30th April 2004

Paul Furlong shirt auction

QPR1st are offering the chance to bid for Paul Furlong's actual home shirt (not a replica with his name on the back) and an opportunity to attend the Sponsors evening at Loftus Rd on May 10th to be presented the shirt by Paul himself and meet all the other players.

This is event is restricted to player sponsors only invitation and you will have a one-off opportunity to mingle with all the players and to take pictures and get autographs.

Ebay Auction link

28th April 2004

QPR1st gives a cautious welcome to the investment made by Moorbound Ltd, a company of former-football agent Gianni Paladini. We are pleased to see that the Club Board has at last succeeded in attracting inward investment to QPR, but there are a number of questions that we would like to see addressed, primarily to do with the deal itself and with the business credentials of Mr Paladini and his team.

In particular, we are keen to know roughly how much has been invested to secure 22% of QPR shares and what further investment plans Mr Paladini's company has. These questions alone have become pressing, since Mr Paladini's emergence as a bidder has generated substantial rumour, which QPR1st does not believe is good for either the Club or its support.

Also, should Mr Paladini's company exercise its option, as a part of this agreement, to extend the 22% to 51%, it would make this deal the beginning of an effective takeover rather than an 'investment', although QPR confirms that the Board is at the advanced stages of negotiations with other interested parties.

Given the potential that Mr Paladini could shortly have control of QPR, we call on the Board to explain what checks of Mr Paladini's business credentials and background have been done (we understand from QPR chief executive David Davies that every test so far put in front of Mr Paladini has been met on time). Meanwhile, we are seeking talks with Mr Paladini, to establish exactly what his company's involvement will mean for QPR.

15th April 2004

Three investors circle QPR

QPR1st has learnt that a third potential investor in QPR has emerged. In some respects this could be positive news if it means that people are beginning to see Rangers as a viable business proposition. However, there is still plenty of room to be cautious, since two have previously explored investing in QPR and have not yet gone through with it while the third has plenty of history elsewhere in the football world.

The latest interested party to emerge is Gianni Paladini. This was reported in the Daily Express this morning but the story has subsequently been confirmed to QPR 1st by QPR chief executive David Davies. Davies stated that Paladini is looking to invest, rather than take a controlling stake.

Gianni Paladini came very close to a majority buyout of Port Vale in December 2003, through a corporate vehicle named Vantis. However, at the very last minute, another party was given priority by the Port Vale board. Some sources say that this was related to Paladinis' stated desire to be the new Port Vale Chairman, others that he simply wasn't a credible bidder with sufficient funds. In an interview with BBC Stoke he claimed he had shown the Port Vale board proof of funds before they pulled-out of the deal. http://www.bbc.co.uk/stoke/sport/portvale/2003/12/vale_takeover3.shtml

Whatever the truth, there does appear to have been a significant falling-out between Paladini and Bill Bratt the Port Vale Chairman.

QPR 1st continues to explore Paladinis' provenance. It is understood that Vantis had recently taken an interest in 'investing in' or 'acquiring' a couple of clubs ... Port Vale and Notts County.

Opinion amongst Vale supporter groups appears to back the Port Vale boards' position in rejecting Paladinis' advances. Port Vale Supporters' Trust (VAST) and Supporters Direct uncovered a series of County Court Judgments against him. Davies explained to us that these are public knowledge and arose from disputes between Paladini and another football agent. That does not mean that they should be ignored, however.

Supporters groups also discovered that, despite his early denials, Paladini was a director of several companies, including a Leeds-based property development company.

Davies confirmed that the critical difference between the Vantis interest in Port Vale and the current Paladini interest in QPR is that at Vale Vantis was attempting a complete takeover attempt, whilst Paladini is seeking to invest in QPR as an individual and not to take a majority stake. This,claims Davies, should ease supporters' worries about the ground being property-developed, as the rest of the QPR board would have to agree to such a thing. At the time of the Paladini takeover attempt at Vale, it was claimed by some that he was only interested in Vale for property development.

Meanwhile Milwaukee Wave, whose owner Tim Krause has long been looking at investing in QPR, remains interested and looks to be moving to reflect that through investment.

Last, but not least, the Brian Rowe-led consortium, which also includes the Anelka brothers, is still looking to invest.

Davies confirmed that there was a possibility of a combination of two of the three parties/ groups working together and being able to invest independently. He also confirmed that an announcement about this could come earlier or later than this Monday, as stated in the Express.

