Quotes Of The Year, Part One Executive Transactions Names In The News Mayne-Nicholls: England Bid Was Best Tour Of Ireland Could Return In 2016 LTA Prize Funding Cut Sparks Fury Qatar Eyeing EPL Tottenham Hotspur Levski Sofia: Salaries 75% Of '15 Budget Subway Ramps Up Liverpool Sponsorship Wanda Emerges In Infront Media Auction
SBD Global/November 1, 2012/FinancePrint All
German 3rd League club Alemannia Aachen "has avoided bankruptcy for the time being," according to the DPA. The club revealed Wednesday that somebody "from within the club" stepped up as a financial backer. The club has a reported deficit of €3.9M ($5.1M), which means it had to find €2M ($2.6M) to stay afloat. In addition, Aachen has "parted ways with club CEO Frithjof Kaemer." Aachen Sport Dir Uwe Scherr "will takeover his position on an interim basis." The former Bundesliga club "will present a new economic concept in the short term." Aachen Chair Meino Heyen said, "We have a huge mess on our hands, money is missing everywhere. The new season started with financial losses, which put us in the situation that we are in right now, which is almost bankrupt" (DPA, 10/31).
Marussia, the F1 team 29.4% owned by Lloyds Banking Group, "is in talks with potential investors to keep its wheels turning after making a £49M ($78.9M) loss last year," according to Christian Sylt of the London GUARDIAN. Team CEO Andy Webb said directors were "in active discussions with potential new investors in the business and also pursuing other sources of income including potential sponsorship." The Sheffield-based team joined F1 in '10 and "is likely to be valued at about £45M ($72.6M) -- about a quarter of F1's only listed team, Williams." A disastrous start in '10 "hit the team's finances the following year." Turnover -- mainly derived from sponsorship and prize money -- "declined 5% to £28.6M ($46.1M) in the year to Dec. 31, 2011." However, the team's costs rose 11% to £70M ($112.7M), and in turn this widened its net loss by £11 ($17.7M). Webb puts the increase in costs down to "significant investment in the team's personnel, infrastructure and factory" (GUARDIAN, 10/31).