PKF sounds Fulham FC warning

Fulham FC is facing significant financial risks, after suffering a £15.8m
loss for the year to 30 June 2006, the clubs auditors PKF have warned in
latest set of accounts.

PKF did not qualify
their audit of Fulham, but did decide to add an ‘Emphasis of the Matter’ note to
their audit report, where they raised concerns about the future of Fulham as a
going concern.

‘The company has incurred significant losses in recent years and has
accumulated a significant deficit of shareholders funds.

These conditions indicate the existence of a material uncertainty, which may
cast significant doubt about the company’s ability to continue as a going
concern,’ PKF said in the audit report for Fulham Football Leisure, the company
that owns the football club.

Over the last decade Fulham has sustained losses of £125m, but has managed to
survive because of the ongoing financial support of chairman and Harrods owner
Mohammed Al Fayed .

The Fulham board said that it was relying on ‘reassurances’ from Al Fayed
that he would continue to support the club financially.

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