MANCHESTER CITY 2011-12 ANNUAL REPORT MANCHESTER MANCHESTER CITY ANNUAL REPORT 2011-12 MANCHESTER CITY FOOTBALL CLUB ETIHAD STADIUM ETIHAD CAMPUS MANCHESTER M11 3FF WWW.MCFC.CO.UK CONTENTS Introduction Commercial & Operations 04 Message from the Chairman 70 Overview 06 Chief Executive’s Statement 72 Deepening of partnerships and establishment of new ones 73 Landmark ten-year partnership with Etihad Airways 74 MCFC’s global footprint in 2011-12 Football 76 World-class facilities and operational expertise 78 Engagement with our employees 10 Overview 12 A historic season at Manchester City 16 A formidable squad 18 A world-class squad for 2011-12 Awards 20 Putting our Academy development plan into action 80 Award winning performances by MCFC 22 Preparing elite young players for the top flight 23 Appointment of Patrick Vieira as Football Development Executive 24 City Football Academy (CFA) approved Financial Report 26 The Etihad Campus 85 Directors 86 Financial Review 87 Board of Directors Fans 88 Report of the Directors 34 Overview 89 Statement of Directors’ Responsibilities 36 New membership packages 90 Report of the Independent Auditors 38 Record attendances at the Etihad Stadium 91 Group Profit and Loss Account 40 Matchday, ticketing & fan improvements 92 Statement of Group Total Recognised Gains and Losses 42 Keeping our City Promise 92 Note of Group Historical Cost Profits and Losses 44 Listening to our supporters 93 Balance Sheets 45 MCFC in the UAE 94 Group Cash Flow Statement 46 Award-winning web and social media outreach 95 Notes to the Consolidated Financial Statements 50 Growing the global fan base Community 54 Overview 56 25 years of City in the Community 58 City and Sport Relief Shoot for the Moon 59 Inaugural Connell Awards support community sport initiatives 60 The City Football Academy (CFA) public consultation 62 City employees and fans back community initiatives 64 Building a City legacy abroad 66 Responsible corporate citizenship 03 INTRODUCTION MESSAGE FROM THE CHAIRMAN AtthetimeoftheacquisitionofManchesterCityFootballClub TheCFAwillstrengthentheClub’syouthdevelopmentandtraining inSeptember2008,SheikhMansourbinZayedAlNahyanstated capabilities,enablemoreplayerstomovethroughtheAcademyand hewantedtobuildateamcapableofmaintainingaplaceinthe EliteDevelopmentSquadsintothefirstteaminthefuture,while topfourwithinEnglandwhilecompetingforEuropeanhonours. bringingalloftheClub’soperationstogetheronasinglesitewithin Inhisopenlettertofans,heidentifiedtheneedforsignificant theEtihadCampus. investmentintheearlyyearstoenabletheClubtobecome successfulandsustainableovertime. Thedevelopmentofmorehomegrownplayersisfundamentalfrom afinancialperspectiveandwillhelptoachieveoneoftheowner’s ThehardworkofeveryoneinvolvedatManchesterCityoverthe originalobjectivesforasoundandsustainableorganisation.The lastfouryearshasbeguntocreateanobviousmomentum.However, approachisalsoconsistentwiththeClub’sstrongrecordofyouth 2011-12willalwaysberememberedasaparticularlysignificantyear developmentandcommunityengagement. inthehistoryoftheClub.Unbeatenathomeallseason,theteam setnewClubrecordsforbothmatcheswonandpointsearnedon Weremainapillarofourlocalcommunity.62%ofourmembers thewaytothePremierLeaguetitle.Perhapsmoreimportantly,this livewithin10milesoftheEtihadStadiumand100%ofourdomestic seasonManchesterCityhasdemonstratedanabilitytowinineven communityinitiativesfocusontheGreaterManchesterarea. themostchallengingofcircumstances. ManchesterCityhascomealongwayinarelativelyshorttime. Itisimportanttorecognisethepersonalandongoinginfluence InthelasttwoseasonswehavetastedvictoryintheFACup, ofSheikhMansourbinZayedontherapidtransformation experiencedtheUEFAChampionsLeague,wontheBarclays thatistakingplace.Hisstrategicinvestmentandcounseltothe PremierLeagueandwithtwogoalsinaddedtime,redefined organisation,andcommitmenttoitslong-termdevelopment,has whatistypicalofCityforagenerationofsupporters. giveneveryoneassociatedwithManchesterCitytheconfidence Theresponsibilitylieswithallofustocontinuethehardworkthat toliveuptothegoalsthathehasset. willensurethatthisisonlythebeginningofalongandsuccessful Thisyear’son-pitchsuccesswillgivetheClubatimelycommercial eraforManchesterCity. “The responsibility lies with all of us to boost.Therewillbedirectbenefitsintheformofincreased broadcastrevenuebutalsonewopportunitiestobenefitfrom naturalgrowthoftheglobalfanbaseandtheClub’sincreased continue the hard work that will ensure commercialvaluetopotentialpartnersathomeandabroad. Internationalcommercialgrowthcontinuestobeanimportant prioritywithaparticularfocusonAsia,NorthandSouthAmerica that this is only the beginning of a long andtheMiddleEast.TheClub’sinternationaloutreachhasbeen KhaldoonAlMubarak acceleratedbytwopre-seasontourstotheUnitedStates,important Chairman visitstoChinaandMalaysiaandtheinnovativeuseoftechnology toconnectmoredeeplywithmoreaudiencesaroundtheworld. and successful era for Manchester City” OurrecentlyannouncedpartnershipwithNikewillhelptofurther expandtheClub’sglobalfootprintfrom2013-14. Closertohome,theexpectedimpactoftheCityFootballAcademy (CFA)projectshouldnotbeunderestimated.Itisthemost significantcurrentinitiativetosecurethelong-termsustainability oftheClub’sfootballoperations.Importantly,itwillalsomakea lastingcontributiontotheregenerationoftheEastManchester areaandthecommunityofwhichtheClubisanintegralpart. 