The Trust’s Annual General Meeting will take place at the Three Arches pub in Heathwood Road, Cardiff, on Thursday, June 20, starting at 7 pm.
Once the business of the AGM has been concluded, BBC Wales Soccer Commentator Rob Phillips will host our annual fans’ forum with Bluebird legends, Jason Perry and Nathan Blake.
This will once again provide a superb opportunity for members to talk about all-things Cardiff City and get Rob, Nathan and Jason’s verdict on the momentous 2018-19 Premier League season and the prospects back in The Championship.
We look forward to seeing members at the AGM and the fans’ forum following. Members can bring a guest, who is a non-member, but the venue is limited to 60. Members wanting to attend should email firstname.lastname@example.org or write to CCST, PO Box 4254, Cardiff, CF14 8FD to confirm their attendance.
It should be a great night of football chat.
Congratulations to Trust member Peter Charles of Penarth who successfully cracked the quiz published in the recent Trust newsletter. Peter received his £50 prize from chairman Keith Morgan at the Trust Office prior to the Crystal Palace home game.
So, how did you get on in the quiz ? Here are the questions again with the answers.
Q1. Which Cardiff City striker of the 1990s shares a surname with the leader of the Trumpton Firemen?
Older members who recall the stop motion animation childrensprogrammeTrumpton will, no doubt, have been chanting the famous mantra “Pugh, Pugh, Barney McGrew, Cuthbert, Dibble, Grubb” to try and answer this question. Well, the answer lies, not in this well known list of fireman but in the name of the character who was performing the roll-call – Captain Flack- the Commander of the Trumpton Fire Brigade. In November 1995 we paid Cambridge City £10,000 for the services of striker Steve Flack. He only played 11 games for us scoring one goal but later went on to play nearly 400 games for Exeter City
Q2. Who scored City’s last goal in their first stint in the Premier League?
The last game of our first season in the Premier League was at home to Chelsea. City took the lead after 15 minutes with a goal that was initially credited to Craig Bellamy. However, after subsequent review it was given as a César Azpilicueta own goal. Cityeventually lost to 2 Chelsea goals in the 72nd and 75th minutes, a Chelsea side that also contained Mo Salah now banging them in for Liverpool. It is interesting to note that the only 2 City players who played that day in May 2014 have played in the 2018/09 Premier League, they are Aron Gunnarsson ( unsurprisingly) and Rhys Healey (surprisngly).
Q3. Which Nigerian International made his City debut in August 2010?
Seyi Olofinjana, on season long loan from Hull City, made his debut against Derby County in a 2-1 victory. His final appearance for us was the nightmare Championship play off second leg in May 2011 when we lost 3-0 to Reading. Is Seyi the brainiest person to play for Cardiff City with his Masters Degree in Chemical Engineering? Who knows but he is currently applying his in depth knowledge of chemistry in a coaching role with the Wolverhampton Wanderers Academy.
Q4. Who was manager when City last won the Welsh Cup?
The City last won the Welsh Cup in May 1993 beating Rhyl 5-0 at the National Stadium (as it was at the time) with a hat-trick by Phil Stant and two goals by Cohen Griffith. The manager – of course it was Eddie May. 1993 saw him managing Cardiff City to a “Double” of sorts – the Welsh Cup and Third Division champions.
Q5. Which member of the City 2003 play off final squad was later a member of the England Coaching staff?
A memorable day at the Millennium Stadium with a dramatic extra time winning goal for Andy Campbell. An unused substitute that day was reserve goalkeeper MartynMargetson. After finishing playing he became goalkeeping coach for Cardiff City and Wales and was later appointed by Sam Allardyce to the same role for West Ham, Crystal Palace, Everton, and England.
Q6. He played for Cardiff City and his namesake was nominated for an Oscar for playing the Apache Leader Cochise – who is he?
The 1950 film “Broken Arrow” featured James Stewart in the lead role and also, playing the part of Geronimo, was Jay Silverheels later to star as Tonto alongside Clayton Moore in the long running TV series “The Lone Ranger”. However, to much critical acclaim an actor named Jeff Chandler took the role of Apache Leader Cochise for which he was nominated for the Oscar for Best Supporting Actor. In November 1989 Len Ashurst paid Bolton Wanderers £15,000 for 30 year old Republic of Ireland International Jeff Chandler. He played less than 30 games for us but perhaps his most memorable (?) contribution was scoring 5 in a pre season friendly in an 8-1 victory against Cardiff Civil Service.
