Poor Pompey go into administration

BY foxsports • February 26, 2010

The move, as expected, follows a failed takeover of the club, which has estimated debts of around £70million debts. Administration will bring a nine-point penalty for the south-coast club, with the punishment virtually condemning them to the Championship. A statement on the club's official website on Friday confirmed the club entered administration at 10.20am. It also revealed a press conference will be held at the club's Fratton Park ground at 3pm. Administrator Andrew Andronikou, of insolvency experts UHY Hacker Young, has started the process of cutting costs at the club to try to keep it as a viable entity. A major sell-off of players and the prospect of a long period of rebuilding in the Championship now looms. Some finance experts believe the administrator may have to terminate player contracts now to save cash. Simon Wilson, partner of restructuring experts, Zolfo Cooper, said: "It seems certain that Portsmouth will be relegated and will need a complete restructure. "Depending on the level of committed funding available, the administrator may need to terminate players' contracts to reduce outgoings because the possibility of selling players outside of the transfer window has already been denied by the Premier League." Meanwhile, FIFA are set to discuss Portsmouth's plight at their next executive committee meeting on March 18. Friday's news was expected after eight days which signalled the club's fate. Last Thursday they asked the Premier League for permission to sell players outside the transfer window, which was rejected two days later. On Sunday, chief executive Peter Storrie revealed a South African consortium were pursuing a deal to Portsmouth - but nothing came of it. Current owner Balram Chainrai confirmed the club would go into administration if they did not find a buyer by Friday - and despite New Zealand-based businessman Victor Cattermole admitting his interest in buying the club, a deal was not done in time. Meanwhile, a spokesman for the Hampshire club dismissed speculation Pompey boss Avram Grant has left the club. There was talk of Grant hosting a press conference early on Friday afternoon, ahead of the one planned for Fratton Park. However, the spokesman said: "That's not the case. As far as I'm aware, he's still with the club."