Celtic, Rangers face debt woes

GLASGOW, Scotland (AP) -- Scotland's two big clubs have debt problems.

The difference?

Celtic's debt is much smaller and the Bhoys have all but qualified for the regular phase of the lucrative Champions League.

Rangers are teetering on the edge of elimination with both sides surely distracted going into this weekend's second round of Scottish Premier League matches.

The Hoops are virtually into the Champions League, guaranteeing them about 10 million pounds (US$16 million) -- about what they made last season by reaching the UEFA Cup final.

Martin O'Neill's side seems to have guaranteed its spot with Wednesday's 4-0 hammering of Hungarian champions MTK in the third qualifying round.

O'Neill would like to beef up the side, but chairman Brian Quinn says rising financial losses may prevent any high-priced additions.

"I think if we are going into what is effectively the best football competition in the world, then we would like, if possible, to add quality to the team," O'Neill said after the win in Budapest.

The signing deadline is Aug. 31, but with Celtic reporting a 1.3-million-pound (US$2.1 million) increase to push net debt to 17.8 million (US$28.7 million), expensive new players seem unlikely.

Celtic managed only a 0-0 draw in last week's league opener against Dunfermline. On Saturday, Celtic is home to an improved Dundee United with Rangers at Aberdeen. Rangers began their title defense last week with a 4-0 victory over Kilmarnock.

In other Saturday games: Kilmarnock vs. Partick Thistle; Livingston vs. Motherwell. On Sunday: Dundee vs. Dunfermline, Hibernian vs. Hearts.

Celtic's financial problems are minor compared to Rangers'.

Rangers had to settle for a 1-1 home draw on Wednesday against FC Copenhagen in their Champions League qualifier, and now face being eliminated in the second-leg match in Denmark.

Rangers sold Lorenzo Amoruso and Neil McCann in the offseason and released three others -- Arthur Numan, Claudio Caniggia and Bert Konterman. Replacements have been signed in Henning Berg, Paolo Vanoli, Zura Khizanishvili and Nuno Capucho but, at a reduced cost.

Rangers debts are estimated between 52-60 million pounds (US$ 83-96 million). Qualifying for the Champions League may determine if the club is forced to sell Spanish forward Mikel Arteta.

Soccer analyst David Glen of PricewaterhouseCoopers said the European payday is critical for both sides.

"If Celtic continue to have runs in Europe and Rangers do not, then a gap between the two is bound to develop," Glen said.

 

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