MAN CITY INFO VIA THE ALPS "McVittee!" #895a

BERNSTEIN'S RESIGNATION: SPECIAL EDITION

DATE Thursday 6 March 2003

News is dominated this week by the resignation of Manchester City Chairman, David Bernstein.

Bernstein, who had been at the helm for 5 years, resigned at Wednesday's board meeting amid tales of divisions and unrest. Although the full facts will not be known for some time, speculation is rife as to the reasons and factions behind the boardroom split.

Understandably feelings amongst City fans are running high about this turn of events, and the man who had brought the Club back under control and heading in the right direction.

A sad day for Manchester City given the current football economic climate. As one correspondent puts it, have "the lunatics taken over the asylum"?

NEWS SUMMARY

News Extra - The Bernstein Resignation

KK's Support for Bird: The news week began with most City commentators still trying to get to grips with last Thursday's resignation of Chris Bird. The Joint Managing Director could not have had more public backing from the manager. KK was unambiguous in announcing his support for Bird, and expressed the hope that Bird could be dissuaded from leaving. "I am disappointed at the thought of Chris going," stressed Keegan. "People like him you do not find every day at football clubs. He is a fan first and foremost but he has been very, very helpful to me and is very good at his job. When I heard about the resignation I took him out for a meal and it was obvious after five or ten minutes that whatever has happened he has had to do what he has had to do and I respect that but I am very disappointed. It is a shame because in my opinion we will not be able to replace him with anyone better. If it was up to me and someone asked whether I would accept his resignation, then I would say no. But life is not that easy and he has to work with people. Something has happened within the club. It is for him to tell you about at some stage and he feels a bit undermined by that. We all know what that is like, it has happened to me in my life, and he has had to do what he has had to do. It is a bad day for the club. I have been here for two years and I have worked every day of my life with Chris Bird but it is his decision and life and we have to respect it. We will stay good friends. I think Chris going is a backward step for us and I have said that to him and to the people at this club and I am not the only one who feels that way. I will do everything, do all I can within my power to change his mind."

It's Quiet, Too Quiet: As Tuesday drew to a close, all seemed at peace in the Maine Road boardroom. The M.E.N. reported that Mr. Bernstein would be staying on as Chairman, and that he would escape censure from the Board. The piece suggested Bird left because of a personality clash with the Chairman over the division of the MD's duties between Bird and finance director Alistair Mackintosh. There was no hint of trouble ahead as Bernstein was quoted as saying "All the issues will be agreed tomorrow at the board meeting. I regard John Wardle as my partner and things will be agreed." Wardle and fellow directors Brian Bodek, Ashley Lewis and Dennis Tueart were said to be still trying to work towards a return for Bird.

Bernie's Bolted: Wednesday morning began with an unexpected press release from Maine Road. David Bernstein had resigned as Chairman. The statement read "It is with regret that I have today tendered my resignation as Chairman of Manchester City PLC. I emphasise that this decision is entirely my own. On my appointment in 1998, I emphasised three factors required to fulfil the Chairman's rôle effectively - unity, stability and professionalism. Until recently, my Board, major shareholders and key employees have successfully worked together to achieve these. Over the last few months, there has been a divergence of views on fundamental strategic issues particularly concerning finance and management structure. I believe this has inhibited my ability to direct the club in the way I would wish." So that day's board meeting, which had been called to discuss Chris Bird's resignation, now had a second departure to discuss. The club later announced that: "It is with regret that the board of Manchester City announce that the chairman David Bernstein has tendered his resignation. Furthermore the club's managing director Chris Bird has also tendered his resignation. Both resignations have been accepted reluctantly - in the case of the chairman the resignation takes effect immediately, whilst in the case of Chris Bird this takes effect at a date yet to be agreed. These resignations have neither been sought nor welcomed by the board."

