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New Birmingham manager Alex McLeish has been promised funds to bring in new players in the January transfer window.
Blues announced a loss of £6.5m before tax in their preliminary end-of-year financial results because of spending last season in the Championship.
Managing director Karren Brady said: "The impact of a new manager along with expected squad enhancement in January is expected to have a positive impact.
"The main target for the club this year is to retain Premier League status."
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