Liverpool FC Forum

by **The Canadian Red Army** » Sat Feb 12, 2005 5:15 am

this is just another reason why an american businessman should come in and buy liverpool.

The Guardian profile: Malcolm Glazer

His 60-year career has spanned fast food and nursing homes and involved some bizarre court cases. Now America's 270th richest person is determined to buy Manchester United - regardless of what the fans think

Nils Pratley
Friday February 11, 2005
The Guardian

Five years ago, Malcolm Glazer decided to write a book about his success. Like any self-made multimillionaire lacking time or literary talent, he searched for a ghost writer. Allen St John, now a columnist for the Wall Street Journal, was among those called to the Hilton on Sixth Avenue in New York to meet the man who, at the age of 76, is now trying to buy Manchester United.
Glazer, recalls St John, had chosen a cramped twin-bed room to conduct these potentially important meetings. The room appeared to have been occupied the previous night by Glazer and his son Bryan, who was also in attendance. If that suggested a frugal, even penny-pinching, nature, Glazer was eager to confirm the impression.

At one point he interrupted a monologue about his early years to point at Bryan's trousers. "You see those pants?" he asked. "Those are Hugo Boss pants. They cost $200.

"My pants?" he continued. "They came from JC Penney, $19.95 on sale. And you know something? I like my pants more than he likes his pants. You know why? Because I remember the day when I didn't have $20 to spend on pants."

The book never materialised and, in truth, the idea was wholly out of character. Glazer, the son of a poor Lithuanian immigrant, has generally adopted a "never explain" approach to the many controversies he has provoked during his climb to become America's 278th richest person, according to Forbes magazine's 2004 league table. He is worth $1bn (£530m).

He has not given a proper press interview for years, certainly not since he paid $192m for the Tampa Bay Buccaneers American football team in January 1995. Apart from the occasional trot down the touchline before home games, he has not tried to bask in the glory of the team's triumph two years ago in the Super Bowl. Tampa fans call him the Leprechaun in reference to his small, round frame and gingerish beard.

A "He is different from other sports franchise owners in that he is very much a businessman and he is proud of that," says St John. "At a certain point, many of them are almost embarrassed to talk about how much money they have made, whereas Glazer is completely unapologetic about that. For him, it is not just about sporting victory but also about business victory. He is just as happy to make money on something as win a championship."

That analysis goes to the heart of fans' fears about Glazer's motives. The would-be bidder has spent about £180m acquiring a 28.1% stake in the club without setting foot inside Old Trafford. He did not watch the team play during its American tour last summer. Nor has he made any attempt to woo the fans with a statement about how he would run the club. Nothing has been done to counter the idea that he would increase ticket prices, as he did at Tampa.

The only personal image that Glazer tries to promote is that of a man who has worked hard for his fortune and cares about his family. The Glazer Family Foundation's website gives only the briefest account of what it calls a "true American success story", describing how Glazer worked in the family watch-parts business in Rochester, New York, from the age of eight. When his father died in 1943, Glazer, the eldest son, assumed responsibility for the business at 15.

Thereafter, the tale has less charm. Glazer's 60-year business career, incorporating property, fish, fast food restaurants, local television stations and nursing homes, has been punctuated with minor court cases. Some are bizarre, even by the standards of America's litigation-happy culture. Soon after the Tampa Bay takeover, residents on a trailer park accused Glazer's holding company of illegally charging an extra $5 a month for keeping a pet and $3 for each resident beyond the first two. Glazer eventually dropped the fees, but not before incurring acres of bad publicity and was dubbed the "slumlord".

The strangest of the legal cases is the one involving his mother's estate, originally worth $1m. Glazer's dispute with four of his older sisters dragged on for more than a decade in the civil courts. "I don't think they were very happy that mother got a new Cadillac every year and they had to use an old car," he told the Baltimore Sun in 1992.

Recurring themes in Glazer's career - ones that echo in the assault on Manchester United - are his willingness to employ heavy borrowings and efforts to maximise the bargaining power of relatively small investments. Having concentrated on property in his early years, initially buying rented homes in Rochester, he reinvented himself as a corporate raider in the go-go stock markets of the 1980s. In 1988, he bought 10% of Formica Corporation, the work surface company, and threatened to bid for it before selling the stake to a higher bidder. The following year, he employed similar tactics at Harley-Davidson, the motorcycle manufacturer; he built a 6.9% stake, generated some takeover fever and then sold at a profit.

In the 1990s, he made a killing in junk bonds, a feat that will have required high nerve and astute analysis. Junk bonds were regarded as the toxic waste of the financial system after a series of scandals and defaults. Glazer judged that things could not get much worse, and is reckoned to have roughly doubled his $80m investment as economic recovery ensured that not all companies defaulted on their junk bonds.

Glazer's interest in United probably springs from the same instinct: he thinks it's a bargain, even at £800m. You can see his logic: it is probably the world's most famous sporting club, its stadium is always sold out and its brand cannot be copied. That makes it an enticing prospect for Glazer-style financing - mortgage a rock-solid asset up to the hilt in order to crank up the potential returns. Under the takeover proposal for United, Glazer's direct upfront investment would be only a third of the takeover price.

