Debt costs push Manchester United to a loss of £84 million

The critics of Manchester United's American owners were given further ammunition when the club announced a full-year loss.

The critics of Manchester United's American owners were given further ammunition when the club announced they had made a full-year loss of £84 million (Dh491m) due to managing the cost of their debt.

The club, third in the Premier League, made a record operating profit of £101m thanks to increased broadcasting and commercial income but made a loss when interest charges and the cost of restructuring debt were added on.

The club also marked down their value due to the fluctuating exchange rate and a reduction in the value of the playing squad. They had lower match-day revenues compared to last year due to the side's exit from the Champions League in the quarter-finals and the FA Cup in the third round. The news will add to a debate in Britain about club ownership after rivals Liverpool agreed a sale to new owners in a bid to rid themselves debts of millions of pounds which had limited their ability to buy new players.

Many United fans also believe their club have been limited in the transfer market, at a time when Manchester City have spent heavily on new players under wealthy new owners. Sir Alex Ferguson, the United manager, and David Gill, the chief executive, have consistently claimed United's lack of involvement in the transfer market is attributable to the difficulty in finding value, with both insisting the funds would be made available if they were required.

The Glazer family bought United, one of the most famous football clubs in the world, in 2005 for about £790m in the face of a wave of protest from fans who feared they would load it up with too much debt. The club's debt has since swelled and supporters have staged a series of protests in a bid to push out the American owners. An attempt by wealthy supporters to mount a takeover stalled earlier this year, and the owners have said they have no intention of selling.

For the year to the end of June, United's gross debt rose slightly to £522m. The club also have so-called payment-in-kind loans of around £200m which have a higher rate of interest.