications regarding the Man City owners. It’s a shame that money talks louder to many than the reality of the situation. What was that Bob Dylan lyric, “Money doesn’t talk, it swears” or something!
jesperfuglsang
Oct 10, 2012 at 12:39 PM
Comment #49Beefman…I guess it is a big thing in the North East; I do wonder if it was the same when Northern Rock or Newcastle Brown Ale was sponsering us? You know supporting the finansial crack and condoning alcoholism and all that.
…for me it is just much ado about nothing really!
Just asking for a new thread for the rest of us to have another Newcastle related discussion 🙂
beefman13
Oct 10, 2012 at 12:40 PM
Comment #50pb, that was some slice of beef you gave back!
damp squib. i knew it would be anyway.
martoon
Oct 10, 2012 at 12:42 PM
Comment #51Whilst I agree Wonga are not the ideal sponsors then who is? If for instance a retail electrical store was our sponsor would that be OK given that most appliances are made in a sweatshop in China or India. If it was a supermarket then most of them exploit farmers in third world countries.
People seem to pick & choose when to be moralistic – when we were sponsored by a brewery nobody suggested putting some of the money into alcoholics anonymous.
beefman13
Oct 10, 2012 at 12:46 PM
Comment #52in fairness jesper i was having a craic with a few others on the subject so it interested me,.
Ed must feel this is still the major topic which of course it is, bypass my posts no problem talk about something else someone may pick up on it.
many a time i have been on here when bloggers have been woffling on about what they want to speak about thats fair comment they are free to do that.
i disagree strongly with the lemon suckers so if they are going to start preaching morality then they will get a genuine big slice of beef.
nufc90
Oct 10, 2012 at 12:50 PM
Comment #53Wonga wouldn’t have been my choice but I’m not complaining if they’re putting money into our club. If people choose to take out loans with them that’s their choice and perhaps those taking moral high ground in the papers, etc should look at the authorities who allow them to be legal. It’s just ridiculous how everyone is taking the moral high ground with us when you look at other clubs’ sponsors.
beefman13
Oct 10, 2012 at 12:52 PM
Comment #54Martoon,that is what is bugging me the most the morality issue.
you summed it up fine, we are not the only ones to have a sponsor who you could take a bit of an issue with there are many
you can bet your botton dollar 95% of the ones moaining dont like MA.
Peter Beardsley
Oct 10, 2012 at 12:54 PM
Comment #55@martoon
I agree with you completely, I think this issue has brought to light some of the problems of capitalism and what the unregulated rewarding of greed leads to…………….. Maybe this discussion is for an other place:) Football anyone? 🙂
pbNcl
Oct 10, 2012 at 12:58 PM
Comment #56Ill fu*kin sing about morality all day long son, cos its something I believe in. And if you want a slice of beef ill give you more than that you gnat. Keyboard warrior
Anyhoooo back to graft
beefman13
Oct 10, 2012 at 1:00 PM
Comment #57peter beardsley, your name sake has came out and said its a terrific deal for the club.
now then one up front in the derby.
would play one up front supported by benny with fergie left wing jonas left back and anita cabaye tiote in the middle hopefully saylor colo and krul are back santon at right back still; and bring shola and or demba or cisse on with 30 mins left weather we are winning or not to shake it up even more, but not 442.
Ibizatoon - Back by popular demand
Oct 10, 2012 at 1:02 PM
Comment #58Question for everyone. Let’s discuss APR rates and what we consider would be reasonable for a company to offer for a second. I have seen people say “Why don’t Wonga just offer the same rate as banks, say 21% (APR)”.
Using the Wonga method and service that they are offering:
£400 loan for 30 days.
£400 @ 21% = £84 p.a
£84/365 = £0.23 p.d
£0.23 x 30 days = £6.90
Are people really thinking a business (or evil corporation if you wish) should be receiving what equates to 1.725% of the loan for what is considered a short term high risk loan?
Please don’t think I am saying their rates are fair, but you cannot apply the logic of bank rates (APR) to such a service, can you?
From what I have read (not experienced myself), there are certainly cases where the collection and help offered by Wonga has been suspect to say the least and these incidents should be looked in to, reported and dealt with, however, these occurrences do happen at most companies, doesn’t make it right, but also shouldn’t be used to just single out one company.
If we’re talking about the service the company offers though to people, are they not within their rights to charge what they see as the right rate as long as people are aware of the cost?
