Drastic Reduction in participants' Bond

[Seoigh]

Didn't notice comment on the FIA's drastic reduction in bond costs (from $45 million to ~$400k), and the consequent increase in the number of teams applying for '08...or have I missed it?

[Marbot]

Originally Posted by Seoigh

Didn't notice comment on the FIA's drastic reduction in bond costs (from $45 million to ~$400k), and the consequent increase in the number of teams applying for '08...or have I missed it?

You missed it!

Hence the number of teams (22) that applied for a place in the 2008 Championship.

[frederick]

Yeah, it's so cheap now I was thinking of entering





"Fantastic Fred F1" :-)

[Seoigh]

Originally Posted by martyn bott

You missed it!

Hence the number of teams (22) that applied for a place in the 2008 Championship.

Figured I must have...thanks

[Dutton]

US$45M to US$400K?

I thought it was US$48M to US$0?

[Suze]

Where did you get that from Dutton..?

[ralf fan]

Yes even i thought that the so called enterance bond was scrapped and teams could enter without giving anything to the FIA for 2008. I will try to get a link for this

[Seoigh]

Autoweek actually reported the figures last week...they said it's now something like $380k.

[Marbot]

Apparently the unlucky and one would assume lucky candidate(s) were imformed yesterday (19th).So unless it is leaked out beforehand,we should get to know who the lucky candidate is next Friday (28th).http://www.pitpass.com/fes_php/pitpa...s_art_id=27736

[Dutton]

Originally Posted by Suze

Where did you get that from Dutton..?

This is article 44 in its entirety (bold = "striked out" in the regulations).

Originally Posted by 2008 FIA Formula One Sporting Regulations

44) With the exception of those whose cars have scored points in the Championship of the previous year, applicants must supply information about the size of their company, their financial position and their ability to meet their prescribed obligations. Any applicant which did not take part in the Championship for the previous year must also deposit US$48,000,000 (forty-eight million United States dollars) with the FIA when submitting its application. This sum will be returned to it forthwith if its application is refused or in twelve equal monthly instalments (including interest) commencing immediately after the first Event in which it competes, provided it has met and continues to meet all the requirements of the Agreement and its schedules. If the applicant fails to appear for the Championship for which it has entered, its deposit will be forfeit save only that the applicant may delay its participation by one year, in which case US$12,000,000 (twelve million United States dollars) will be forfeit and the balance repaid as set out above.

Which means this has been removed:

Originally Posted by 2008 FIA Formula One Sporting Regulations

Any applicant which did not take part in the Championship for the previous year must also deposit US$48,000,000 (forty-eight million United States dollars) with the FIA when submitting its application. This sum will be returned to it forthwith if its application is refused or in twelve equal monthly instalments (including interest) commencing immediately after the first Event in which it competes, provided it has met and continues to meet all the requirements of the Agreement and its schedules. If the applicant fails to appear for the Championship for which it has entered, its deposit will be forfeit save only that the applicant may delay its participation by one year, in which case US$12,000,000 (twelve million United States dollars) will be forfeit and the balance repaid as set out above.

Which leads to me think rather than this:

Originally Posted by Seoigh

Didn't notice comment on the FIA's drastic reduction in bond costs (from $45 million to ~$400k)

Originally Posted by Seoigh

Autoweek actually reported the figures last week...they said it's now something like $380k.

...it is in fact scrapped.

HOWEVER, if that figure of 380K is being reported, then one would think there is a reason.

Seoigh, do you have any idea where Autoweek got that information from?

[Notso Swift]

Bond scraped ie now zero
The $400/$380k is the Series Entry Fee. The thing that you pay every year to the FIA
I don't know if you pay for the races on top of this?

[grandprixdiary]

Wasn't the $48 million bond scrapped just weeks after Aguri had paid it ? I know they get it back with interest, but they must have been annoyed at the timing of that rule change !

Rob

[Suze]

But if you find the money and get it back with interest....

[avsfan733]

I'm glad to see it gone. left new teams havign to come up with 48M in addition to the already enormous costs of runnign a team. I don't understand the problem in a team not showing up from the FIA POV

[Seoigh]

Originally Posted by Dutton

This is article 44 in its entirety (bold = "striked out" in the regulations).



Which means this has been removed:



Which leads to me think rather than this:




...it is in fact scrapped.

HOWEVER, if that figure of 380K is being reported, then one would think there is a reason.

Seoigh, do you have any idea where Autoweek got that information from?

Where do the press (Autoweek) get their data?

dunno

[Notso Swift]

Originally Posted by grandprixdiary

Wasn't the $48 million bond scrapped just weeks after Aguri had paid it ? I know they get it back with interest, but they must have been annoyed at the timing of that rule change !

Rob

To be involved in 2006 they had to pay it
If they waited to 2007 they woudl be in the lottery with 12 teams going for 2 spots, now it is 11 teams going for 1 spot. Based on the fact that they have no history you woudl expect that Carlin/Jordan/Minardi would all have a better cas for the available spots than Aguri.
For Honda $48m for 12 months would be a way of ensuring the spot was theirs, and they have two engines on the Grid in the future.