Deal Signals End Of F1 Breakaway Threat

The long-running feud between the Formula One governing body and the sport’s car
manufacturers appears to be over after a deal was struck resolving all remaining
issues in the dispute.

The manufacturers have been threatening to breakaway from the F1 series to
form their own event due to complaints about the lack of control they have over
the current Formula One product.

However FIA chairman Max Mosley and BMW chief Burkhard Goeschel have now
issued a statement claiming that all issues have been resolved.

A new contract will be drawn up and signed in the near future to govern the
sport for at least the next five years.

F1’s commercial supremo Bernie Ecclestone had previously signed a long-term
agreement with the five-strong GPMA group – Renault, DaimlerChrysler, BMW, Honda
and Toyota – last May.

The existing ‘Concorde Agreement’ that governs the sport expires at the end
of 2007 but all teams have committed for a further five years.

All of the 11 current teams, due to expand to 12 in 2008, are currently
either owned by a manufacturer or linked to one through an engine supply
contract.