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Man Utd debt soars by £127.4m to £429m in just THREE months as they feel devastating effects of coronavirus crisis

Clubs around the world are feeling the crippling financial effect of the coronavirus pandemic, and even a money-making machine like the Red Devils are not exempt.

Having risen by around 42 per cent, the club’s debt now stands at a staggering £429million.

And they will now have to re-estimate their predicted revenues of between £560m and £580m for this year – with little chance of them making anything close to those figures.

The club today released their quarterly figures up to March 31st which is nearly three weeks after football was suspended.

While the full impact will not be felt until the next set of figures their failure to qualify for this season’s Champions League and a rebate to broadcasters has cost the club.

A United statement explained: “Broadcasting revenue for the quarter was £26.0 million, a decrease of £27.8 million, or 51.7%, over the prior year quarter, primarily due to an estimated £15.0m Premier League rebate due to broadcasters, following delay and broadcast schedule changes to the 2019/20 football season, non-participation in the UEFA Champions League, and the impact of playing two fewer Premier League away games.

“Matchday revenue for the quarter was £29.1 million, a decrease of £2.6 million, or 8.2%, over the prior year quarter, including the impact of postponement of the Round of 16 Europa League home match and closure of non-match day operations in mid-March.”

Despite this United remain in a healthy financial state announcing that they have plenty of money in the bank to help them through this difficult period for football.The club has £90.3m of cash balances plus access to an additional £150m available under what they refer to as a revolving credit facility.

The Club’s Executive Vice Chairman remained positive about the team’s ability to finish the season well when Project Restart gets underway on the back of an 11 game unbeaten run before lockdown.
He did point out, however, that their prime concern at the moment has been the impact of the coronavirus and how they have been able to assist the local community.

Woodward said: “Our focus remains on the health and well-being of our colleagues, fans and partners around the world and we are extremely proud of how those connected to the club have responded during this crisis.

“Since the start of the pandemic, Manchester United and our Foundation have provided assistance to hospitals, charities and schools in our communities, as well as support for frontline workers and vulnerable fans.

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