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| Version 3 | Version 4 |
|---|---|
| Liverpool close to bank debt deal | Liverpool close to bank debt deal |
| (10 minutes later) | |
| Liverpool Football Club - which owes two banks £350m - is close to renegotiating its debt with the Royal Bank of Scotland, the BBC has learnt. | Liverpool Football Club - which owes two banks £350m - is close to renegotiating its debt with the Royal Bank of Scotland, the BBC has learnt. |
| RBS has told club owners Tom Hicks and George Gillett the debt, due to be repaid in July, will be refinanced. | RBS has told club owners Tom Hicks and George Gillett the debt, due to be repaid in July, will be refinanced. |
| BBC business editor Robert Peston says RBS will insist on significant payments in the subsequent six months. | BBC business editor Robert Peston says RBS will insist on significant payments in the subsequent six months. |
| It comes as Portsmouth's defender Glen Johnson has agreed to join Liverpool in a £17.5m move. | It comes as Portsmouth's defender Glen Johnson has agreed to join Liverpool in a £17.5m move. |
| Lending agreement | Lending agreement |
| Our business editor says the good news for Liverpool FC supporters is that the club is not about to go bust. | Our business editor says the good news for Liverpool FC supporters is that the club is not about to go bust. |
| The club borrowed too much; and it now has to tighten its belt, pay down debt and endeavour to live within its means Robert Peston, BBC business editor Read Robert's blog in full | The club borrowed too much; and it now has to tighten its belt, pay down debt and endeavour to live within its means Robert Peston, BBC business editor Read Robert's blog in full |
| "I understand that Royal Bank of Scotland has told its two billionaire owners, George Gillett and Tom Hicks, that their £350m debt - which falls due for repayment on 24 July and is owed to Royal Bank and Wachovia of the US - will be refinanced. | "I understand that Royal Bank of Scotland has told its two billionaire owners, George Gillett and Tom Hicks, that their £350m debt - which falls due for repayment on 24 July and is owed to Royal Bank and Wachovia of the US - will be refinanced. |
| "A new lending agreement will be put on place." | "A new lending agreement will be put on place." |
| A spokesman for the US pair would not comment on the development. | A spokesman for the US pair would not comment on the development. |
| The other bank owed money, Wachovia, has yet to make any announcement. | The other bank owed money, Wachovia, has yet to make any announcement. |
| US sales | US sales |
| Latest accounts show Kop Holdings, the parent company of the Anfield club, lost £42.6m in the year to August 2008. | Latest accounts show Kop Holdings, the parent company of the Anfield club, lost £42.6m in the year to August 2008. |
| The RBS revelation comes days after Liverpool co-owner George Gillett agreed to sell one of his major assets in a deal which would ease financial pressures at the Premier League club. | The RBS revelation comes days after Liverpool co-owner George Gillett agreed to sell one of his major assets in a deal which would ease financial pressures at the Premier League club. |
| He is selling his stake in the NHL's Montreal Canadiens ice hockey team, in a deal reported to be worth at least $550m (£332.9m). | He is selling his stake in the NHL's Montreal Canadiens ice hockey team, in a deal reported to be worth at least $550m (£332.9m). |
| His fellow Liverpool owner, Mr Hicks, has also been looking to sell off elements of his own sporting empire - which includes Major League Baseball's Texas Rangers and the NHL's Dallas Stars. | His fellow Liverpool owner, Mr Hicks, has also been looking to sell off elements of his own sporting empire - which includes Major League Baseball's Texas Rangers and the NHL's Dallas Stars. |
| The sales will help provide financial guarantees for RBS and Wachovia about the funds Mr Gillett and Mr Hicks have available for the operation of the football business. | |
| 'Commercial acumen' | 'Commercial acumen' |
| Meanwhile, the club has appointed a new managing director, Christian Purslow, as overall manager of the club until a new chief executive is in place. | Meanwhile, the club has appointed a new managing director, Christian Purslow, as overall manager of the club until a new chief executive is in place. |
| Mr Purslow will represent owners George Gillett and Tom Hicks and liaise with manager Rafael Benitez on his summer transfer dealings. | Mr Purslow will represent owners George Gillett and Tom Hicks and liaise with manager Rafael Benitez on his summer transfer dealings. |
| He is an executive board member and co-founder of private equity firm Mid Ocean Partners. | He is an executive board member and co-founder of private equity firm Mid Ocean Partners. |
| "His strategic and commercial acumen will be a real asset and we're delighted that he has made a long term commitment to the club," Mr Gillett said. | "His strategic and commercial acumen will be a real asset and we're delighted that he has made a long term commitment to the club," Mr Gillett said. |