Five years after raising a 30 million HRK loan, which saved the Club from bankruptcy, Hajduk paid a sum of HRK 2,690,999.80 to the City of Split, by which the Club's debt towards the City is fully settled.
"It is my pleasure to say that by today's payment we completely closed the debt on the loan guarantee we had towards the City. The City helped Hajduk when it was most needed. Today, as our owner, they act as responsible partners, and with great effort, good cooperation and without endangering the Club, we have settled the debt and closed another important chapter. Once again, I want to thank to all the City governments that have shown their trust and understanding towards Hajduk in the last years, and I hope that through our responsible business and returning the debt, we earned that trust. I believe that by today's act and all those who supported the idea of helping Hajduk in 2012 are now satisfied" said the President of Hajduk Ivan Kos.
The story dates back to October 12, 2012, when the City Council refused to give guarantees for Hajduk's rescue, but on October 15, 2012, at their next session, the guarantee for emergency sanctions, prevention of enforcement proceedings and maintaining liquidity was nevertheless approved. The session was attended by only 16 councilors who were unanimous. Parallel to the session, there were several thousand members of Torcida in front of Banovina, waiting for the council's decision. Shortly after, Croatian Competition Agency approved the state support based on the guarantee given by the City of Split to the Club and a loan of HRK 30 million was raised in two banks (PBZ and HYPO) in the amount of HRK 15 million each.
In 2013, Hajduk returned part of the debt, but could not keep up to the agreed pace, so the City of Split as the guarantor settled the debt to the banks amounting to 23,000,000.00 HRK in October and November 2013 and in January 2014 the rremaining 8,192,478, 78 HRK. Hajduk then commited to settle the debt within three years. The City has calculated interest on the debt for additional 1.132.302,99 HRK.
Through that period, the Club has executed the necessary investments in the stadium instead of the City and continued repaying the debt, so in October 2016, it amounted to HRK 25,470,765. Once again, a postponement of payment was required for an additional year, which was approved by the City Council, recognizing positive trends in the Club's business. Apart from payments, the Club continues to return its debt through cessions with Ultra Europe Festivall. In the City of Split's budget for 2017, the amount of HRK 5 million was allocated to the Academy's work, and it is planned for 2018 as well.
By decision of the City Council, on 12 December this year, based on the findings of court experts and corrections by city administration, a part of the investment in the Poljud stadium for the previous nine years was approved to Hajduk, in the amount of HRK 9.86 million.
Finally, Hajduk paid to the City the remaining 2,690,999,80 HRK, which on this day, to the satisfaction of both sides, means that Hajduk's debt to the City is fully paid and closed.
