Charlton have announced a net loss of £11.5 million during the last financial year.

And despite a significant reduction in operating overheads, plus profit from player sales of £3.4 million, the company had an overall operating loss of £8.6 million.

Making his first annual report covering the 12 months up to the end of June, 2008, plc chairman Derek Chappell admitted that Charlton's failure to return to the Premier League at the first time had impacted on the balance sheet.

With the club rooted to the foot of the Coca-Cola Championship, Mr Chappell said that Charlton's main objective was to secure Championship football.

He said: "Adapting to life in the Championship and the marked difference in the financial environment has proved challenging for the company and its operations.

"The immediate challenge following relegation in May, 2007 was to develop through the summer period a squad that would be capable of being competitive in the Championship, while at the same time raising funds through player sales.

"A programme of player disposals raised nearly £24 million within this period, including the revenues from the sale of Darren Bent to Tottenham that was completed on the last day of June, 2007.

"Meanwhile, £12 million was paid out during this period for new players for the 2007/08 season."

Mr Chappell confessed that the club's performances had not been acceptable and must change.

"Your board recognises the seriousness of our present league position and this must change.

"Our main task is to secure our place in the Championship through improved performances for the remainder of the season.

"Everyone connected with the club remains determined to achieve this."