Q7. He played for City in 2004 , his first name was Joel and he was a Jamaica International – who is he?
Joel Joshua Frederick Melvin McAnuff known as Jobi. Given our financial difficulties at the time it was a bit of a surprise that we could afford to pay £250,000 for anyone but that is what happened when he joined us from West Ham United. He was virtually an ever present and impressed in his only season with us but, with HMRC knocking at our door for outstanding debt, he was sold to Crystal Palace for a fee of £600,000. Still going strong at 37 this season has seen him captain Leyton Orient to the top of the National League and promotion to League 2.
Q8. Who were the opposition in the last league game at NinianPark ?
The end of the final season at Ninian Park was approaching with a top 6 finish very much on the cards. Then came the infamous visit to Deepdale where Preston managed to destroy our superior goal difference with a totally unexpected 6-0 win. In the final home game of the season atNinian Park the City lined up against an Ipswich team that were comfortably top half but going nowhere. A City team that seemed to have lost all its confidence lost 3-0, the final league goal at Ninian Park ironically scored by Jon Stead who always seemed to score against us whoever he was playing for. We only needed to avoid defeat in the final game of the season to make the play offs. We didn’t losing 1-0 at Sheffield Wednesday and missing out on the play offs by finishing 7th on goal difference to Preston North End. The season ended up like a damp squib just like the fireworks seemed at the end of the last game at Ninian Park. Not the send off we were hoping for.
Q9. This City legend was signed from Worcester City in 1960 – who is he?
With the word “Legend” bandied about far too freely these days Peter King definitely fits the description. 477 appearances in total and 111 goals between 1960 and 1974 exemplifies a career of professionalism, dedication and loyalty, words which sometimes do not apply to some players who have been accorded the title “Legend”. Older members will remember his stunning goal in a 4-3 home defeat to Middlesbrough in 1970. It can be seen here on this Youtube link
Q10. Two Welshmen started for City in the 2008 FA Cup Final – one was Joe Ledley who was the other ?
Welsh International Paul Parry started up front alongside 36 year old Jimmy Floyd Hasselbaink and it seemed for most of the game it was his role to do all the chasing that JFH could no longer do. In fact aged legs amongst the City’s strike force was a feature of that season with 35 year old Trevor Sinclair and 35 year old Robbie Fowler appearing to be more successful in increasing the average age of the team rather than finding the back of the net.
Trust chair Keith Morgan, an accountant and football finance expert, gives the lowdown on the latest Cardiff City accounts.
Cardiff City Football Club (Holdings) limited
Commentary on the audited accounts for the year ended May 31, 2018
The following is my commentary on the audited accounts , which were signed off and approved by the board of directors on September 19, 2018 and by the auditors on September 26, 2018.
1. There was a net loss for the year of £36m, compared to a loss of £21m in the previous year. However, the loss of £36m was reduced to £9m overall by a stadium revaluation surplus. The main reasons for the movement in reported annual losses and comprehensive expense is summarised below.
2. Despite the above loss, due to a very substantial conversion of debt to equity by the group`s principal shareholder, the group`s balance sheet position improved significantly, with net liabilities reducing from £81mto just under £11m.
3. The group remains highly dependent upon the ongoing financial support of the principal shareholder Tan Sri Vincent Tan. The accounts refer to his pledge to continue such support in the foreseeable future.
Main reasons for reduced losses
These can be summarised as follows
Increase in revenue
Increase in wage costs
Decrease in administration expenses
Decrease in player sale profits
Stadium revaluation (net of tax)
Decrease in finance costs
Other cost of sales increases
Overall reduced losses
Increase in revenue
The club enjoyed a very successful season on the pitch, with promotion to the Premier League. Average match day attendances were up from 16,564 to 20,164 and it proved easier to attract sponsorship and other commercial income. Match day income increased by £1.3m, broadcasting income by £0.8m and commercial income by £3.9m.
Increase in wage costs
As a “cost” of promotion to the Premier League, the club made very substantial promotion bonus payments to players and other playing staff. In addition, costs were incurred in respect of additional fees payable in transfer fees to other clubs etc. triggered by promotion. These costs totalled £23.2m in the year.
