FoH - final installment of BidCo payment made - share transfer likely in April

[Thomaso]

4 minutes ago, lost in space said:

Good. She has made mistakes - but has accepted them and then made amends with her better decisions. 

SHE IS NOT perfect but is committed.

With the number of new signings it looks like Ann has backed Daniel to the hilt. 
Now she just needs to bump you know who and her reputation is intact.....

[RobNox]

Ann could oversee the handover to a new CEO over the next year, but I'd hope she might be persuaded to remain as Chairwoman for a while beyond that.  It's a role that doesn't require her full time involvement, so she could ramp down her hours while still giving us the benefit of her oversight (and wealthy pals!)

[sac]

Well done fellow pledgers, another moment to be proud of in our history.
 

👏👏👏👏👏

[JamboGraham]

15 minutes ago, Footballfirst said:

Another snippet: FOH hopes that AB will stay on for another year or two.

 

Logical...smooth transfer and a controlled handover to the next CEO.

[Famous 1874]

7 minutes ago, ginger jambo98 said:

But makes sense. Need time to get a CEO who ticks the boxes of football knowledge and great business acumen.....and a hotline to wealthy benefactors if possible.

A fair point. Although I would have thought we would have been planning for Ann’s departure for a while now 

[lost in space]

5 minutes ago, Footballfirst said:

 

I don't mind her staying on, but she needs to give up one of her roles as Chairman or CEO, in the interests of good governance as much as anything else.

 

[1971fozzy]

37 minutes ago, Footballfirst said:

Just received a message saying that Stuart Wallace, speaking at tonight's HMSA get together, expects confirmation at tomorrow's FOH Board Meeting that the Bidco loan has been repaid in full.

superb news. 
unbelievable support. 
let’s keep the subs going and going

[scott herbertson]

On 14/01/2020 at 10:42, Francis Albert said:

It is pure cosmetics. If we need say to relay the pitch again we can use FoH funds and have the money for players. But it is not just Justin Z's fungibility point, the concept of hypothecation (allocating the funds to specific spends) was ruled out in the governance "consultations" and the Articles of Association approved at the AGM prevent FoH interfering in club business.

In practice I think the most likely use of FoH funds for the first year or so will be to repay (in effect if not directly) Ann's later loan

 

The concept of hypothecation is a bit of a myth in any case. If, say we said that all FOH money should go to wards the purchase of players and their salaries,  then gate receipts went down, what would we do? Salaries are by far the largest flexible expenditure and need to be able to be adjusted to keep in line with revenue. Hypothecation suggests the reverse is possible, and I don;t think it practice it is.

[gjcc]

When do we all get to choose our chairs for the boardroom?

[Guest ToqueJambo]

14 minutes ago, ginger jambo98 said:

But makes sense. Need time to get a CEO who ticks the boxes of football knowledge and great business acumen.....and a hotline to wealthy benefactors if possible.

 

If I had to choose one I'd choose the hotline to wealthy benefactors personally, which is what Budge already has. I'm pretty sure she's picked up a lot of football knowledge in her 5 years so far as well. 

Edited January 30, 2020 by ToqueJambo

[BelgeJambo]

Good news Story

pretty sure it will get limited media coverage as per

[Homme]

Pat on the back time for all pledgers big or small. We've paid off the money used to save the club at the same time as financing a new main stand.

 

Unbelievable. 

[DH1986]

1 minute ago, ToqueJambo said:

 

If I had to choose one I'd choose the hotline to wealthy benefactors personally, which is what Budge already has. I'm pretty sure she's picked up a lot of football knowledge in her 5 years so far as well. 

I bet she’s learned more in the last 5 months.

 

AB needed to take absolute control of that side of the club and upon doing so in October she has improved things dramatically.

Still work to be done but we’re well on our way.

 

[Mikey1874]

1 minute ago, BelgeJambo said:

Good news Story

pretty sure it will get limited media coverage as per

 

Mainly because FoH comms are non existent 

[soonbe110]

On 14/01/2020 at 14:06, o1djambo said:

£500,000 per annum to fund the Oriam training facility Mrs Budge stated. So far not much to show from our Academy or Oriam.  A coo field seems like a good budget option to me. The FOH now require to refocus objectives towards having a competitive first team .

