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Graham Wallace: Rangers are not at risk of administration

Rangers chief executive Graham Wallace issued a "categoric" assurance they were not at risk of administration after the club announced that two shareholders were set to plug a funding gap.

The club issued a statement to the stock exchange confirming they were in talks over securing a £1.5million loan following reports that directors Sandy and James Easdale and major shareholder Laxey Partners were set to issue a much-needed cash injection.

Rangers lost £14.4m in their first 13 months of trading as a new company, which was set up after the Ibrox club went into liquidation in June 2012.

Despite raising £22m from a share issue in December 2012, former finance director Brian Stockbridge had admitted the money would run out before the end of this season and a proposed 15 per cent pay cut was rejected by players last month.

Hours after the loan statement, Rangers launched a fan engagement programme, which will kick off with a survey sent to 1.2m people.

And Wallace, who admitted in December that the Scottish League One club's spending would be out of control even if they were in the top flight, attempted to quash speculation over the club's short-term finances.

Wallace told Rangers TV: "I think it's important to say that the board, myself, the executive team, are working very hard to rebuild the club. We are midway through our 120-day review of every area of the business.

"But what I can categorically say is that there is no threat of a second administration.

"We are working our way through the business in a very logical and organised fashion and sometimes it's difficult to rebut every element that is put out in the press in terms of potential administration.

"But let me put that to bed once and for all. We are absolutely focused on the long-term sustainability and success of Rangers Football Club and supporters should not be concerned about some of the ill-informed comment they are reading in the media."

Wallace, who joined Rangers on November 20, insisted he was fully committed to the task.

"I knew exactly what I was getting into when I agreed to join the club," he said. "My position today is no different from then.

"There's a lot of work going on behind the scenes and we are all totally committed to the long-term success of the club.

"There is no threat of people walking away."

The club had earlier informed the stock exchange about the talks over the potential loan, a debt which could potentially be converted into shares further down the line.

A statement read: "The board of Rangers notes the press articles and confirms that it is holding discussions with two major shareholders with a view to arranging a loan of up to £1.5million to provide working capital for the company.

"Documentation and terms have not been finalised, and a further announcement will be made when appropriate."

The only outwardly obvious impact of Wallace's 120-day review, which he announced at the annual general meeting on December 19, has been the removal of Stockbridge.

But Wallace said: "It's going very well, we are approximately halfway through now. We have carried out a considerable amount of work. I'm looking at the structure, process and organisation, a lot of the back office functions and existing relationships.

"We are now moving on and working hand in hand with Alistair (McCoist) on the football side and looking at our football operations and some of the areas we already know we haven't got the capability we wish to have. Scouting is one that is mentioned regularly.

"We are already starting to put into place some changes."

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