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Burnley back in the Black

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The accounts issued ahead of the club's AGM next month show that the Clarets made a profit of £3.16 million for the year ending 30 June, 2012. That followed a deficit of £4 million for the year 2010/11 and was largely due to the sale of Jay Rodriguez to Southampton.

The club made an operating loss of £4.4 million but the transfer of Rodriguez pushed the Clarets into the black and also allowed the club to re-invest in the current squad headed by new captain Jason Shackell. Rodriguez's club record sale also allowed the Clarets to make a transfer profit of £8.5 million.

Joint chairmen Mike Garlick and John Banaszkiewicz say in a statement to shareholders: "This player trading remains a cornerstone of how the club balances it books.

"Despite recording an operating loss for the year, the transfer fee we received for Jay Rodriguez meant we were able to convert this loss for the year into a profit and provide the basis for supporting ourselves in 2012/13.

"Looking forward, the reduction in our income in 2012/13 and 2013/14, now that the initial Premier League parachute payment period has ended, and the introduction of the Football League Financial Fair Play Rules mean that we need to continue to plan carefully for the future and act accordingly, to ensure that we operate within the Rule and the income we generate.

"Your Board are true Clarets' fans and we are committed to supporting the team and the manager to give us the nest chance of achieving the success we all feel the club deserves."

The Clarets' wage bill was reduced by around £2.5 million to below £17 million but turnover fell by £4 million to £23 million, largely due to a further reduction in parachute payments from the Premier League and lower attendances.

Further reducing the wage bill remains a key objective but the directors say in their annual report that they remain committed to moving towards a position where the club lives within its means, while providing the manager with the resources he needs to compete successfully in the Championship.