A person familiar with the situation says Manchester United's American owners have agreed to pay off more than a third of the club's debts.
The person says payment-in-kind (PIK) loans of around 220 million pounds (S$460.8 million) will be paid off by the Glazer family, which owns the club. The person spoke on condition of anonymity because an official announcement is yet to be made.
United is set to confirm the repayment of the loan in the latest set of accounts for Red Football Joint Venture on Tuesday.
The loans carry an interest rate of 16.25 per cent and fueled fans' protests against the Glazers.
After repaying the PIK loans, the club would still have debts of around 520 million pounds.
United had no debts before Tampa Bay Buccaneers owner Malcolm Glazer took control in 2005.
Tuesday, November 16, 2010
Report: Glazers Pay Down Huge Debt
If a 6-3 record wasn't enough to get Buccaneers fans excited, how about this sign that the team's owners may be doing better financially than previously indicated?