Liverpool threatens Premier League split over TV rights

Steven Gerrard Liverpool

Club wants to negotiate its own TV deals in overseas markets as Ayre admits administration fears

BY Jonathan Harwood LAST UPDATED AT 11:20 ON Wed 12 Oct 2011

A YEAR ago Liverpool FC was in turmoil as the bitter battle over control of the club went to the High Court in London and the threat of administration loomed over the Kop - but now, with the club on a stable financial footing, Liverpool have announced that they want to break away from the rest of the Premier League and negotiate their own TV deals, which could earn them billions.

Chief executive Ian Ayre raised the prospect in an interview in which he said the big clubs had to have control over their own TV rights in the same way that European rivals like Barcelona and Real Madrid do.

He claimed that the worldwide interest in the English Premier League was driven by the big clubs, and it was they that should benefit financially by negotiating their own deals.

At present the Premier League rights are sold collectively and the amount of money teams receive is determined by where they finish in the league. The overseas rights for 2010 to 2013 raised £1.4bn.

But Ayre said the current model was unfair, particularly for clubs like Liverpool with a huge overseas following in places like the Far East, that they are desperate to exploit commercially.

He explained: "If you're a Bolton fan in Bolton, then you subscribe to Sky because you want to watch Bolton. Everyone gets that. Likewise, if you're a Liverpool fan from Liverpool, you subscribe.

"But if you're in Kuala Lumpur ... the majority are subscribing as they want to watch Liverpool, Manchester United, Chelsea or Arsenal. So is it right that the international rights are shared equally between all the clubs?

Ayre added: "If Real Madrid, Barcelona or other big European clubs have the opportunity to truly realise their international media value potential, where does that leave Liverpool and Man United?"

The Liverpool chief executive also revealed how close to administration the club came last year as the battle between former owners Tom Hicks and George Gillett and John W Henry turned nasty.

The club were £450m in debt but despite that, the old owners tried to block Henry's takeover at the High Court. The club is now run by Henry's Fenway Sports Group which has put the club on a sound financial footing.

But Ayre recalled: "The bank had the power to call in the debt and at the time there wasn't anyone ready to take on that debt, so the club could have gone into administration.

"Based on where we were and based on the circumstances at the time that was a very real threat. It's not what anyone wanted. It wouldn't have been a better solution than where we ended up but it was a very real threat.

"That was the case in the final hours. That was one of the other routes we could have gone down."

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