Perhaps we need to be discussing why there aren’t other alternatives out there for people between a rock and a hard place as this is not actually the service for these people and the sad thing is they have or feel they have nowhere else to turn. That for me is the social issue and question.
Don’t want to cause offense, I can see some people are passionate about this and that is understandable, but I do feel, perhaps incorrectly, some issues are being crossed here and making a final conclusion more difficult that it should be.
beefman13
Oct 10, 2012 at 1:10 PM
Comment #59PB your a morality hypocrite people like you always are, thought you were going back to work any way.
Are you a Priest by the way, we had one of them on last night. YOU REALLY SOUND LIKE ONE YOU BIG GNAT HA HA GIVE OVER!!!
beefman13
Oct 10, 2012 at 1:20 PM
Comment #60there is so much shit going on in the world with child killers and wars and oppresion and dictatorships.
then we have false profits who work in the local accounts office preaching to me about there ethical morals beacuse a company has givin the club he supports 24 million quid and helped get the name back of our famous stadium.
point is there is more thingsto worry about.
we have been given a lot of cash to help the club and many others have had more cash from other big companys, banks, breweries etc
the way of the world is big business.
be grateful for it mr accountant pb, you ungrateful gnat mmmm
tequilamag
Oct 10, 2012 at 1:22 PM
Comment #61beefman13 // Oct 10, 2012 at 12:22 PM
jesper i know where you are coming from but its massive news on tynside and it may start to get boring for some but im not having bloggers on here bitching for the sake of it.
Beefman wtf thinks you have the right to tell people what they can and can`t post.
Ibizatoon - Back by popular demand
Oct 10, 2012 at 1:23 PM
Comment #62Beefman…..Whilst I agree to a point, that is a bit of a simplistic way to dismiss someones concerns.
We can’t just say, there are worse things going on around the world, so this doesn’t matter. That argument will never get you far. Although, I don’t agree with all that is being said about how bad a company Wonga are.
beefman13
Oct 10, 2012 at 1:33 PM
Comment #63tequilla they can post all day long but if they are doom and gloom mongers then i am going to tell them i have had it up to my neck of them for years on blog sites,
by all means, anyone post what they like but i can spot the hypocrites a mile off.
ibiza, fair comment about the wars and oppresion thing
i will take that comment back
i had abuse for years for supporting the direction the club was going in i have not and wont forget that i got some nasty stuff for supporting the current regime.
we are doing fine and have been for years noe yet they are syill having a pop, so im not having it as imo they have nothing toi moan about,
ibiza, start talking about your music someone will join in with you you are a popular poster, just leave the moralistic accountants and bankers to me.
was i hurt by the stick i got over the previous three years? it was no picnic on the blog sites.
the circle has turned so whowerer is going to lemon suck better get ready for a very large slice of the beef!
stuart no9
Oct 10, 2012 at 1:38 PM
Comment #64imo ash got rid of virgin, after realising they didnt want to be part of any of ashleys dodgy dealings. ash found out pretty quickly mr branson was not a crook like himself and who distanced him self from ashleys tacky empire.why else would they have got rid of them? it certanly wasnt for the money. in came wonga! totally the opposite. they sing from the same hymm sheet. the underhand deallings will be nobodys business. mr branson is well shot of him.
tequilamag
Oct 10, 2012 at 1:41 PM
Comment #65Ok Ibiza the word has been spoken you really should stick to music, the Beefman had spoken, clearly that is the end of the argument. If anybody else has a contrary point of view to Beef, dont bother as there is only one acceptable point of view .
I am out of here going to stock up on lemons.
Ibizatoon - Back by popular demand
Oct 10, 2012 at 1:44 PM
Comment #66Beefman…Don’t think the irony is wasted on me how optimists gets labelled as aggressive bullies, yet when people criticise our ideas / beliefs about the clubs it’s people making their own opinions known – double standards has certainly crossed my mind several times.
I just think this particular issue isn’t as straight forward and a lot of us are getting picked up on things we’re saying, which maybe we need to tone down a little. Much like with my point earlier about APR – people need to drop the “Wonga should charge the same as banks” comment – it’s ridiculous as saying that 4,000%+ is reasonable. There doesn’t seem to be ANY middle ground with some people on this, yet their is some merit in each side I feel.