According to his advisers, Glazer also thinks the current United management is guilty of under-exploiting the brand. If you think £45 for a polyester replica shirt is already quite enough, you have not being paying attention to the possibilities. Arsenal will collect £100m for allowing their new stadium to be named after an airline for 15 years. How much could be generated by attaching a sponsor's name to Old Trafford?

Therein lies the reason for the intensity of the hostility of United fans, who this week hanged an effigy of Glazer from the gates of Old Trafford and chanted "Malcolm Glazer's gonna die". They believe Glazer is interested only in milking the club's impressive cash flows. It is not as if United needs a new owner: the club is free of debt and its 12 years as a publicly quoted company have been its most successful in terms of winning silverware.

Glazer's record as a successful owner of a sports club rests almost entirely on that Super Bowl victory in 2003. To be fair, this achievement should not be underestimated. Tampa Bay in its pre-Glazer years was a perennial loser. Unfortunately for those trying to promote Glazer as a genius of sports management, the Buccaneers have since reverted to their losing ways. The value of the franchise, though, has roughly trebled under Glazer's ownership, partly because he was able to secure taxpayers' money for a new stadium.

Glazer bases himself in Palm Beach, Florida, where he has two huge mansions on the oceanfront. He attends the Palm Beach synagogue and contributed to its construction. He and his wife, Linda, have six children - Avram, Kevin, Bryan, Joel, Ed and Darcie - and it is they who are reputed to have encouraged the move into sport. Joel and Avram are fronting the attempt to buy United.

The bad news for hostile United fans is that Glazer's defining characteristic is his bloody-mindedness. He tried to buy four other American sports franchises before getting the Buccaneers. When he was rebuffed by the United board last year, he responded by buying more shares in a stock market raid. Then he voted off three directors, which cost him his City advisers. So he recruited others and came back with a new proposal. He seems to be a man who does not care what people think of him.

Life in short

Background
Born in 1928 in Rochester, New York. One of seven children of Lithuanian Jewish immigrants who lost relatives in the Holocaust.

Family
Married to Linda, with whom he has five sons and a daughter. Lives in Palm Beach, Florida. All of his children are involved in the family businesses.

Career
In 1943, inherited his father Abraham's watch business. Within five years, started investing in property such as trailer parks, nursing homes, banks and shopping malls. When his mother, Hannah, died in 1980, he launched a legal bid to prevent his brother and five sisters getting a share of the $1m estate. In 1995, bought Tampa Bay Buccaneers. In 2003, turned attention to Manchester United after failing to buy the Los Angeles Dodgers baseball franchise.

Quote
On his father's death: "Probably the most tragic thing in my life. But it was good in one way. It made me a man."

I hate Manu just as much as the next guy, but this is despicable just using the club to make himself more money. He will be ruining a franchise in the process with his attitude. their "american dream" will destroy football clubs like our great club, if the kraft family buys liverpool.

by **A.B.** » Sat Feb 12, 2005 5:25 am

Typical anti-American

The only reason you do not want L4 is due to the fact that you can't stand the country that is far superior than your bacon making Canada.

Since Kraft has taken over New England Patriots the franchise has won 3 Championships in 4 years. The man has been successful. Just because Glazer is a greedy c#nt doesn't mean Kraft is.

by **The Canadian Red Army** » Sat Feb 12, 2005 5:40 am

A.B. wrote:Typical anti-American

The only reason you do not want L4 is due to the fact that you can't stand the country that is far superior than your bacon making Canada.

Since Kraft has taken over New England Patriots the franchise has won 3 Championships in 4 years. The man has been successful. Just because Glazer is a greedy c#nt doesn't mean Kraft is.

far superior HA! that coming from someone who likes what his country is doing to the world. This is a football forum and i am not going to get into a squabble with you over something like that. You are only looking at it in one dimension, why dont you try looking at it from a different perspective?

by **liamac** » Sat Feb 12, 2005 6:18 am

Im not sure if you are aware Canada but a guy wrote about Robert Kraft on here a month or so ago basicly saying you could not get two more different people than Glazier and Kraft.

Glazier is hated by the fans of the team he owns because he has penny pinched and raised the ticket prices etc just to make money , whilst Kraft on the other hand is THE most respected owner in the NFL .
He paid for a $350 million pound stadium out of his own pocket !!! . the running of the club is left to the general manager and the team is run by the coach. Krafy leaves the day to day running to the people he has placed in charge as he has rightly said know far more about the team than he ever will .

Just because Robert Kraft is american doesnt mean they are all George W bush General B Bomb the B@rstards type of yank . He is a psorts fan first and had has been a season ticket holder of the Patriots since 1971. When they going to be sold to another city , he bought them to prevent his beloved team from moving . They at the time , had the worst results in the NFL and has turned them into the best team in the NFL in a matter of 12 years.

It kinda p!sses me off to be honest that just because someone is of a certain race or from a certain country , that they are tainted as a steriotypical money grabbing gung ho idiot that most americans are . You have far more experience of the yanks than i do and so therefore feel that you can say what you feel , but then again im originally from northern ireland and a catholic at that , and yet 2 of my best mates are ex british solders who did tours of duty in the city i lived in .It doesnt mean im the same as every irishman they came across over there , we are all different.

