Club chief Robert Elstone has defended Everton's transfer activity over recent years, insisting £35m has been spent on new players.
Toffees chief launches staunch defence of transfer activity
Everton chief executive Robert Elstone has defended the club's transfer activity over the last five years, insisting a net figure of £35million has been invested in new players.
The Toffees, who are still searching for a buyer to provide the next level of investment, have come under increasing criticism in recent months for the perceived lack of progress on and off the pitch.
Supporters formed the pressure group Blue Union, who are campaigning for chairman Bill Kenwright to sell the club and step aside, and in recent weeks they have raised questions about the lack of investment in players.
In August Everton sold Mikel Arteta to Arsenal for £10million and also brought in around £5million from Jermaine Beckford's move to Leicester and Ayegbeni Yakubu's switch to Blackburn.
Manager David Moyes brought in loan players Royston Drenthe and Denis Stracqualursi and also signed Darron Gibson from Manchester United in a deal which could cost them up to £2million.
Answers
The Blue Union have been demanding to know why the proceeds from Arteta's sale have not been re-invested in the squad and Elstone had now answered those questions.
"Over five years, we have generated a £1million 'cash profit' to fund buying players," said Elstone.
"Of course, we've spent much more than this buying players: from June 2006 Everton paid out £94million (including agents' fees) on a stream of internationals like Andrew Johnson, Joleon Lescott, Tim Howard, Phil Jagielka, Leighton Baines, Yakubu, Marouane Fellaini, Diniyar Bilyaletdinov, Sylvain Distin and John Heitinga.
"The club sold Simon Davies, James Beattie, James McFadden, Johnson and Lescott and raised £59million.
"Accordingly, after all ins and outs, a net £35million has been spent buying new players.
"In the last 48 hours the question 'where has the Arteta money gone?' has been raised again.
"[The] first thing to repeat is the bank didn't force the sale. The £10million instantly became £9million when we paid sell-on fees to Real Sociedad.
"Sadly, and despite a lot of hard work, £9million could become £7.5million by the end of the year with gate revenues dropping below budget.
"And £7.5million may well become £5.5million as our live TV appearances drop below the budget we set based on previous seasons' appearances.
"Even if these attendances and TV appearances pick up, out of what's left, significant money has gone on new deals for Fellaini and Ross Barkley, we've brought in James McFadden, Marcus Hahnemann and Landon Donovan and our newest arrival, Darron Gibson."
Unprecedented
In an unprecedented move Elstone has gone into great detail of the Toffees' financial dealings over the last five years in his blog on the club's
official website, outlining income and expenditure and transfers.
Elstone confirmed the club's net debt has increased from £22million in June 2006 to £45million in May 2011 and this season they have to find £5million to cover finance and interest charges, admitting they "can add in money from other player sales".
He said in those five years, after making relatively small repayments on our long term mortgage, investing in new technology, furniture and fittings, the club had only "broken even" before they had bought any players.
Purchases have been funded with the help of their increased borrowing and the £9million sale of former training ground Bellefield.