Meanwhile, the board must pick none, one or two from three. QPR1st calls on the board of QPR to take great care making their decision. Whilst recognising that failure to secure inward investment will almost certainly leave the club dangerously exposed as the season draws to a close, we recommend that prospective bidders be examined as closely as ever. At a time when the club is about to play a crucial promotion game, we have a critical weekend ahead of us.

Our QPR collection at the Stockport game

Our QPR will be running a bucket collection prior to the game on Saturday at Loftus Road. If you are able to help with the collection please contact Andrew Goss through info@ourqpr.co.uk or info@qpr1st.co.uk

13th April 2004

Marathon Man runs for Our QPR

You knew where you were in the 1980s. QPR were a First Division team and a Marathon was a chocolate bar with peanuts. Now, two decades on, things have changed. We are still eating the same chocolate bar, only now it's called a Snickers. And QPR? Well, the fortunes of our beloved club have gone steadily down.

Like many younger QPR fans, Martin Shannon, a 24-year-old supporter living in west London, hasn't had a great deal to cheer about. But since the arrival of Ian Holloway, Martin has experienced some of the joy and pride in the team that older Rangers fans constantly talk about. So much so that, despite never having run a race before, he has decided to enter the London Marathon to raise money for Our QPR.

"I'm a designer at the BBC and an inexperienced runner. But I thought if I could run a marathon, I'd try to make money for Our QPR, and for Ian Holloway and the lads. I love them all and wanted to do something for my club."

Anybody wishing to sponsor Martin can download this form

Or email: info@ourqpr.co.uk - and we will pass on your details.

2nd April 2004

QPR1st 27th March 2004 meeting with QPR board

Meeting at 11.30 Saturday 27th March 2004 in the Chairman's suite at Loftus Road

Present:
From QPR1st: Justin Pieris, Peter Gridneff
From QPR: Nick Blackburn, David Davies

Apologies: Ross Jones, Bill Power and Kevin McGrath

Standing rules of engagement applied.

David Davies to have approval of minutes before release.

The small numbers involved meant that the pace of the meeting was much faster and much more territory could be covered in the time allotted. However, it is generally healthier for both parties to field slightly bigger teams at such meetings.

1. The Board

David Anderson has been appointed as PLC Board Secretary. Attends meetings, but has no vote. David Davies confirmed Paul English had stepped down from his position as Finance Director. He will however be continuing on a consultancy basis until a replacement is found. David Anderson is continuing his role as financial advisor to the board.
Dino Lalvani of Binatone has been appointed to the club board in recognition of the new sponsorship deal.

2. Inward Investment

David and Nick explained that they had positive news to report. With two parties/ groups seeking to invest/ take a shareholding in the club. Neither party (at this stage) were looking to complete a takeover, but had structured their bids so that they would add to the existing board.

a) Rowe/ Hale consortium

As stated in a recent newspaper article, Brian Rowe fronts a consortium. . Their key idea is to bring talented youth from a French/ African background into the club.

This consortium was seeking a lock-out, although the board would prefer not to do so, given the history of failed lock-outs at QPR. The board felt that Brian himself was a good calibre investor with a long history of association with QPR and thus the right motivations. (Brian was Marketing Director under the Thompson regime). There was perhaps less confidence with the other members of the consortium, given they had not had a track record of involvement with QPR. This was not seen as a show-stopper though. Haleem Kherallah had been part of this consortium, but had recently withdrawn.

b) The other party/ consortium

No names were divulged for this one, as nothing has been made public yet. The board seemed slightly more comfortable with this un-named party at the time of the meeting.

The levels of initial investment for both parties being spoken about are not enough for a complete take-over; more take a significant shareholding in the company.

c) David Thorne

Sadly, David Thorne's interest had not borne fruit. The club had forced the issue and David had decided not to invest. It was fair to say that there was some anger on the part of the board. What seems to happen is that the foot is taken off the accelerator when a party gets as close to investing as David Thorne, and a great deal of time is wasted that could be spent seeking other investment.

