Big Rangers Administration/Liquidation Thread - All chat here!

[Araminta Moonbeam QC]

Court of Session ruling expected at 3:30.

[Drooper]

Initial RM commentary on the CVA proposal:

So the payout is effectively a moving target? why would a creditor accept a CVA that has so many variables!?

Can't they fast-track the court case regards the Collyer money? Don't want to seem defeatist but can't see many going for this.

Funnily enough, I can't see anyone going for his notion that the CB case could be 'fast-tracked' either

TO be fair, this character is marginally less delusional than most on there, though (albiet, most are still struggling to open the link much less digest the content of the CVA proposal).

[welshbairn]

The Juice:

[MarreZ]

5.12 The SPL season has finished and as a result, the Company's trading revenue has dropped sharply. The Company must still continue to trade, and in particular it must continue to pay its players, to remain as a going concern. As such, the Company will incur the CVA Trading Costs. It is unclear at the date of this Proposal the period over which the CVA Trading Costs will be incurred and therefore a definitive figure cannot be provided at present. It is estimated that, if the loan is drawn down on or around mid July 2012,

The CVA Trading Costs may be in the region of £3,000,000 ministration fees are on top of the 3m CVA trading costs out the pot, so even by a low 2.7 figure administrators costs, thats 5.7m out of the 8.5m, at the low end, and 6.5m at the high end. The current pot of creditors is 56m near enough going by the statement, which would be just under 5% at the low end as a best case scenario. (not including any potential court cases in and out).

Did I read this correctly?

Edited May 29, 2012 by MarreZ

[Claymores]

Initial RM commentary on the CVA proposal:

So the payout is effectively a moving target? why would a creditor accept a CVA that has so many variables!?

Can't they fast-track the court case regards the Collyer money? Don't want to seem defeatist but can't see many going for this.

Funnily enough, I can't see anyone going for his notion that the CB case could be 'fast-tracked' either

TO be fair, this character is marginally less delusional than most on there, though (albiet, most are still struggling to open the link much less digest the content of the CVA proposal).

"At the end of the day, this is the MOST interesting part;

Estimated Funds Available for Unsecured Creditors through CVA £4,967,284

Estimated Funds Available for Unsecured Creditors through Newco £953,284

Estimated Funds Available for Unsecured Creditors through liquidation £Nil"

Surely H&D have to be challenged on these - why should the assets be sold to Green for the paltry sum they're suggesting oncve a CVA is booted-out?

[ayrmad]

"At the end of the day, this is the MOST interesting part;

Estimated Funds Available for Unsecured Creditors through CVA £4,967,284

Estimated Funds Available for Unsecured Creditors through Newco £953,284

Estimated Funds Available for Unsecured Creditors through liquidation £Nil"

Surely H&D have to be challenged on these - why should the assets be sold to Green for the paltry sum they're suggesting oncve a CVA is booted-out?

Why are the assets valued at under £5M in liquidation?

Shells and pea spring to mind.

Edited May 29, 2012 by ayrmad

[Jim McLean's Ghost]

The Juice:

I made a cock-womble of myself earlier. £5.5M for adminstration, legal and other professional fees! Motherwell were in admin for 2 years, I doubt we paid anywhere near that amount to Bryan Jackson.

[rustyarabnuts]

http://www.companiesintheuk.co.uk/ltd/sevco-5088

If you look at this site, the company is only 2 months old and has capital of just £1

so where is Greenes money???

or am I losing the plot???

[Johnstoun]

Given H&D could have realised (guesstimate) £12m from a player firesale in February, which could have gone into a CVA pot also decimated ongoing running costs is someone going to sue them for failure to act in the best interest of the creditors?

[madwullie]

I don't have the slightest understanding of any of this shit

[Araminta Moonbeam QC]

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Why are the assets valued at under £5M in liquidation?

Shells and pea spring to mind.

So that Chas Green can have it away on his toes with the assets, "paid for" using money he has borrowed from Rangers (in the future).

Utter utter utter bollix. HMRC must be having a bloody fit.

[vikingTON]

I don't have the slightest understanding of any of this shit

^^^ Paul Clark

[rustyarabnuts]

I don't have the slightest understanding of any of this shit

its easy - Rankers are fooked

[stonedsailor]

CVA= Can't verify anything?

