Source: Telegraph
No change in transfer policy at Arsenal despite record profits
Gazidis contrasted the £350 million spent by City on wages and transfer fees in two years with Arsenal's 'build, not buy' policy as the London club revealed record financial results for last year, primarily thanks to property sales from the old Highbury stadium development. [LNB]Sales of apartments on the site worth £156.9 million boosted turnover to £379.9 million and pre-tax group profits to £56 million, up £11 million on 2008-09. That allowed the club to pay off £129.6 million of loans on the property business, leaving them debt-free. [LNB] Related ArticlesArsenal v West Bromwich Albion: match previewWenger: my right to condemn 'violent football'Arsenal announce record profitsArsenal set to announce record profitsCarlos Vela hit with six-month ban by MexicoWenger 'cautious' over West BromThey have outstanding loans of £239 million on the Emirates Stadium however, and interest charges rose £2 million to £18 million. [LNB]The success of the property business masked falling revenue and rising costs in the football business. Elimination in the last 16 of the Champions League meant there were five fewer home games, reducing football revenue by £3 million to £222 million. [LNB]The wage bill also rose, from £105 million to £111 million, as the club moved to secure young players on long-term deals. [LNB]The performance of the football business demonstrates the need for Arsenal to secure more from its commercial assets, which are currently held back by a long-term deal with Emirates that underwrote part of the stadium costs but the results suggest that Arsenal have moved through the most challenging phase of the Emirates development project, but with no trophies won in the last five years and Arsene Wenger again reluctant to spend in the transfer window, there is some unrest among supporters. [LNB]Gazidis said the club would back Wenger in the transfer market, but that it could not compete with City's spending. [LNB]'All the money that we make goes back into the club, but that doesn't mean we can compete with Manchester City in the transfer market because those kinds of fees and salaries are unsustainable for any football business. But I do believe that we can compete with them on the pitch,' he said. 'I think you are seeing that with our policy of building, not buying. [LNB]'It is a difficult path to tread but as a result of that we have a tremendous number of young players that are developing into the finished article.'[LNB]Gazidis acknowledged supporters' frustrations at the lack of silverware since the move to the Emirates: 'That frustration is deeply deeply shared,' he said. 'We have been in this process of building for success and we can be proud of what we have achieved but there is something missing.' [LNB]He also said he hoped Wenger would remain at the club until after the end of his contract which expires in 2013. 'I hope he has the appetite and the health to continue.'[LNB]
