Kaiserslautern forced to sell stadium

Germany's 1. FC Kaiserslautern have announced they will sell their stadium in a bid to ease the financial crisis that has engulfed the club.

Consortium take control
The 1. Bundesliga side said in a statement that the Fritz-Walter-Stadion would be bought by a specially-created company in which the city, the regional government of Rheinland-Phalz and local banks would take shares.

Bankruptcy worries
The four-time German champions, who will now have to pay a rent to use their ground, did not reveal how much the stadium had been sold for, but confirmed the sum would be enough to allay fears of bankruptcy, providing the team avoids relegation from the top flight this season. Kaiserslautern are currently bottom of the table, but are only two points from safety.

Mounting debts
The club have debts estimated at €30m and were ordered to pay nearly €13m last month in owed taxes. The club must overcome their financial difficulties in order to be granted the licence needed to play professional football in Germany next season, but club chairman Rene C. Jaeggi confirmed that Kaiserslautern would not have the necessary income should they be demoted.

Note of caution
"I am very happy that this company [which will take over the stadium] could be founded," said Jaeggi. "But, if we were to be relegated, we would almost certainly not get a licence."

Kirch collapse
The club's financial problems began in 2002 after the collapse of KirchMedia, which held the television rights for the Bundesliga, led to a shortfall in millions of euros in revenue. The club faced financial ruin last October, but survived after selling the transfer rights for German striker Miroslav Klose to the regional branch of lottery company Lotto for €5m, which in turn enabled Kaiserslautern to raise a further €20m in credit from a consortium of local banks. The club announced last November that it had launched an investigation into allegations of financial irregularities under their former management.

Title triumph
Kaiserslautern's most recent championship success came in 1998, when the club made history by becoming the first side to win the league title in their first season back in the top flight.