FC Barcelona Finances

[Andresito]

Ok so with Atletico choosing not to exercise the buy option for Griezmann all 3 of our flops will likely leave for free. So let's do the maths

They'll pay it.

 

[Porque]

Atletico may choose that they dont want to pay it (dont know where this story is coming from btw) but they definitely will want to keep Greizmann. Suarez will go first.

So if they dont want to pay it they have the option of exhanging with Joao Felix, who is never going to fulfill a remnant of potential there under Simeone.

 

[Andresito]

Not sure if this have been mentioned. But part of the huge losses (481m) we made last season was partly because 5 players have been devalued.

Those are Matheus Fernandes, Coutinho, Neto, Umtiti and Pjanic. Instead of being worth the traditional amortization value, they've gotten their value reduced to very little, maybe even 0. The amount reduced adds to the losses.
Which means whatever we sell these players for, will count as a profit for this or the next season, depending on when they're sold.

 

[MTL_Barca]

Not sure if this have been mentioned. But part of the huge losses (481m) we made last season was partly because 5 players have been devalued.

Those are Matheus Fernandes, Coutinho, Neto, Umtiti and Pjanic. Instead of being worth the traditional amortization value, they've gotten their value reduced to very little, maybe even 0. The amount reduced adds to the losses.
Which means whatever we sell these players for, will count as a profit for this or the next season, depending on when they're sold.

Fernandes is already gone, and the others probably won't generate significant money as well so not much hope for profit. But at least they won't be a loss then when we give them away for free, what is good.

Still will be difficult to find clubs that want to pay their salary though, but makes everything a bit easier. Would be huge to get rid of all of them. Add Griezmann/Messi last summer and Dembele this summer into the mix here and the wage bill should soon look waaaay better than it used to not so long ago.

 

[Messi983]

Not sure if this have been mentioned. But part of the huge losses (481m) we made last season was partly because 5 players have been devalued.

Those are Matheus Fernandes, Coutinho, Neto, Umtiti and Pjanic. Instead of being worth the traditional amortization value, they've gotten their value reduced to very little, maybe even 0. The amount reduced adds to the losses.
Which means whatever we sell these players for, will count as a profit for this or the next season, depending on when they're sold.

Yeah, it was mentioned here before. Total devaluation was around 130m or so I believe. Which clearly made things more difficult for us this season (not sure if correct but I think our SCL for this season could be around 15-20m higher if we wouldn't do devaluation) but should make it easier next (and following) season, especially if we can also manage to offload those players wages either by loaning/selling them or rescinding their contracts.

 

[khaled_a_d]

Fernandes is already gone, and the others probably won't generate significant money as well so not much hope for profit. But at least they won't be a loss then when we give them away for free, what is good.

Still will be difficult to find clubs that want to pay their salary though, but makes everything a bit easier. Would be huge to get rid of all of them. Add Griezmann/Messi last summer and Dembele this summer into the mix here and the wage bill should soon look waaaay better than it used to not so long ago.

I wonder if we have done it to Griezmann too?
I don't think we have de-valued him as much, but I suspect we decreased his value a little bit.
His traditional amortization will be 24M per year, while we loaned him on 10M (14M loss) and the obligatory option (in case he played 50%) is 40M which is 8M loss to the club.
Wonder if he is devalued, or we are banking on savings from salary

 

[Messigician]

I wonder if we have done it to Griezmann too?
I don't think we have de-valued him as much, but I suspect we decreased his value a little bit.
His traditional amortization will be 24M per year, while we loaned him on 10M (14M loss) and the obligatory option (in case he played 50%) is 40M which is 8M loss to the club.
Wonder if he is devalued, or we are banking on savings from salary

He did it for Greizmann, Coutinho and Dembele.

Even Tebas called him out for it and accused the new board of making Barto and his board look bad

 

[Luftstalag14]

If I understood it correctly, they did this deliberately to make sure this season doesn't result in a loss again (which could very well happen given our failure to make it out of the CL group stage, the potential further reduction of stadium capacity due to COVID etc.). However, that had really negative consequences on our salary cap, I believe, also it made us look beyond terrible in the eyes of potential sponsors and investors. A decision that might have shot ourselves in the foot.

