Kicker magazine warns that clubs are to face serious financial problems

German clubs are facing serious financial shortages despite the country’s 36 professional clubs reporting a combined record turnover of €1.4bn, according to a report in Kicker magazine. According to the report, clubs in 1.Bundesliga and 2.Bundesliga will have amassed debts of €800m by June 30 this year. The report comes in the wake of Borussia Dortmund’s admission that it faces bankruptcy should a deal with creditors fail to materialize. Dortmund’s regional neighbor Schalke 04 has also reported operating losses of €18m for the six month period to December 31 2004. German Football League (DFL) president Werner Hackmann has urged caution over the figures, but stated the DFL is to install a reform to the country’s licensing procedures more in tune with UEFA regulations that call for tighter financial control at clubs.