F1 war ends as agreements finally signed

UPDATE Under the new agreement, teams will receive 50% of the revenues from the "two main income streams" – TV income and fees charged to race promoters – up from 27% previously London Independent

08/01/09 (GMM) F1's breakaway war was ended definitively on Saturday, when the governing FIA revealed that its president Max Mosley signed the new Concorde Agreement.

The document, to legally bind the Paris federation to the 12 teams and the commercial rights holder until the end of 2012, was also approved by the World Motor Sport Council, a statement confirmed.

The FIA said the news heralds "a renewed period of stability" for F1, after months of fighting with the manufacturer-dominated teams alliance FOTA.

The statement said the teams had also "entered into a resource restriction agreement", brokered as an alternative to controversial budget capping, in order to get costs down to early 1990s levels.

"The FIA looks forward to a period of stability and prosperity in the FIA formula one world championship," said the FIA.

FOTA did not issue a statement on Saturday, but it is understood that all 12 teams entered into next year's championship, with the exception of BMW, have also signed the Concorde.

The BBC said the Hinwil based team currently known as BMW-Sauber has until Wednesday to also sign up, which would provide an open door for a successor to buy the team and compete next year and beyond.