What to think of Xia’s statement?

I’m keeping it short, as I’m still on my phone.

First, thoughts on the “no bank loan’ statement.
I think this is strictly speaking, a true statement.
While it’s true that we’ve taken money from Macquarie, I think it’s more of a forward sell, as opposed to a typical bank loan. The difference is subtle, but I believe it’s there.

Next is the statement that Xia has converted his loans to equity.
I don’t understand this one.
Yes, we’ve see a share allotment, but there’s been no value attached to them. It’s purely to improve the balance sheet, to suit FFP requirements,imo, which is good.
So if we’ve taken £40 odd million off the books, how much FFP trouble are we still in?
This is not made clear at all and it troubles me.

Do we really still need to sell Grealish?
I’m now not convinced, although it seems to me the Birmingham Mail are more than telling us that he actually wants to go, which is disappointing.
My stance would be that he’s going nowhere unless we get the right price.
There’s no doubt, we have to cut costs though.

Another one I have doubts about is the fact that any other shareholding won’t make a difference to FFP.
As has been explained, new owners would be given another chance to improve things.

The big impression I get is that the club isn’t in as bad a state as was implied by the media.
Or at least it’s not going bust.

But we are of course being set up for a period of severe austerity, which means playing more kids.
Given that we can expect no more than mid table at best, imo, I wonder if Bruce is now the right manager for us?

I predict that if we’re struggling, his contract will be allowed to expire.

Good luck England!

128 Comments

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  1. Bill Pearson
    Bill Pearson July 8, 2018 at 9:41 pm . Reply

    Been one for years Hitch, even bailiff on canals in Brum, gone on to fly fishing now with my son, it takes my mind off Villa problems.

  2. Bill Pearson
    Bill Pearson July 9, 2018 at 7:23 pm . Reply

    Yes I like it, its trendy been reading other posts and its a hit home and away.,
    I only hope we can get over this problem , you never know the kids might shine for us.

  3. Bill Pearson
    Bill Pearson July 9, 2018 at 7:47 pm . Reply

    Bruce just been on sky sports with interview, anyone seen it i missed it.

  4. marvin
    marvin July 9, 2018 at 8:14 pm . Reply

    In short, Bruce confirmed the club is selling – Grealish, Chester, Kodjia, +/- more.

    Hard to imagine what the squad will look like in a month.

  5. Bill Pearson
    Bill Pearson July 9, 2018 at 8:32 pm . Reply

    I suppose there’s not much we can do, just have to start from scratch Marvin,,
    So he’s staying at the club?

    1. marvin
      marvin July 9, 2018 at 10:57 pm . Reply

      Yep – Bruce is here to stay, but he easily could have walked. Personally I’m thrilled he did decide to stay, because I don’t trust Xia and I think Bruce’s experience should at least keep us out of the relegation zone this season.

  6. Originallondonlion
    Originallondonlion July 9, 2018 at 10:15 pm . Reply

    Let’s face it, nobody is going to put enough money into Villa to make a difference, and leave Xia in control with his record. He needs to sell. There is one alternative, Xia could find more cash of his own or his original backers. That cannot be a loan or a gift. It can only squeak through FFP if it is a subscription for new shares: and that acceptable by recent UEFA precedent, not a logical reading of the regulations.

    1. Hitchens60
      Hitchens60 July 10, 2018 at 6:56 am . Reply

      I agree OLL – the writing on the wall says additional financing, in any form, from his backers is not going to happen and all ‘internal’ debt has already been swopped for equity (according to Xia’s statement).

  7. nath
    nath July 9, 2018 at 10:33 pm . Reply

    and another final thought, if as predicted all the buying clubs leave their bidding last minute shopping at villa. we won’t have any time to bring in cheap replacements.

    we are going to end up with a very young inexperienced team. most of you thing they are up for it. i am not so sure they would handle 46 games tuesday saturday. murphy gets injured playing youth football which play 20 games and much slower games and no tackling / contacts.

  8. DSVilla
    DSVilla July 10, 2018 at 8:17 am . Reply

    If we meet FFP rules by selling our best players we will have no chance of promotion. If we break FFP rules by not selling, we can be prevented from getting promoted by a points deduction or simply being dropped out of the promotion/play off spots.

    So, why don’t we just break the rules and see what happens?

    The answer is probably that Xia doesn’t have the money. Selling players and complying with the rules means he doesn’t have to put his hand in his pocket.

