On Wednesday the 3rd of September 2008 Everton wil hold an extraordinary general meeting at which shareholders will have the opportunity to question the board, on behalf ofall Evertonians,on specific aspects of the proposed move to Kirkby. Important issues surrounding the apparent departure from what Evertonians wete told prior to the ballot in 2007 as ‘opposed to what actuelly appears in the Tesco planning application require urgent clarification. In order to dispel the fears of shareholders, Everton chairman, Bill Kenvwright, will be asked to provide answers to many questions including. + Why did the club advise Evertonians that the club's contribution to the proposed stadium would be effectively free when the DTZ report confirms that the lub will have to contribute £78,000,000? «What are the current expectations surrounding the proposed plan to raise £78,000,000? «What is the actual cost of building the stadium? What level of long-term debt would be deemed acceptable to the board? + What will be the impact, for Everton, of the recently announced public inquiry? Why does the chairman claim to have been searching for investors or prospective buyers for the club when the DTZ report states that the directors haveno Intention of selling their shareholding? *In light of the decision to hold a public enquiry andon reflection, was the signing of an exclusivity agreement, binding the club into a development that represents a significant departure from planning policy, in the best interests of the club andits shareholders? *Would the board agree that, in light of the information that has surfaced since the publication of the planning application, the 2007 ballot is not a truereflection of the wishes of supporters of Everton Football Club? Shareholders and supporters, having read the DTZ report, are now questioning the suitability ofa plan to relocate Everton toa retail park beyond the outskirts of the city. For those unfamiliar with the report it can be found in full at wwwikeioc.net One of the objectives of the EGM is to provide answers to concerned Evertonians;t is not an exercise to apportion blame to any individuals on the board or indeed those shareholders and supporters who believe that this proposed relocation to Kirkby represents the best that the lub can achieve given its present financial standing, The ultimate goal ofthe EGMis to guarantee that the future direction of the clubis one that offers an inclusive strategy ensuring the interests of all involved in making the club what it is today and what it will be tomorrow are taken into consideration. With this in mind the chairman. will be asked take a vote on a further resolution, namely: “In the best interests of the Everton Football Club the shareholders of the company request that the board extricate the club from the exclusivity agreement with Tesco followed by the immediate withdrawal from the Destination Kirkby scheme and forthwith commence negotiations with Liverpool City Council to ensure that the club can redevelop Goodison Park or relocate to a central location of the clubs choice within the city of Liverpool.” Let us hope that in the spirit of the people's club the people will be allowed to register their support or objection to Destination Kirkby now that the facts surrounding the relocation to Kirkby are known,Should Evertonians he concerned? Everton Profit v Debt 30 20 10 10 -20 -30 -40 NetProft ——TowiDept 50 -60 Year 2007 Everton supporters have unanimously welcomed the incredible transformation, uncer David Moyes trom perennial relegation Aghters to establishing their rightful place 2s members ofthe lite in English football Unfortunatey this contests greaiy with their performance off the fel starved of outsice investment the management tear halite choice other than te introduce cost cutting strategies that have included the outsourcing oftheir catering and merchandising operations the spasal and mortgaging of tangybe assets to fund day-to-day business requirements andthe securitisation of intangible assets suchas the annual TVand merit payments to provide much needed funds for the manager. Evertonians are concemed that these strategies will eventualy lead to ‘a complete inabilty to compete in the transfer market. Many ofthese sirategies were cutedin a three-year business plan, sadly.cespite vast increases in media and merit payments.2scan be seenin the charton the left thisstrategy has failed to improve Everton's financial stencing, Infact, save forthe sale of Wayne Rooney which can be seen in 2005,i could be argued thatthe financial standing and prospect of the cub today ate pethaps worse than at any time inthe lat eight years wth itlehope of Improvement as the asset base uns out and fnanclalnsttutons review their lending criteria due tothe creditcrunch Partof the problems undoubtedly the inability ofthe club to generate sufficient revenue from attendances, cotporate hospitality and commercial activitis.To address this the board proposed a move to Kirkby, highlighting that the extra capacity and improved corporate