Firm blames F1 ‘freeze’ for losses

(GMM) Engineering company Mecachrome has pointed to the so-called engine 'freeze' in formula one as having contributed to its current financial struggle.

The firm, involved in F1 and GP2 and also the aviation industry, this week announced that its losses for the recent quarter deepened to $17.5m.

Montreal-based Mecachrome blamed delays in some aerospace programs "as well as the F1 freeze in engine development and its technical regulatory changes".

The company said boss Gerard Casella is to begin work on a "restructuring plan".

Mecachrome, involved directly in F1 in the late 90s also in the Supertec and Playlife guises, is still involved in the engine assembly process for Renault's works team.

The company also produces engines and gearboxes for the GP2 feeder series.