3. A well-groomed club?

David Anderson had been 'transferred' to the club from QPR 1st with a specific 'grooming' (preparation of corporations for investment/ sale) remit.

a) The accounts

Although delayed, the accounts are now in, and work is being carried out on them. However, they will not be published this week.

b) The Leeds United experience/ quick administration option

As QPR was structured in the same way as Leeds (an umbrella PLC with a subsidiary club company) could we not avail ourselves of a similar exit strategy and put the PLC into admin? NB: Clubs (Premier and FL) who enter admin from the end of this season may incur the threatened 10 pt deduction for doing so. There was a feeling that the first club that went into admin next year might end-up forcing the issue back to the Football League and such a penalty could well be voted down given the state of FL club finances at the moment. QPR did not want to be a test case. There are already the example of Exeter who has become the Conference test-case to their detriment.

A major difference between QPR and other clubs who have agreed a cva is that QPR (despite it's debts) is still a net asset holder and that creditors would be very unlikely to accept a CVA when we still have assets (the ground) to finance full debt repayment.

Given the number of unknowns, it was felt that a better strategy for debt management might be agreeing one-2-one cvas with creditors. Once new investment was in place, the club would be in a much stronger position to negotiate.

c) Plan A and B

Whilst, we could see that circumstances might improve if plan A came to fruition and QPR were promoted, Was there a plan B? We were informed there was. There is now a 3 year plan with two options - division one and division two.

And how would the difference between the two plans be bridged? In broad terms, the estimate was a difference of £1.5-2 million. £750k would be stripped from the player budget, 350k from the youth team budget and £350k brought in by refinancing the loan. With season ticket price rises with or without promotion (see below) in the pipeline as well, this would bridge the deficit. (NB: An additional £250k+ may need to be found if there is no ground share next year. cf 4. Ground share).

Clearly the arrival of David Anderson is having an impact, with the board for the first time being in a position to give credible answers to some of our more difficult questions. We felt the board were better briefed, more relaxed and more direct in response than at any previous meeting and that this bodes well for future relations.

4. Ground Share

DD stated it was not necessarily the case that there would be no ground share partner at Loftus Road next season. Whilst Fulham are leaving, as we spoke the club was not in receipt of notification from Wasps whether they would be returning next year. (NB: Wasps have now stated they will not return for season 2004/2005 and will review their position for 2005/2006 onwards). The club had taken advice, and felt that contractually Wasps would have to return at some point or settle compensation.

The club are continuing to explore other ground share options, but cannot move forward until the Wasps situation is resolved. Brentford FC and London South Africa are possibilities but it would seem extremely unlikely for next season.

5. Winton dispute

Both parties had now agreed to binding arbitration by a Sports arbitration body. The matter is expected to be resolved in the next few months.

6. Season Tickets

It was felt better to delay release of season ticket promotional literature until a slightly later date. Existing season ticket holders will be offered the usual early-bird discounts (9%) and the chance to buy their tickets at Div 2 prices (even if the club went up). However, prices are expected to go-up significantly (circa 20%). The Trust stated that they expected significant season ticket rises next year as our season tickets were extremely competitively priced. The 'bums on seats' cheap pricing policy had been an outstanding success as the club went down the divisions and price-rises are to be expected in the other direction. However, the club needed to be careful not to kill the goose that laid the golden egg by over-doing the price rises. They need look no further than Fulham FC who's high pricing policy is clearly not working.

7. Player Issues

a) Finance for Bignot

The club felt that imminent investment (see above), the Terrell situation (see below) and the flexibility afforded by a number of players not being on contract at the end of the season justified the expenditure.

b) Players on contract at end of year.

Only about 10 players had contracts that lasted beyond the end of the year, this gave the club plenty of flexibility to adjust the squad according to the league it found itself in.

c) Terrell Forbes

Given that it might realistically take about 9 months for this case even to come to court, the whole situation whilst clearly devastating for the individuals concerned, is also very problematic for the club. They have sought advice from the PFA and the FA, but this has not proved helpful. At the time of the meeting, they were unsure whether Terrell would be free to meet his contractual obligations. NB Since that time Terrell has been released on bail for a month.

8. Community Scheme

We asked what the status was with the community scheme, Davies explained that this was progressing slowly but with everything else going on at the club it had not been a major priority, this position was expected to improve once the financial position of the club was more secure and the new investors brought on board.

The meeting closed at 13.15 with the apologetic arrival of Ross Jones and Nick telling us how he was going to see The Who with Robert Elms. Old Rockers never die! The next meeting is scheduled for Thursday 27th May 2004.

March 2004 News