Formula 1

Honda will quit Formula One on Friday, BBC Sport understands.

The Japanese car manufacturer are set to announce that they are selling their team, with a view to closing it down by the end of March if no buyer is found.

Sources told BBC Sport the team were "optimistic" they would continue, but no investor had yet been found.

However, according to the Reuters news agency, team bosses Ross Brawn and Nick Fry fear Honda could close the team within weeks.

According to a Reuters source, Brawn and Fry told a meeting of the Formula One Teams' Association, "They have a month to find a buyer, otherwise they are closing the team."

Honda, who recently cut road vehicle production as a response to the global economic crisis, are expected to make an announcement regarding the team's future at 0500 GMT on Friday.

In other words, Rubens went on a rampage and now he's without a job in any case.

Full Honda Exit Statement

The following is the full statement from Honda President and CEO Takeo Fukui regarding the firm’s decision to pull out of Formula One...

We, Honda Motor Co., Ltd., have come to the conclusion that we will withdraw from all Formula One activities, making 2008 the last season of participation.

This difficult decision has been made in light of the quickly deteriorating operating environment facing the global auto industry, brought on by the sub-prime problem in the United States, the deepening credit crisis and the sudden contraction of the world economies.

Honda must protect its core business activities and secure the long term as widespread uncertainties in the economies around the globe continue to mount. A recovery is expected to take some time.

Under these circumstances, Honda has taken swift and flexible measures to counter this sudden and expansive weakening of the marketplace in all business areas. However, in recognition of the need to optimize the allocation of management resources, including investment regarding the future, we have decided to withdraw from Formula One participation. We will enter into consultation with the associates of Honda Racing F1 Team and its engine supplier Honda Racing Development regarding the future of the two companies. This will include offering the team for sale.

In its third era of Formula One activities, Honda has been participating in Formula One races from the 2000 season, initially with BAR, by adopting a new format of jointly developing racing machines.

Subsequently, in a move to meet the changing environment surrounding Formula One, we switched to running a 100 percent Honda-owned team commencing with the 2006 season.

Surmounting many challenges, the Honda Team achieved a Grand Prix victory in 2006, enabling Honda to receive overwhelming support from Honda fans around the world that were looking forward to greater success. It, therefore, has been an extremely difficult decision for us to come to this conclusion without having been able to fully meet the expectations of our fans.

By making the best of what we have learned during these times of economic turmoil, coupled with the spirit of challenge gained through active participation in racing, we intend to continue with our commitment in meeting new challenges.

Finally, we would like to take this opportunity to sincerely thank our fans and all those who have supported Honda’s Formula One efforts, including everyone in the world of Formula One.

Thank you very much.

Takeo Fukui
President and CEO
Honda Motor Co., Ltd.

F1 went bankrupt years ago and Honda is pulling out of this circus in which they have no control.
F1 is the best advertising platform for any serious car manufacturer, no doubt about that, but the cost DOES matter. It has nothing to do with jobs, or sales or anything (as said above; get a decent sponsor !... if there is a will, there is a way !). It has to do with the Japanese vision and management style, culture and F1-dicatorship the way it is run. Ecclestone is killing the sport, his wife left him, now Honda and there will be more to follow or the sport may even die if changes are not made rapidly.

Toyota, Ferrari and Renault have all expressed their determination not to follow Honda out of Formula One.

After financial reasons forced Honda to quit the sport, motorsport boss Max Mosley warned cost cutting was vital to avoid the loss of other teams.

Having cancelled a media gathering for a car launch next year, Toyota said they were "committed to succeeding in Formula One and to reducing costs".

French team Renault revealed they remained committed to the sport.

The Formula One Teams Association (Fota) met on Thursday to discuss its own proposals and said agreement had been reached on "substantial cost-cutting for 2009 and 2010, and additional initiatives to improve the show".

With top teams spending about £300m a year, Mosley, president of governing body the International Automobile Federation (FIA), said the sport had to cut soaring costs.

Despite Mosley describing the team's cost-cutting proposals as "fiddling about", Toyota - who have one of the biggest budgets in F1 - are sure they are on the right path.

"We are contributing to the Fota activities which will achieve significant cost reductions, whilst maintaining the spirit of the sport," a statement from the manufacturer read.

"We hope Fota's proposals and activities will be given the widespread support they deserve as they provide the sound, stable base Formula One requires at this time."

Meanwhile, the chairman of Ferrari was positive about the sport's future.