Regime Change in Moss Side: Next came news that Deputy Chairman John Wardle had taken over the rôle of Chairman on a temporary basis, until a full time Chairman could be appointed. No attempts would be made to fill Chris Bird's post, as "a detailed management review" would take place in the summer to decide if such a position was still required. Mr. Wardle claims that Bernstein's resignation came as a surprise to the Board. "We were not expecting this to happen, we did not want the Chairman to resign but unfortunately circumstances have come around and it has happened. So we have not pre-planned who the next Chairman will be," he pointed out. "As yet it has not been discussed. We will sit down as a Board and discuss who the next Chairman will be, but I can tell you it will not be me," stressed John Wardle. "We need, if possible, a person with a business head but also with a fan's football head. He, or she, has to understand business because primarily we are running a business. I think we would all be delighted for someone to come in and invested in the club, but it is not just the money, it has to be the right person."

20 Million Reasons: Thursday's press reports where full of phrases like "Spend, Spend, Spend", "Bad Old Days" and "avoid following Leeds United". The suggestion was that KK was about to receive £20 million to splash out on more players, on top of almost £50 million already spent in the Keegan era. Bernstein had apparently ensured that a contingency fund of £20 million had been created to help the Blues financially in the event of relegation. The remaining Board members apparently feel that now mid-table safety has been achieved, that these funds should be released to Keegan. Player targets are said to include West Ham's David James and Barcelona's Frank Reiziger and Frank de Boer. KK could also sort out the futures of loan players Marc-Viven Foe and Djamel Belmadi.

Dennis Not in the Frame: The media's first choice for Chairman, Dennis Tueart, has been ruled out of the post by David Makin. Makin is a major shareholder in the club, and a business partner of John Wardle in JD Sports. "There are going to be a number of candidates and Dennis Tueart might be considered," Makin told GMR. "But I am sure there will be a few others as well and my gut feeling is that it will be someone else who is not in the club right now." Contradicting his partner's earlier comments, Makin continued, "The board have got someone in mind who looks like an outstanding candidate but I can't say who it is." A further flurry of speculation then occurred, with some outlandish suggestions being made. One of the more believable was Sir Howard Davies. Davies, a lifelong Blues' fan, has a great deal of experience in the City of London. He is currently Chairman of the Financial Services Authority, having also been the Director-General of the CBI.

Dear Prudence: John Wardle has said that the club will give Kevin Keegan the financial support he need to progress the team, but not at the cost of the club's financial strength. "Stability is the key word both on and off the pitch," he said. "We are a team in the boardroom and a team on that pitch at Maine Road. The financial situation hasn't changed and we will continue in a prudent manner. I already met with the manager on a weekly basis and that will continue. He knows what money is available and he will tell us what he wants and we will take it from there. We have a close working relationship and that will continue. I think we have one of the top coaching teams in the Premiership and I am sure we will go from strength to strength. Our whole focus now is on beating Birmingham a week on Sunday, that is the most important thing on the agenda at the moment. We want to finish as high up the Premiership as we possibly can. We want a top-class team that will go out and entertain top-class fans," the temporary City chief continued. "I want the fans to know that nothing has changed. We will not take them down the rocky path of finance. We will ensure that there is stability but at the same time we want to give Kevin everything we can give him to bring success to the club and the supporters. Remember, success brings stability as well. The target remains Europe whether that is this season or next season. I would love to be organising trips to the likes of Juventus, Barcelona or Munich for our supporters. That is utopia as far as I am concerned. We have lost a good chairman but we have not lost our ambition or drive. We are a top Premiership club and will continue to progress. We have the best team we have had in decades and we are on our way to what will be the best stadium in the country."

Lest We Forget: Today's Guardian had a helpful guide to previous Maine Road upheavals. It is to be hoped that "2003" will not be added to the list.
Boardroom Battles
1971 - Peter Swales overhears two City directors complaining about the club and tells them he can solve the problems. Within two years he is chairman.
1989 - City beat Manchester United 5-1 but Swales sacks the manager Mel Machin for "not having enough charisma".
1993 - Swales appoints as "general manager" the tabloid journalist John Maddock who urges the sacking of Peter Reid. Reid is replaced by Brian Horton despite taking City to fifth in the old First Division. Francis Lee ousts Swales in an £8m takeover.
1995 - Lee is accused of an "old pals' act" after appointing Alan Ball for a disastrous stint as manager.
1998 - Lee is replaced as chairman by David Bernstein, previously his financial adviser, after Wardle and David Makin become major shareholders.

