Series financial security

[Kiwi3]

Colin Giltrap hates it being referred to as Team Kiwi, doesn't he? That's a V8 Supercar team!

Perhaps there won't be a round in NZ next year then?

I don't understand how NZers can be so passionate about snail boat racing but not this.

[Mak]

Originally Posted by kerrmanningjarv

If NZL have a home race in 2009/10, A1GP will surely bail them out as they did with GBR this year.

Who's bailing out A1??

[Armco Bender]

Wont be Team NZL by the look of it,and they still have to finish building the track.

[Kiwi3]

I seriously doubt that there won't be two Ferraris at the Australian GP next year, but still worth posing the question - what impact could an F1 civil war have on A1GP?

In light of the developments regarding next year's entry, Ferrari said its president Luca di Montezemolo had been told to look at alternative activities for the racing team. (source: Autosport)

If we however look broader than just Ferrari, a column in Autosport are suggesting that FOTA have or are investigating buying the A1GP infrastructure and using it as a base for a new F1 (which would end A1GP in the process):

A1GP has a turn-key freight forwarding operation, race operations base, fully-fledged high definition TV operation with contracts in 160 countries and video streaming possibilities, race administration and a media centre in which internet outlets are welcome, the Pangea hospitality facility, merchandising contracts and, above all, a Michelin tyre deal. (Sauce: Autosport).

Not to mention Kyalami, Zandvoort and Surfers.

[RichardRenes]

Originally Posted by Kiwi3

A1GP has a turn-key freight forwarding operation, race operations base, fully-fledged high definition TV operation with contracts in 160 countries and video streaming possibilities, race administration and a media centre in which internet outlets are welcome, the Pangea hospitality facility, merchandising contracts and, above all, a Michelin tyre deal. (Sauce: Autosport).

Not to mention Kyalami, Zandvoort and Surfers.

Makes one wonder where the merchandise is, as there is a total lack of it.

[Kiwi3]

Well it does say merchandising contracts, not the current existence of any.

When the Ferrari deal was disclosed to the public it included merchandise, which I take to mean A1GP has the rights to put "powered by Ferrari" on merchandise, and that it has been an intention to produce it. But other things have taken priority I presume. I think it's something for the longer term once a stable calender has built a larger loyal fan base.

[kerrmanningjarv]

You can't ruin A1GP by using it as a pawn in the FIA vs. FOTA war... sure they need investment but they don't need to be turned into F1 Version 2.

[RichardRenes]

which I still don't understand.. Creating merchandise is only a very small investement with a big profit turnout possible. You can have shirts and caps made in China for $1 each, ship them everywhere for just a few $$ and cash in for $25.

That would have had some cash flowing back into A1

[jc_nl]

Originally Posted by Kiwi3

Not to mention Kyalami, Zandvoort and Surfers.

Better skip that one, There is an item on the dutch A1GP broadcasters website (www.rtlgp.nl) that says A1 is moving to Assen for the next 5 years (provided the stay alive that long ofcourse).

[Kiwi3]

Finally a bit more information http://www.goldcoast.com.au/article/...oast-news.html

and some commentary http://www.grandprix.com/ns/ns21908.html

[Asa]

A1GP and Zhuhai International Circuit announced that A1GP will return to race there on 15 Nov.

http://www.zic.com.cn/zicen/

[Kiwi3]

wrong thread.

[Flyin Ryan]

edit, already posted

[Kebab]

Just a side note - Tony Teixeira's company, Energem, will cease to be on AIM in about a week if they can't find a new nominated advisor (Nomad) and broker ... their current one withdrew their services due to 'a connected party' borrowing $54million from the company.

Sounds like his whole empire could go pop if A1 does.

[csirl]

A1GP needs to regroup.

With their finances and the current economic climate, the race programme they tried to put together is madness - as was last years. The series should be run entirely in Europe for a couple of years until it is sorted out (unless some foreign promoter is prepared to cover the entire cost of a non-European races, and even then, it may not be a good idea).

Should go with a summer series in Europe in 2010 - scheduled for weeks that F1 is not racing. 10 tracks that can be reached by road in reasonable time from a central base where all the cars are maintained. I know there is competition from other formulae, but I think A1GP would see off superformula and is a notch above WSR.

Keep the costs very low, get rid of all the unecessary extras, give the series free to terrestrial TV etc.

[F3 Rocks]

Originally Posted by csirl

A1GP needs to regroup.


Should go with a summer series in Europe in 2010 - scheduled for weeks that F1 is not racing. 10 tracks that can be reached by road in reasonable time from a central base where all the cars are maintained. I know there is competition from other formulae, but I think A1GP would see off superformula and is a notch above WSR.

Keep the costs very low, get rid of all the unecessary extras, give the series free to terrestrial TV etc.

Where would the drivers come from most of the A1GP current drivers race in other series during the European summer season, thats what is so attractive to drivers and teams alike they get some driving/work during the European winter.

[Mak]

Managment was the problem and extremely stupid decisions by them. Season 3 went well and they were finally able to break even. They were looking to increase television revenue for the next season until someone through a major spanner in the works. Thanks TT.

[jackschmidt]

At this point, I've basically quit on A1GP. All I asked for was a stable Season 5 and they couldn't get their act together. The only way I'll watch is with a totally revamped management team and a total stability. Tony has been irritating me ever since he took control of the series. Thanks for killing a motorsport that I had liked, Tony.

[jondownunder]

It's pathetic, nothing but endless excuses from A1GP. Surely Teixeira knows the positive spin he always comes out with has long been rendered utterly meaningless. We all knew they weren't going to be at Surfer's, why didn't they have the decency to admit it sooner? They seemingly had no real intention of going from all the evidence available (impossible timescale, no airport bookings etc).

[rychard]

Here goes ...........Forensic accountants trawling through the company's many offshoots in several countries – including the tax havens of the Virgin and Canary islands – predict A1GP's debt to soar beyond the $25 million currently assessed.

In a preliminary report in A1GP last month – at a time when the State Government and Gold Coast organisers were still confidently predicting their race would go ahead – Tim Bramston from London insolvency specialists Griffins found A1 Grand Prix Operations Ltd lost money in each of the past four years for a total of more $100 million.

Pledges from A1GP boss Tony Teixeira to pay off external creditors had so far amounted to empty promises, Mr Bramston wrote.

He added he seriously doubted that the funds existed to pay off any of A1GP's debts.

The Australian arm of A1GP is not named in the report and details of its finances and its dealings with the State Government are not available.

Mr Teixeira's A1GP group went into receivership in July and its cars were locked up by a freight company last month.

The Sunday Mail has seen two sets of legal advice provided to the Government, warning that the Gold Coast contract could not been terminated any sooner than last weekend when Mr Teixeira finally admitted the cars would not be in Australia.

[Kiwi3]

"He has made his money by digging holes in the ground. He is not in a service industry, he has not made his money by creating a consumer (sic) and satisfying a consumer and listening to public demand and pricing a product right, he's made his money by finding natural resources, mining them, and selling them to the Chinese, you know. Very different and they have brought people from that background, and now they are in a market where the customer is right and the customer will vote with their feet. And they are...and the fact that they are talking about issues like parking at home games suggests that they didn't think about these issues before, and now they are they are being caught on the hop, trying to do things on the fly and trying to be reactive....if they have not done that basic stuff what else have they not done..."

Source: Australian Four Four Two podcast, on the failure of mining magnate Clive Palmer's failure to get crowds to the home games of Gold Coast United, the football club he has created.

A bit off topic but it reminded me of someone else!