Sunderland chief executive Martin Bain has admitted that the £30 million which the club earned from the sale of Jordan Pickford during the summer was used to rectify past mistakes.
The financial problems of the Black Cats have long been documented and they posted debts of £110.4 million during their most recent sets of accounts.
As a result, the club also only allowed manager Simon Grayson to invest £1.25 million on recruiting new talent during the summer.
Bain has now admitted that a significant portion of the funds generated from the sale of Pickford to Everton was used to pay off the clubs past debts, including a £10 million fee which they owed Inter Milan for the purchase of Ricky Alvarez.
Bain said, “The income drop after relegation, from £100m to around £40m, has to be considered and so does the wage bill, which is still significant for this level, even though we have taken steps to reduce it.
“We’ve brought in £30m for Jordan Pickford, but that is needed for the running of the club. Yes, that money comes in, but then you have to consider the money that went out on legacy transfer payments at the start of the summer.”
