BigAl

http://scotslawthoughts.wordpress.com/2012/05/09/postcard-from-the-edge-why-its-a-cva-or-bust-for-rangers-guest-post-by-don-quixote/ Random Thoughts Re Scots Law by Paul McConville I am delighted to say that a world famous figure from literature has chipped in on the Rangers debate. Don Quixote has offered some thoughts on the future of the Ibrox Club, and I post them below. Strictly no windmills were harmed in the writing of this post. —————————- I will endeavour to summarise the current position: Rangers assets are bordering on worthless, they are only an asset to a commercially viable Rangers. A fire sale of these assets to a non-football source would just about pay the administration, liquidation fees and redundancies. D&Ps were not bluffing when they said liquidation was not an option, there have been no bids for the assets of Rangers from a non-football source in 3 months. Rangers structure is not a commercially viable business, its loss making potential existed prior to any sanctions. Current and anticipated sanctions affecting European and domestic income over the next 3 years renders Rangers un-salvageable. In effect Rangers is worthless as a business proposition, and is threatened with permanent extinction. Rangers can not be downsized to survive in the SPL never mind Divisions 3-2-1, it is a superstore and not a corner shop. Rangers main source of income is ticket sales, and its overheads cannot be reduced sufficiently to compensate for the projected reduction in ticket sales. Its a simple equation, if one reduces the quality of the team and simultaneously removes most of the prize incentives, then unlike ” the field of dreams ” the crowds vital for survival will not come for 3 consecutive years. What is the point of watching your new average team battle for second in the SPL with no Europe and little prize money ? A newco-oldco solution does not make Rangers anymore commercially viable, the briefest diligence by Bill Miller confirmed that it would cost in the region of 30 million to turn Rangers around during the 3 years of European and domestic sanctions. The experts on ticket sales( Ticketus) withdrew precisely because they calculated the financial consequences of playing for nothing with an affordable team. Projected drops in attendance are the new elephant in the room, even if you bought Rangers for 5 million it would cost you 35 million in CASH before it breaks even. A newco Rangers could not afford to maintain its assets or pay its bills for 3 years with a drop in ticket sales, they needed to cut their overheads by 10 million with 45,000 crowds, make that 30,000 and you are drowning in a sea of debt….and apathy. In amongst this gloom is one last hope, the administration period can be extended to facilitate a stand alone CVA, involving a Ticketus guarantee and CWs shares. Players can be sold ahead to bring in working capital, this can be easily justified by the proceeds of a CVA. Even a bid of 5 million with Ticketus and the debentures guaranteed delivers over 40 million to the creditors. A CVA does not carry the penalties of liquidation, administration or a newco, this guarantees to some extent the main source of income, the average attendance. As for the SPL and SFA sanctions against Rangers out of administration, no point deductions and certainly no European ban, it will be financial penalties but over a longer period of time( 6 years). Possibly 25% of SPL money and 25% of any UEFA prize money. Liquidation or a newco are not in the best interests of the creditors or the SPL and either option brings in sanctions that condemns Rangers as an un-salvageable business model. It is a CVA where everyone benefits or it’s extinction, and everyone loses. Regards: Don Quixote. Posted by Paul McConville, on behalf of Miguel Cervantes

No shit Sherlock Brown’s fear over move for Hayes By Paul Third Published: 09/05/2012 Manager Craig Brown fears he may be priced out of a move for Caley Thistle’s Irish winger Jonny Hayes. The 24-year-old former Leicester City player and his representative will meet the Dons manager this week to discuss a potential move to Pittodrie this summer but Hayes has already warned he will wait until after the season finishes on Saturday before making a decision. For the full story, pick up a copy of today’s Press and Journal or read our digital edition now

Is Swanson being targetted to fill the problem full back positions

Spot on, and at least these are all teams I've heard of previously, unlike our oppostion on our last illustrious venture into European competition

I might be being kind to him, but it might just be that those four words were heavily laced with sarcasm

http://uk.eurosport.yahoo.com/blogs/world-of-sport/zokora-exacts-brutal-revenge-emre-racial-slur-094204653.html?nc Still not as good as the revenge extracted by Chris Clark on Hutton a few years back

Yep jump on board mate....no fare payable

Al calls it right again Ya fucking beauty

Led Zeppelin - Houses of the Holy (again) Still a brilliant album after all these years.

