Cup runs key to Watford squad wages
Watford chairman Graham Simpson has confirmed that successful cup runs, ending in 2 semi final defeats, under the guidance of ex gaffer Ray Lewington, had been key in paying back deferred players wages, as the club fought administration.
Carling Cup victories over Reading, Sheff Utd, Southampton and Portsmouth, ending in a semi final defeat to Liverpool in 2004, had generated sufficient revenue to cover a 12% salary reduction taken by professional players and higher paid members of club staff, entered into 2 years earlier.
Simpson said in a letter to shareholders "the proceeds of the 2004/2005 cup run were used to payback in full all of the salary deferrals entered into in 2002".
In September 2002, the majority of the Glory Hornet`s playing staff, led by current club captain Gavin Mahon, had agreed to defer wage payments to assist the club in the battle to stay solvent following the Vialli era and the collapse of the then lucrative ITV Digital TV deal.
Simpson also noted that last year's journey to the FA Cup Semi against Man Utd had netted £1.2m into the club coffers as Watford recorded end year profits for the first time in 5 years.