The Financial Crisis of the Early 1990s
After the 1992 league title Flamengo fell into a long financial crisis.
After winning the Brazilian league in 1992, Flamengo entered a major financial crisis, and important titles became rarer, although the club still won lesser trophies. In 1993 it lost the Supercopa Libertadores final to São Paulo.
Quick Facts
- Began
- After the 1992 league title
- Isl contract
- 1999, partner bankrupt in 2002
- Relegation escapes
- 2002, 2004, 2005
- Audited debt
- R$750 million (2012), R$495 million (2015)
Lore & Background
In 1999 president Edmundo dos Santos Silva brought in a large contract with the sports marketing company ISL, but ISL went bankrupt in 2002 and the club lost its wealthy partner. Short of money for key signings, Flamengo only narrowly avoided relegation in 2002, 2004 and 2005.
Recovery came later. When Eduardo Bandeira de Mello became president at the end of 2012, an independent audit put the club's debt at R$750 million. By 2014 it was down to R$600 million, with Flamengo the only club to reduce its debt that year, and by 2015 to R$495 million, when it was the most valuable club in Brazil.
More in Club History & Eras
Elsewhere in Flamengo
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