Romanov rediscovers the season of goodwill with £2m gift to Hearts

JUST a matter of days after his Christmas message warned supporters of the grave dangers posed to football by Satanic forces, Vladimir Romanov entered into the spirit of the season of goodwill yesterday by announcing that his Ukio Bankas group has written off £2million of Hearts' debt.

The total comprises the figure of £1,812,878 which Ukio paid to SMG for their convertible loan stock, plus accrued interest of £187,122. The latter figure takes the overall sum to exactly £2 million, which presumably is no coincidence and represents the round number Romanov wished to present.

Although Hearts' debt is still hovering around the £20m mark, Romanov's decision - announced to the London Stock Exchange under the memorable heading "Forgiveness of debt" - is clearly of major benefit to the club. It also represents a successful conclusion to the involvement with SMG which at one point threatened to hamstring Hearts.

When the media company bought into the Edinburgh club in 1999 by lending it £4.5m, they had the option of turning that into shares or eventually getting the money back along with interest on it. They opted for the latter, and until Romanov bought them out in October they were due to recoup the money in four instalments payable at six-monthly intervals.

The purchase of the loan stock for £1.8m represented a saving of £2.7m for Hearts. That greatly reduced price was acceptable to SMG because, during Chris Robinson's tenure as chief executive, they had written the loan down to zero in their accounts, being mindful that the club might not be able to pay in full. Yesterday's announcement by Ukio Bankas means that Hearts have in fact not had to pay anything to rid themselves of the SMG debt.

The full statement to the Stock Exchange read: "Hearts today announces that it has received notification that UAB Ukio Banko Investicine Grupe ("UBIG"), has determined that, as from 31 December 2005, it will forgive the following amounts of indebtedness and interest:

"1. £1,812,878 of the 4.5 per cent convertible secured loan stock of Hearts, all of which (£4,480,270) is owned by UBIG; and

2. £187,122 representing accrued interest for the 9 months to end December 2005 due to UBIG relating to the 4.5 per cent convertible secured loan stock of Hearts, all of which is owned by UBIG."

There was more good news for Hearts supporters yesterday when teenage striker Calum Elliot agreed a new three-and-a-half-year deal. The 18-year-old scored his first goals for the senior team in Monday's 5-0 rout of Falkirk, and has played regularly since the arrival of Graham Rix.

"He deserves it the way he's played," the first-team coach said. "He's got ability, there's no doubt about that. He's got a determination, an attitude, and he wants to get better, the kid.

"He's a smashing lad, and he's probably been one of our most consistent players since I've been here. He's probably thinking about his game a little bit more [than at the start of the season], he's got undoubted enthusiasm, and I think the two goals he got on Monday will do him the world of good. It speaks volumes for him, the fact that the other first-team members trust him and like him."

This is the first professional contract for Elliot, who joined the senior squad direct from Hearts' youth team. A Scotland youth international, he has made 13 league appearances this season, seven of which were as a substitute.

Elliot was scheduled to be given a more gradual introduction to the first team, as the arrival during the close-season of Edgaras Jankauskas, Michal Pospisil and Roman Bednar demoted him down the striking pecking order. All three of those imports, however, have been injured at one time or another since the start of the league campaign, and none has compiled the sort of scoring record which would make him a recognised first choice.

Given those circumstances, Elliot has forced Rix to think of a regular quartet who are vying for the two positions up front. He first impressed the coach with his work-rate during the 3-0 home win against Dundee United, a match Rix watched from the stand two days before his surprise appointment in succession to George Burley was made official.

Meanwhile, the Lithuanian international Nerijus Barasa has spent the last couple of days on trial with Hearts at Riccarton. The 27-year-old, who has been recommended by Hearts' assistant coach Valdas Ivanauskas, is currently playing for the Russian club Krylya Sovetov Samara, and was previously with Alania Vladikavkaz and FBK Kaunas.

A versatile player whose potential roles include right-back and right-sided midfielder, the 24-times-capped Barasa is expected to be only the first of many trialists to spend time with Hearts over the coming weeks.

"He's a lad we're looking at, but we won't be rushing into anything," Rix said. "We want to make sure they are the right people. We have to make sure the people who come in are not only good footballers but good guys as well."

Darren Potter, the Liverpool midfielder, was close last night to becoming Rix's first addition. Potter is out of action until the end of January with a broken vertebra, but appears set to join Hearts on a long-term deal.

Taken from the Scotsman