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Jaguar, Ford Pulling Out of Formula One

By STEPHEN WADE
AP Sports Writer

LONDON (AP) -- Jaguar and parent company Ford are pulling out of Formula One racing at the end of this season after just two top-three finishes since joining the circuit in 2000.

Ford's decision to sell Jaguar and its Cosworth engine subsidiary is a blow to F1. Two of the sport's small teams - Jordan and Minardi - use Ford-made Cosworth engines.

"Jaguar's presence in Formula One has been a valuable marketing and brand awareness platform particularly outside our main markets of the U.S. and the U.K.," Joe Greenwell, Jaguar chairman said Friday. "However, it was our collective view that it is time for Jaguar cars to focus 100 percent on our core business."

Jaguar, whose drivers are Australia's Mark Webber and Austria's Christian Klien, is seventh in the F1 championship with 10 points. Jaguar entered F1 four years ago after buying out the Stewart Ford team. The team has been unable to compete with the likes of Ferrari, McLaren, Williams, Renault and BAR-Honda.

In 82 F1 races, Jaguar's best showing has been third-place finishes in 2001 and 2002 by Eddie Irvine. It has led only two laps of 7,500 contested.

Ford vice president Richard Parry-Jones said there have been "active discussions" with potential buyers. He said Ford also talked with Minardi and Jordan to find them new engine suppliers.

"There is no compelling business case to continue the operation," Parry-Jones said. "We have to be able to win, and we just can't justify the spending."

Last season, Formula One lost Prost and Arrows reducing the grid to only 10 teams. Only three teams are still owned individually - Sauber, Minardi and Jordan - with the other seven financed by major auto manufacturers.

The announcement came as Jaguar said it was stopping production at a factory in central England with the loss of 1,100 jobs. The move was prompted by poor sales in the United States.

 

Jaguar quits Formula One


Jaguar is pulling its team out of Formula One at the end of this season.
The company made the announcement on Friday as part of a major shake-up by parent company Ford.

Jaguar chairman Joe Greenwell said: "Ford has decided it can no longer make a compelling business case for any of its brands to compete in F1."

Reports suggest Tony Purnell, head of Ford's premier performance division, is putting together a bid to buy Jaguar's Formula One operation.

Jaguar's F1 businesses are now up for sale, and the future of the Ford rally team remains uncertain.

The company's withdrawal of backing for the Cosworth engine division will also have repercussions for two F1 outfits.


It wasn't really a shock to me - they couldn't afford to be running around at the back of the grid with the likes of Jordan
F1 boss Bernie Ecclestone on Jaguar's decision

Cosworth have provided subsidised engines for Jordan and Minardi in recent seasons, enabling the two minnows to continue in the sport, but that is now almost certain to end.

Greenwell added: "Having reached this decision our focus has turned to securing the best future for our F1 businesses and our employees in these businesses going forward.

"Jaguar's presence in F1 has been a valuable marketing and brand awareness platform particularly outside our main markets of the US and the UK.

"However it was our collective view that it is time for Jaguar Cars to focus 100% on our core business."

Ford's vice-president Richard Parry-Jones said the decision to pull Jaguar out was a warning that more needs to be done to help small manufacturers succeed in the sport.

The GPWC Holdings company has been battling for a greater slice of F1's profits on behalf of manufacturers.


F1's current structure does not encourage smaller participants to invest - I think Jaguar's withdrawal will highlight the need for change
Richard Parry-Jones

But despite the promise of restructuring, the sport's commercial rights continue to be controlled by the holding company Slec - which is joint-owned by F1 supremo Bernie Ecclestone and three big banks.

"The GPWC has been too slow in making progress," Parry-Jones said.

"The current structure of F1 does not encourage smaller participants to make an investment.

"I think Jaguar's withdrawal will highlight the awareness of the need for change."




Jaguar's announcement came as Ford confirmed it was ending production at its Jaguar plant in Coventry, with the loss of around 1,000 jobs.

Milton-Keynes based Jaguar entered Formula One in 2000 after Ford took over the Stewart team founded by three-times world champion Jackie Stewart in 1997.

They have had a turbulent four seasons, yet to win a grand prix and going through numerous changes of leadership since Stewart stood down as the first team principal before the start of the 2000 season.

Jaguar are currently a lowly seventh in the constructors' championship with 10 points.

The team's lead driver, Australian Mark Webber, will join Williams next season in a deal announced in July.


Story from BBC SPORT:
http://news.bbc.co.uk/go/pr/fr/-/spo...rt/3665810.stm

Published: 2004/09/17 13:34:51 GMT

© BBC MMIV

 

Sad, but F1 is a very expensive league and from a business standpoint, it just wasn't worth it.

 

I knew something was up at Ford, this just confirms it. I wonder who they're selling Jag to?

 

I'll get the typical "It's too expensive blah blah blah ..." response as when I post this, but if you want to sell Cadillacs in Europe you stick a car in F1.

 

I think they're selling the Jag racing team, and not the company itself???

 

I think they're trying to unload it all...but I could be wrong.

 

I dont think ford is trying to sell off jaguar the whole company, wasnt it not to recently ago a post about how ford wanted lincoln to be fwd and awd not to infringe on jaguar?

 

They are not selling Jaguar. They are turning Jaguar away from racing towards their core business which is sales. They are selling the racing division and the Cosworth engine subsidiary. (Which will also impact Minardi and Jordan.)

Ironically Jaguar entered F1 by purchasing the Stewart Ford team four years ago.

Here's a thought... wasn't the new Chevrolet engine GM brought to Indycar last season actually a restamped Cosworth? Hmmmmm.

 

yes, they were...Chevrolet engines became woefully uncompetitive when Honda joined the fray

 

What I am suggesting is GM should buy Jaguar racing and Cosworth and enter F1 next season. Of course it would be under the Cadillac banner.

 

Good idea.

On an interesting side-note, Aston Martin is getting back into Le Mans with the DBR9.

http://www.motoring.co.za/site/30/pi...cle1/1/1/32388

 

Not a bad idea...the only issue is, it will take a LOT of $$$$ (at least 100 mil per year) to field a decent team, and no one EVER outspends Ferrari...If GM jumps into this, they have to go in all the way with the objective of winning some races...As the debacle with Ford/Jag proves, just showing up and running a middle-of-the-pack car (at best) isn't good enough...

Personally, I would love GM to get into rally racing somehow (i know, they don't have a real car to race yet)....but ultimately, most of all i want to see some better product offerings, so maybe some of the money set aside for some drain like NASCAR can go into R&D

 

True. Anyone remember the Cadillac LMP900 team/car?? From what i've heard, they had a pretty large budget, yet they didn't get much done. So even investing tons of $$$ won't guarantee you a title or championship.

 

I suppose Aston would love to have the "Saleen" back. Anyway, the more the merrier at LeMans.

F1 is in trouble. I figure Bernie will allow 3 car teams if this keeps up. I love F1, but it's got zero entertainment value, which is what all racing series hope to get going. It's a marvelous series from a tech standpoint. Unfortunately it's not at all competitive. Jag is out because Jag is in dire sraits and sinking fast... and F1 hasn't sold any cars for them.

With Ford selling Cosworth, I suppose there's some real worries for what's left of CART.