[Gaspode]

I had no idea Green's money was in the form of a LOAN!!! What a crook (or should that be Crock?) and they're only getting the money of the sanctions don;t make it any jarder for them to remain in the current leagues and competitions? WTF?

The Offer Letter is confidential between Sevco and the Company, but the principal terms are as follows:

4.20.1 In addition to the £200,000 referred to in Paragraph 4.19, Sevco agrees to advance to the Company the sum of £8,300,000;

4.20.2 £8,300,000 will be available for draw down by the Company no later than 31 July 2012, but only once certain conditions (the ―Conditions‖) are satisfied;

4.20.3 The Company will repay the Loan together with interest on it on or before 31

December 2020;

The relevant Conditions of the Offer Letter for the purposes of this document include the following:

4.22.6 all consents or other requirements of the SPL and SFA having been obtained or complied with so that Rangers Football Club can continue to participate in such

domestic leagues and competitions as it currently participates in.

Am I reading this bit correctly? Any money coming in goes to SERVCO/Green but any costs for running for the next 3 months come out of the CVA account - expected at £3 million? Again WTF?

For the avoidance of doubt, the proceeds of all sums due from the SPL together with any broadcasting monies payable to the Company will be payable to the Company but for the benefit of Sevco (in the event that this Proposal is approved and the Loan drawn down) and shall be Excluded Assets.

5.12 The SPL season has finished and as a result, the Company‘s trading revenue has dropped sharply. The Company must still continue to trade, and in particular it must continue to pay its players, to remain as a going concern. As such, the Company will incur the CVA Trading Costs. It is unclear at the date of this Proposal the period over which the CVA Trading Costs will be incurred and therefore a definitive figure cannot be provided at present. It is estimated that, if the loan is drawn down on or around mid July 2012, the CVA Trading Costs may be in the region of £3,000,000.5.13

[Jim McLean's Ghost]

Given H&D could have realised (guesstimate) £12m from a player firesale in February, which could have gone into a CVA pot also decimated ongoing running costs is someone going to sue them for failure to act in the best interest of the creditors?

No. Creditors will get more money if/when Rangers sell a player. So I think the transfer cash alluded to is Jelavic money still to be paid. If Rangers don't sell any more players, don't win the BTC, don't recover money from Collier Bristow the CVA could be worth less than 4p in the £ and that is only if there are no claims by preferred creditors.

Edited May 29, 2012 by Jim McLean's Ghost

[Florentine_Pogen]

What's that coming over the hill,

Michel Platini, Michel Platineeeeeeeeeeeeeee !!!!

[chico]

The Conditions of being in the SPL fucks the CVA

The corpse keeps twitching but it's not coming back!

[welshbairn]

A striking figure is the £3,632,458 trading loss since Duffman took over, double that if you include their fees. WTF have they been doing? High time that (alleged) bitch of a tea lady was out the door..

[Colin M]

No. Creditors will get more money if/when Rangers sell a player.

My reading of the document is that proceeds from transfer fees will be excluded from the CVA pot for creditors, and may only be used for the running costs:

5.14 During this period from 6 June 2012, a number of receipts may be received by the Company, in respect of:

5.14.1 Outstanding Player Transfer Fees;

5.14.2 The sales of season tickets for Ibrox Stadium, in respect of the 2012/13 season;

5.14.3 player transfer fees with respect to players sold after 12 May 2012; and

5.14.4 the proceeds of sums due from the SPL together with any broadcasting monies payable to the Company.

5.15 In accordance with the Offer Letter, any monies received in respect of paragraphs 5.14.2 and 5.14.3 will be paid into a bank account (―the Account‖) held by the Joint Administrators‘ solicitors and it is intended that the monies in the Account will be an Excluded Asset as provided in paragraph 5.11 above. However, in the event that the Company‘s trading revenue is insufficient to meet the CVA Trading Costs, and subject to the appointment of Charles Green being made in accordance with paragraph 4.21, the Joint Administrators may request Sevco to consent (such consent not to be unreasonably withheld) to the use of monies in the Account to meet the CVA Trading Costs, as is anticipated.