Chairman converts his loans to the club into equity, effectively ridding Fulham of £212 million worth of debt
Mohammed Al Fayed has cleared Fulham's vast debt of £212 million by converting his loans to the club into equity.
Press Association reporter, Simon Peach, also revealed that all external club debts have been cleared meaning, simply, Fulham FC are debt free.
It's a momentous day for the club who, under the chairman's tutorship, have risen from the football league's bottom rung to be a stable Premier League side.
In order to invest in the club, however, Al Fayed has fed loans into Fulham that he could have - though this was highly unlikely - recalled at any time. To write all of these off completely is a huge show of faith from Al Fayed and proves, yet further, how dedicated he is to maintaining Fulham's recent success.
In also writing off all external debts, Fulham now owe no money to any organisations - a magnificent feat in the current football climate.
It has helped to immediately quell the fears surrounding investment from the board over the summer and in the current January transfer window. If anything, this is a far more significant piece of news than any potential signing.
Our long term future is now all but secured and, with other financial news of a positive tone, the last couple of days of the transfer window could well bring further good news.
Fulham have reported an operating profit of £1.2 million for the 2011/12 season - hardly substantial but, again, in the modern era, turning a profit at all is a feat in itself.
Much of this was down to our Europa League campaign last season which, despite not proving successful, proved to be a worthy source of income.
We have also seen an increase of 0.6% in our overall Craven Cottage occupancy figure, which stands at a vast 98.4%. Encouraging news, especially with an increased capacity in the offing.
Speaking about the news, chairman Al Fayed said: "Fulham continues to make great strides and, following planning permission for the re-development of the Riverside Stand, we will continue to prosper and grow.
"For almost the last 15 years, I have ensured the Club moves in the right direction and remains true to our proud history, strong heritage and past traditions."
Thank you very much Mo. We all appreciate it.