    A squad with the quality players moved on, and Bruce in charge is stuck in the Championship. I appreciate it probably makes sense for him to stay on now, but I am furious with him for blowing our promotion campaign last year.

    Xia screwed up on the finances, but without the investment we would have been nowhere near good enough. He just handed it to the wrong managers.

    That’s the story of our club for a great many years. Lack of investment followed by plenty of it but in the wrong hands. Doug Ellis refused to fund managers to make the leap from nearly club to winners. Lerner bankrolled O’Neill but then refused to carry on. We were on the cusp, and if O’Neill had been braver in the transfer market and bought a decent striker (Harewood and Heskey FFS) and a playmaker we would have been top 4 with all the benefits that brings. He spent £30M on centre halfs and £7.5M on strikers – go figure.

    It’s just a tale of missed opportunity. Ultimately, if you get the wrong manager and fund his transfers, or get the right manager but don’t fund him, you get what we have got. Failure.

    1. Hitchens60
      Hitchens60 July 10, 2018 at 8:56 am . Reply

      Your point about Villa’s long history of poor investment at the wrong time is well made DS. Di Matteo also has to take some of the blame for spending the majority of Xia’s money (parachute payments) unwisely and we’re still paying for that alongside players like Micah Richards who we might as well be awarded a life membership!

      MON (how come his name still comes up!) has a history of leaving clubs in years of turmoil – must be a special gift he has!

  9. Rocky1
    Rocky1 July 10, 2018 at 9:47 am . Reply

    What really annoys me is that Grealish may not want to go anywhere. He is contracted to us and that would be reflective in the asking price. But if he asked to leave then we would all be on his case as with Delph, Barry, Downing and all those years ago Yorke to name a few.
    Please Xia do not us him a martyr to bail you out of the shit you have bought upon us. I for one will never believe anything he every says again and the sooner you are out of our club the better, your a fraud and can never ever be trusted, you have lost face with every Villa fan so sell and go.
    I have heard the interview from Bruce and he has said it as it is, what else can he say apart from what we all know. He has at least has had the bollocks to sit in front camera unlike Xia who just’s write’s an open letter.

  10. Rocky1
    Rocky1 July 10, 2018 at 12:30 pm . Reply

    Badger It is a disaster but in all of this he has done himself no favours. He came in and basically said in 5 years we would be up there with the likes of Barcelona when in fact the way he is going we will be down there with the likes of Barnet.
    He would have to do something really quickly to save his face and anything negative would be seen as failure by the fans,.He has bought this all on himself in my mind.
    Okay I am not switched on in the business world and how these people make their money, but it is apparent he is not what we all thought and hoped he would be after RL but this is now apparent as a few highlighted at the beginning about his true credentials and net worth.
    When you hear negative responses when new things happen then you do not always look at the negatives moving forward, but focus on the initial positives.

    1. Hitchens60
      Hitchens60 July 10, 2018 at 1:26 pm . Reply

      That seems to be a very fair summation Rocky

  11. Bill Pearson
    Bill Pearson July 10, 2018 at 4:37 pm . Reply

    Tell you what, I’d never say to a team before a deciding game , your going he’s going you’d be luck to get them to go 100% in a match. Looking back on that Fulham game it didn’t look right. He’s got players in Portugal training and some are for sale , is that a happy camp I would say not.

  12. Rocky1
    Rocky1 July 10, 2018 at 4:42 pm . Reply

    Badger Thanks for the insight but surely when you spend £80 million on buying a football club that is for everything including all the clubs assets. The running costs of the club and any outlay to bringing in additional players and staff are covered by the income the club generates from all it’s revenue streams including transfers. But surely the oversight on Xia’s part was that when the money he assured us he had dried up, then all he could hope for was PL Football to bail him out, which was in my mind a stupid thing to have done as this could ultimately cost us big time for years to come. That in my mind is nothing short of plain obvious stupidity and he should be held accountable personally.
    Yes we had the players and the infrastructure to get us promotion on paper and we should have done had it not been for some poor tactical decisions on Bruce’s part after the Wolves game in the final run in.
    If I am honest I do not miss the PL but what they should have done is managed the whole thing correctly on a financially sound basis had it not happened.
    The next few weeks will be very interesting and I just hope that my loyalty along with thousands of others is not going to be another wasted load of money on season tickets and away games because some fool who runs our club cannot be responsible or financial astute enough to own a Great Club.
    If he does sort it out and we do end up being sort of a stabilised financially sound club, then I hope it is not with him at the helm as he has burnt his bridges in my mind and there can be no going back as the trust has now gone completely.

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