Arsenal make loss on striker
Arsenal FC chiefs have written off £5.5 million in their accounts to cover the wages of Park Chu Young after the striker failed to make the grade.
The South Korean flop joined Arsenal from Monaco on deadline day in the summer of 2011, but has barely been featured in the Premier League or first team.
The transfer is not one of Arsene Wenger’s key signings at the club, although he first described the striker as a “valuable addition” who would bring “true quality to the squad.” The striker did not live up to his billed reputation, however, only scoring one goal in six appearances.
After spending a season long loan last season at Celta Vigo, the South Korean is now in search of a new club, as the Emirates club have put a £5.5 million ‘impairment fee’ into their recently published accounts.
Despite reducing Arsenal’s profits last financial year, during the last 12 months leading to 31st May, the club have still made an extra £36.6 million, which will give them extra leeway in regards to the financial fair play rules.
Despite taking the loss on Young, Arsenal are still understood to be in a strong financial position, and could acquire two marquee signings in January.
It is thought that Wenger could buy 2 players worth £25 million each and give them six figure contracts if he wished, come the opening of the next transfer window.
October 10th, 2012
I understand that Park’s career at Arsenal was written off long before it started.
October 10th, 2012
R u sleeping did u wake @ d wrong side of bed did park on loan last season?
October 10th, 2012
Total non story. What normally happens is that the transfer fee of a player is written off/booked as a loss in the profit and loss accounts over the contract period. E.g a player costs £10mio and,in case of a 4 year contract, for the next 4 years £2.5mio is taken as a loss/ write off. Happens for every player! In case of Park I expect Arsenal thinks they cannot sell him for any reasonable amount, for obvious reasons, and instead of writing his transfer fee off during his contract period they have, in line with good business practice, taken all his costs in one year (probably including some of his salary).
October 10th, 2012
The story of Park gets stranger by the day. AW did not act his usual self and he and Park did not make any comments at all. Even the S. Korean media are quiet. What is happening?
October 10th, 2012
Here’s a couple of possibilities, he was a back up buy that turned out not to be needed. I always understood Wenger has a dossier on any player of interest so he must have rated him before buying. Now this one I love, Wenger got him to spite the club that wanted him, it would seem that said club had Hazard and did the dirty by selling him to chelsea, after agreeing terms with Arsenal, so Arsene invested in a little payback. If you love conspiracy the second theory is up there with the best.