OPINION: SIGN THE PETITION I

David Bernstein must stay petition. Please have a look at this petition and give serious consideration to signing: http://www.petitiononline.com/mcfcbern/

I am deeply concerned about the long term stability of City now that we have lost our chairman, David Bernstein.

He took us to where we are today from Division Two, when the club was in tatters. He got as a great deal on the Eastlands Stadium (i.e. free!) and I even criticised him when he intervened in the Fowler deal (when we got him at £3 million, due to Bernstein's intervention, I soon shut up and ate my words). The Chairman of ours is must stay, he is has one of the best business brains in football, we need his Midas touch during what are to be decisive times for our club and turbulent times for football in England and the whole world.

OPINION: SIGN THE PETITION II

Everyone who reads MCIVTA and writes should pass the word round about the keep Bernstein petition. Tell you mates to sign it, even if they are Rags, get your aunt and uncles and neighbours to sign it. Let's use the power of the Net for some good for once. Hell, try and get your MP to sign it, but let's put a fight on to keep Bernstein.

City need him more than Lord Kitchener needed us in the 1st world war.

Go on, click the link: http://www.PetitionOnline.com/mcfcbern/

OPINION: FANS' CONSORTIUM

Bad news about Bernstein resigning. Perhaps we should start a fans' consortium now, with a view to buying the club out when it goes bankrupt, two or three years down the line. I'm in for a tenner. Any more takers?

OPINION: WHAT NOW?

It's a big shock to hear that our popular Chairman has resigned, David Bernstein has done a great job in stabilizing the club.

Five years ago we were on the brink of disaster when David Bernstein took over as Chairman, we shall have to wait for official reports. As a fan I can only speculate as to what has happened; this is what I think is happening.

Dennis Tueart was the main person to bring Kevin Keegan to Maine Road. Kevin Keegan wants better players to improve the team, David Bernstein is cautious with money because of the market (we all know what's happened at Leeds).

As I have said before Leeds United did not have a Kevin Keegan (I do trust his judgement). For City to move ahead we must have the right players, we gamble to be better, or be another Leeds. It would be interesting for City fans to have a vote on this subject, a kind of referendum, which way should City move?

We also read that David Bernstein was going to split Chris Bird's duties with Alistair Macintosh, was this really right? For Chris Bird was doing a great job for the club.

Whatever happens the bottom line for us fans is that we want to see City a success on the field, and our boardroom directors all happy.

Let's hope everyone can agree on the best for City and success, I'll drink to that!

Come on you directors, you can sort it out!

OPINION: BLUE SKIES?

Reading Jon Marshall's article in MCIVTA 894 and then being rocked by Bernstein's resignation worries me. Jon was right in his assertions: Bernstein has been a terrific influence and leader at the club, pulling us up from the depths of losing at Lincoln to taking 10 points off the Rags this season (if you include losing x2 to Arsenal).

Without DB's pragmatism I'm worried we'll follow the Gold Ridsdale road to Champions' League oblivion. We all want great Euro games, but we don't want to pick up the pieces when it all goes pear shaped.

I think KK is a great Premiership manager (tactics and defense aside), but he's spent £51 million and amongst the success of the Elk, Berko, Distin, Sommeil, we've some pretty poor buys. I haven't really seen the quality or value in: Negouai, Mettomo, Toure, Vuoso, Sun, possibly Bischoff (though he's still young). The jury is still out on Macken, though Iım sure he'll do a job.

KK's been well supported by DB, the Fowler deal may pan out to be one of the season's bargains and best structured deals - second time around, being played with great experience and commercial business composure.

I'm in no way having a pop at KK, but having a good clear out in the summer and bringing in a centre back, goalie and midfielder should suffice. We should not look not look to spend more than £10 million to bring in more confidence and quality. The drive for success must come from the vast majority of the real quality we now have.

