Back to Search Results

Weekly Brief - 2008-04-11

The Weely Brief,  highlighting recent soccer industry stories from around the World is provided to San Francisco Seals Fans courtesy of  FMMInternational See below for more information regarding FMMInternational.

Current and past issues of the Weekly Brief can be found in our News/Information section under the "Weekly Brief Archives".

* Americas *                                                  April 11, 2008

Players Pay Figures Released
Figures released by the MLS Players Union revealed that, while the league does feature 5 players who earn more than $1m, the vast majority of players earn minimal salaries. More than 40 senior roster players earn the $33k minimum, while about 70 players earn less than $20k per season as ‘developmental players’. Commissioner Don Garber indicated that paying players more money is a priority, especially since so many Americans are moving abroad, but cautioned: “The league is doing better, but don't forget that there has been massive amounts of money invested in this league to get to this point. One good year does not a future make. We've got to ensure that we've got a good year this year and ensure that some of the teams we have that have struggled at the gate are able to pick it up.” Source: PE.com

Seattle Fans Sound Off!
After drawing 82% of fans votes, Seattle's fledgling MLS franchise announced that its team name would be Seattle Sounders FC, rather than one of the other ‘finalists’; Seattle Alliance, Seattle Republic and Seattle FC. In 1973, fans also voted to name the original NASL team the Sounders. Source: Seattle PI

Becks Tops Players Earnings List
According to France Football magazine, David Beckham is once again soccer's highest-paid player, with earnings from salary and endorsements totalling $49m. That figure, which represents an 82% increase over what he earned the previous year, lifted him above Barcelona's Ronaldinho, whose income was unchanged at $38m. Barcelona's Lionel Messi and Manchester United's Cristiano Ronaldo rose to third and fourth, with incomes of $36m and $31m respectively. Jose Mourinho was the top-paid coach ($46m), followed by Fabio Capello ($22m) and Alex Ferguson ($12m). Source: The Independent

Garber Applauds Travelling Supporters
MLS commissioner Don Garber expressed his delight about the fact that over 2,000 Toronto FC fans travelled to the club’s recent season opener in Columbus, Ohio. “It is absolutely incredible up there. We knew it would happen eventually, but we never expected a situation like Toronto. That is not something we thought would happen in this (league). There is a new energy in some of these new franchises and hopefully that can take some of these teams who have been struggling for a while and show them new ways of doing things. It is not just because the market is a soccer market. They are doing things differently, and it is something we are really looking into.” Source: Yahoo! Sports

USL-1 Kicks Off!
The USL-1 season starts this weekend with several notable changes in the teams lining-up. The California Victory folded after just one season when Spanish parent club Deportivo Alaves withdrew its support. The Seattle Sounders will play their last season in the league after MLS awarded the city a franchise. And although the Rochester Rhinos averaged between 10,000 and11,000 fans during the 2006 and 2007 seasons, the club was threatened with insolvency until new owner Rob Clark emerged. Source: ESPNsoccernet 

* Europe *

English FA Seeks Crackdown on Dangerous Tackles
The English FA may propose banning players who launch into dangerous challenges by up to 6 matches and also plans to approach Fifa to remove a restriction that prevents the sanctioning of players who escape red cards for violent conduct. The two clean-up measures will be discussed at a summer review of the FA's penal procedures, along with a move to clear players who incur wrongful yellow cards. The Guardian reports that this is a part of ‘a new resolve within the English game to challenge Fifa president Sepp Blatter's edict that ‘a game cannot be refereed twice’’. Source: The Guardian

Soros Stalks AS Roma?
Despite losing this week to Manchester United in the Uefa Champions League, there is mounting speculation that billionaire financier George Soros is considering a takeover of the Italian giants AS Roma. The controlling Sensi family have denied that they are looking to sell the club but the parent company is known to have accumulated debt approaching $600m so may be forced into a sale. Source: Reuters

Birmingham Execs Arrested in Corruption Probe
Trading in shares of Birmingham City’s was temporarily suspended on Thursday morning after managing director Karren Brady and co-owner David Sullivan were arrested on suspicion of conspiracy to defraud and false accounting. “We answered every single question they put to us,” Sullivan said. “We have absolutely nothing to hide. We have done nothing wrong, and we think in due course this will be proven.” The club also released an official statement: “The City of London Police investigation is focusing on payments to a football agent and two players dating back to 2002/2003.There is absolutely no allegation that any director of the company or the club itself has benefited financially from any of this activity.” Source: ESPNsoccernet

Gillett Defends Parry Against Hicks
Liverpool co-owner George Gillett publicly backed chief executive Rick Parry after partner Tom Hicks sent Parry a letter demanding he ends his tenure at the club. “Rick Parry retains our full support. Any decision to remove him would need the approval of the full Liverpool board which, it should be remembered, consists of 6 people – myself, Foster, David Moores, Rick himself, Tom Hicks and Tom junior. Parry was appointed Liverpool chief executive at Liverpool in July 1998, having held a similar position at the EPL since 1992. Source: the Liverpool Echo

cid:image001.gif@01C88600.567613C0

Derby go Dutch
Though bottom of the EPL, Derby County today announced a link-up with Dutch Eredivisie team FC Utrecht.  The club’s pre-seaosn tour will now be to Holland as opposed to the U.S, where the clubs owners are based. Source: Derby Evening Telegraph

