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Crystal Palace is in danger of "going out of business" according to the embattled clubs administrators. Negotiations are said to be on a knife edge just a day after the South-London side axed almost half its workforce and its leading goal scorer prepares to jump ship to cover the teams’ wages. The only credible buyer, the CPFC 2010 consortium of local businessmen have made a conditional deal with the stadiums administrators, PricewaterhouseCoopers but cannot agree a CVA with its creditors. If they cannot do a deal over Selhurst Park, the deal is off and a creditors voluntary arrangement is the compulsory method of exiting administration. A creditors meeting yesterday is meant to have thrown a major spanner into the works. The consortium – headed by Eagles fans Steve Parish and Martin Long are said to be at loggerheads with former Chairman Simon Jordan.
Jordan's claims 'rejected'
Ironically it is he who could inadvertently kick the 105-year-old club permanently into touch. As the sides largest creditor he claims he is owed £7.8million but Guilfoyle says he only recognises £1.9m of that debt. With an expected offer of one penny return for every pound owed, it will not be easy for 2010 to reach that 75 per cent threshold of the total estimated £25m debt. Talking to Sky News Guilfoyle said: "In quite simple terms I'm out of cash and it's the end of the month and people are expected to be paid and I've had to inform the staff that I'm not currently in a position to pay them. It's not over, but the club is on a knife-edge. I'm not funded and at this time of year there's very little income coming into the club but there's still a lot of expenditure going out in terms of wages."
Fire sale
The sale of Ambrose, 26, brings in £750,000 covering half of May's wages bill - but other players will have to be sold to cover the remainder and pay June's wages. Former manager Neil Warnock has swooped in for the midfielder making him the first of many expected to switch to North London rivals Queens Par Rangers. Contacts have been made over goalkeeper Julian Speroni, Clint Hill and Shaun Derry are both out of contract this summer and reports claim they will also join Warnock. Guilfoyle said: "Fans will be concerned because they see their star players being sold. Now we are unfunded we need CPFC 2010 to intervene. I still feel there is every intention on the part of CPFC to complete the purchase but they need to secure the stadium first as that's the first step. We don't have the ability to pay the current wages. We are already dealing with what's behind us rather than what's in front." Administrator Brendan Guilfoyle, called in to run the Eagles since January, informed 29 workers of their redundancy yesterday. Many key assets, i.e. players, are out of contract this season - Nick Carle, who came from Bristol City for £1m two years ago has just gone on a free transfer Palace, who survived relegation from the Championship on the last day of the season have been in administration since January and narrowly avoided the drop after they were docked 10 points.
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