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Negotiations to maintain the Canadian Grand Prix have failed and further efforts will no longer take place.
That is the situation confirmed at a press conference held Sunday by Montreal Mayor Gérald Tremblay and the Québec province's Minister of Economic Development, Raymond Bachand, accompanied by former Federal Minister Michael Fortier who stayed on the team as a negotiator.
Following weeks of talks with Formula One CEO Bernie Ecclestone and the many efforts provided by the federal, provincial and municipal levels of government, including a special 1% room tax coming from Montreal's hotel association, a final offer was presented last Thursday to save Formula One's only North American round.
An agreement could not be reached, and therefore no Canadian Grand Prix will be held for the foreseeable future.
Several economic plans were worked upon yet Ecclestone never wavered from his initial demands which consisted of a guarantee totaling $141m (US currency) over the next five years, "despite the economic situation which exists in the world today," mentioned Bachand. No one would offer such a guarantee, he added.
The only feasible plan for the Canadian GP was an amount topped at $89m to cover the period until 2013, with 75% of the eventual revenue going to FOM in addition to its exclusive trackside revenues. However, that plan was denied as well, prompting the government officials to throw in the towel. "Our last economic card is on the table," said Minister Bachand.
"We are so far from what he (Ecclestone) is asking - that is why we find ourselves where we are today," stated Bachand, who indicated that other "enthusiastic" organisations such as the world-renowned Cirque du Soleil also refused to participate in a rescue plan whose economic demands seemed unrealistic.
"We are satisfied that we tried everything possible," said Mayor Tremblay.
Ecclestone has been concentrating on higher-paying venues in light of the debt owed by F1's owner, CVC Capital. The Asian markets have been benefiting from this need at the expense – literally – of traditional destinations.
With the withdrawal of the French and Canadian rounds, the 2009 Formula One calendar now counts 17 races. In contrast, Ecclestone is seeking to find a solution for the Chinese Grand Prix in Shanghai, which has been losing money and is uncertain of renewing its contract beyond 2010 – some reports indicate that even the 2009 Chinese race is in doubt.
As for any Canadian GPs in the future, "unless Mister Ecclestone changes his mind before the final calendar on December 1st, it's over," declared Bachand.
Meanwhile
Bernie Ecclestone seems keen that China retains its Grand Prix beyond the looming expiry of its contract.
An official of the loss-making event had said an 'assessment' is taking place as to whether Shanghai will continue hosting a race in 2011.
But Ecclestone, F1's CEO, said Chinese officials have requested a contract extension be sent.
"We have a contract until 2010 with an option for five years after that," the 78-year-old told the Financial Times.
"We will talk to them about it, and meet up and see how we can help them," he added.
Ecclestone clarified that Qiu Weichang, who made the comments about the dubious future of the Chinese Grand Prix, works for the race promoter, rather than for the actual decision-making government.
And in case you were wondering; he'll never leave
F1 chief executive Bernie Ecclestone insists he has no plans to retire -- ever.
The 78-year-old billionaire, who shaped the modern commercial success of the sport and today remains in charge and a shareholder, told Gulf News he will keep working indefinitely.
"Never, never, never," he told the newspaper, when asked when he will hand over control to a successor. "The first day I won't be going into work is the day they will be lowering me into my grave."
"And that won't be for a long time to come," he promised.
Ecclestone had triple coronary bypass surgery nine years ago, but he said in late 2008 he feels "as fit as a fiddle."
He also predicts a healthy future for his sport and the annual calendar, despite the recent loss of the traditional Canadian and French Grand Prix.
Ecclestone insists there are plenty of alternatives clamouring to join the exclusive circus.
"If you could see the list of requests I have in my office you'd hardly believe it. It is mind-boggling," he said.
