As of last Friday the 16th May at 3.37pm, Halifax Town Association Football Club Ltd – in administration, received a communication from Mr Dennis Strudwick, the General Manager of the Football Conference. The main content was to confirm that 'As at 10th May 2008 (the second Saturday in May 2008), the Club was subject to an Insolvency Event as defined, namely, it was in administration, and in accordance with Appendix 'E' of the Rules of the Company, it is not eligible for membership of the Competition in season 2008-09. In accordance with Rule 17.4, the Club has 14 days from the date of the letter to lodge an appeal against the decision to the Football Association'.

In respect of the above and only upon receiving the letter from the Football Conference, can the Club proceed with trying to sort out its future status and decide upon any specific courses of action. This will be done with the utmost haste, but we are bound by the processes that have to be adhered to when dealing with all the appropriate agencies, the FA, the Football Conference, Solicitors, Accountants etc.

To clarify for all the fans who perhaps do not fully understand the processes that are currently being gone through, as far as we are able, we will explain:

i) There is still one Club and there always has been. That Company, Halifax Town Association Football Club Ltd, was placed in administration and as of Friday 9th May, it did not gain approval to exit administration via a CVA. The running costs of the Club from 21st March to the 12th May were covered by the Consortium in the sum of £126,000. This figure is not inclusive of the costs of the Administrator.

ii) To protect the assets and the goodwill of the Football Club, the Consortium agreed to continue paying the wages of all the employees, management, players and administrative staff, until all the available options of the Member Club could be examined. No action was possible until the Football Conference had made a decision, for any matters to progress.

iii) Following the meeting of 9th May, had the Consortium not made the offer to cover those costs of the Club, then steps would have been taken to commence the 'process of liquidation' and the existing Club would by now, be no more. Whilst efforts are being made to develop a future out of the existing Club, the current staff, also continue to have a chance of employment.

iv) In continuing to work from the assets and goodwill of the existing Club, we are providing the opportunity of 'reforming' the Club, as near the top of the football pyramid as possible. To reach a position where this can happen, discussions have to take place with the relevant parties and bodies, as previously stated, but this could not happen until we had received official communication from the Football Conference.

v) The Consortium is still very keen to support and keep the Club going from the highest point possible in the pyramid. In view of the costs involved to secure the assets and goodwill, along with TUPE regulations and associated employment costs from taking on all the existing staff, this would perhaps only be possible to Conference North (Level 2), Unibond Premier (Level 3) and less likely, Unibond North One (Level 4).

vi) So, from a 'reformation' out of the existing Club, there is an opportunity, subject to agreement, for the Club to come in as high as possible. This we understand is different from a 'new start', where the starting position may be at a lower level, but this can be confirmed/explained by the Supporter's Trust.

vii) Anybody can approach the Administrators to take on the Club, subject to agreeing financial terms and accepting the ongoing commitments. It is not an arrangement specific to the Consortium, but agreement has to be reached with the Administrator.

We hope the above confirms the situation. Contrary to popular belief, the Football Club still does exist.

The Consortium would like to clarify a point which may have been forgotten. All along, prior to the administration, it was stated that we would stand aside, if anybody else wanted to take over the running and we would not require our 'investment' back. When the Company went in to Administration, it was made available for sale and it is currently available for sale. At the moment, we are trying to give the existing Club a chance to resurrect itself, either through ourselves (the Consortium) or some other group or individual.

If the fans want the Consortium to cease with their efforts to try and preserve the Club as near to its former league position, then we can advise Begbies Traynor immediately. The Club can start the process of being liquidated, subject of course, to no other parties being willing or able to carry on with what we were seeking to do. This would allow the Supporter's Trust to commence with forming its own 'Fans-run' Club. We do not want to be where we are not required. Halifax Town is a very expensive and time consuming labour of love but the hardcore of 1000 to 1500 fans, deserve a professional Club.

We will provide further information, once there is anything more worthwhile to report.