Don’t you worry about me though, I’m sure I will have some music conversations and other nonsense, but I will make my opinion known as and when on issues etc. I think I am also known to do that from time to time 🙂
Just from reading the conversations, I can see that people are just targeting you, as you are somewhat setting yourself up for it – which is fair enough, but it will become exhausting and sometimes we need to change tactics a little.
Hope you don’t mind me saying, I know I have taken “advice” on here badly in the past. I like you’re input on the blog and your passion for NUFC and do agree with you mostly – the club has progressed the past 3 years and I am proud of where we are going.
Ibizatoon - Back by popular demand
Oct 10, 2012 at 1:51 PM
Comment #67Stuart…..Nice dose of speculation there mate. I’m pretty sure Branson knew what Ashley was about before he signed up as sponsor, he isn’t a fool. Nor do I think Ashley and Branson would have had many direct dealing since to change his view.
Tequila…One shot or two? Wonga it – i’m doing the bottle. Don’t want to jump in the middle, well, I guess I must do as I constantly seem to do so. Beefman believes what he believes, as do you. This issue has clearly made the two of you clash, but both of you have and will make good contributions to the blog and both support NUFC. We will all need to take a step back and move on at some point, let’s hope in the meantime, we can debate like we know we’re all capable of doing. That isn’t me saying that you or beef are not doing so, but it’s got a little crazy the last 24 hours and I think we can forgive people for getting their backs up a bit and somethings getting lost within posts.
stuart no9
Oct 10, 2012 at 2:14 PM
Comment #68ibiza.@47 yes that was pure speculation. my problem with this is not about – figures , APRs, penaltys for late payments, whatever. the mystery to all thats happened in the last 48 hours, for me must be , why did they get rid of a credible company , with an owner who is without doubt one of the most popular figures in british business, a pioneer in british industry, an innovative master, for – wonga!!!!!!!!! i just dont get it,
Ibizatoon - Back by popular demand
Oct 10, 2012 at 2:21 PM
Comment #69Stuart…That’s fair enough. I’m really interested to know the “actual” figures of both the Wonga and Virgin deals to be able to come to a conclusion. If Virgin were paying the reported £10m p.a, then something weird is going on it would seem. I have however, seen the figure reported to be as low as £3m p.a. If that was the case, an understandable change – at least from a business perspective.
stuart no9
Oct 10, 2012 at 2:34 PM
Comment #70ibiza – i agree , if its purely for financial reasons and the figure was as low as you say, in the £3m region then i applaud ash for sticking to his right to pull out at any time, and better the current deal, £3m does semm a bit low though. where could we find out the correct figures?
Ibizatoon - Back by popular demand
Oct 10, 2012 at 2:39 PM
Comment #71Stuart….Been asking that all day. Have found many figures, but just don’t know which ones would be credible and those that aren’t. Do we really have to wait for the clubs accounts to come out? Can we even trust them? Oh my head hurts and I really don’t know which are right.
stuart no9
Oct 10, 2012 at 2:48 PM
Comment #72ibiza. – go back on the beach and have a good long think about how we can locate those figures. lol.
Ibizatoon - Back by popular demand
Oct 10, 2012 at 3:11 PM
Comment #73Stuart…..The beach – what an idea 🙂 Take it easy pal and let me know if you get anywhere, as I will you.
southafricantoon
Oct 10, 2012 at 3:57 PM
Comment #74I don’t care who sponsers us…. I just hope the club tours South africa 🙂
southafricantoon
Oct 10, 2012 at 4:00 PM
Comment #75I don’t have a problem if Wonga sponsors us….. I would love it if the team could tour South africa 🙂
southafricantoon
Oct 10, 2012 at 4:01 PM
Comment #76I don’t have a problem if Wonga sponsors us. I would love it if the team could tour South africa
matt11_25
Oct 10, 2012 at 7:47 PM
Comment #77It’s just business
puretoon
Oct 10, 2012 at 9:58 PM
Comment #78My other half and myself don’t agree at all with Wonga sponsoring and don’t think for one minute that MA and DL did much ground work either as they’d find out how little Wonga are putting in for both shirt AND naming rights.
Infact Wonga, DL and MA are tard with the same crap chatty brush so are well suited, the only problem is in doing this they’ve taken a step further down the plug hole with the good name of NUFC.
And has anybody given a thought of who the hell will be renaming the club to xxxxx next time round!?!???? we certainly WON’T be buying another strip with Wonga across the front that sure.