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- F1 boss says Ferrari gets more money than rivals
LONDON -- Formula One boss Bernie Ecclestone revealed that Ferrari gets up to $80 million more out of the sport than any other team because of a special deal set up five years ago to buy the team's loyalty.After Ferrari president Luca di Montezemolo accused Ecclestone of not running F1 in a normal, transparent manner, the 78-year-old billionaire told The Times of London how much the famous Italian sports car manufacturer received from the sport."Ferrari get so much more money than everyone else," Ecclestone reportedly said. "They know exactly what they get, they are not that stupid, although they are not that bright, either. They get about $80 million more."When they win the constructors' championship, which they did this year, they got $80 million more than if McLaren had won it."Ferrari's history in F1 has been central to the success of the sport over many years. Ecclestone said a special deal was set up after the teams threatened to break away and form a rival championship in 2003."They were the only team that broke ranks with the other manufacturers," he was quoted as saying in Saturday's edition of The Times. "Why did they break ranks? That's where the $80 million comes in."We 'bought' Ferrari's loyalty. Our deal with Ferrari was that we 'bought' them so they would not go to the others."The row between the boss of F1 and the head of Ferrari comes at a time when the sport's world governing body is trying to get teams to make big spending cuts."What he (di Montezemolo) should do, rather than asking for money, with all the extra money Ferrari gets, he should share all that amongst the teams," Ecclestone told The Times. - Detroit Grand Prix group understands cancellation
DETROIT -- A group of about 100 Detroit Grand Prix Association volunteers gathered Thursday night at Rumors on the River on East Jefferson for its annual Christmas party.On everyone's lips was the cancelation of the 2009 Detroit Belle Isle Grand Prix, which had leaked out a few hours earlier.No rumor -- just plain, cold facts. With the Motor City suffering from an economy in crisis, organizers of the race thought they could not, in good faith, stage the event scheduled for Labor Day weekend.Roger Penske, the force behind the return of the GP to Belle Isle in 2007, pulled the plug -- with the understanding of the Detroit city officials, event sponsors and the Indy Racing League, the race's sanctioning body.Merrill Cain attended the Christmas function. Cain, who has run the GP's public relations efforts from his office at the Renaissance Center, wasn't putting a spin on the night's mood. He was bitterly disappointed, like everyone, but he understood the necessity of cancelling the race."With a lot of folks in Michigan hurting, it just wasn't right to stage the event," Cain said. "We all had a few beers and talked about it. Everybody wants this race to come back. But we knew it wasn't a good situation to go ahead next year with it."Even with Washington coming to the aid of Detroit automakers Friday, the decision to cancel the Detroit Belle Isle Grand Prix is a good one.The Detroit Metro Convention and Visitors Bureau reports last year's event generated $55 million in economic impact for metropolitan Detroit and another $12.8 million in direct spending in Detroit and the surrounding tri-county area. But to expect the public to shelve out that kind of money for the 2009 event in such economically challenging times would have been foolish and arrogant.Motor racing is an expensive sport, considered elitist by some. Auto manufacturers, teams and sponsors spend millions of dollars to go racing, and the specter of a lavish event like the GP being celebrated against the backdrop of an economically depressed Detroit would have been crass.Penske knew this, and he also knew the fiscal condition of the Detroit Three and sponsors. He realized it was no good going to the trough for more money to produce a world-class event when there was precious little in it."We've got the highest respect and admiration for Roger Penske ... and we're keeping a place for the Grand Prix to return in 2010," DMCVB senior vice president of sales and marketing Chris Baum said Friday. "It's a major disappointment, but we understand the circumstances."The Indy Racing League says it would like to return to Motown in the near future. Whether the city, sponsors, citizens and the Grand Prix folks can afford it will be another thing.The 2007 and 2008 Belle Isle events were well run, and the island