Manchester United Football Club News

• Nickname:Red Devils
• Founded:1878
• Manager:Sir Alex Ferguson

• Ground:Old Trafford
• Capacity:68,174

United's parent reveals loss

09 Apr 2009 - 13:23:43

Click To Enlarge

Manchester United's parent company has reported a £44.8million pre-tax loss for the year ending June 2008.

The latest results, which actually include an operating profit of £80.4million for the same period, means Red Football Joint Venture Ltd's overall debt has risen to £649.4million.

The operating profit was largely down to United's victory in the Champions League last May and their successful defence of the Premier League title.

The success of Sir Alex Ferguson's side on the pitch was also combined with increased TV revenues and sponsorship deals plus a rise in matchday incomes.

Red Football Joint Venture was set up when the Glazer family borrowed heavily to purchase the Old Trafford club for £790million in 2005.

The news is likely to concern United fans unhappy at the takeover of the club by the US-based investors.

The financial results suggest the club's business model is strong, but that the size of the debt hanging over it remains a serious concern.