John Reid, chair of Glasgow Celtic Football Club (GCFC), has warned that the recent collapse of Irish sports broadcaster Setanta has left many Scottish clubs facing increased financial uncertainty.

In the club's preliminary results for the year ending 30 June 2009, Reid claimed that clubs are "now edging along the narrow line of solvency" following the demise of Setanta, which had held the broadcasting rights for the Scottish Premier League (SPL). The SPL had struck a £125m deal with Setanta for exclusive live rights to fixtures over a four-year period from the start of 2010-11 season, but league officials have now been forced to agree a reduced deal with Sky and the US-based company, ESPN - a deal Reid believes should have been sought at the time of original negotiations last summer.

Reid said: "in selecting Setanta instead of Sky in the competitive bid process, an opportunity for the SPL to benefit from the greater status, stability, reach and financial resources of one of the world's largest broadcasters was lost, as became apparent when Setanta entered into administration just after the end of the season. "The recently agreed arrangements with Sky and ESPN are significantly less than could have been the case had Sky's offer been accepted last year, and are a hard lesson in what could and should have been a far more positive outcome for all of the SPL clubs."

However, an increase in the number of season ticket sales and an extended agreement with kit manufacturer Nike until 2015 means that GCFC reported a 0.5 per cent decrease in revenue to £72.6m, while operating expenses fell by 4.3 per cent to £61.4m.