web analytics





Mike Ashley Is In Serious Trouble – Unfit To Own A Football Club



There has been some awful publicity over the last several weeks for Sports Direct and specifically for its owner Mike Ashley.

At their Annual Meeting last week, 31% of shareholders voted to remove Ashley from his position as Chief Executive of the company.

That is the level of dissatisfaction with his management of the company.

But of course, since Ashley owns 62% of the company, he voted his shares to stay in control – and will do so.

The announcement of the Sports Direct results in July was a complete and utter farce.

After over ten hours of delay, the company was still unable to issue any profit guidance for the coming year.

The company had apparently just received an unexpected €674m (£605M) tax bill from Belgium, and that forced the Finance Director of the company to resign his position.

It was complete and utter chaos at Sports Direct – but it’s the likes of that which we have seen at Newcastle over the last 12 painful years.

Mike Ashley – incompetent, risky management on show at Sports Direct as the stock price has plunged

Here is the performance of Sports Direct stock over the last four years or so.

The price of their shares was £805.5 on August 7, 2015, but it had now dropped to £270.80 on September 12, 2019 – two days ago

That’s only 33.5% of the August 2015 figure and represents a 66.5% drop – a 2/3 reduction in price over about four years.

So it’s clear that Mike Ashley has not only lost 2/3 of his fortune since August of 2015, but that’s also how much shareholders have lost of their investment.

And it seems to be due to incompetent and chaotic management coming from the top of the business – from Mike Ashley – the Chief Executive.

The Sports Direct auditors Grant Thornton, after more than ten years as the company’s auditors, have also resigned with no company apparently wanting the job.

We have to wonder what state of the books of Sports Direct are like.

We have seen at Newcastle United a lot of Ashley’s chaotic, risky and incompetent management.

That seems to be the way he manages his other company, Sports Direct.

Maybe the powers that be at the Premier League should take another look at whether he is fit to own a football club and whether he passes the Owners’ and Directors’ test.

That’s if they take into account how he has shattered Newcastle fans’ dreams over the last 12 years; maybe they will find he is unfit to own a football club.

And have him sell the club and bring the fans’ misery and discontent to a merciful end.

We have to hope there is no more news of a takeover but that it happens quickly and silently.

But the word is now out there how that Ashley seems an incompetent executive and that Newcastle fans are desperate for somebody to come in and buy the club.

We just have to get lucky and hope that someone will do that – maybe even before the end of this year.

That would be precisely what we need.

Newcastle will not be able to regenerate itself until a new owner comes in – that’s the truth.

Comments welcome.


228 comments so far

  • Jail for Ashley

    Sep 14, 2019 at 8:00 PM

    Comment #41

    Of course not Jib, did he also have problems with his avatar?

    11
  • toon22

    Sep 14, 2019 at 8:06 PM

    Comment #42

    Hiya JIB

    Nobody cares what you think

    😉

    11
  • Scythe For Bruce

    Sep 14, 2019 at 8:07 PM

    Comment #43

    The blog is the same as it’s been for a good few years now. Ed (and now Neil) doing some fine work publishing articles for us to comment on every single day, and then all the usual suspects arguing amongst themselves like five year olds. I don’t see what’s different all of a sudden?

    17
  • toon22

    Sep 14, 2019 at 8:08 PM

    Comment #44

    Scythe For Bruce

    Agreed

    7
  • bettyswallocks

    Sep 14, 2019 at 8:11 PM

    Comment #45

    Jib………. I think Jail compared another place as being twinned with Limerick as a tongue in cheek comment.

    As you say Limerick is indeed a fine city. When I was there I met some really interesting people who were very, very small but were intent on putting a Gaelic Football team together. I was lucky to be invited to one of their training sessions and couldn’t help but notice that their vision was somewhat obscured by the height of the grass on their training pitch due to their diminutive stature.

    I suggested cutting the grass or moving to a more suitable training ground with shorter grass and they thought this was a great idea and one they hadn’t thought of. I was invited to watch one of their actual games but when I arrived at the venue there was nobody there and I never saw them again. That was actually a true story.

    7
  • Essex Geordie Bill

    Sep 14, 2019 at 8:15 PM

    Comment #46

    Given that we were being overran in the 2nd half I thought Shelvey had a good game, plenty of effort and a good pass completion rate.

    1
  • The Wife

    Sep 14, 2019 at 8:16 PM

    Comment #47

    Scythe for Bruce

    Thank you for the compliment on Neil’s articles. He works very hard to try to post breaking news first and takes great pride in what he publishes on the blog.

