Ecclestone turning screws on George until he screams
Dear USGP Fan:
I would like to thank you for your attendance at the 2007 United States Grand Prix. From the unprecedented access on Pit Walkabout day to rookie Lewis Hamilton continuing his improbable climb to the top of Formula One, the United States Grand Prix was a truly exciting event. I think we all hope to be able to see Hamilton defend his title next year here in Indianapolis.
To that end, we are currently working to ensure the future of Formula One at the Indianapolis Motor Speedway. After a series of conversations between Formula One Management CEO Bernie Ecclestone and Indianapolis Motor Speedway CEO Tony George about the future of the United States Grand Prix, we are working toward an agreement for 2008 and beyond.
We have stressed that we would like to continue the event, and we believe Formula One feels the same way. After playing host to the USGP for eight years, we are aware of the challenges ahead, and that is why we are exploring ways to reach a long-term agreement, with hopes of making an announcement no later than July 12.
With the Indianapolis 500, we annually present the world's largest sporting event and also play host to the largest-attended NASCAR race with the Allstate 400 at the Brickyard. The goal is to continue to work with the Formula One community and find the right business model to make this event successful for all involved.
Please continue to log on to www.indianapolismotorspeedway.com for the latest updates regarding the United States Grand Prix at Indianapolis.
Thank you again for your support of Formula One in the United States, and we certainly hope to see you again in 2008.
Sincerely,
Joie Chitwood
President & COO
06/21/07 Indianapolis Motor Speedway president Joie Chitwood said no discussions have been held with F-1 boss Bernie Ecclestone regarding a new contract for the U.S. Grand Prix. Speedway officials have set a July 12 deadline for deciding whether there are additional grand prix events at the facility. Indy Star
The Mole writes: "You also have to remember that Indianapolis is paying a lot less for the Grand Prix than most other races. I heard that Tony George got the deal for about $10m a year, which is peanuts compared to events in Asia and the Middle East. They are paying Bernie three times as much. Bernie wants George to pay more, raise the ticket prices and do some more promotional work. George is worried that if he does that people will stop coming and he will make a loss. Bernie does not care. He says the deal is on the table and it is up to Tony to take it or leave it.
"Don't get me wrong," he added. "I think Bernie would like to have Indianapolis on the schedule. It is a good name to have in F1 but it needs to make him more profit. I think that Indianapolis will go with motorcycle racing and F1 will be off on the road again."
"The road to nowhere," said The Mole.
"Well, that is true," said The Contact. "The other thing is that Canada and Indy are currently sharing freight costs so that creates a problem for the Canadians as well."
He paused for a moment, looked into the bottom of his coffee cup. There were no tea leaves for guidance.
"Bernie has been sniffing around a few other places in the US, but no-one is going to pay him what he wants. He could try to promote his own event but you know he had the chance to buy Long Beach a year or two back and he did not take it. That would be a disaster for TV ratings anyway. He needs something on the East Coast. Somewhere big with hotels and a bit of glitz. He needs New York or Miami. Something on Long Island, or the Connecticut coast.
"He needs a Monaco kind of race, just to get people excited. Americans don't mind spending money to go somewhere which they think is glamorous, but I guess that Indiana just doesn't cut the ice."
The Mole looked out of the window, across the airport to where a huge new terminal is being built.
"Maybe it is not too late," he said.
06/19/07 The USGP is already a big money loser. Reports are the race is significantly in the red given all the improvements that had to be made to the track to meet the FIA requirements.
With the current contract now over, Formula One boss Bernie Ecclestone says the fate of the US Grand Prix is in the hands of Indianapolis Motor Speedway owner Tony George, although he likely means George's wallet.
Ecclestone told Indianapolis television station WISH-TV that racers enjoy the event, staged here since 2000, but gave little clue about talks for the future as a July 12 deadline looms to decide the future of the race.
"It's good here, the facilities are good and all the teams are happy here. We don't have a problem," Ecclestone said.
Asked whether F1 and Indy officials would sign a deal to replace the one expiring after Lewis Hamilton's triumph Sunday, Ecclestone said, "I don't know. I've been having a chat with Tony so we'll see.
"He knows what it takes. Ask Tony. It's in his hands. It's up to him."
The stumbling block could be the amount of money Ecclestone wants George to pay to stage the event in future years. A one-year extension for this race was added after the original seven-year deal expired in 2006.
With bidders such as Singapore willing to raise the stakes and other Asian sites such as South Korea and India preparing to jump into the bidding for F1 races, money to Ecclestone and for boosting US interest will be crucial.
So the question remains whether George will sign the new deal and bleed more red ink, or will he tell Bernie to go pound sand. Long ago Long Beach told Bernie to go pound sand. We'll see if George still brings his hammer to work every day.