We beat Rangers last week. Moore, Henderson, Irving played in that team. They came through the ranks where? 

[Section Q]

We saved our club....together......for ever.........!

Never forget it....!

[BelgeJambo]

9 minutes ago, Mikey1874 said:

 

Mainly because FoH comms are non existent 

I have no problem with FoH

more the mainstream media I was referring to 

[lost in space]

22 minutes ago, Footballfirst said:

 

I don't mind her staying on, but she needs to give up one of her roles as Chairman or CEO, in the interests of good governance as much as anything else.

Tried to update previous comment - too late.

Can you further explain comments FoF?

Which role is better for her?

Why not joint roles? - Yes, I understand governance but please clarify.

You said "don't mind" her staying -  hardly ringing endorsement - please explain why trying other is less than a gamble.

I appreciate your input. Thanks.

[Mikey1874]

2 minutes ago, BelgeJambo said:

I have no problem with FoH

more the mainstream media I was referring to 

 

So mainstream media needs to get the story from JKB

 

Hearts are in no rush to announce this. 

[Kiwidoug]

42 minutes ago, Footballfirst said:

Another snippet: FOH hopes that AB will stay on for another year or two.

So do I.  She made a mistake with levein but otherwise she has been superb.  The higher cost of the stand doesn't worry me in the slightest.  It is a tremendous asset for years to come.

 

More chance of keeping the benefactors too.

 

Tremendous.

 

 

[Toxteth O'Grady]

47 minutes ago, Footballfirst said:

Another snippet: FOH hopes that AB will stay on for another year or two.

Great news the loan has been repaid but I’d much rather Ann Budge stepped aside and allowed an experienced football CEO to run the club 

[BelgeJambo]

6 minutes ago, Mikey1874 said:

 

So mainstream media needs to get the story from JKB

 

Hearts are in no rush to announce this. 

Not what I’m thinking

i am sure the EEN will run with it, but the west cost crap won’t bat an eyelid

[Jamboelite]

2 minutes ago, Toxteth O'Grady said:

Great news the loan has been repaid but I’d much rather Ann Budge stepped aside and allowed an experienced football CEO to run the club 

Such as ?

[1971fozzy]

If benefactors continues backing is dependent on Ann Budge staying then it’s a no brainer. Stay please.

 

 

[Footballfirst]

3 minutes ago, lost in space said:

Tried to update previous comment - too late.

Can you further explain comments FoF?

Which role is better for her?

Why not joint roles? - Yes, I understand governance but please clarify.

You said "don't mind" her staying -  hardly ringing endorsement - please explain why trying other is less than a gamble.

I appreciate your input. Thanks.

AB is currently major shareholder, chairman and CEO. That is fine for a small privately owned firm, not for a PLC with a £15m turnover and over 8,000 shareholders.  Governance is about checks and balances and not putting too much power in the hands of an individual.

 

I'm uneasy with FOH's planned hands off approach and the likelihood that nothing changes in the Club Boardroom. AB needs to step back a bit when she becomes a minority shareholder, albeit the 2nd biggest.

 

I'd like someone with a bit more football background to act as CEO, leaving AB as Chairman. Her loyalty and trust in the footballing background of CL IMO was poor judgement in a footballing sense. 

[Pans Jambo]

Fantastic news. Falling in love with our club all over again right now 🥰

[Mikey1874]

8 minutes ago, Toxteth O'Grady said:

Great news the loan has been repaid but I’d much rather Ann Budge stepped aside and allowed an experienced football CEO to run the club 

 

Appointment of CEO can go ahead.

 

It's a sensible transition. Daniel Stendel is new in and the whole football side has been under review.

 

Even if you don't rate Ann Budge its sensible to have a transition. 

[Guest ToqueJambo]

11 minutes ago, Footballfirst said:

AB is currently major shareholder, chairman and CEO. That is fine for a small privately owned firm, not for a PLC with a £15m turnover and over 8,000 shareholders.  Governance is about checks and balances and not putting too much power in the hands of an individual.

