Liverpool’s parent company has posted a loss of £54.9m for the year ended on 31 July 2009.
The loss was 34% worse than 2008’s figure as £40.1m went on servicing the club’s £351.4m debt to Royal Bank of Scotland (RBS) and US firm Wachovia.
Pay-offs to senior staff, including departed chief executive Rick Parry, accounted for a further £4.3m.
For the second year in succession, KPMG has flagged up its fears about Liverpool’s debt position. This relates to the loans American owners Tom Hicks and George Gillett took out to finance their purchase of the Premier League outfit.
Last year the pair were forced to pay off a £60m chunk of their debt to the state-owned RBS in return for a one-year extension of their “credit facilities”. That extension expired in March but is believed they have been given six months’ to find a buyer.
But until that happens the club is dependent on what KPMG calls “short-term facility extensions”.
“These conditions indicate the existence of a material uncertainty which may cast doubt on the parent company’s ability to continue as a going concern,” it said.
Liverpool’s parent company also owes £144.4m to its parent company, the Hicks and Gillett-controlled Kop Football (Cayman) Limited. The interest on this was £8.1m, although it has not been paid.
Manager Rafa Benitez managed to make £3.4m in the transfer market, following 2008’s £14.3m net profit. And the club’s second-place finish in the Premier League brought in record TV revenues of £74.6m.