LONDON // Manchester City lost £121 million (Dh704m) in the 12 months to May 31, having spent more on wages alone than it earned.
After sustained huge spending on players in an effort to win its first trophy since 1976, the English Premier League club released its annual report today showing that it paid £133m in wages during Sheikh Mansour bin Zayed's first full season in charge. That is £8 m more than its entire turnover.
Sheikh Mansour has spent more than £300m on players including Carlos Tevez, Emmanuel Adebayor, Robinho and, most recently, Mario Balotelli and James Milner since buying City two years ago from the former prime minister of Thailand, Thaksin Shinawatra. City finished fifth in last season's Premier League, one place outside qualifying for the lucrative Champions League. Sheikh Mansour said: "We are where we expected to be at this stage of the club's transformation, While it must be conceded that we fell short of our ambition for the 2009-10 season, we should not underestimate the importance of the club achieving its best-ever finish in the Premier League."
City said turnover increased almost 44 per cent last season to £125m. It qualified again for the Europa League tournament, drawing 1-1 with Italy's Juventus yesterday. While City hired several costly players on high wages, it also expanded its total workforce from 302 to 413 employees, helping drive up salary costs by 61 per cent. The amount "paid to third parties in respect of directors' services" went up almost tenfold, but remained negligible in terms of the club's total losses, at £313,000.
City are currently fourth in the Premier League after six games this season, having beaten defending champion Chelsea 1-0 last weekend. The club plays newly promoted Newcastle United on Sunday.
*AP