German and Spanish Leagues Support39th Game Plan
The EPL’s controversial 39th game concept was backed by leading officials from the Spanish and German leagues this week. Speaking at Soccerex, Francisco Roca Perez, CEO of the Spanish league, said: “I was really surprised by the reaction and many of the criticisms were misunderstandings of what the objectives are. I think this first step has reached a mass opposition but eventually it will become normal as this league and these teams are so well liked all over the world.” Tom Bender, director of marketing for the Bundesliga, added, “I think it was very good example of how a good idea can be ruined in 3 seconds. It was not sold very well. I think it's a great idea, commercially fantastic, but the repercussion was tremendous and they (the EPL) did not fight back.” Source: the International Herald Tribune

Setanta Calls Off Possible Sale
After potential buyers balked at the prospective $2b asking price Setanta Sports, which broadcasts EPL and Scottish PL matches, has abandoned plans to sell itself. Existing shareholders, which include Balderton Capital, Doughty Hanson and Goldman Sachs may be asked for more funds to secure additional sports rights, and some analysts estimate that the company may need another $300m to break-even. Source: The Times

Portsmouth Announce Huge Losses
English FA Cup Finalists Portsmouth FC have recorded a loss of over $46m for the financial year ending 31 May 2007, after showing a 10% increase in revenue to over $80m. Source: The News

Ajax Extends Sponsorship
Ajax and adidas have agreed to extend their technical supplier deal until July 2019. This contract earns Ajax $110m over 10 years which can be increased by a performance-related bonus. Source: footballshirts.co.uk

Stan Kroenke Buys Arsenal Broadband Stake
American tycoon Stan Kroenke, who already owns 9.9% of Arsenal, has agreed to buy broadcaster ITV's 50% share in Arsenal Broadband, the operator of the side's website, in a deal worth $45m. ITV has now received a total of $130m for its interests in Arsenal. ITV will pay the north London club $2m for certain rights, while the broadcaster will cease to be the commercial agent for Arsenal and will no longer represent the licensing activities at Arsenal. Source: The Daily Telegraph

Milan Star Seeks ‘Investments for His Country’
AC Milan star Kakha Kaladze and 2 former members of the Georgian government, including a former Prime Minister, announced plans to raise $1.5b to invest in projects ranging from property development to hydropower in their country. Situated in eastern Europe, Georgia has seen economic growth averaging 9.3% a year since 2004. Source: Bloomberg

New Owners for Bournemouth
Marc Jackson’s consortium was declared victorious in the race to buy financially troubled AFC Bournemouth and he has until Monday to deposit the money. Jackson originally appeared to have lost out to the rival bid fronted by Cherries chairman Jeff Mostyn, but reports claim that administrators Begbies Traynor let his bid lapse because further financial clarification was needed. Source: the Dorset Daily Echo

Spurs Still Mulling Over Expansion Options
Tottenham Hotspur are exploring the possibility of building a new 55,000 seat stadium on the Wingate estate adjacent to White Hart Lane, but the global credit crunch has made fundraising for major capital projects difficult. The club's other option is to expand White Hart Lane, which presently holdd 36,310 fans, but expansion plans are complicated because the ground is boxed-in on all sides. An announcement is expected by the club this summer. Source: the Guardian

Millwall Board Refuse Meeting Call
League 1 club Millwall's board have rejected a call for an Extraordinary General Meeting by their largest single shareholder. Graham Ferguson Lacey, who owns a 28.9% stake in the club, wants shareholders to have a greater say in the board's plans to regenerate their New Den stadium. “We are involved in a range of discussions with regeneration plans for the area and when we look to form different views and decide on our approach these resolutions seem to suggest that we would have to go and consult shareholders,” said Lions chief executive Heather Rabbatts. “The reason we have a board is to enable the board to carry out the strategy on behalf of all the shareholders and in the best interests of the company.” Source: BBC  

* The Rest of the World *

Fifa Evaluate Win in India Plan
A delegation from India, headed by the President of the All India Football Federation, Priya Ranjan Dasmunsi, met with FIFA president Sepp Blatter and other officials to discuss FIFA's Win in India with India initiative, one year after its launch on 14 April 2007. It was decided that the program ‘would concentrate on developing Indian football at elite level, namely the top 2 divisions in India. The initiative will most notably focus on helping to develop infrastructure for clubs and on providing support in management and club licensing. The initiative will also support the development of national teams, particularly with regard to infrastructure. Training coaches, referees and technical directors will be another cornerstone of the initiative.’. Source: Noticias Info

Argentina Still Top!
Argentina retained their narrow lead over Brazil in the most recent Fifa world rankings. A 2-0 friendly win over Egypt last month helped Argentina hold the top spot for the 7th consecutive month, though Brazil narrowed the gap with a 1-0 victory against higher-ranked Sweden. There was no movement among the top 7, but Greece climbed above Portugal into 8th after beating Luiz Felipe Scolari's men 2-1. England remains 11th and the U.S rose to 21st. Source: The Guardian


* The Weekly Brief is published every Friday and delivered free via e-mail to registered users.
* FMMInternational is a London-based soccer consultancy with offices in New York and Beijing. For more information about our business, click here
* Interested in using the Weekly Brief for Press/Media Releases, then please contact us via info@fmminternational
* The information contained herein is believed to be correct, but should not be relied upon as such. All financial figures should be seen as indicative only as they may have been converted from another currency.