 

I'm uneasy with FOH's planned hands off approach and the likelihood that nothing changes in the Club Boardroom. AB needs to step back a bit when she becomes a minority shareholder, albeit the 2nd biggest.

 

I'd like someone with a bit more football background to act as CEO, leaving AB as Chairman. Her loyalty and trust in the footballing background of CL IMO was poor judgement in a footballing sense. 

If you can’t trust the judgement of a club legend who has managed at a high level in scotland, including a good period with Hearts, and england, and at international level, who in football should she trust?

In defence of Budge as I think she’s done a great job on the whole, I think she gets too much stick on here for having some faith in levein. 
 

Many of us trusted Levein knew what he was doing when he appointed Neilson and Cathro, and to be fair he got one right. Many of us were delighted when we topped the league after levein was able to build his own team and I’m sure

Budge and others like me were not alone in believing his experience would help us pull through the injury hit period.

 

I hope Stendel doesn’t have to cope with injuries to most of his new signings as Levein had to this season, but I’d hope we would all cut him some slack if he did lose 60-70% of his first picks as levein did.

 

If Budge was guilty of anything it was probably blaming the injuries and believing Levein still had it in him to turn it around. I’m sure there was some loyalty in there too, which isn’t the worst characteristic. Fans often bemoan how little loyalty there is in football.

 

[lost in space]

4 minutes ago, Footballfirst said:

AB is currently major shareholder, chairman and CEO. That is fine for a small privately owned firm, not for a PLC with a £15m turnover and over 8,000 shareholders.  Governance is about checks and balances and not putting too much power in the hands of an individual.

 

I'm uneasy with FOH's planned hands off approach and the likelihood that nothing changes in the Club Boardroom. AB needs to step back a bit when she becomes a minority shareholder, albeit the 2nd biggest.

 

I'd like someone with a bit more football background to act as CEO, leaving AB as Chairman. Her loyalty and trust in the footballing background of CL IMO was poor judgement in a footballing sense. 

Thanks for reply.

I am not looking for a debate on this.

My view is that her role is rather different than a "non-football" role - 8000 shareholders who scrutinise every action/word.

Accepted mistake with CL but this accepted by her and she will not make this mistake again.

I believe she will do more than anyone to prove her tenure has been a success.

To be fair, she has had main stand to work on (jury still out on costing - but probably long term success).

She NOW has the football experience.

If up to me (HAA!!), i would like to see her on joint roles, without CL and main stand priorities - with 1 year contract.

[Mikey1874]

The consensus in the CEO thread was they don't need to be from a football background. Very rare to have that. 

 

Sporting Director is the football person. 

[Guest ToqueJambo]

5 minutes ago, Mikey1874 said:

The consensus in the CEO thread was they don't need to be from a football background. Very rare to have that. 

 

Sporting Director is the football person. 

 

And to be fair to Budge she saw the need for a DoF and then Sporting Director from the start, or at least backed Levein who saw the need. Either way, both were and are right.

 

And this quote from Stendel suggests he wants a new one in place (also suggests Levein and McPhee are not having as much first team involvement as made out - at least bringing in players, maybe releasing them is their job(s)).

 

"My experience in transfer windows was never like this window. I have never been so involved in talks and signing players. You think you sign a player and the next moment you realise you don’t sign the player."

[Geoff Kilpatrick]

19 minutes ago, lost in space said:

Thanks for reply.

I am not looking for a debate on this.

My view is that her role is rather different than a "non-football" role - 8000 shareholders who scrutinise every action/word.

Accepted mistake with CL but this accepted by her and she will not make this mistake again.

I believe she will do more than anyone to prove her tenure has been a success.

To be fair, she has had main stand to work on (jury still out on costing - but probably long term success).

She NOW has the football experience.

If up to me (HAA!!), i would like to see her on joint roles, without CL and main stand priorities - with 1 year contract.

The last person to be a chief executive and be a major shareholder was Chris Robinson. Not saying Budge is Robinson at all but it leads to bad governance.

 

New CEO please.

[Mister Dee]

Well done to all who have contributed. 
 

We are not The Rangers -they let their Club die. 

