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Sheffield Wednesday
Football Club pic
Notes on Accounts
Year Ended 31st May, 1988
1. Accounting Pof!cies
The principal =~:~Jng poficies ate:.
(a) Basis of accounting
The a~counts a;e prepared under tt~e histodCzd cost conve~jon as ~ by the rev’~lu~tJon of lar~ and builo3ngs.
(b) TurrK~er
Turnover comprises the value of ma~h receipts e~d season 5ckets, tess percerdage payments to the FootbaJI
League ~ Football Associat~, and receipts from the Football League, and ot~er ~ income, P.Jl
exclusive of value added
() Tram’let fees
Trar=sfer fees I~y’able ~nd receiv~le are written oll to the pmfi! and loss account in the year in which the trazzsfet
is cOmpleted.
(t0 Donjons
Donations from the development associations are c~e~ted to the pmfd and loss account when recek, zble.
(e) Rep~drs
Repairs and ground m~nt~P.JlCe aJ’e ch,~ged agaJn~ inc~*ne as they ~e incurred.
(0 Gr-~s
The Sports Council grant relal~ng to Middlewood Road trai~ng ground was transferred to accruaLs and deferred
income upon receipt and is being credited to the profit and toss account over the s~u-ne perlod as depre~z~on
iS provided on the asset.
Grants towards capital expenc~ure received from the Footl~ll~Orounds Improvement Trust are cred’~ed to the
appropriate asset accounts.
(g) T2.xab’on
Corporation tax p~jable is provided on t~--zble profits ~t the current rate.
D~erred tazation is provided using the l’rabir~t 3’ method m the extent that the directors believe it is likely to become
payt..hie in the foreseeable future.
(h) Tang~fe f’~ed assets
Land and buildings are shown at originzLl cost or subsequent vatua~on. Other ~o~ed assets are shown at cost.
Depreciation is provided at ~ c~lcul~ted to write off the cost ot v21ua~ion, less es~rnated n~dduai value, of
each asset on a. straight-line be_~s over its esdrn~ed useful rd~ as follows:.
Leasehold land and buildings -- term of the lease
Plant and machinery -- 7.5% to 2S% per annum
The freehold stadium is not dep;eciated. The directors do not consider such depreciation to be necessary a.s the
buildiags wiI! continue to be maintained to theft present stand,d_
(0 Investments
Foxed asset investrneuts are shown zt cost jess amounts written off. Current asset investments are stated ~t the
lower of cost or mzrket value as a~ the year end.
fl’) Le~-ses
Assets held under finzmce I~ are initiaiJy reported ~t the ~ir value of the aL~sets, with P-n equiv~ent iia.bilJty
c~tegorised as appropriate under creditors due w~hin or after one year. The asset is depreciated over the shorter
of the lease term andhs useful economic life. F’mance charges are ~dloc~ted to accounting periods over the period
of the le~se to produce a constant rats of return on the outstanding baJance.
Rentals under operating leases ~re charged on a straight-line basis over the le~se term.
2. Miscellaneous Income 1988 1987
~" £
Pubi~c’wy 322,-624 315,073
Commerc~ activities 172,870 196.489
Rent and hire of fa~fities 1,800 4,0B8
Sports Council grant 3,574 3,574
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£500,868 £519,224
3. Segment Information
Turnover tot the year related entirely to the principal activity of the company andwas
earned within the UIL
4. Staff Costs
Particulars of employees are a.s shown below:.
Employee cost~ during the year amounted to:
Wages and sP.Ja~ies
Social security costs
Other pennon costs
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198~ 1987
£ £
1,274,776 1,040,599
101,149 80,406
34,302 26.604
£1,410,227 .~1,147,709
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