Concorde agreement and teams finances

[Marbot]

Bernie says: "They've all got more money than God." with regard to all of the teams financial states. Not sure how he knows that {insert name of deity here} has less money than the teams, but we do know that he has friends in high places.

The teams now have a 63% share of television rights, and have all now signed up to the Concorde agreement.

There is also a new constructors championship bonus.

"In addition, a Constructors’ Champion Bonus (CCB) has been introduced, benefiting the teams which won the most Grands Prix in the four seasons preceding 2012. This will amount to 7.5 percent of Formula 1’s total revenues or at least 100 million dollars."

hmmmmm

http://www.gpupdate.net/en/f1-news/2...ially-healthy/

[W.A Trichlorostyrene]

Originally Posted by Marbot

Bernie says: "They've all got more money than God."

This reminds me of that old "black kettle" meme...

Originally Posted by Marbot

"In addition, a Constructors’ Champion Bonus (CCB) has been introduced, benefiting the teams which won the most Grands Prix in the four seasons preceding 2012. This will amount to 7.5 percent of Formula 1’s total revenues or at least 100 million dollars."

F1 can be a fun little travesty sometimes. They keep giving the most money to the most successful(wealthiest) teams, and then later they have to mess around with the regulations(ie, Pirelli tyres) to make it a more level playing field

[wolfhound]

Originally Posted by W.A Trichlorostyrene

This reminds me of that old "black kettle" meme...



F1 can be a fun little travesty sometimes. They keep giving the most money to the most successful(wealthiest) teams, and then later they have to mess around with the regulations(ie, Pirelli tyres) to make it a more level playing field

I thought that was part of Bernie's old divide and rule trick.

[Marbot]

Whitmarsh says that Bernie is doing a good job, but doesn't agree that all of the teams have "got more money than God".

http://www.gpupdate.net/en/f1-news/2...ms-struggling/

[Knowlesy]

Well when he says Bernie is doing a good job, sadly he doesn't mean a good job for the sport. But then we knew that anyways.

[Marbot]

Originally Posted by Knowlesy

Well when he says Bernie is doing a good job, sadly he doesn't mean a good job for the sport. But then we knew that anyways.

We did, and it would have been interesting to have seen how F1 would have evolved without BE stepping in when he did.

Would there even have been a ten-tenths F1 forum?

[browney]

Originally Posted by Marbot

"In addition, a Constructors’ Champion Bonus (CCB) has been introduced, benefiting the teams which won the most Grands Prix in the four seasons preceding 2012. This will amount to 7.5 percent of Formula 1’s total revenues or at least 100 million dollars."

What is the reason for this? Surely the sport is better off distributing the TV money relatively evenly, after all, having the top 4 teams do better than everyone else doesn't help the sport make more money.

[wnut]

Originally Posted by browney

What is the reason for this? Surely the sport is better off distributing the TV money relatively evenly, after all, having the top 4 teams do better than everyone else doesn't help the sport make more money.

This is about a racing club, where the most powerful members control the sport and get first dibs on the revenue. The rest join the club on prescribed terms and receive a disproportionately small fee for their efforts.

F1 is about power and influence and who gets the money.

[nicanary]

Senior pupils and fags.

(For the information of our American members, fag means something else in the UK if you've had a private education.)

[Knowlesy]

I wasn't privately educated. Does it mean snob?

[nicanary]

Originally Posted by Knowlesy

I wasn't privately educated. Does it mean snob?

Snobbery? In modern classless Britain? Tell me it isn't so.......

[Knowlesy]

[bjohnsonsmith]

Originally Posted by Marbot

Whitmarsh says that Bernie is doing a good job, but doesn't agree that all of the teams have "got more money than God".

http://www.gpupdate.net/en/f1-news/2...ms-struggling/

In this article in Autosport, Whitmarsh says the days of excess are over.

http://www.autosport.com/news/report.php/id/105537

[formerf1champ]

Originally Posted by Marbot

We did, and it would have been interesting to have seen how F1 would have evolved without BE stepping in when he did.

Would there even have been a ten-tenths F1 forum?

Yes. F1 respresents the highest level of motorsport (I said it only "represents" it). This supposed common knowledge about the class is it's biggest asset. There would/will always be a huge interest in the highest level of motorsport, whatever it's called. The highest level of motorsport can only be an Open class, which is what F1 is known as at least.

[Born Racer]

Bernie says: "They've all got more money than God."

But surely everydone does. And that's before you consider that God isn't real.

[JeremySmith]

Originally Posted by Born Racer

But surely everydone does. And that's before you consider that God isn't real.

Just stop that right now...

[Marbot]

Originally Posted by formerf1champ

Yes. F1 respresents the highest level of motorsport (I said it only "represents" it). This supposed common knowledge about the class is it's biggest asset. There would/will always be a huge interest in the highest level of motorsport, whatever it's called. The highest level of motorsport can only be an Open class, which is what F1 is known as at least.

Yes, F1 plays a lot on its "pinnacle of motorsport" label. However, that doesn't mean to say that it's crisis-proof.

[JeremySmith]

Originally Posted by Marbot

Yes, F1 plays a lot on its "pinnacle of motorsport" label. However, that doesn't mean to say that it's crisis-proof.

Right...

[wolfhound]

Some interesting stuff for those with an Autosport subscription. Martin Whitmarsh talking about the state of F1 with some barbs thrown in about FOM.

http://plus.autosport.com/premium/fe...e-state-of-f1/

[wolfhound]

There is more on the above subject on the BBC F1 web site.

http://www.bbc.co.uk/sport/0/formula1/21469518

[JeremySmith]

Quote from BBC F1..

"Between the Indian and Abu Dhabi Grands Prix, mechanics threatened to down tools in Abu Dhabi if their delayed salaries were not paid before the start of the race weekend" ... End Quote.

From which team was this I wonder Force India ?

This why I like Martin Whitmarse I think he really does care about the overall *health* of the sport...

[wolfhound]

Originally Posted by JeremySmith

Quote from BBC F1..

"Between the Indian and Abu Dhabi Grands Prix, mechanics threatened to down tools in Abu Dhabi if their delayed salaries were not paid before the start of the race weekend" ... End Quote.

From which team was this I wonder Force India ?

This why I like Martin Whitmarse I think he really does care about the overall *health* of the sport...

I suspected Lotus from reading the text is written but could be wrong.

[wolfhound]

Interesting article by Mat Coch on F1 spending although he is banging a familar drum. How long before the whole thing goes belly up?

http://www.pitpass.com/48518-Once-I-Had-A-Car

[Marbot]

Good article. Hits the nail firmly on the head.

[Greem]

Apart from one utterly glaring mathematical mistake:

One need only take a cursory look at the income drivers receive as proof. In 1950 Juan Manuel Fangio took home a salary of $15,000. In 2010 it's believed Fernando Alonso pocketed $40million, a 2,600% increase in the intervening 60 years.

Interestingly, Fangio could have bought a house in the UK for about £1,900 back when he was racing, while for something similar Alonso would have to pay £163,000 today. In the period drivers salaries have exploded by 2,600% the cost of an average house in Britain has risen by little more than 86%. Spending in Formula One has out-paced inflation by more than thirty to one.

That house price rise is around 8600%, not 86% - that is "risen to 86 times the price Fangio would have paid".

The salary rise is around 266000%, not 2600% - an increase of 2660 times.

The ratios are the same, but the numbers are not. The numbers are even more staggering than they look.

But looking at the underlying issue with a very wide lens, it does look like we could have a "house of cards" moment on the way. I hope it isn't catastrophic, but I have a sneaky feeling it will be...