Football club debts are revealed

The owners aim to reduce the debt by �10m within a year

The US owners of Derby County Football Club have revealed they inherited a debt of �31m when they took over the club in January.

Part of the sum includes a �15m mortgage on the club's Pride Park stadium which runs until about 2016.

General Sports and Entertainment (GSE)said it aimed to reduce the level of the club's debt to the mortgage amount within 12 months.

An investment �6m has already cut the debt to �25m, including the mortgage.

'Manageable debt'

"It's challenging but clearly we've invested a lot in the club already and intend to do so some more over this next year," said club chairman Andy Appleby.

"But that was all part of the business plan that we had moving forward so we were crystal clear with our investment group and we're very comfortable with it."

The club has not disclosed how it aims to reduce the debt by �10m within the next twelve months but said that a business plan had been drawn up.

Adam Pearson, chairman of football, said: "I think in this financial climate to reduce debt by �6m in six months is pretty good going and I think it's a very positive move.

"I think the club is in a good position, the debt is very manageable. We put in a lot of due diligence when purchasing the club, we're entirely comfortable with that level of debt. It still allows us to invest in the team which we've done significantly since January."

Mr Pearson added that if the club managed to get promoted to the Premier League it would ease the situation.

The club also said that �9m had been spent on players' fees since January.

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