[TurboT]

I took some notes at the meeting tonight, I’m up early but will post what was said and details of the Q&A tomorrow.

[lost in space]

2 minutes ago, Geoff Kilpatrick said:

The last person to be a chief executive and be a major shareholder was Chris Robinson. Not saying Budge is Robinson at all but it leads to bad governance.

 

New CEO please.

Is there not a difference in that Ann would no longer be the major shareholder (FOH will be)?

[ShedBoy]

ANNXIT

 

 

Too much?

[Geoff Kilpatrick]

1 minute ago, lost in space said:

Is there not a difference in that Ann would no longer be the major shareholder (FOH will be)?

Robinson only had ~20% when he was CEO.

[Guest ToqueJambo]

10 minutes ago, Geoff Kilpatrick said:

The last person to be a chief executive and be a major shareholder was Chris Robinson. Not saying Budge is Robinson at all but it leads to bad governance.

 

New CEO please.

 

Glad you're not comparing Robinson to Budge given their obvious differences!

 

Can you explain for the hard of thinking why this should be a bad thing necessarily? Don't many businesses, especially start-ups, have a CEO who is also a major shareholder (not necessarily THE major shareholder)? I'm thinking Facebook as the most high profile one where Zuckerburg is chairman, CEO and major shareholder. 

 

I hope Budge is at minimum kept on the board and ideally wouldbe chairman if not CEO. I'm not fussed if she  is CEO at least to give it a bash without Levein. 

Edited January 30, 2020 by ToqueJambo

[Geoff Kilpatrick]

1 minute ago, ToqueJambo said:

 

Glad you're not comparing Robinson to Budge given their obvious differences!

 

Can you explain for the hard of thinking why this should be a bad thing necessarily? Don't many businesses, especially start-ups, have a CEO who is also a major shareholder (not necessarily THE major shareholder)? I'm thinking Facebook as the most high profile one where Zuckerburg is chairman, CEO and major shareholder. 

 

I hope Budge is at minimum kept on the board and ideally wouldbe chairman if not CEO. I'm not fosse if she remains CEO at least to give it a bash without Levein.

The board, which the chairman leads, should act as scrutiny to the strategy that the CEO develops and be able to point out if there are issues with it as strategic implementation occurs.

[JohnB]

10 minutes ago, ShedBoy said:

ANNXIT

 

 

Too much?

 

Totally inappropriate - IMO of course.

[lost in space]

2 minutes ago, Geoff Kilpatrick said:

The board, which the chairman leads, should act as scrutiny to the strategy that the CEO develops and be able to point out if there are issues with it as strategic implementation occurs.

How lovely.

But in my view niave.

Not getting at you Geoff.

In reality, does the CEO not, in football terms- (due to close working) pass/ agree strategy with board and chairman, therefore negating need for duplicate roles?

[Geoff Kilpatrick]

Just now, lost in space said:

How lovely.

But in my view niave.

Not getting at you Geoff.

In reality, does the CEO not, in football terms- (due to close working) pass/ agree strategy with board and chairman, therefore negating need for duplicate roles?

Of course the board agrees strategy. The board function is to be advisory and to manage relationships with key shareholders. That leaves the CEO to get on with running the business.

[ShedBoy]

12 minutes ago, JohnB said:

 

Totally inappropriate - IMO of course.

 

 

[cubanjambo]

2 hours ago, Footballfirst said:

Another snippet: FOH hopes that AB will stay on for another year or two.

Wonderful news if true,  remarkable big hearted , top notch person

[Guest ToqueJambo]

27 minutes ago, Geoff Kilpatrick said:

The board, which the chairman leads, should act as scrutiny to the strategy that the CEO develops and be able to point out if there are issues with it as strategic implementation occurs.

 

Just wondering why if it's OK for one of the largest and most successful companies in the world it should necessarily be bad for Hearts? 

 

I've come across many CEO-for-hire types who flit between companies. Not a fan of career CEOs personally. Budge 100% has Hearts best interests top of mind. That's one of the most important things for me. The alternative is what - a Dempsey, Doncaster, Reagan, Petrie.... all largely poor compared to Budge, so what is the model for a good football CEO here we're supposed to have in mind? 

