Loch Lomond reduces debt by £95m
One of the world’s most exclusive golf clubs, Loch Lomond, which posted huge losses and entered administration during the recession, has cut its debt by a staggering £95 million.
The debt reduction may be seen by some as symbolic of an improvement in fortunes for the golf industry.
Loch Lomond, which was reportedly charging £5,000 per year to be a member – on top of a £70,000 joining fee – struggled during the economic downturn, posting a loss of more than £45 million in 2008 alone. By 2011, when the club was bought out by its members, it owed £132 million, mostly to its bank.
Today it owes its bank just £5 million, and its members £32 million.
The accounts show that the golf club made a £2.3 million loss in 2012, a reduction from the £2.7 million loss made in 2011.
Loch Lomond repaid £2.5 million of debt to the bank last year.
The parent company, Loch Lomond Members Golf Club Ltd, a company registered in the Cayman Islands, has on its board Sir Nigel Rudd, the chairman of Invensys, and Scott Murdoch, who has been linked with a board position at Rangers Football Club.