benefited from more than $7 million in infrastructure improvements. The racing, I thought, was exciting and controversial.More than 1,000 volunteers worked the events, dedicating their time for an occasional cup of coffee and doughnuts.Even though the engines will be silent at Belle Isle during Labor Day weekend, it won't stop the GP volunteers this summer."They're going to pick a day where they'll have a picnic at the island and clean up there," Cain said. "In a small way, it's a chance for them to be back where they love to be."To see more of the Detroit Free Press, or to subscribe to the newspaper, go to freep.com© 2008, Detroit Free PressDistributed by McClatchy-Tribune Information Services. - Economy claims Detroit race
DETROIT -- A bleeding economy and the prospect of thousands of unemployed workers in Detroit and around Michigan have claimed another victim.The Detroit Belle Isle Grand Prix, one of the city's highest-profile events, has been canceled for 2009.The IndyCar Series race, scheduled for Labor Day weekend, has been dropped as the Detroit Three struggle to survive and sponsors become scarcer to find in all forms of racing.Grand Prix event chairman Bud Denker told the Free Press on Thursday that following talks with the City of Detroit, the state, sponsors and the race's sanctioning body, the Indy Racing League, it was decided to cancel next year's activities at Belle Isle, which had been set for Sept. 4-6. The annual race weekend also included American Le Mans Series and SCCA Speed World Challenge events."We've been evaluating for the last couple of months whether to cancel," Denker said. "The Grand Prix is supported by regional and national sponsors, the Big Three, Audi, Porsche. ... We consulted with the city, state and sponsors. Considering the tough times we're all experiencing, we just couldn't ask the parties to give and give more."Daniel Cherrin, Detroit Mayor Ken Cockrel Jr.'s spokesman, responded, "We are very disappointed at the news, but considering the economic realities, we completely understand."We've enjoyed having it here. Roger Penske and his group have done a phenomenal job. It must have been a difficult decision by them. We look forward to having it back one day."Penske, an IndyCar Series owner and force behind the Belle Isle Grand Prix, wasn't available for comment Thursday evening but earlier told AutoWeek magazine, "Obviously, it's something we're disappointed in, but as good businessmen, we've got to make a call. We have assets to continue on, but there's no reason at this point to have an event that wouldn't be first-class."This is a real economic time of distress for everyone, and we couldn't sit here and count on a lot of things happening that we know weren't going to happen, especially knowing we live in such a distressed area with unemployment and all the other things going on. We had to make a decision."IRL spokesman John Griffin said from Indianapolis he understood the concerns of Denker and the city."Certainly, the economic climate has proven a challenge to all of us," Griffin said. "We felt very welcome in Detroit, and we would certainly look at returning to Belle Isle. Bud and Roger worked hard to make the Detroit Belle Isle Grand Prix a great race. While we are disappointed, we understand the circumstances."Denker said, "We think it's a prudent decision. We're looking to take a pause with the race, but we are optimistic we'll get through the speed bumps. We don't want to conduct an event we are not proud of. Right now, the whole industry -- manufacturers, sponsors, workers -- they are going through some pain. The Detroit Belle Isle Grand Prix has been a labor of love for me. Hopefully, we can be back in 2010."He added: "The Belle Isle Grand Prix contributed to over $7 million in structural improvements on the island. That means a lot to us."The Grand Prix returned to the Motor City in 2007 after a six-year absence. This year's race was won by Englishman Justin Wilson, who drove for the late Paul Newman.NASCAR is scheduled to conduct two Sprint Cup race weekends at Michigan International Speedway in Brooklyn in June and August.To see more of the Detroit Free Press, or to subscribe to the newspaper, go to freep.com© 2008, Detroit Free PressDistributed by McClatchy-Tribune Information Services. - Indianapolis track expects job cuts
INDIANAPOLIS -- Add the Indianapolis Motor Speedway to the list of sports institutions hit by the recession.Speedway officials have completed their budget review and some positions have already been eliminated, though spokesman Fred Nation did not