Bond prospectus outlines risks facing Man United

The prospectus issued by Manchester United's owners as they attempt to raise £500 million through a bond issue does not make pleasant reading for the club's fans. It outlines the potential risks facing the club, from the departure of Alex Ferguson to the threat of terrorist attack.

It even states that the club's state-of-the-art training ground, currently owned by the club, could be transferred to a holding company owned by the Glazer family and then leased back to United.

The document also reveals that the club's American owners have taken more than £20m in management fees and loans from the club since taking it over in 2005.

The revelations contained within the prospectus are set to further infuriate United fans. Duncan Drasdo, chief executive of the Manchester United Supporters' Trust, said: "People are starting to connect the fact that they [the Glazers] are asking us to stump up more in ticket prices and they're not investing in the squad and on top of that they are taking money out for themselves."

Any company making a bond issue must outline the risks involved, and in the case of United these range from a slide down the league table to the fact that "our club and our players could be potential targets of terrorism".

The document warns that the task of facing Alex Ferguson will be daunting. "Any successor to our manager may not be as successful as he has been," it states. "A downturn in the performance of the first team may adversely affect our ability to attract and retain such coaches and players."

It notes that on one hand big-spending rivals like Chelsea, Manchester City and Real Madrid could overhaul United, but on the other it says that Uefa's proposed spending restrictions "could limit our ability to acquire or retain top players".

The economic downturn is also mentioned, and the prospectus reveals that by the end of September last year 16 per cent of United's corporate and executive tickets were still unsold.

Despite the negatives most analysts expect the bond issue to succeed, although the price has yet to be announced. ·