Financial Fair Play?

On May 27^th of this year UEFA’s Executive Committee unanimously passed the UEFA Club Licensing and Financial Fair Play Regulations (FFP). These new restrictions will assess the finances of all clubs competing in UEFA competitions ensuring they comply with the break-even requirement that comes into force for the financial statements at the end of 2012. The main aim of these proposals is fairness indeed Michel Platini (UEFA President) has said that ‘The philosophy [of these new regulations] is that you cannot spend more money than you generate.’ With that in mind, by the end of 2012 in order for a team to be able to compete in the Champions League or the Europa League they must present a dossier to UEFA with proof of the following: break-even requirement; no overdues payable during the season (towards other clubs/employees and/or social/tax authorities) and finally a provision of future financial information (to ensure clubs can meet future obligations).

For a club like Manchester City, spoilt by the colossal riches of the very wealthy Sheikh Mansour, the only problem that they will face with these impending rules is complying with the break-even requirement. It has been acknowledged by club officials to be a “huge challenge” because of the size of City’s task to reduce their losses of £121.3m in 2009-10, and expected losses of £130m-plus in 2010-11. These losses are problematic for the Blues as they are primarily caused by the excessive transfer fees. UEFA FFP rules state that initial losses averaging £19.6m per year will be allowed, but from 2012-13, they will be capped at £13m per year (averaged over a three-year period), and from 2013-14, be capped at £8.7m per year. After several hectic spending sprees since the Sheikh’s takeover in August 2008, City have amassed a grand total of approximately £325 million on transfers alone, an astonishing amount considering the club’s lack of high-level European action. With many players reportedly on large contracts, in particular the likes of Yaya Toure and club captain Carlos Tevez the highest earners, City will have to curb the money they splash out on their lavishly-paid stars in order to meet UEFA’s strict criteria. With a squad that is sitting pretty in the top four of the Premier League at the end of 2010, City Chairman Khaldoon Al-Mubarak is aware that only ‘finessing’ is required in order for the Blues to be the top dog in England. Consequently apart from Edin Dzeko, the man it is believed City will hasten to add to their armoury, big-name or rather big-money signings will not take place in January as the Blues aim to cut their losses on expensive flops such as Roque Santa Cruz, Wayne Bridge and Emmanuel Adebayor. Whilst the club aim to lower their wage expenditure by offloading certain players, in order to ensure that they do not ‘spend more money than they generate’ the Blues will have to find other ways of avoiding losses in order to keep Platini’s army at bay.

One way the club can do this is to increase its popularity by trying to sell themselves commercially. Manchester City “the brand” has to be sold worldwide, with the Blues’ hierarchy securing major sponsorship deals with Etihad Airways and Etisalat, as well as their long running partnership with shirt sponsor Umbro. Indeed, the long term benefits of their commercial success mean that City will rely less on Sheikh Mansour pumping money into the club, therefore meeting UEFA’s demands. This is a strategy which has been approached by most major clubs in Europe – Manchester United, Liverpool and Real Madrid are just three names which spring to mind. Those three are clubs which are engulfed in history and idolised by many from all parts of the globe. It is a simple fact that not many (if at all any) African or South American children grow up wanting to play for Manchester City, it is hoped however that major success on the pitch will impact the club off it.

Despite the heavy losses shown in the club’s most recent financial report, City officials are confident that the club will meet UEFA’s financial restrictions by the end of 2012. They argue that although a significant amount of money has been spent on players and wages, an equal amount has been spent on the regeneration of stadium and its surrounding areas, as well as City’s global academy. It is believed that the introduction of City Square, as well as the proposed plans for the remainder of the land around Eastlands will increase revenue and make Manchester City a major attraction, both on and off the field.

This season it is imperative that City finish in the Champions League places because of the financial implications it has. Television dictates football nowadays, shown by every single Champions League game being televised – the majority by Sky – resulting in massive television revenue and global publicity. To increase awareness about Manchester City, the Champions League is a competition they must start competing in before these restrictions come into place.

When the Abu Dhabi United Group took over Manchester City in 2008 they stated that they had a clear ten year plan. They wanted to wake a sleeping giant and bring trophies to a success-starved club and bring joy to its loyal fans. They knew it would not happen overnight, but they will be hoping that in ten years time, young children growing up in places like Africa and South America will want to play for Manchester City.

by Matt Hill

Vincent Kompany, Manchester City Captain?

LOYALTY

It’s a word spewed around a lot in the modern game of football, except it’s commonly preceded by the word ‘no’. It’s been shown with the recent sackings of Chris Hughton and Sam Allardyce. It’s been shown with the recent contract saga with Wayne Rooney and now it’s been shown by Manchester City’s Carlos Tevez. After eighteen months with the Blues the Argentinian work-horse has decided that his time at City is up. Having only played fifty times for the club and finding the net thirty-three times, Tevez has quickly become a hero at the City of Manchester Stadium since his high profile transfer from bitter rivals Manchester United. After an impressive first season with the club, and a possible over-reliance on him, Roberto Mancini awarded Carlos Tevez the captaincy at the start of the season. Within five months of being handed this accolade however, Tevez has handed in a written transfer request citing a breakdown in “relationship with certain executives and individuals at the club” and family reasons. It is not the first time however that Carlos Tevez has caused controversy involving potential transfers. In August 2006, prior to his move to West Ham United, Tevez refused to continue playing for Corinthians. Add to that his anger at being substituted both at Manchester United and Manchester City you get a player renowned with a stroppy-streak.



