Liverpool FC borrowed too much cash, says boss of RBS

RBS Steven HesterLIVERPOOL FC's American owners borrowed 'too much' money when they bought the club, the boss of the bank which loaned them the cash has said.The bulk of the Reds' £237m is owed to the government-owned Royal Bank of Scotland (RBS).Tom Hicks and George Gillett bought Liverpool from majority shareholder David Moores in 2007 for £219m.But they incorporated their borrowings into the club's debt and the interest costs have seen the original figure soar. RBS and another lender, Wachovia, were originally expecting £100m to be repayed this summer.But in the spring, they allowed Mr Hicks and Mr Gillett another six months to find a buyer for the club and repay the debt.In an exclusive interview with the ECHO today, RBS chief executive Stephen Hester said before the credit crunch too many businesses, including Liverpool FC, took on too much debt.He said: 'With hindsight, I think there are some businesses which borrowed too much money and Liverpool FC was one of them.'His comments came less than 24 hours after Anfield chairman Martin Broughton admitted there had so far been no offers for the club.

Source: Liverpool_Echo