By Andrew Warshaw
September 19 – Although not nearly as serious as the dramatic fall from grace suffered by their arch-rivals Rangers, Glasgow’s other giants Celtic have announced losses of £7 million ($11 million/€9 million) for the year to the end of June.
The figure means the club’s debt has increased by more than £2 million ($3 million/€2.5 million), despite recording a pre-tax profit of £180,000 ($291,000/€224,000) for the second half of 2011.
The main factor plunging Celtic into the red during last season was their reluctance to bring in cash by offloading players.
However, the club is not unduly worried.
“The club’s in a decent place and we have built up over the past few years,” chief executive Peter Lawwell told Celtic’s website.
“We are in the Champions League and we have a great foundation, a great basis to take the club forward.
“There will be challenging times ahead, but we are prepared for that.”
UEFA’s Financial Fair Play regulations specifically target losses rather than debts but Lawwell said finances were robust – despite the impact of Rangers being demoted to the third division.
“We said months ago that we had our own strategy for particular outcomes,” he said.
“Our season-ticket sales have been fantastic.
“The Champions League games are sold out.”
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