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Old 20th June 2008, 12:54 PM
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Re: Gillett on Canadian radio today

The Gillett interview. This is my take on the situation.

It's as expected. Gillett has no other option than to make good with Hicks and soldier on.

One conclusion from the interview which can't be denied (better communication) is that Parry is out the door. There is NO doubt about that.

There is no way in hell they can move forward with the "LFC franchise" with Parry as CEO. Hicks said Parry must leave publically and therefore G&H can only move forward as a unit if (when) Gillett backs Hicks on the Parry issue. It's about admission and basic common interest. Gillett knows that Parry is incompetent or at the very least 'not the best man for the job'. The Gillett camp will have reaslised by now that they are in this for the long haul. That means no exit and therefore the need for a competent CEO can’t be denied. Parry is DMW and Hicks needs the show of power after his public outburst. The only logical solution is to use Parry as leverage. The Gillett camp will offer Parry in return for something they want. It could be anything really. Hicks knows that Gillett understands the need for a change in personal so it won't be anything major. It's standard boardroom politics and beyond a shadow of a doubt. I personally guarantee that Parry is out the door before the next season starts. Take it to the bank! The Parry issue can't be used for anything major like a Gillett exit to DIC. It's something minor. Like Hicks taking part blame for the Klinsmann issue even though the idea was Gilletts. A press release saying that what's done is done and they now think it's time to move on together for the good of the club. It could also be a favorable Gillett compromise in regards to who will be the next CEO. If I was in the Gillett camp that's where I would try to take it. "Ok Tom, if Parry must go then we think xxxx is the right man for the job."

Don't over-estimate the power of the boardroom. With two 50/50 partners the board really don't have that much pull. What G&H needs is a CEO and organisation who can maximize LFC as a business. A CEO who can run the business without Gillett and Hicks having to worry about the day to day running.

Why no comment on the stadium? Because Gillett don't want to be on record if anything should go wrong. I doesn't necessarily mean that anything is wrong though. If they fail to lunch the stadium in October we have a new situation. That will bring DIC back to the table. With the funding in place (60mill£) I can't really see what could go wrong in the early stage. Later is another issue all together. If they start building and then have to stop because they can't fund it, Stanley Park could become the very symbol of G&Hs tenure. A disaster reign which G&H had to sell on the cheap because of lack of funding. I don't think it's likely though. The world economy would have to hit a new low for a scenario like that to be plausible.

So is the sale sign still up and why didn't Gillett address that issue? A comment about a possible sale could never lead to anything good for the Gillett camp. And he knows that. Gillett has had the sale sign up since October 2007. The reason Gillett can't answer is because he's not making that call. It's entirely on Hick's shoulders. And Hicks ain't selling. He has the power to make sure Gillett can't either. DIC did say that they would redraw until G&H had made peace and come to some sort of accord. The club will always be "up for sale" but isn't everything? It's like having a penthouse apartment for sale at 3 times the market value. Nothing is in the cards regarding a sale until G&H gets too much funding pressure and therefore lowers the price. We are stuck with these two (courtesy of Moores) and we just have to get behind it and hope for the best until the next major issue comes up. I can see these two guys here for the next 4 years until the stadium is in place. As for the “DIC already owns us” info. Who in their right mind could ever believe that DIC has already owned LFC for the last three weeks? If you are sitting out there clutching to info as inept as that you need professional help. It's not delusional - it's far worse. The thought that DIC would be able to conclude a deal that massive without the tabloids getting a wiff is, at the very best moronic.

The major issue between Gillett and Hicks is that Gillett doesn't believe they have the funding required to carry LFC forward. He said so in February. Hicks does and he is adamant that he's right. I think that Gillett didn't even trust that they would get the loan from Waconia and RBS in early February. He was looking for a fast exit from the beginning. Hicks is looking for a much bigger upside. There will be no DIC this year and if Hicks gets the financing in place, which I think he will, I believe that G&H will take this all the way to the finish line and keep LFC until the stadium is in place. At that time Gillett might very well be a lot richer because of Hicks. The only way DIC can come back in this race is if they up their bid significantly. Anything less than 700mill£ right now and Hicks ain't listening. I seriously doubt that will happen. In 5 years time G&H could exit at around 1,2 bill£ or maybe even more. I think that is what Hicks believes anyway. I think Hicks is spot on fwiw.

Good news is that there will be money for the Rafa. It only stand to reason that it would be massively counterproductive not to make sure Rafa get's 20/25 mill + sales. It's peanuts in the big picture. Saying there is no money is the same as saying that G&H are morons. I suggest that you would have to be a bit of a moron yourself if you think these guys are below average intelligence. So get your strap-on ready for next season and hope for the best.
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