Decrease in administration expenses
This was largely due to a reversal of an impairment charge of £5.5m made in previous years against the club`s stadium. Each year the club has to assess whether its assets (stadium, playing squad etc.) are worth less than the value at which they appear in the accounting records and adjust accordingly. As a result of a stadium revaluation (see below) a previous impairment charge was deemed to be unnecessary and was reversed in the May 2018 accounts.
Other administration expenses increased by £2.9m in the year. These costs are not analysed in published annual accounts.
Decrease in player sale profits
The club made less profit on selling players in the year – £2.4m compared to £5.5m in 2016/17 season.
Tax credit and decrease in finance costs
The club`s tax computations for the year resulted in a tax credit benefit of £3.3m in the profit and loss account.
Net finance costs reduced in the year by £0.6m. The two main factors in this were a reduction of £1.2m of interest paid to Tormen Finance Inc. (a company in which club Chair Mehmet Dalman has significant influence) whose interest bearing loan to the club was paid off in the year and an increase of £0.6m resulting from a technical tax adjustment required to account for long term shareholder loans. These both significantly reduced in value and were reclassified between current and non-current liabilities in terms of potential repayment dates.
At the financial year end, the club obtained an independent professional valuation of the stadium from Savills (UK) Limited. The valuation, on what is termed a depreciated replacement cost basis, was £83.5m compared to its previous value in the accounting records of £54.2m giving a revaluation benefit in the profit and loss account of £29.3m less a related tax adjustment of £2.3m.
The stadium value in the balance sheet now reflects what it would cost to replace it with a similar stadium asset. It is held on a 150 year lease with Cardiff County Council, the lease start date being September 2009.
Other cost of sales increases
These are not analysed in published accounts, so cannot be commented upon in detail in this report. However, they are likely to include expenditure on costs such as agents` fees linked to player signings, player loan fees (in lieu of permanent signing fees), player contract termination fees etc. They also are likely to reflect costs associated with generating the additional income referred to above.
The Balance Sheet
The group`s balance sheet position has improved dramatically between May 31, 2017 and May 31, 2018, with net liabilities reducing from £80.8m to £10.7m. This has been brought about by two principal events
1. Two conversions of debt due to the principal shareholder and creditor Tan Sri Vincent Tan into shares totalling £79.1m
2. An upwards revaluation of the football stadium by £27m
The above two adjustments improved the balance sheet by £106m. Trading losses before the revaluation adjustment of £35.9m reduced the improvement down to £70.1m.
The main assets and liabilities in the balance sheet as at May 31, 2018 were as follows
As stated above, this was recently revalued at £83.5m. Related assets such as stadium equipment amount to a further asset value of £1.2m
During the year , players costing £14.3m were added to the squad whilst those originally costing £30.8m (depreciated down to a net value of £0.5m) were disposed of at a profit of £2.4m.The playing squad overall as at May 31, 2018 had an accounts value of £12.2m.
A note to the accounts reveals that player purchases between the year end and the date the accounts were signed off (i.e. players signed in the Summer 2018 transfer window) were at a cost of £35.4m , of which £2.6m only becomes payable if the club is still in the Premier League next season.
The club had £0.2k of stock, £7.4m of debtor money due to it(including the £3.3m of tax credit referred to above), and £2.9m of cash.
These are debts due by the club which fell due for payment on or before May 31, 2019.
Of the total of £115.6m , by far the largest element was £72.4m due to Tan Sri Vincent Tan of which £50.1m attracted interest at 7% a year (all interest waived up to May 31, 2018) and all of which is secured against the group`s assets. The total due to TSVT was greatly reduced in the year as a consequence of his debt to share conversions mentioned earlier in this commentary.
Other current liabilities include such items as transfer fees payable and season ticket income for season 2018-19 already received in advance as atMay 31, 2018, plus the promotion related bonuses of £23.2m paid after the year end.
A loan of £11m due to Tormen Finance Inc. as at May 31, 2017 was repaid during the year to May 31, 2018.
As at May 31, 2017 £115.1m was due to the club`s principal shareholder. Part of this has now been converted into shares and the residual balance is reflected in Current Liabilities above.
Post balance sheet events
The audited accounts have a note referring to major transactions which occurred between May 31, 2018 and the accounts were signed off as approved by the directors September 19, 2018).
Football transactions in the period have already been commented on above.
In addition, the accounts notes reveal that a loan facility of £28.3m was entered into in the same period with an unrelated (i.e. not a shareholder or director) party to help provide the group with additional working capital to fund ongoing trading activities.
