SUPPORTERSTRUST – Share Launch

27TH August 2015

YOUR CLUB, YOUR TRUST

Agenda

YOUR CLUB, YOUR TRUST

• Introductions & Welcome – Jon Bowkett

• A short video -

• Share Summary – James Mathie

• Reports Introduction – James Mathie

• Financials – Shaun Johnson • Next Steps & timetable – Shaun

Johnson

• Questions?

Short video

YOUR CLUB, YOUR TRUST

Share Summary

YOUR CLUB, YOUR TRUST

• How does it work?• You have to be a member of the Trust to buy shares – NOTE:

You can make a donation at any time • You can purchase shares between £50 - £100,000 • It is one vote per person – regardless of the amount you

purchase • Shares are Community based

• They do not go up and down in value • They may attract a small amount of interest capped at 2%• You can after 3 years apply to withdraw your share value –

subject to Board agreement • How do I apply for shares?

• Join the Trust – there is a membership team here today• Complete the application form –

• located in the share offer document• Also on line at www.ncafctrust.org

Reports - Introduction

YOUR CLUB, YOUR TRUST

• Legal Due Diligence: • Commercial Contracts• Statutory Books and Shareholder Register• Contracts of Employment• Property

• Financial Due Diligence: • No accounts since February 2015• Assessment of unknown liabilities• Re-structuring of Creditors and Debts• Review of Forecast – 2015/2016 Season

• Summary Position:• The club has been living beyond its means• It has been using this years money to fund last years debts • Only a small proportion of employees have contracts of

employment• A number of the commercial deals have lapsed • A number of documents requested simply don’t exist

• Both reports can be viewed online tonight

What happens if we reach the target?

YOUR CLUB, YOUR TRUST

 

1. Agreement signed with bank and overdraft settled

2. Agreements signed with creditors, terms agreed to settle

outstanding loans

3. Transfer of company shares from a number of major

shareholders

4. Trust will have majority control of the Club by virtue of holding

in excess of 50% of shares in the company Newport County

Association Football Club Ltd

5. We will ask members to agree a new constitution suitable for

owning the club

6.  Investors will be issued with community shares in the Trust.

7. Money will be invested by the Supporters Trust into the football

Club.

What happens if we don’t reach the target?

YOUR CLUB, YOUR TRUST

 

1. It’s unlikely that will be able to proceed with the bid

2. Any money deposited as part of this scheme will be

returned

3. The existing share structure of the Club will remain with

Les Scadding holding the majority

4. The Trust will withdraw its positions on the Club Board

which were taken up to help pave the way for exploring

supporter ownership

What is needed ? – Financials

YOUR CLUB, YOUR TRUST

• Initial money that is needed to take control of the club is

£225,ooo

Key Creditors

YOUR CLUB, YOUR TRUST

• Les Scadding - loan to be repaid at £3,000 per month commencing 1 October 2015 - total outstanding £300,000

• Howard Greenhaf - payments of £9,000 in each of September, October, November 2015 followed by 20 monthly payments of £2,000 each commencing in January 2016 - total outstanding £67,000

• Peterborough FC - monthly payments of £2,000 for Joe Day transfer fee - total outstanding £36,000

• Phil Burgess - £1,000 per month for 10 months commencing September 2015

• Rodney Parade - arrears being cleared at £7,500 per home match for seven matches

• Bank Overdraft - £50k

Next Steps – Timetable

YOUR CLUB, YOUR TRUST

• Share offer will now stay open for a month - Until the end of September

• Launch new look website – First week of September

• Due diligence will continue to address any outstanding issues – Before Completion

• Governance groups will begin to meet – Throughout September

• Consultation on the Detail of the Benefits package – Week commencing 7th September

• Weekly updates on the progress on the share offer – Weekly throughout September

• Prepare structures & administration to meet our ambition – throughout September

• Production of a 90 day plan – Week commencing 21st September

Future Funding

YOUR CLUB, YOUR TRUST

145,700

3,213

0

492,680

15,985

0

Hearts Newport County

0

2,00

0

4,00

0

6,00

0

8,00

0

10,0

00

12,0

00

14,0

00

16,0

00

3,213

1,608

1

15,985

8,000

1

HeartsNewport County

Attendance and Population Members / Attendances

YOUR CLUB, YOUR TRUST

1500000

8,000

301500

1,608Newport County Hearts

£187.50

Questions/thoughts/views?

YOUR CLUB, YOUR TRUST

• If you want to email a question please send to Trust site