areas would generate a net contitution of £1081 per annum forthe manager, many supporters opposed this asin ther view the plan would be unlikely toachiove these objectives. Following representations by Tesco the boatd of Everton entered inta an exclusivity deal preventing the club exploring altematives to their kitkby project however shareholders and supporters believe that thisagreementis notin the best interests of the cluband that other proposals should be explored and developed, ‘The’ Destination Kirkby project was presented asa cost effective solution fora club with imited financial resources the project was, heavily reliant upon the size ofthe associated retail development as this provided 452M cross subsidy tothe stadium allegedly making possible the acquistion ofa £130M stadium for £78M The pressure group KEIOC ate one of many gtoups opposed ths,citing thatthe development represented a major departure from planning policy August 2008 the Secretary of State,Hazel Blears called the application in and announced that a publicencuiry would begin in November. ‘Supporters and shareholders believe thatthe board ofthe club should immediately extricate itslf rom ths exclusivity deal identify potential sites within the cy and make an approach tothe City Councilwith a view of obtaining ther support for a naw Everton business development plan. This should be fr the benefit ofthe club asa whole and notjust the major shareholders. [Literature for on Extraordinary General Meeting of Everton Football Club, Sammer 2008Redevelopment of Goodison The phased develop Everton curentnat fg mound forthe extension ofthe ment ofthe Bus The Scotland Road Site ‘Thalociton mohed this ceveloprentinctes lancroxt ardsouth ofthe turnelooo ste [Es pethepsnctabie that tslecaton thin Everton aengside the unversy nar ater our ustous benefactor ardinclese proxritytothe city centre perhaps more worthy oour reat lubthanany char st-Theewnerof the and ‘within the tunel loop site, stay previously ‘commissioned areport tom top stale designers Hk Spor Architecture roving the feasblfyct lating 255000 capacty sam on he se Suppor fom thet counc would be ® preteauste fort developentlandsurreundin te se woul be ecuied or neva based enabirg.e value from which coud be eines intothestadium, 220M would reed tobe aed through combination of debenture sles anaming fichtsagieementsupporesststivestment, 2 possberigits sate debt nance and pblcmoney fom the HWDA. However the aval cf hese wlint ext forever, Makoim Carat Eestay’shesdef roperthas recent said *Bostuay are curenty considering other useson the Scotland Roadsite whlch wid asst overall regeneration of North Liverpool and in view of the ‘news surrounding te progres of Proect Jenner” andirmows that TESCO have ulleé-ou eaves open the posit fr wider opportunities. However, Everton ‘hove stil not formal engoged with Bestway etal during the pest i8montts ormore. Wewillseehothings progrssregardng out letestpropesas whist tespecting the interestsof our existing andfuturecustomersandstof Looked st oma purely frandal perspective thisalenstive undeniably the most toc, yt rains for aural reason tha most controversial Te posit of lang :t Europes fast cub fotbal arenas undoubtedly sppealng 3s would be theteneftscurcunding thecpporuntiesavalablefemaficltytha ofesso much {op-ightotbain 2 sigie cation theennancedreverue reserved om Nigh end corporate cebernures and stadium naming gis des woul Deunmatced in Engl footill Duet these factors the ve real posi exss ora #50081 89600 seal tacum tobe devetedat rocapitalcos tether dus wheseby the fact would blessed by both cubs andaperstecyan inepencent stadium operating company. locaton previously embrace by 0s of vetonans may once again beccriea possibity The nd scuth and extending 8C"rothearena'scapable of housing stodiur hesef the Millenium Sadumand bul, woul prove Evetondns witha bcction betting 2 top-ight prmishp lb Pes sceaos include leading the stadium whist tsopentos / cna: promatathecly fr other vents that woudbenczpableof beng acrommedstd at thesmallerearby arene cr aeratey outright ownersip withthe posit of dang atdtenal eerue om assecated development ona ste contig aera conference and mar staium event acts ate cortied asi ara usnesscestinaon, (Onceayelt combined fhancing would beessea to this type! developrent ang duete tslocition close proomiyto ect centre -theinceasein Contbutions rom deberture sales naming nights agreements accommodation and sure revenue woul bea dtc possibilty andone worty ofivesiation, “Tho objections surouncingcufual erty f suppers ardstmcepher could be accommodated though tachnology/and snewtal tad um ervitoament ka changed Isappearance according tothehome ten Curse he stacium searte ans reas ‘oultentt rere the nivalis could operate acemmmeston bas ,estaurams, lounges museumsand eure fatesor ther fans. Ay merci the suces of Us conroe'sia scheme would be te case locaton chosen corecty again close tbthecty centewititexitinginfastucture ad acts coutdoer tect an Iconic destnetion expansion ofthe cy centre end regeneration