Sorry Canada but you kinda hit a raw nerve by tainting every one with the same brush ........i know you didnt intentionally mean that all yanks are @rseholes but .......... :blues:

by **The_Rock** » Sat Feb 12, 2005 9:13 am

The Canadian Red Army wrote:
A.B. wrote:Typical anti-American

The only reason you do not want L4 is due to the fact that you can't stand the country that is far superior than your bacon making Canada.

Since Kraft has taken over New England Patriots the franchise has won 3 Championships in 4 years. The man has been successful. Just because Glazer is a greedy c#nt doesn't mean Kraft is.

far superior HA! that coming from someone who likes what his country is doing to the world. This is a football forum and i am not going to get into a squabble with you over something like that. You are only looking at it in one dimension, why dont you try looking at it from a different perspective?

dude........

do you seriously prefer morgan to L4

morgan is all for stadium sharing..... That alone disqualifies him in my opinion.....

by **LFC #1** » Sat Feb 12, 2005 11:43 am

this article is about Glazer and has nothing to do with L4!

by **reddippydick** » Sat Feb 12, 2005 12:54 pm

The views on whether we should go with whoever seem based on emotion rather than fact and at the end of the day if Moores and Parry are businessmen (regardless of whether they are good or poor at business) it will be determined by money.

Fans generally don't come into the decision making, I havent heard many statements made from M & P which puts the fans first but if someone knows of them I would be pleased to hear of them.

by **Ciggy** » Sat Feb 12, 2005 1:06 pm

People who live in countries with terrible rulers and dictators are not to blame for there actions, no matter what.

by **Red Macgregor** » Sat Feb 12, 2005 1:59 pm

The_Rock wrote:morgan is all for stadium sharing..... That alone disqualifies him in my opinion.....

Have you seen the latest statements from Parry. The Banks will not fund the loan required for the new Stadium. Which says that we wan't to borrow more than our current asset value.
Morgan was right about the stadium, it is a financial millstone around Parry's neck.
Morgan only suggested groundshare as a way of putting as much new money into the team.
Parry now says that the Stadium will be delayed by a year or two.
Unless, there is major success on the pitch in the near future. I don't think it will ever be built.

by **L-type** » Sat Feb 12, 2005 2:01 pm

A.B. wrote:Typical anti-American

The only reason you do not want L4 is due to the fact that you can't stand the country that is far superior than your bacon making Canada.

Since Kraft has taken over New England Patriots the franchise has won 3 Championships in 4 years. The man has been successful. Just because Glazer is a greedy c#nt doesn't mean Kraft is.

Exactly, no matter who buys the club, if they are american they automatically must be evil in Canadian Armies eyes. I'm sick of this stuff. If Roman Abramovich was Canadian you'd love the guy, but Kraft is neither like Roman or Glazer, he backs his teams regardless of success or failures, and if needed will inject some cash to close the gap that keeps growing. This is just getting annoying.

by **LFC #1** » Mon Feb 14, 2005 2:54 am

LIVERPOOL Football Club's ambition to build a new stadium at Stanley Park faces a £50m shortfall.

Soaring steel prices have been a key element in driving up the projected cost of the 60,000-seat stadium from £80m to £140 in the five years since the original plan was announced.

The club has been unable to raise all the money it needs by borrowing from City investment banks, and is now trying to tap into public sector grants.

This week, it emerged that Liverpool is turning up the pressure on the Northwest Development Agency for a decision on a £21m grant application.

And last night a source close to the stadium funding negotiations told the Daily Post: "They have tried to raise money from the private sector, but the problem is the costs keep rising. They are now £140m. No wonder they want the NWDA's money quickly."

Chief executive Rick Parry says Liverpool is also considering trying to raise cash by selling the naming rights to the new ground. Liverpool has been inspired by how Arsenal successfully clinched a lucrative £100m naming rights deal with Middle Eastern airline Emirates. When the plan for Liverpool's new stadium was first conceived in 2000, the club used the services of financial advisers Schroders to raise around £80m for a 70,000 seat ground.

But that plan proved too expensive and a scaled back version now sees the club seeking to build a 60,000 seat ground.

However, since then the price of steel has rocketed on the world's commodity markets.

The club hopes to be playing at its new ground in time for the start of the 2007/8 season, but that deadline is looking increasingly unlikely to be met.

Liverpool is applying pressure on the Northwest Development Agency to make a quick decision about financial support for infrastructure around the stadium.

However, the NWDA is thought to need convincing that contributing towards the cost of a new stadium at Stanley Park would make best use of its money.

The Warrington-based agency had hoped that both Liverpool and Everton would share a stadium. Both clubs have now rejected the idea of a shared stadium, but the NWDA does not want to have to pay out a second grant to Everton, should the club be in a position to build a new home of its own.

Liverpool FC did not respond to our requests for a comment on the situation yesterday.

from icliverpool website.

if the new stadium is to go ahead then we need investment.

Liverpool FC Forum

Another l4 topic - It should not buy liverpool

Who is online