I've no real knowledge of the Chris Bird vs. DB dust up, but it must have been something significant for DB to resign. On the very few occasions I've met him he's been as passionate about city as those in the Parkside at 1-30. He's very focused on sustainable success (ask Joe Royle) and also incredibly savvy and a Gentleman. I personally think his leaving is very sad and quite concerning.

Whoever comes in must have sustained financial security and top third Premiership finishes as objectives. KK can work within that framework and we need that senior executive understanding and pragmatism.

Whatever happens, I'd like to thank DB for being a fantastic influence over the last 5 years and bestowing confidence, respect, optimism and sanity back at the Blues. I never want to go back to Lincoln.

OPINION: WHAT PRICE STABILITY?

Read the news today and am in shock. If you ask me, the person who should have the most credit for bringing Manchester City back from the depths of the Second Division to where we are today, in mid-table in the Premiership, with a move to the City of Manchester Stadium on the cards, is not Royle or Keegan or any of the players, but David Bernstein. He was also the person at the club who gave me most hope for the future, and I wouldn't have traded him for the Arsenal first XI. I'll tell you why: because this reluctant chairman has applied himself to his job with more ability, integrity, impact and foresight than anyone else I know of who has been at the club since I started supporting City back in 1982. He has not succumbed to running the club as a fan, but rather as the extraordinary businessman and accountant football clubs really need. As a result he has brought stability, prudence and long-term vision to a club previously known as a cross between a soap and a sitcom.

Who else - other than Bill Clinton perhaps - could have turned around years of deficits and positioned Man City to thrive in an uncertain era for football? Who else could have got Robbie Fowler for 3 million pounds plus staggered payments (Keegan and co. were looking to splash out £7 million!)? Who else could have got the CoMS for next to nothing in a deal that is envied by many other clubs, not least Trafford Wanderers? Who else could have made Man City steadily stronger while all around us clubs such as Leeds, Bradford, etc. are suffering from chasing the football equivalent of the dotcom dream? I think the answer is: our club had a one-in-a-million chairman, and we blew it.

Apparently 90% of respondents in the M.E.N. feel that Bernstein would be "badly missed". Let's hope this isn't too much the case, but I'm sure I speak for City fans everywhere in wishing David Bernstein all the very best in all that he does in the future.

OPINION: AN OPEN LETTER

I've written to Bernstein once or twice with some grumble or another but he always replied personally with a decent response. So I have now written to him along the following lines subsequent to his resignation.

Dear David,

Although you may not project the image of a typical City fan, you struck a chord with me as someone from a similar age group who had supported the club throughout your life. We have probably lacked a similar degree of stability and robustness at the club since the days of Albert Alexander.

Then it was all innocence and Sixties flair.

Now, it may be going wrong. Football is not quite as good as it thinks it is. Talented and moneyed people within the game may not have achieved their current status without the consistent support of the fans and consumers which, I believe, is something you have recognised.

Nevertheless, I hope it works out ok for us fans, which I know includes you. However, I can't help feeling less confident about the future today than I did before.

On the previous occasions I have written to you I had one complaint or another but I felt confident that we were going places as a club. Maybe we still are.

Can I wish you all the best and say a big thank you for getting to grips with the uncontrollable monster we all love.

Yours sincerely,

John.

OPINION: HERE WE GO AGAIN

Just as we were getting used to the novelty of a season drawing to a peaceful close we go and shoot ourselves in the foot again. The lunatics have taken over the asylum and the prudence and common sense with which Bernstein rebuilt this club of ours over the past five years has been abandoned in favour of the win or bust 'strategy' which KK has managed to infuse and enthuse within previously level-headed businessmen in the shape of Wardle, Makin & Tueart.

Credit to KK for his powers of persuasion and credit also to Bernstein for walking away when he lost the support of his board - the actions of the gentlemen and realist that he is - but to the rest I say - have we learnt nothing from our inglorious past?

To destroy the club through over-ambition once is careless but to risk doing it a second time unforgivable. Yes there's a chance that they will bankroll KK to the title but the overwhelming probability has to be that we do a Leeds and/or KK does a Kevin and we all come tumbling down again. Only this time there won't be the prospect of a new stadium for nowt to mortgage our future against.