Pleased for you......no genuinely I am seeing as you've failed to mount much of a challenge in the Clydesdale Bank predictor again

Published: Today at 06:10 SOCCER star Derek Riordan has been locked up by cops after he was accused of brawling with a bouncer. St Johnstone ace Riordan, 29 — who’s banned from all nightclubs in Edinburgh — was reportedly spotted by security staff as he entered a bar. After being ejected, it’s claimed he hurled abuse at one doorman before allegedly grabbing him around the neck outside the HMV Picture House pub. Cops were called and the former Hibs ace was taken to St Leonard’s police station where he was charged with assault and breach of the peace. Riordan spent yesterday in custody while the courts were closed for the bank holiday. He is expected to appear at Edinburgh Sheriff Court this morning. The former Scotland international — who has a 22-month-old daughter Ruby — is serving a ten-year nightclub ban under the Unight scheme which targets anti-social behaviour. Riordan had been on a night out with pals in the capital after his new side played Hearts on Sunday. A Lothian and Borders Police spokesman said: “A 29-year-old man has been arrested and charged in connection with an alleged assault and breaches of the peace following a disturbance at the Picture House in the early hours of May 7. “He is scheduled to appear at Edinburgh Sheriff Court on Tuesday May 8.” Riordan signed a deal with the Saints in March to stay till the end of the season. St Johnstone would not comment last night. Read more: http://www.thescottishsun.co.uk/scotsol/homepage/news/4303789/St-Johnstone-ace-Derek-Riordan-banged-up-over-brawl.html#ixzz1uGQi4q2A

At it again....in the cells since Sunday night, and up in court this morning in Edinburgh

Game over 3-0

Steely Dan - Royal Scam

Sense you might not have meant that

Think the second paragragh is wishful thinking mate. Honestly think they have bottled it Nowt but a bunch of self preserving bastards totally lacking in integrity or honour Take it as read Huns walk straight back into SPL CUNTS

Indigo Girls - 1200 Curfews

Bit of a change of mood Donald Fagen - The Nightfly

Dr Feelgood - Stupidity

Dear TLG1903 I take my hat off to you mate. I have for a number of days if not weeks been trying to think how best I could put my feelings on this matter in writing. Whilst a reasonably intelligent person (even if I say so myself) I simply couldn't get the wording and tone right, but your post above encompasses all that I feel on this matter, and puts it forward in a calm and controlled fashion and for that firstly I applaud you, and secondly thank you. You have summed it up perfectly even if I sense it will fall on deaf ears Thanks again mate

PUTTING aside issues of SPL membership and transfer embargoes, Bill Miller's prospective takeover and rehabilitation of Rangers still faces numerous hurdles, according to experts. The first could come when the American entrepreneur completes the exclusivity period granted by Duff & Phelps and formally proceeds with his £11.2m bid. At that point, the administrators would have to apply in court to sell the assets of Rangers to the new incubator company Miller plans to form. Professor David Hillier, vice dean at Strathclyde University Business School, believes Craig Whyte could mount a legal challenge at that point. He said: "Given that Craig Whyte is a floating charge holder, he may apply to block that asset sale if he feels the newco has been harmful or unfair to his interests. It is a grey area as much of Scots law is set by precedent. "Paragraph 68 of the Insolvency Act states when an administrator sells assets covered by a floating charge effectively they can do it as if there is no floating charge. But paragraph 74 states if it is felt this sale is detrimental the floating charge holders can apply to the court to block it." If the new company is formed, Miller's cash bid will be the only remaining asset in the old company. Even before considering the position of HMRC and the outcome of the first tier tax tribunal, any plan to propose a company voluntary arrangement (CVA) to creditors within the old company appears doomed. It would take a minimum of six weeks to complete a CVA, during which time Duff & Phelps would continue to pick up hefty fees, which would eat into the sum available to creditors. Professor Hillier said: "In that situation, liquidation is better for the creditors." However, even if the CVA is able to clean up the balance sheet of the old company, the process of merging it with the new Rangers is difficult. Shareholders of the new and old companies could agree to dilute their shareholdings. Alternatively, the new company could offer to buy the shares from the old company. In both scenarios, Craig Whyte would have to co-operate and could receive some form of pay off. One insolvency expert said Miller's plan makes little business sense. "Why have this convoluted structure? If you are going to do a newco and transfer the assets, why bother with the CVA? "I understand he wants to preserve what he sees as the history and traditions, but I think people are making too much of that. The reality is if you transfer the assets, the Rangers brand name and everything else, to another company and that company trades within the SPL, what does it matter if it is a different trading entity?" According to data from the Nasdaq stock exchange, Miller has significantly reduced his personal holding in Miller Industries from 679,619 shares to 305,401 in the past year. He owns less than 3% of the issued share capital.

The £11m is refundable though if he chooses not to proceeed. He can still walk away from this witohut any financial loss, other than any costs incurred in seeking expert advice to formulate his planned structure.

Was there an election Most low key political event I've witnessed in over thirty years of holding a vote. Apathy rules....I guess no fucker cares any longer. Bit like Scottish football really

If Michael Johnstone follows through on his comments of yesterday, then I'm never setting foot again in Rugby Park as will refuse to pay to get in there. Lets see if his one possibly two games a season against the Huns manage to keep his club afloat