Luca Cordero di Montezemolo said: "We unanimously agreed to important short and long term measures, for 2009 and 2010.

"We gave a new push toward a reduction in costs especially to help the smaller teams already from the next season."

Norbert Haug, the head of Mercedes Motorsport which powered Hamilton to his recent title victory, also revealed his team were working hard on measures to reduce costs.

"Our Formula One involvement is built on financially solid foundations and is in large part financed by our sponsoring partners," he said.

"Mercedes-Benz's contribution is cost-efficient, the resonance in the media and in the public which last season and Lewis Hamilton's win generated was worth many times our financial investment."

Haug added that over the next two years they "must achieve cuts of at least 50%".

Quote:

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Originally Posted by AaronVW

Toyota, Ferrari and Renault have all expressed their determination not to follow Honda out of Formula One.

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I think they mean they won't quit for financial reasons.

They might still quit for other reasons though.

One More Team Could Follow Honda Exit

As the shock news of Honda's Formula One departure sinks in, fears that another team could drop off the 2009 grid are rising.

It was thought Japanese rival Toyota could be the most likely to follow the auto making giant out of the paddock, amid an even worse slump in car sales figures in the key US market.

But it is Red Bull, the Austrian energy drinks company, and owner of two teams, that has issued the most worrying statement, declaring it is "not surprised" by Honda's decision.

"Numerous other race teams are having similar thoughts," the Austrian group is quoted as saying by AFP. "The main issue now is whether the reductions in costs all of us must make will come quickly enough to guarantee a sufficient number of teams carrying on."
Even the sport's major players, like 2008 drivers' World Champions McLaren, are feeling the pinch, with team boss Ron Dennis telling The Observer that annual turnover is likely to drop nearly $150m because of the downturn.

"Our budgets come from the advertising budgets of the companies that support us, and inevitably advertising budgets get slashed or, at least are significantly trimmed in times of economic strife," he said.

Ferrari and McLaren's ongoing participation is solid, and Toyota has confirmed its commitment, but all the signs suggest that one more team could go missing ahead of next March's Australian Grand Prix.

Williams' chief executive Adam Parr told The Times that he expects eight teams to line up on the Melbourne grid, down from the current nine following Honda's pullout.

Similarly, Gerhard Berger, the recently departed Toro Rosso co-owner, told Germany's Der Spiegel that "the only question is 'who is next?'"

Asked by the Press Association if he can imagine another team following Honda out the door, FIA President Max Mosley answered "yes."

That's it then.

No more Formula 1
Well done Bernie Ecclestone you fossil!!

Quote:

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Originally Posted by Noxide

That's it then.

No more Formula 1
Well done Bernie Ecclestone you fossil!!

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:laugh: :laugh:

He is one isn't he!!!

Williams opposes F1 changes
2008-12-08 22:00

London - Williams would rather see Formula One teams run three cars each than relax the rules on so-called 'customer teams' to boost the numbers, chief executive Adam Parr said on Monday.
Honda's withdrawal from Formula One, and the possibility that another manufacturer could quit before the start of the season, has raised concern about the number of cars on the starting grid.
After starting with 11 teams in 2008, Formula One is down to nine without Honda. If another manufacturer decides to quit, that would leave 16 cars.
Parr said: "There’s scope for teams to put three cars on the grid and if we have eight teams with three cars, that's 24 cars which is four more than we have had this year.
"Even if we went to seven teams, we'd have 21 cars.
"My opinion is that it is far better to have seven or eight constructors than seven or eight constructors and three or four customer teams.
"Williams would rather compete on equal terms with constructors and take our chances than mess around with customer teams."
Toro Rosso and now-defunct Super Aguri were effectively customer teams, the former using a car designed by parent company Red Bull for both them and Red Bull Racing.
Super Aguri, who folded in April, used a version of Honda's 2007 car rather than building and designing their own as a constructor.
Formula One's regulations envisage teams running three cars each should the numbers drop below a certain threshold, although that could put severe financial pressure on some of the independents.
However McLaren would have a ready-made partner in Force India, who last month agreed a deal to use McLaren engines and gearboxes as well as other technical assistance.
Ferrari supplies Toro Rosso with engines.
Parr dismissed a suggestion that it would be bad for the sport for dominant Ferrari and McLaren to be in a position to fill the top six places, rather than just the top four at present.
"If you talk about full customer teams, then you are going to have four McLarens or four Ferraris so how is that going to help?," he said.