OPINION: LEARNING FROM PAST MISTAKES?

I would like to express my utter dismay at David Bernstein's resignation. If there is any football club that should have learnt the lesson of keeping a good chairman it's City. Whatever the reasons behind the boardroom split there can be no justification for this series of events.

If the board were as loyal to the fans as they claim to be they would realise that the stability Bernstein brought us is far more valued than any place in Europe or even the top half of the Premiership.

KK will be at the club for 5 years in total. City fans are in it for life. If this boardroom bust up is over the money that KK wants, the remaining directors should realise this level of spending is a gamble. It is more than most fans are willing to risk. It's our club they are risking.

Charlton and/or Everton are likely to achieve a European place this year through long term effort, squad development, a sound youth policy and patience. Moreover we have followed a similar pattern to Charlton in our Premiership ups and downs. Exercise some patience and will finish in the top six, we don't have to do it this season or even next. I would rather the club becomes a mid-table Aston Villa than a bankrupt Leicester.

It's not difficult City. Don't lose the best chairman you have had in a generation.

Yours sincerely worried.

MCIVTA FAQ [v0203.09]

[0] MCIVTA Addresses

Articles (Heidi Pickup)          : editor@mcivta.city-fan.org
News/rumour (Don Barrie)         : news@mcivta.city-fan.org
Subscriptions (Madeleine Hawkins): subscriptions@mcivta.city-fan.org
Technical problems (Paul)        : paul@city-fan.org
FAQ (David Warburton)            : faq@mcivta.city-fan.org

[1] What are MCIVTA's publishing deadlines?

Deadlines for issues are nominally 6pm, Monday and Thursday evenings.

[2] MCIVTA Back Issues and Manchester City Supporters' home page

http://www.uit.no/mancity/ is the unofficial Manchester City Supporters' home page. Created in 1994, it is the longest running of the Manchester City related web sites. Back issues of MCIVTA are also hosted on the site.

[3] What is the club's official web site?

The official club web site can be found at http://www.mcfc.co.uk/

[4] What supporters' clubs are there?

Manchester City FC recognises three supporters' clubs: The "Official Supporters Club" (http://www.mancity.net/osc/index.html); the "Centenary Supporters' Association" (http://www.callnetuk.com/home/sef/) and "The International Supporters' Club" (http://www.mcfc.co.uk/extra/fanzone/isc.asp)

[5] Where can I find out about the fans' committee?

The Fans' Committee operates as an interface between supporters and the club. It has its own website, http://www.mcfc-fans.com/ containing info about forthcoming meetings as well as minutes from previous gatherings.

[6] Where can I find information about our new stadium?

The latest information regarding the progress of our new home can be found at www.mcfc.co.uk/article.asp?article=111916&Title=Introduction&lid=New+Stadium

[7] What match day broadcasts are available on the web?

Live match commentaries and archives of games, reports and interviews can be found here: http://www.mcfc.co.uk/comment.asp. An alternate live commentary service, hosted by Yahoo, is located at: http://uk.sports.yahoo.com/foot/audio/live/schedule/index.html.

[8] Where can I find out if City are live on satellite TV?

http://www.satfootball.com/pl.html provides a listing of Premiership games being shown on UK domestic and foreign satellite channels.

[9] What's the music the teams run out to?

The music we run out to at Maine Road is "Nightmare" by Brainbug and is available on the Positiva label.

[10] Do we have a Usenet newsgroup?

Yes we do: uk.sport.football.clubs.man-city is our home on usenet. If you are not familiar with usenet, a basic explanation is available here: http://whatis.techtarget.com/definition/0,289893,sid9_gci213262,00.html

[11] Do any squad members have their own web pages?

There are a number available and direct links can be found at http://www.uit.no/mancity/players/

[12] Acknowledgements

Thanks go to John Arnold for providing the match day music information, to Ian Bell for pointing out the alternate live match commentary service and to Damian Quinn, Stephen Webb and Roger Haigh for the Satellite TV info.

Heidi Pickup, heidi@mcivta.freeserve.co.uk