Summary and Conclusions
1. The club made a substantial loss of £36m in the year before the benefit of a £27m stadium revaluation. However, £23m of this loss related to an exceptional, one-off cost of promotion bonuses to players and playing management.
2. The club`s balance sheet position dramatically improved in the year as a result of debt to equity conversions by its owner and the stadium revaluation.
3. The club remains confident that it will remain compliant with football`s Profitability and Sustainability requirements, particularly following its promotion to the Premier League at the end of 2017-18 season.
4. The above promotion has been a major boost to the club, both from a footballing and a financial aspect. In the absence of the promotion, the club would have faced season 2018-19 without the benefit of any parachute payments with the financial implications that would have incurred.
Trust Board Member Tim Hartley has written an article about the reaction to the tragic plane crash involving our new striker Emiliano Sana. Tim details responses from a selection of supporters’ groups at other Premier League clubs.
Maybe it is too soon after the event to make any sense of the tragedy of the possible death of Emiliano Sala. Perhaps we never will.
What we do know is that everyone associated with FC Nantes, Cardiff City FC, indeed the whole football family, are grieving the loss of a young man who was at the top of his game and was genuinely excited about joining his new teammates in the Premier League.
Fans have put aside any rivalry they may have had. The game of football, our club’s prospects, new signings and the fear of relegation have all taken a backseat while we share a common grief.
Few in Cardiff had ever seen Emiliano play but we still feel the pain his family and friends in Nantes and Argentina must be feeling.
We at Cardiff have been here before this season. After Leicester City’s owner, VichaiSrivaddhanaprabha, and four other people died in a helicopter crash, the Foxes’ first game was against Cardiff. There was an outpouring of sympathy as supporters exchanged flags and players and staff from both clubs joined together in an emotional tribute.
It has been gratifying on the loss of Emiliano and his pilot to have received condolences and messages of sympathy from so many supporters’ groups. The coming together of the ‘football family’ may sound something of a cliché but as the selection of messages from fellow fans below shows, when the chips are down, it is very real and we are truly grateful for it.
‘Thoughts with his and the pilot’s friends and families. Also thoughts with Cardiff City and their fans who were so generous to Leicester under similar circumstances.’Foxes Trust
‘So many loses this season. Our thoughts and good wishes go to all those at Cardiff City FC. We stand with you at this difficult time.’ West Ham United Independent Supporters Association
‘Please take on board the thoughts and commiserations from all at Brighton & Hove Albion Supporters’ Club – our support goes to all at Cardiff City FC, and the families involved: Emiliano and the pilot are in our thoughts together with the players and officials at Nantes who will be hurting just as much I am sure.Take care everyone – we need each other at times like this.’ Brighton & Hove Albion Supporters’ Club
‘It is difficult to put into words how to express our thoughts. This isn’t about just football, it’s about the lives of all of those on board, their friends and family.’Manchester City Supporters Club
‘This is a truly dreadful incident and is terribly distressing. We’ve always received such a warm welcome from our friends at the Cardiff City Supporters’ Trust every time we have visited and please let us know if there is anything we can do at this difficult time.’Fulham Supporters’ Trust
Thoughts and condolences at this desperately sad time from all at Chelsea Supporters Trust – Chelsea Supporters Trust
‘Our thoughts and prayers are with you, our fellow football fans at Cardiff, Emiliano’s family and the Nantes supporters and staff. We can’t imagine what they must be going through.’ Arsenal Supporters Trust
‘The thoughts and prayers of the Clarets Trust are firmly with the Cardiff football family and in particular to those close to Emiliano.’Clarets Trust
We’re delighted to announce that the Trust has raised a total of £2,233 for @TheWallich, the charity that helps homeless people in Cardiff and across Wales.
Apart from the Manchester United match-day bucket collection which brought in £1,783, the Trust raised £300 from a quiz organised at The Arches pub in Llanishen. The Trust also made a donation of £100 and £50 was raised from a raffle at our annual general meeting.
We all see daily the impact of homelessness on the streets of our cities and towns so we’re pleased to have been able to help the vulnerable in a small way.
Thanks to everyone that contributed and to Cardiff City Football Club for supporting a bucket collection at the Manchester United game.
If you would like to find out more about The Wallich you can do so on www.thewallich.com