04 ManchesterCityAnnualReport2011-12 Introduction 05 INTRODUCTION “What I have found is a Club CHIEF EXECUTIVe’S on the verge of a historic STATEMENT transformation, reinforced SincejoiningManchesterCityinSeptember2012,myfirstpriority Ourannualfinancialresultsmustbeconsideredincontext. hasbeentodeepenmyunderstandingoftheClub,itshistoryand Encouragingly,theydemonstratethatalongsidesignificant itsoperations.WhatIhavefoundisaClubonthevergeofahistoric investmentintheplayingsquad,theClubhascontinuedand transformation,reinforcedbyagenuinecommitmenttodoingthings willcontinuetogrowitsrevenues. by a genuine commitment well.ItisaClubwitharichhistoryandthepotentialforaneven brighterfuture.Iamhonouredtobepartofthisexcitingproject. Aswegrow,theuniqueidentityofManchestermustremainatthe heartofourcommunicationwithpotentialsupportersaroundthe Thisisatimeofrealsignificanceforfootball.Thereisnodenying world.Footballremainsoneofthefewfieldsinwhichitispossible to doing things well” thatthesportfacesitsshareofchallengesandcompetitionforglobal tobelocalandglobalatthesametime.Infact,peopledemandit. audienceshasneverbeenfiercer.Footballcontinues,however,tobe ItiswiththeClub’soriginsandheritagethatpeoplemakealasting theworld’smostplayedandviewedsportandparticipationinthe connectionandwearefortunatetohaveManchesterattheheart greatestcompetitionstogetherwiththeuseofeveradvancedmedia ofourorganisation. technologiespresentsuswitharealopportunitytodeliverimproved digitalcontenttothatglobalaudience.Therewardsforclubswhich ForallofusassociatedwithManchesterCity,itisanhonourto aresuccessfulinthisareaareimmense. representthishistoricorganisation.Weoweittothesupporters, theownerandtoeachothertocompletethetransformationof ManchesterCityisinauniquepositiontocapitaliseonthese ManchesterCityintooneofthemostsuccessfulandsustainable opportunities.HavingreturnedtothesummitofEnglishfootball footballclubsintheworld. in2011-12,theClubhasearnedthechancetocompeteforaplace asoneofthebiggestandmostsuccessfulClubsgloballyintheyears ahead.Itisanopportunitywewillworkhardattoachieve. Therearemanyreasonstobeoptimistic.TheClubhasassembleda world-classteamonthepitch,evidencedbythehistorictriumphin theBarclaysPremierLeague,butitisalsosupportedbyatalented offpitchteam,alreadyrecognisedforitsstrongcommunitywork FerranSoriano andthematchdayexperienceitprovides.Nowhowever,itisvital ChiefExecutive thatweextendthiswinningmentalityandcommitmentto excellenceacrossallaspectsofouroperations. Ourprioritiesareinterconnectedandbeginwithcontinuedsuccess onthepitch.Thissuccesshastoboostourcommercialperformance, bothinthetraditionalsourcesofrevenueandthroughnew,creative ideasandbusinessmodelswhichwewillbedeveloping.The revenuegeneratedwillallowustocontinueinvestinginfootball andproducingwinningteams.Thiscyclewillbekeyinachieving thelongheldambitionforsustainabilityatManchesterCityFC. TheCityFootballAcademy(CFA),whichweenvisagewillbecome aglobalcentreofexcellenceforyouthfootballdevelopment,is atrulyuniqueprojectthatwillrevolutionisetherecruitment, training,developmentandeducationoftheworld’smostpromising footballers.Itismybeliefthatthisprojectandthelong-term perspectiveofourownerwillfurtherdifferentiatetheClubfrom itscompetitorsinthefuture. 06 ManchesterCityAnnualReport2011-12 Introduction 07 01. FOOTBALL 08 Manchester City Annual Report 2011-12 Football 09 FOOTBALL OVERVIEW This year Manchester City won the Barclays Premier League for the first time, securing its first domestic title since 1968. During the 2011-12 season, Manchester City scored more goals Identifying the most promising talent early is critical. We have and conceded fewer than any team in the competition and introduced age-appropriate performance analysis for all players broke a series of Club records. After decades in the wilderness, between eight and 21 years of age and continue to bring promising Manchester City are champions of England and a potent force young talent into our system. This year alone, 20 new players in European football once again. across eight age groups and from seven countries have been recruited to join our Academy. This season’s results are the culmination of a long-term strategy to strengthen the first team playing squad and