Nineteen days after the death of Santiago Bernabéu, Luis De Carlos was appointed as new President of the club on 21 June 1978. The new chairman released a new board of directors on 1 September 1978 in an attempt to normalize the club after the turmoil of last year. Owing to financial issues including a growing debt, De Carlos did not reinforced the squad with high-profile players, instead of that, there had a few low-cost arrivals such as:
Rafael García Cortés and
Francisco García Hernández along Maté and Hipólito Rincón in a sign of austerity for upcoming years, in an era known as "
The Madrid of Los Garcia" until 1982. In the
European Cup the team, shockingly, was eliminated early in the second round by underdogs Swiss side
Grasshopper Club Zürich on the away goals rule. Meanwhile, in the
Copa del Rey the squad advanced to the
final where it was defeated by
Valencia CF 2–0 at Vicente Calderón Stadium. The club clinched its 19th League title also second in a row, four points above runners-up
Sporting Gijón. Had they also won the Copa del Rey, Real Madrid would've clinched the
double, something they would achieve
next season. == Squad ==