Update from the Administrators
We have been here for just under a month and I thought it would be useful if I provided an update on progress to date.
In summary we have made significant progress on a number of fronts but still have some way to go to secure the primary objective of the club's short and long term survival.
I should start by recording how impressed we've been with the effort and enthusiasm - and results - displayed by the DSA and their various fund-raising activities. I understand that cash raised to date now stands at more than ý50,000.
This is a fantastic achievement in such a short space of time and the cash will be a vital part of our efforts to keep the club going.
As promised in my last note we have identified significant overhead reductions, reducing the weekly overhead spend by some ý8,000 per week - another vital part in keeping the club's cash resources alive.
This brings the weekly operating losses down to around ý50,000 per week - half of the amount the Club was losing each week when it went into administration.
We will continue to look at cash raising initiatives and aim to continue our dialogue with the DSA to ensure we don't overlap - or miss any opportunities
We are now starting work on post- administration cash flows. These will enable us to identify the level of additional investment needed to stabilise and take the Club forward. At the same time we are attempting to identify potential investors - small and large - with the cash and commitment to participate.
I must emphasise that all our discussions with interested parties will be confidential and while I recognise that supporters have a genuine interest it is important that we don't raise false hopes. The time to comment on a deal is when it's done, not before.
January is an important month. Regrettably we cannot offer any assurances about sale or retention of players and we can only respond to any approach as and when it comes.
We recognise that the sale of any player is a double edged sword and will continue to consult with Jim Duffy as the month progresses.
January is also important for the Club's longer term future, since the upcoming SPL General Meeting will vote on the controversial 15 point deduction for clubs which go into administration. There is a possibility that the rule change will directly affect Dundee's ability to survive into next season.
I am already on record as being against this proposal and will continue to lobby against it's imposition. I intend to comment on this in some detail when I see the detailed wording of the proposed rule changes.
In the meantime Jim and the team continue to respond to the stiff challenges facing them and have produced very good results given the circumstances of player reductions and injuries. We have some very important games coming up and we wish them all the best.
The Ernst & Young team would also like to send everyone connected with Dundee FC - employees, players, supporters and media alike - our very best wishes for the Festive Season and a sincere wish for a Happy New Year.
Tom Burton
Joint Administrator
Ernst & Young LLP