Carlos Tevez questions Mancini after he’s substituted in the 90th minute



STRONG POSITION

After their 3-1 away win at Upton Park on Saturday, Manchester City drew level on points with top-of-the-table Arsenal, separated by goal-difference only. City are, at this moment in time, right where they aim to be in terms of their league position. Not only is that strong, but their position regarding the Tevez saga is strong too. With three and a half years left on his reported £286,000 per week wage, Tevez is not in the driving seat regarding a potential move. With such a lengthy contract, City have the option of sitting tight and waiting for the right bid or accepting Tevez’s possible retirement –either way the Blues will earn some money back on their star man. Carlos Tevez has been treated very well at City by all accounts. The club and manager have taken a soft and compassionate approach regarding Tevez’s family situation, regularly allowing him to fly back to Argentina to see his two daughters. Even now, whilst his team-mates are preparing for a tough Europa League fixture away at Juventus, Tevez is sunning himself in Tenerife. Whilst nobody can begrudge the little Argentinian a break after his 100% committed performances so far this season, this news smacks of dishonesty and disrespect considering he is supposed to be in his native land. A club captain needs to be committed on the pitch and committed off the pitch – just look at John Terry (his commitment to football, not his personal life).

COMMITMENT

After Tevez’s public transfer request it is time for Manchester City to appoint a new club captain. Look no further than Vincent Kompany. Looking through City’s ranks the first two names on the team sheet without question are Vincent Kompany and Nigel de Jong. The former Hamburg men are two of City’s longest serving players – considering they were signed by Mark Hughes only a few seasons ago. Both are players who appear totally committed to the cause – as well as the tackle. Whilst de Jong is a close second in terms of suitability for the captaincy, Kompany edges it with his presence, knowledge and professionalism. ‘Vinnie’ has grown in the centre back role, originally deployed as a defensive midfielder he filled the gap left at centre back after the departure of Richard Dunne and the loss of form of Joleon Lescott. After an impressive start to the season, ‘Vinnie’ is getting the plaudits he deserves and as recognition for his excellent performances since his arrival at the club, the captaincy would suit him perfectly. A man with loyalty is needed as captain of Manchester City, Vincent Kompany it seems is as loyal as they come.

By Matt Hill

Crisis? What Crisis?

The media circus that follows Manchester City is like a ravenous lion ready to pounce upon its prey. Manchester City is a club in ‘crisis’ if they go two games without a win or without a goal. The players hate the manager and his tactics if they are angry at being substituted. The players hate each other if there is a disagreement on the training pitch or on the actual field of play. The players hate the club if they do not celebrate after scoring a goal. The list is endless and frankly I think you get the picture.

UNBEATEN

Fast forward to an unbeaten run of seven games and the hysteria surrounding Manchester City has quietened (if only until the next loss). City are playing good football, creating chance after chance (albeit not quite finishing them all off) and Yaya Toure is not even being slaughtered by fans and pundits! It appears as if City’s frightening attacking foursome of Tevez, Silva, Balotelli and Toure are starting to click, and not before too long as the hectic Christmas period approaches. With the ever dependable Gareth Barry and Nigel De Jong behind them adding balance and stability to the team, James Milner must be thinking if he’ll ever break back into the side.  

SPOTLIGHT

Whilst they are playing well and getting results there is (almost) no story to destabilise Manchester City. Add to that the poor form of Chelsea and the media spotlight is beginning (slowly) to stray away from the world’s richest club. After one of the best attacking performances from the Blues this season, particularly at home, against a transformed Bolton Wanderers side, the media could not help but highlight the ‘spat’ between Mancini and his captain Carlos Tevez. Tevez reacted angrily after being substituted in the 90^th minute, pointing at the armband he wears so proudly and launching into some Hispanic expletives as he left the field, ignoring Mancini’s offer of a handshake. Had this incident happened at any other club, possibly one only a few miles down the road from Eastlands and with a player of a similar stature to Tevez, one assumes it would have been seen as an act of passion for the club. Indeed, that is how Mancini viewed it; he has said how he wishes he had more players like Tevez – players who are eager to stay on the pitch to help the team. What’s more Carlos Tevez, in an interview in this month’s issue of ManC (the official City magazine), has praised Mancini. There seems to be no problem here, a case of mutual respect and a desire to bring joy to a success-starved club.

Mario Balotelli and Jerome Boateng have a disagreement in training

  ALTERCATION

From the photographs of the altercation between Jerome Boateng and Mario Balotelli from a training session on Friday you could forgive any playground shouts of “FIGHT”. This confrontation is one of several skirmishes that have taken place this season. The others have, more noticeably, occurred on the pitch between the likes of Vincent Kompany, Yaya Toure and Emmanuel Adebayor. Whilst they have all been tagged by Mancini as a display of passion and ambition, the more frequent these fights become, the more the media will highlight them as examples of disunity at the club, also known as ‘bust ups’. In order to prevent these disputes becoming public they should be confined to the dressing room or, in the case of Friday’s scuffle, the club need to either ban the press from Carrington or…grow more trees. Arguments happen at every club up and down the country, either they are all capable of keeping them behind-the-scenes or they just aren’t highlighted like they are at City.

BACK PAGES

Whilst City are in good form Mancini, if he even does read the newspapers, can enjoy seeing City’s barren spell on the back pages. Chelsea’s loss of form and the fact that things are running smoothly at City mean that the club are not being talked about like they were a month or so ago. There are no worthy, destructive stories to write about City (yet) and if their unbeaten run continues there won’t be for a while. Crisis? What crisis?

By Matt Hill