Newcastle reveal the financial cost of relegation

Newcastle managing director Derek Llambias has revealed the Magpies' revenue was halved from £100million to around £50million as a result of the drop from the Barclays Premier League.

Llambias told BBC Radio Newcastle: "Basically, from £100million revenue, we have dropped to £50million. A good chunk of that is TV money from the Premier League, so from the Premier League, it's £40million.

"We get a parachute payment of £12.5million and then in the Championship itself, you get £2.4million of income.

"There's a massive void there that needs to be covered. You get a drop in your season tickets, you get a drop in your attendance, retail, it all drops.

"That shortfall needs to be made up. Mike is picking the shortfall up now and it's very, very difficult. But we are getting through it."

Llambias has insisted the club was determined to retain the nucleus of a side which could win promotion from the Coca-Cola Championship at the first attempt.

He said: "We didn't fire-sell. At the time the Press were basically saying we would need to fire-sell: we didn't.

"We purposely kept a nucleus of the team that we felt could take us up, and it's working - and we will add to that.

"[Manager] Chris [Hughton] is adding to it and will continue adding to the squad."