Essendon Football Club today announced an operating loss of $1,528,682 in 2010.

Club CEO Ian Robson said a number of factors contributed to the overall operating loss.

""During the course of this year a number of long-term business decisions have been taken which have adversely affected our financial performance,” he said.

Despite recording a loss, the Club's net asset position remains strong at $20.7m, including $1.3m in cash.

""While it is of course greatly disappointing to report a loss, it is worth noting that prior to the deduction of all non-cash items such as deprecation, the Club generated a trading cash surplus,"" Robson said.

Poor on-field performance in the second half of the season led to a dramatic drop in game-day attendances and all related match-day revenue streams.

""These underlying operating circumstances were further exacerbated with the financial impact of the decision to implement a new coaching model and accelerated depreciation charges related to IT systems development,"" Robson added.