Revealed – The staggering amount Barcelona could lose due to the coronavirus crisis
Losses in matchday revenue, merchandize sales, museum entry-fee and television broadcast rights could baloon for FC Barcelona.
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In an effort to stay afloat during the ongoing extraordinary times, the Catalan outfit has started negotiations with players regarding a voluntary 70% wage cut.
La Liga leaders Barcelona fear they could lose €100m in the next few months due to the ongoing coronavirus outbreak.
The Spanish top-flight is among a host of sports competitions that have been suspended across Europe, with the governments putting entire countries in lockdown to slow the spread of the virus.Suspension of football has forced clubs to lose out on matchday revenue, broadcast fees, merchandise sales, and bonuses for qualifying to inter-European competitions.
Its worldwide appeal hasn’t been able to shield the Catalan outfit from these losses as it stares at the possibility of losing €100m if the situation doesn’t change for the better.Marca further reports that the losses for Barcelona could exceed the €100m mark if UEFA fails to reinstate the Champions League.
This report has come less than a week after the Guardian revealed that the Catalan club had entered into negotiations with its players over proposed wage cuts.
The English newspaper further reported that while the players were amenable to wage cuts, an agreement was yet to be reached between both parties.
It further claimed that apart from applying equally to all the teams who are a part of the Barcelona franchise, the wage cuts would also apply to the staff working with those sides.
How Barcelona’s losses could touch the €100m mark?
Amounting to 10% of the club’s annual budget, the stated losses would be a combination of several revenues which the club can no longer pocket due to the virus.
All the uncollected television rights for the ongoing season, the potential absence of UEFA’s award for Champions League qualification, evaporation of matchday revenue, in-store sales, and museum revenue might all combine to cost the club 10% of its annual budget.
The figures are preliminary at the time, but they might become final if the situation doesn’t change for the better in the coming weeks. And if they don’t, the club might be forced to enter an ERTE application which grants all businesses operating in Spain the power to impose wage cuts unilaterally.
Provided the club decides to impose these wage cuts until the end of June, the absence of any football would help it save €106m, almost the exact amount which it stands to lose due to the virus.