    18
  • Essex Geordie Bill

    Sep 14, 2019 at 8:17 PM

    Comment #48

    toon22

    I for one cares what Jib thinks and says.

    Whereas I don’t for you.

    4
  • Jail for Ashley

    Sep 14, 2019 at 8:17 PM

    Comment #49

    The Wife,
    Are you in Ed’s fantasy football league?

    1
  • Jib

    Sep 14, 2019 at 8:17 PM

    Comment #50

    Betty
    You did a much better job of illustrating what I mean
    than I ever could

    3
  • Jib

    Sep 14, 2019 at 8:20 PM

    Comment #51

    Neil after his sterling work on the articles
    must feel oft-times when he reads the comments
    “sheesh why do I bother ? “

    5
  • Belfast

    Sep 14, 2019 at 8:21 PM

    Comment #52

    Anybody in the fantasy football league, the free hit thingy only lasts for one weekend. I sacked off most of my team before the last round of games thinking it was permanent. Just logged in and my old team is back haha

    Bloody stitch up!

    1
  • Belfast

    Sep 14, 2019 at 8:23 PM

    Comment #53

    I’m sorted now. I’ve played the wildcard. Onwards and upwards!

    0
  • Essex Geordie Bill

    Sep 14, 2019 at 8:23 PM

    Comment #54

    The Wife

    Ditto what Scythe said.

    It’s not Ed or Neil’s fault that we have occasional minor disagreements on the blog. 🙂

    3
  • toon22

    Sep 14, 2019 at 8:24 PM

    Comment #55

    JIB

    Why do you bother ?
    You bother as your payed to bother
    If you do indeed decide to move blogs it will be due to the fact its a lost cause here for you and your PR alts
    Id guess after next Wednesday its going to be a lost cause on any blog

    LOL

    9
  • Jail for Ashley

    Sep 14, 2019 at 8:26 PM

    Comment #56

    EGB,
    I’ve got a mate who reads but never comments and he loves the arguments, hello Glenn, if you’re reading.

    10
  • toon22

    Sep 14, 2019 at 8:27 PM

    Comment #57

    Switching Auditors

    All public companies must have their books audited by an outside accounting firm. And while it is not uncommon for companies to switch firms from time to time, abrupt dismissal of an auditor or accounting firm for no apparent reason should raise red flags. It is usually a sign that there is a disagreement over how to book revenue or conflict with members of the management team. Neither is a good sign.

    Also, review the auditor’s letter. As part of the proxy statement (companies also sometimes include this information in 10-Ks and annual reports), auditors will write a letter stating that they believe that the income, cash flow, or balance sheet information was presented fairly, and accurately describes the company’s financial status, at least to the best of their knowledge. However, if an auditor questions whether the company has the ability to continue “as a going concern” or notes some other discrepancy in accounting practices, specifically how it books revenue, that should also serve as a serious warning sign.

    https://www.investopedia.com/articles/financialcareers/07/warning_signs.asp

    5
  • Belfast

    Sep 14, 2019 at 8:27 PM

    Comment #58

    Logged in there thinking I’d hit the jackpot. Pukki, Mount and Augero in my team.

    Nah, my old team was back. Meh!

    1
  • toon22

    Sep 14, 2019 at 8:28 PM

    Comment #59

    Oh i like this one

    Top Management Defections

    Typically, when things are heading seriously downhill for a company, senior members of the management team leave to take a job at a different company. In the meantime, current employees with less seniority will take the senior executives’ places. If management defections are steady, it’s seldom good news.

    8
  • Belfast

    Sep 14, 2019 at 8:30 PM

    Comment #60

    Plenty of leg room on .co.uk Jib

    4
  • Reilly

    Sep 14, 2019 at 8:30 PM

    Comment #61

    So jib gets his wings clipped and he spits his dummy out.jib its been along time coming with the bile you have posted on this blog.Take it on the chin and move on or move on.

    19
  • toon22

    Sep 14, 2019 at 8:31 PM

    Comment #62

    Oh this one is far, far better

    8.2 Consequences for failing to submit accounts to Companies House

    If the registrar believes that a company is no longer carrying on business or in operation, he could strike it off the register and dissolve it. If this happens all the assets of the company, including its bank account and property, generally become the property of the Crown.

