Freddy hits back at Magpie claims

Mar 1 2009 by Neil Farrington, Sunday Sun

FORMER Newcastle chairman Freddy Shepherd has branded accusations that his purchase of Michael Owen caused United’s current financial strife as “pathetic”.

Magpies’ managing director Derek Llambias claims the decision by Shepherd to spend sponsorship money up front on Owen in 2005 has left the club financially crippled.

But Shepherd last night launched an angry defence of the £17 million Owen deal, accused owner Mike Ashley of “making excuses” and insisted mistakes made by the current regime are most to blame for today’s problems at St James’s Park.

Llambias said in midweek: “We don’t have any commercial income at the moment because that was spent to pay for Michael Owen.

“It was all spent in advance — that’s the money from Northern Rock and adidas. That is crazy for any football club because we need that income.”

But Shepherd retorted: “They (the current board) are trying to camouflage the problems they have created and distance blame from themselves with a pathetic PR campaign.

“Newcastle bought England’s top striker without borrowing from the bank or being landed with any interest charges. The fact we paid up front was the factor that allowed us to win the Owen race.

“It was a gilt-edged deal from a financial perspective even if the injuries that have blighted Owen’s time at Newcastle meant it didn’t quite work out on the football front.

“The fee for a world-class star like Owen was £4m-a-year over the period of his deal, and with turnover in the £90 millions it equated to less than four per cent of turnover.

“I think fans will question how such a miniscule proportion of turnover could spark a cash crisis in 2009.”