Australian GP Posts Big Loss In 2010.

This seems to be a common and sad story for the venues. Who is at fault?? http://bit.ly/bgw3Oh

 

Bernie. Waaaay too greedy.

F1's decline begain with Bernie's ascention. Just IMHO.

 

So it begs the question, is there an F-1 venue which
is showing a profit?

Unless the circuits hijack Bernie's suitcases full of cash
from TV and sponsor revenues and they're left to
take what's left of the gate, they run the risk of
either pricing themselves too low or so high that
they're out of contention.

The German tracks in particular are displeased with
their F-1 arrangement and they make far more hosting
DTM events.

BHW

 

Bernie's cut is just too much.

 

Hope the guys in Austin are paying attention.

BHW

 

Is the prestige of hosting a F1 race part of the reason they get the DTM business?

I would think that is a factor that the tracks use to their advantage.

 

I think its a little to complicated to just say Bernie is greedy. (not saying he isnt)

However to give some perspective:

Formula One Administration, the main operating company, is owned by SLEC Holdings Ltd (Jersey), which is owned by Alpha Prema UK Ltd, which in turn is owned by Alpha D2 Ltd, a subsidiary of Delta 3 UK Ltd, a subsidary of Delta 2 (Lux) Sarl in Luxembourg. This is owned by Delta Topco Ltd (Jersey), which is controlled by CVC Capital Partners.

The CVC is still busy trying to payoff the $2.45 billion loan that was taken out in December 2006.

Get the picture, because I don't.

 

It's not about Bernie at all ...

Maybe some people think that holding a F1 GP on a street circuit comes at no cost.

There is a lot of investment in equipment and installations, thousands of man hours, insurance, etc...

 

I'm not sure how much truth there is in this. Saturday and Sunday was packed, sunday almost sold out..

I just think most venues want to pay less, because a lot of the venues who are complaining are actually quite packed.

Places like Spa and Monaco, where not many people are coming, I can see why they're complaining about the costs because they don't have too many people coming (Monaco because the sheer lack of space to actually put spectators).

 

Confused?, you won't be after this episode of: F1! (The modern day equivalent of: http://www.youtube.com/watch?v=OSaNWYHmUvI&feature=related )

 

Packed venue or not, it doesn't matter. Street circuits are major financial risk.

The gains are supposed to be superior to the cost, or you are in trouble.

I suppose that organising races on non-permanent tracks will cost more because you invest in the same infrastructure for a one-off event, and cannot recoup it over a full year by organising other races as most tracks manage to do.

Also, the cost of building and then dismantling all this safety layout must be prohibitive, with contractors interested to make a quick buck.

How Monaco manages, I don't know, but the writting is on the wall for street circuits.

 

Ha Ha! I loved that show!

 

LOL A good analogy...

 

From leaking memory I recall that there was some shady dealing going on with the Melbourne GP in the past and that's what ruined the deal. Dunno whether that's still true for 2010.

Maybe our folks from down under could shed some light?

Also I'd like to hear from the morettis and aircons of this world whether they think this GP will remain for its 5 year contractual duration or not? At which point will the citizens and the government call it a day and rather pay Bernie a penalty than subsidize the race?

OTOH if the government payed 46 million in subsidies, I'd think that's probably still less than what flowed into the local economy because of the race. Just guessing here based on Indy figures.

I hope not: Let them stage the GP and run into the deficit. As long as we get the race.

 

How are the newer tracks fairing?
Do they have sustenance?

 

you were there ??

Which stand ??

 

they bought all the infrastructure from the previous venue for the GP in Australia (Adelaide) so the cost was minimal, but they do have to get contractors in to assemble the track for 4 weeks prior to the race and then 2 weeks to pull it apart.

I've been going to the AGP since 85 in Adelaide, and since it went to Melbourne it had a peak but is gradually getting less people each year, hence the loss.

And if street circuits are bad news how come the Rome GP is getting air time ?

 

the bogans (motorsport dictionary : bogans = nascar fans) will prop the race up as usual to make sure it reaches it's term, but beyond that it will be a V8 stupidcar event only will be my guess

http://www.v8supercars.com.au/new-5-year-v8/agp-deal-announced/tabid/70/newsid/10209/default.aspx

 

I blame McLaren, but then I blame them for everything

Well, would you trust RD ?

 

Ah, ok. That makes sense.

Note to self: Plan trip to Australia within the next 5 years. I'm sure that's within reach.
2nd note to self: Keep trip to Australia a secret.

 

aircon and I have our spies

and we'd be more than happy to show you around .... take you down to the edge of Phillip Island .... throw you off ... .take pics

just joking ...... we wouldn't take pics

 

With my big mouth you don't need spies

I believe every word you said

 

just as I thought, opening your big mouth again when you don't REALLY know anything

The crowds were only reasonable this year because they let all the kids in for free on the Thursday to boost the numbers, no money rolled in just bodies to make the numbers look good, that is how you get higher numbers with less money rolling in

 

mate, compared to some of the geese here you're quiet

and even I'm not gullible enough to believe me