 

As far as I'm concerned we have one. Obviously everyone makes mistakes as Budge has but she shows a refreshing honesty in admitting it and willingness to make amends. 

Edited January 30, 2020 by ToqueJambo

[lost in space]

2 minutes ago, Geoff Kilpatrick said:

Of course the board agrees strategy. The board function is to be advisory and to manage relationships with key shareholders. That leaves the CEO to get on with running the business.

Good. With a strong board (FOH led), the CEO should run the business.

Now what we need is a CEO who can show -

Experience in football;

Success in business;

Evidence of learning;

Ability to work with steakholders;

Evidence of taking on large projects;

Experience of persevering with long standing projects despite huge criticism;

Prepared to put own substantial funds up with potential loss;

Evidence of long term investment ;

Evidence of finding investors who are not looking for a profit;

A CEO who will work for NO salary.

ANYBODY THINK OF SOMEONE WHO WOULD DO THIS??????

[Geoff Kilpatrick]

2 minutes ago, ToqueJambo said:

 

Just wondering why if it's OK for one of the largest and most successful companies in the world it should necessarily be bad for Hearts? 

 

I've come across many CEO-for-hire types who flit between companies. Not a fan of career CEOs personally. Budge 100% has Hearts best interests top of mind. That's one of the most important things for me. The alternative is what - a Dempsey, Doncaster, Reagan, Petrie.... all largely poor compared to Budge, so what is the model for a good football CEO here we're supposed to have in mind? 

 

As far as I'm concerned we have one. Obviously everyone makes mistakes as Budge has but she shows a refreshing honesty in admitting it and willingness to make amends. 

Facebook is an exception. Plus it doesn't necessarily mean it is well run. The challenge Facebook will have is that it is going through the Levi 501s phase where younger people turned away from that brand because their parents where wearing them. My kids, for example, have no interest in it. Zuckerberg gets challenged about that all the time but dismisses it. A chairman's role would be to manage that message.

 

Anyway, I digress. I'm not sure how you can say Budge is better than all those other CEOs given the last few months but, irrespective of that, would you have said Phil Anderton was a good football CEO? I thought he was excellent yet he was treading water at the SRU and getting nowhere.

[Guest ToqueJambo]

1 minute ago, Geoff Kilpatrick said:

Facebook is an exception. Plus it doesn't necessarily mean it is well run. The challenge Facebook will have is that it is going through the Levi 501s phase where younger people turned away from that brand because their parents where wearing them. My kids, for example, have no interest in it. Zuckerberg gets challenged about that all the time but dismisses it. A chairman's role would be to manage that message.

 

Anyway, I digress. I'm not sure how you can say Budge is better than all those other CEOs given the last few months but, irrespective of that, would you have said Phil Anderton was a good football CEO? I thought he was excellent yet he was treading water at the SRU and getting nowhere.

 

I'm not an expert. Genuinely interested. I have a sneaky feeling this is a Neilson-like "be careful what you wish for" scenario. Some folk are thinking we can do better and I'm sure we can, but it's never as simple as that.

[Geoff Kilpatrick]

3 minutes ago, lost in space said:

Good. With a strong board (FOH led), the CEO should run the business.

Now what we need is a CEO who can show -

Experience in football;

Success in business;

Evidence of learning;

Ability to work with steakholders;

Evidence of taking on large projects;

Experience of persevering with long standing projects despite huge criticism;

Prepared to put own substantial funds up with potential loss;

Evidence of long term investment ;

Evidence of finding investors who are not looking for a profit;

A CEO who will work for NO salary.

ANYBODY THINK OF SOMEONE WHO WOULD DO THIS??????

Neither of these two things is anything to do with the CEO role.

[Geoff Kilpatrick]

Just now, ToqueJambo said:

 

I'm not an expert. Genuinely interested. I have a sneaky feeling this is a Neilson-like "be careful what you wish for" scenario. Some folk are thinking we can do better and I'm sure we can, but it's never as simple as that.

Budge was retired and is now in her 70s. At some point, things will need to be handed over. FoH should be succession planning now.