    Failure to deliver documents is a criminal offence. All the directors of the company risk prosecution. On conviction, a director could end up with a criminal record and a potentially unlimited fine for each offence. This is separate from the civil penalty imposed on the company for late filing of accounts.

    https://www.gov.uk/government/publications/life-of-a-company-annual-requirements/life-of-a-company-part-1-accounts

    Next Wednesday

    7
  • Munster Mag

    Sep 14, 2019 at 8:31 PM

    Comment #63

    Jib in your absence I put a very clear picture up of my positjves and negatives on benitez. Perfectly fair and balanced. With you out of sight I had to put up with a full on attack from the assembled assylum lunatjcs as you described them. Nothing annoys them more than simple logic so clearly presented opinions from nufc83, billson, me, new york etc are attacked like angry vultures. I had great fun correcting the angry students, many of whom wont score well in their academic work. Dunce of the week was OP who has completely lost the ability to read or reason and has become the brazil of the dunces, keeping the title outright.

    2
  • geordietom

    Sep 14, 2019 at 8:31 PM

    Comment #64

    paid not payed …

    0
  • #BoycottAshley ( OP)

    Sep 14, 2019 at 8:32 PM

    Comment #65

    We’ll see Ashley leave before Jib,

    5
  • toon22

    Sep 14, 2019 at 8:32 PM

    Comment #66

    “On conviction, a director could end up with a criminal record ”

    Im guessing the fit and proper rules might apply here

    5
  • Munster Mag

    Sep 14, 2019 at 8:32 PM

    Comment #67

    Betty thats a remarkable effort

    0
  • Munster Mag

    Sep 14, 2019 at 8:33 PM

    Comment #68

    Essex , agree re Jib/frog.

    2
  • toon22

    Sep 14, 2019 at 8:33 PM

    Comment #69

    Munster Mag

    Asks us to forget 3 years of bile about Rafa ?

    LOL

    8
  • #BoycottAshley ( OP)

    Sep 14, 2019 at 8:33 PM

    Comment #70

    Munster

    if you spent as much time with your son as you do on here talking shite he’d be a Nufc fan.

    10
  • Munster Mag

    Sep 14, 2019 at 8:34 PM

    Comment #71

    Oh crikey brazil OP is back. Let the nonsense commence.

    0
  • Jail for Ashley

    Sep 14, 2019 at 8:35 PM

    Comment #72

    Now Munster, so you were attacked, but I wasn’t by carl and his many alts, how does that work then? What is the difference, please do explain.

    9
  • toon22

    Sep 14, 2019 at 8:36 PM

    Comment #73

    To all the pro Jabba posters

    You seem to dread such events
    Like somehow its a bad thing

    For me even if its a distant possibility of having him removed its worth smiling about

    But for some they will argue its never going to happen, something thats probable but i never could understand why a toon fan wouldnt hope such a thing would occur

    8
  • toon22

    Sep 14, 2019 at 8:36 PM

    Comment #74

    #BoycottAshley ( OP)

    LOL

    4
  • Munster Mag

    Sep 14, 2019 at 8:36 PM

    Comment #75

    Good start OP. Combining arrogance and stupidity gives a potent mix and nobody does it better.

    0
  • toon22

    Sep 14, 2019 at 8:38 PM

    Comment #76

    Well lets hope next Wednesday it finally becomes Jabbas fault

    It might not happen on the day, but it certainly might start on the day

    He either gets an auditor
    De lists the company

    Or faces uncharted waters

    5
  • toon22

    Sep 14, 2019 at 8:39 PM

    Comment #77

    Munster Mag

    If you didnt say you were a toon fan it would be mighty hard to see it from your views

    6
  • Munster Mag

    Sep 14, 2019 at 8:40 PM

    Comment #78

    22 i’d be happy if you can show ashley moving funds from nufc to SD because I dont think anyone else has, more’s the pity.

    1
  • Jib

    Sep 14, 2019 at 8:40 PM

    Comment #79

    Reilly I didn’t have my wings clipped.
    I took a week off but kept on reading
    very educational
    Some examples of bile would be appreciated
    or are you just another that makes accusations without
    any evidence ?

    4
  • toon22

    Sep 14, 2019 at 8:41 PM

    Comment #80

    I seriously doubt he would wait till a few days before Armageddon to get an auditor
    If he could have he would have by now

    If he could de list he would have by now

    Nobodys stupid enough to sail so close to doom surely

    Go back and look at that “interview” he is a busted flush trying to BS his way out of a hole he has dug himself

    4


You must log in to post a comment.