Blades plan for future after ‘painful decisions’

SHEFFIELD United owner Kevin McCabe has described The Blades’ last financial year and football season as “wretched”.

The League One club’s 2011 annual accounts show its turnover fell by £4.3m to £16.2m, while losses were reduced by around £5m to £13.6m to June this year.

Relegation from the Premier League and then the Championship, and the subsequent loss of parachute payments, have hit the club hard.

Gate receipts fell over the year by £700,000 to £4.2m, with average attendances falling to 20,632 and commercial, retail and catering revenues were also lower.

Net debt has been reduced by £25m to £32m, operating costs, including players’ wages have been slashed by £4.1m to £18.2m and the McCabe family have pumped more money into the club to ensure working capital is in place.

The Blades have converted more than £17m worth of loan notes provided by the McCabe family into equity.

Mr McCabe, chairman of Sheffield United, said: “The financial year and the football season were wretched for everyone connected with Sheffield United. But, rather than wallow in self-pity, we have used these difficult experiences to reassess the whole way the Blades are run.

“It has meant taking some painful decisions from which we hope to emerge stronger and, as a result, more successful in years ahead.

“Our immediate target is promotion. Beyond that, the medium term objective remains to establish Sheffield United as a financially self-sufficient Premier League club, with a regular core of young players built around the successful 2011 FA Youth Cup final squad.

“On a personal note, I apologise to all shareholders and supporters of the Blades. So much time, effort and financial resource has been invested by the McCabes to make Sheffield United a club with a top-class football infrastructure, well admired in English football.

Chief executive Julian Winter said The Blades would consider external investment.

Sheffield United has also disposed of its interests in the Copthorne Hotel, which is connected to its Bramall Lane ground.