World: FIFA Loss Triples to $369 Million on Mounting Costs of Scandal
Author(s): Tariq Panja | Date: April 7, 2017 | Language: English
Source: https://www.bloomberg.com/ | URL: https://goo.gl/CL7Quy | Type: Text
FIFA, the governing body of global soccer, lost $369 million in 2016, triple the losses in the year before, according to financial statements released Friday.
The organization blamed the ballooning loss on a new accounting policy, increased investment in soccer and “one-off extraordinary expenses,” which are likely to mean legal fees related to the 2015 international corruption scandal that nearly destroyed FIFA. In the last two years, FIFA has spent nearly $130 million on lawyers and court costs.
The financial declaration comes a year before FIFA stages the next World Cup, the most-watched event in global sports and a cash cow that generates almost all of its income. FIFA said it had booked 76 percent of the $5.5 billion in revenue it expects to make in this current four-year cycle.
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