 

[MTL_Barca]

If I understood it correctly, they did this deliberately to make sure this season doesn't result in a loss again (which could very well happen given our failure to make it out of the CL group stage, the potential further reduction of stadium capacity due to COVID etc.). However, that had really negative consequences on our salary cap, I believe, also it made us look beyond terrible in the eyes of potential sponsors and investors. A decision that might have shot ourselves in the foot.

On the other hand that might be what gives Laporta so much confidence for next summer. Unless he's just talking shit like the politician he is, what is a real possibility as well i guess

We'll see, IF it helps us recover next window then maybe suffering harder for one season to get rid of all the expensive bums for good was worth it, if we continue to struggle so much with registrations then maybe not.

 

[Luftstalag14]

On the other hand that might be what gives Laporta so much confidence for next summer. Unless he's just talking shit like the politician he is, what is a real possibility as well i guess

We'll see, IF it helps us recover next window then maybe suffering harder for one season to get rid of all the expensive bums for good was worth it, if we continue to struggle so much with registrations then maybe not.

I don't know enough about exactly how the salary cap is calculated but I can't fathom the theory that whatever they did will solidify ourselves or put us in a much better position for next summer, salary cap wise. Improved yes but by a lot? I doubt it. I suspect Laporta did it initially out of fear that he might be forced to resign for having consecutive years in losses, hence he wanted to suspend that part of the clause at the last General Assembly meeting last year.

The only upside of what they did, as far as I can think of, was to possibly force players to take a paycut, basically telling them "According to La Liga we only have this much to spend on wages, either you take a paycut or you try to leave" or something like that.

 

[khaled_a_d]

If I understood it correctly, they did this deliberately to make sure this season doesn't result in a loss again (which could very well happen given our failure to make it out of the CL group stage, the potential further reduction of stadium capacity due to COVID etc.). However, that had really negative consequences on our salary cap, I believe, also it made us look beyond terrible in the eyes of potential sponsors and investors. A decision that might have shot ourselves in the foot.

It had no effect on our cap space.
We were having losses anyway, reduced cap beyond our ability to meet it anyway, 1:4 rule no matter what.
And why it would affect any sponsorship? It has zero relationship to them.
In my opinion, it was the best move he made in his presidency.

 

[JamDav1982]

Was never rumoured to have been for Griezmann and Dembele.

It was said to be Coutinho, Neto, Pjanic, Fernandes and Umtiti that the amortisation was reduced and and increased the loss on the accounts.

 

[khaled_a_d]

I don't know enough about exactly how the salary cap is calculated but I can't fathom the theory that whatever they did will solidify ourselves or put us in a much better position for next summer, salary cap wise. Improved yes but by a lot? I doubt it. I suspect Laporta did it initially out of fear that he might be forced to resign for having consecutive years in losses, hence he wanted to suspend that part of the clause at the last General Assembly meeting last year.

The only upside of what they did, as far as I can think of, was to possibly force players to take a paycut, basically telling them "According to La Liga we only have this much to spend on wages, either you take a paycut or you try to leave" or something like that.

It affects next summer because those players aren't calculated anymore, Coutinho doesn't count 25M amortization per season anymore , Pjanic doesn't count as 15M anymore.
Without, the club would have never loaned Pjanic for example, since a loan means 15M loss on this season.
It gives flexibility going forward while dealing with our deadweight

 

[Luftstalag14]

It had no effect on our cap space.
We were having losses anyway, reduced cap beyond our ability to meet it anyway, 1:4 rule no matter what.
And why it would affect any sponsorship? It has zero relationship to them.
In my opinion, it was the best move he made in his presidency.

It did not? Really? Then what explains the drastic decline of our salary cap, now rumored to be only around 100m? Why do you think it was a such a great move by the way? Paving ways to returning a profit?

Because it makes us look really bad, having a loss almost amounting to half a billion. Who really wants to be associated with an entity who is so poor in terms of handling its business?

 

[Luftstalag14]

It affects next summer because those players aren't calculated anymore, Coutinho doesn't count 25M amortization per season anymore , Pjanic doesn't count as 15M anymore.
Without, the club would have never loaned Pjanic for example, since a loan means 15M loss on this season.
It gives flexibility going forward while dealing with our deadweight

Got it, basically reducing the amortizations (part of the salary cap) by a lot to make room for new signings potentially, even if we don't manage to raise the cap by that much?

OK, let's see what will happen.