I believe that the 'deadline' of tomorrow was just a date pickied by the Leeds board in some, seemingly, misguided attempt to try and get some rich arab/russian/or whatever to invest in a football club they know nothing about.
I dont believe the creditors are pushing for administration as it would mean that any chance they had left of staying up (and therefore being able to pay some money back rather than implode) would disappear with the sale of the likes of Smith, Robinson et al.
stuwilky, you couldn't be more wrong.
Leeds had to come up with about £5m in cash to meet payments falling due in mid-December.
They couldn't find the money and went grovelling to their creditors to beg for more time to pay. They were given four weeks which are up tomorrow. It appears the creditors have gone soft again and will give Leeds another week or two to find the money.
If I were a creditor of Leeds United, I would tell them to sell ALL their players right now and get as much cash as they can for them, bring in new ones earning at most 25% the last lot were on and know that there is a fan base large and loyal enough which can re-pay my debts and interest after the incidentals of rumnning the football club.
If the Directors of the Football Club will not do that, put in an Administrator who will.
Why do I need Premiership football to pay off my debts? I know that a perfectly good First Division outfit can be run for well under £20m a year. Gate receipts at Leeds in Div 1 would still be £20m a year, commercial activities would still rake in £10-15m a year and I could trouser the Premiership parachute payment of £5m
Remember, most of the debts are to American financiers and that is exactly how they will look at it.
Philipl I take your points, but disagree. If a club like Leeds start to try and quick sell all their players, they aren't going to get the going value for them. Therefore minimising the payments to creditors. I agree about the wages, but if the board are succeeding in getting the players to take a 20-30% pay cut (only speculation I know) then why would anyone want them to be sold and new players bought in who weren't up to scratch.
I would imagine the players may be worth more if they stay the season out and help the team to stay up (a calculated gamble!)
Its an interesting one thats for sure and only time will tell what will actually happen.
I cant see Leeds managing to shift many players in the 12 days before the window closes once again. But I am happy to be proven wrong (esp if we buy some of them!)