Football Partnerships

Courtesy of Currencies Direct Limited

Christiano Ronaldo’s proposed transfer to Real Madrid was announced on the day the pound hit its highest level against the euro for six months - and until the paperwork is signed and sealed every rise will costing the Spanish club more money.

The pound hit 1.17 euros last Thursday, up from lows of 1.07 in January. Currency experts calculate that each cent the euro falls will cost the Spaniards an extra one million euros.

The £80million price the two clubs have agreed would have cost Real Madrid €83 million in January when the pound was much weaker, but at today’s exchange rate the same sterling amount will cost Real Madrid €93 million.

Mark O’Sullivan, Director of Dealing at UK foreign exchange firm, Currencies Direct, said: “While the Ronaldo deal is good news for Real Madrid supporters, the accountants at the Bernabeu will be sweating until the paperwork is all signed and sealed.

“Ronaldo’s price in January 2009 was 83 million euros. Today it is 93 million euros and rising, and this will have a tremendous impact on Real Madrid’s plans to amortise this investment.

“This deal highlights the fact that the final price of a player like Ronaldo is very much decided by the currency markets and not always in the board rooms of football clubs - though who would put it past a canny Scot like Sir Alex Ferguson to take all this into consideration too!”

Mr O’Sullivan added: “This is a double edge sword for British clubs. From one hand those that didn’t buy in the January transfer window will find that sterling has appreciated 20% against the EURO since then, thus increasing their buying power.

“However if they are looking to sell players into Europe the strength of sterling means they may have to drop the player’s price to close the deal. Currency volatility not only affects the transfer price but all other elements around the deal: agents fees, commercial rights and players salary.”

Thank you to Currencies Direct Limited for this article

Like a soccer standout determined to score one for the fans, Home2US (www.home2us.com), a leading provider of top international television and radio programming to ethnic audiences across North America and beyond, today announced the sure hit addition of Setanta Sports to its direct-to-home lineup. Home2US also announced it has just reached the 55-channel milestone, expects to hit the 80-channel mark by year end and now serves more than half a million households across the U.S. with content delivered by SES AMERICOM satellites.

“The 24/7 Setanta Sports network is sure to be a huge hit among Home2US customers, whether they’re from Korea or Croatia or anywhere in the world. While we import the best international content from around the globe for U.S.-based ethnic audiences that speak a world of different languages, our expanding sports genre has universal appeal,” said Emrah Ozkan, Home2US CEO. “Setanta Sports is a great addition to our fast-growing lineup that continues to win over an equally healthy subscriber base that doubles virtually every year.”

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