QUOTE(niuchin @ Jul 2 2009, 07:09 PM)
These Kaka and CR signings are straight forward deals financed by two financial institutions, Caja Madrid and Banco Santander.
Spanish building society Caja Madrid issued a loan of 76.5 million euros (C$120 million) to Real Madrid, which has put up two undisclosed sources of collateral. Spain's largest bank, Banco Santander, has agreed to lend Real Madrid a similar amount.
Finance Minister Elena Salgado said Tuesday she finds it odd that Caja Madrid can come up with so much money for Madrid when loans are scarce for everyday people and companies.
"It surprises me, and what I would ask banks is that: if they have liquidity, that they also make loans to small and medium-size companies and families," she said. "I would ask that they make an effort for them."Thats why theres an outcry by the rest of the country against these mega signings and their exceptional low tax rates for foreign players at other Spanish taxpayers expense.
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Previously to fund the Galacticos I era, RM was able to sell its former training ground Ciudad Deportiva at a handsome sum over
480 million euros. This was a controversial land and property deal.
The gist of it is that in late 1990s with
Real Madrid's debts mounting,
plans to re-zone and commercially develop the land were mooted several times, but it wasn't until the presidency of Florentino Perez that these plans came to fruition.
In 2000 there was a motion proposed, voted on, and approved in the Madrid parliament to re-zone the area of the Ciudad Deportiva, which until then was zoned for non-commercial purposes. In this vote, the Partido Popular (People's Party) and the Izquierda Unida (United Left) voted in favor, the PSOE (Socialist Party) voting against.Bottom line is that it took friends and supporters in high places (
gahmen) to aid in rezoning the property deals. At the end of the day RM (
socios), Perez and his cronies were able to benefit and
the rest is history. Of course its understandable the rest of the country (including RM rivals Athletico Madrid, Valencia, Barca et al) were not too 'thrilled' about the
helping hand of the gahmen.
Verx, thats the financial wherewithal (finanacial muscle via political clout) that RM has. Can you refute above. No?
Just imagine if Liverpool were given a similar lending hand by the
gahmen. Malcolm Glazer will not have to sell his Montreal Canadiens.
These facts are known. Just that I am posting these here at the appropriate moment.
Cheers
I am no businessman, but i think it's because of RM's big organization, assets and phenomenal history on these galacticos players that eventually secured them a deal. Also i heard it can be back up by their TV deal, anyhow can u point me to the 'outcries' you mentioned? Is it all came from Catalan?
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About the classification of fields, it's came from the El ayuntamiento de Madrid (Madrid council), not the Government, and it's a complete legal practice, as well as other clubs in Spain has done previously and are intending to do now (in fact, Barcelona). European Union also investigated on the matters and they found nothing's illegal. And still Real Madrid has two lands, one in Las Tablas and the renegotiation of La Esquina, which concession finishes in 2011 that Florentino could use if needed.
For anyone who still doubts the training ground was worth what Real Madrid sold it for, it's worth noting that just one of the towers was sold for 815 Million Euros in 2007.
http://en.wikipedia.org/wiki/CTBADo you know which is the club in Spain that has sold their grounds the most in the history? Barcelona. Do you know that Barcelona has an amazing financial support from La Generalitat (Autonomic Catalan Government) in order for Barcelona to do politics promoting the independence and nationalism of Cataluña? Do you know that
Caixa Cataluña (bank) is behind Barcelona?