F1 News
Liberty Media is willing to renegotiate hosting fees
- GPblog.com
The most realistic scenario at the moment for Formula 1 is that it will start in Europe and that the races will take place behind closed doors. Several circuits have reacted positively to this, so there is a good chance that races will start in Austria with races at Silverstone shortly afterwards. Circuit de Barcelona-Catalunya is also one of the possibilities.
Costs
Organising a race costs a lot of money and part of the budget has to be paid to Formula 1. To earn that money back, tickets are sold, among other things. That will disappear if the races take place behind closed doors and with the current contracts it is not profitable at all.
Liberty Media also realizes this and they are willing to renegotiate the contracts, as Joan Fontseré (manager of the circuit in Barcelona) indicated at The Associated Press. Liberty Media would be aware of the fact that races have to take place without fans and that the contracts should therefore be reviewed.
"They know that this is an exceptional situation. We are both looking in the right direction. If they want to organize a few races because of the TV rights, because of the teams... they know that our income will be reduced. They realize it's gonna be like this year, so we're on the same page together."
No Audience
"When the Catalan government invests in Formula 1, it's not just for the tickets we sell. It is also for the financial impact that the event has on the country, in Catalonia," says Fontseré, and will not reach any audience: "the economic impact will be greatly reduced. That means no income for taxis, hotels... so that completely changes the agreement between the two parties".
In addition, Fontseré says that the circuit is fully available for all suggestions. So double races, shorter weekends and more. Driving a race the other way around on the track is not one of the options, because that would require too many complex adjustments. It also poses a risk to safety.
Finally, Fontseré indicates that the circuit can be ready to organize a race in two to three weeks. Because of this he expects the Spanish Grand Prix to be one of the first races of the season.