Celtic announced increased debt

The Premier League club has revealed their debts have risen close to the £20m mark following a drop in turnover and a poor season in Europe last term. The amount owed has risen by £3.7m to £19.5m after turnover dropped by 9.9%, leaving the club with a loss of £7.73m for the year ending 30 June 2005. The club’s wage structure which was slashed by clearing out 13 players this summer, and the lucrative five-year sponsorship deal with Nike has played down the increase in debt, although the total rise. Celtic chairman Brian Quinn blamed the club finishing bottom of their Champions League group last season, leaving them without an additional round of UEFA Cup football in the second half of the campaign, for the results. "The main story is that the first half of the results was especially good and the second half was not nearly as good. That primarily was because of European football and that is huge to us as it effects the performance of our finances," Quinn commented to media. Chief executive Peter Lawwell said: "Results have been dominated by what we did in Europe and we have cleared some debt by 13 players going out. But, out of those players, who contributed actively? A lot of those players never contributed over the course of the season and, hopefully, the seven new players will push for first-team places."