A Big Surprise From Mike Ashley


The Newcastle United 2014/2015 accounts were apparently made public today and it appears the club are working on an agreement to pay for the services Sports Direct gets from Newcastle.
We got this information initially from The Mag who seem to be on the ball here – credit to them in these rather dark times for the club.
This is the specific extract from those accounts:

During the current and prior year, advertising and promotional services were provided to Sports Direct International being a company associated with the ultimate owner of the company, Mr. MJW Ashley.

No consideration has been paid by Sports Direct International for these services to date, but Sports Direct International and the Company are in the process of agreeing an arms length rate for these services and the Company anticipates receiving payment for these services in the future.

During the current and prior year, advertising and promotional services were provided to companies associated with Mr. MJW Ashley, the ultimate shareholder of the Company’s ultimate parent undertaking MASH Holdings Limited.

No consideration was paid or payable for these services

Not sure what arms length rate exactly means, but it probably means a great rate for Sports Direct.
And of course if we are relegated – which looks almost a certainty at the moment – Sports Direct will not be paying too much for those services to a Championship club, who are not on TV very much at all.
Comments welcome.


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4 comments so far

  • YoungMagpieFromBurnley

    Apr 14, 2016 at 4:15 PM

    Comment #1

    Martoon

    Aye, I still live here mate. I really hope I’m wrong too but there just isn’t any fight in this squad. No leaders that will rally the troops when we concede or if we are playing bad. I think we will need that in the championship.

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  • YoungMagpieFromBurnley

    Apr 14, 2016 at 4:21 PM

    Comment #2

    Lesh

    I have never supported Burnley at all in my life, having said that it is pretty cool seeing people around my area enjoying the fact that Burnley are doing well. I live in a town called Barnoldswick or ‘barlick’ which is close to Burnley. So my actual home town club would be Barnoldswick town. However I never really looked into them.

    My dad and older brother are both from Newcastle and through them I have grown a strong love for Newcastle, although I’m yet to really see anything that resembles glory from my club. Which is a shame, but this club just means so much, watching it die a slow death is really painful but knowing there’s not much I can do about it hurts more. But hey, we’re all in this together. I would never change allegiance from Newcastle. Never.

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  • mactoon

    Apr 15, 2016 at 10:12 AM

    Comment #3

    The concept of an arm’s length transaction is to ensure that both parties in the deal are acting in their own self interest and are not subject to any pressure or duress from the other party.

    So it appears the Sports Direct company wants to distance itself from any alleged connection between Ashley, SD and Newcastle

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  • ascot7

    Apr 15, 2016 at 11:14 AM

    Comment #4

    The squad is fragmented, the Dutch are arrogant, being objective. And not in unity with Brit culture. French are not up to English standards, and Carr has to go with Churnley. Churnley has cost his boss a lot of mulah. If they go down. I believ,, it is a broken team, with to many bosses. Ashley also, he wants to hold on to his club, well that can be good, but he has to many irons in the fire. Sell the club after Brexit. Bring in a female shrink, that Spanish lass. And call back Armstrong, Be nnit has to be more radical, hopeing he reads this note. To many injurys from past trainers. Usually, it is good for a team to drop down, Newcastle win a trophy, only a Championship one.

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