Campos Grand Prix is a Formula One team granted entry to the 2010 Formula One season, run by former driver Adrián Campos. Campos Racing currently runs a team in the European F3 Open Championship and used to run the GP2 Series team now known as Addax Team. It is running the Campos Grand Prix operation in conjunction with Meta Image, a Madrid-based sports agency.
Campos Grand Prix's headquarters is in Madrid, housing marketing and administration, and its technical centre will be at Campos Racing's current headquarters in Valencia. Italian constructor Dallara will build the cars, which will use Cosworth engines.
Wednesday
MANOR GRAND PRIX
The team is a tie-up between Manor Motorsport and Wirth Research. Manor Motorsport boss John Booth is the team principal and former Simtek team owner Nick Wirth will be the technical director.They will use engines supplied by Cosworth. Manor Motorsport are best known as a Formula Three team, currently running in the Formula Three Euroseries. The team will be run from its headquarters in Dinnington, South Yorkshire, while Wirth Research will design, develop and build the cars from its base in Bicester. FIA chief Max Mosley was a former shareholder in Nick Wirth's failed Simtek team, and Wirth has been involved in developing other FIA projects. Manor's car for 2010 will be the first F1 car designed entirely using CFD computer simulation technology.
ENGLAND ON THE 3RD
THE SPIRIT OF MOTORING 2009
by Coys
Ascot Raceway
Ascot, Berkshire
United Kingdom
www.coys.co.uk
+44 208 614 7888
by Coys
Ascot Raceway
Ascot, Berkshire
United Kingdom
www.coys.co.uk
+44 208 614 7888
MALAYSIA'S LOTUS F1 TEAM TO DRIVE FOR PROFITS by B.K. Sidhu
Malaysia's Lotus F1 team to drive for profits
By B.K. SIDHU
Shareholders keen on monetising the Lotus brand
PETALING JAYA: The establishment of the much-publicised 1Malaysia F1 Team Sdn Bhd (1MF1T) is an attractive business proposition and is expected to turn profitable in the first year of operations.
The main revenue drivers include sponsorship, sale of merchandise and share of profits with FOM (Formula One Management, the F1 commercial rights holders).
“We will make money in the first year as we have always done with our other ventures,” said Datuk Kamarudin Meranun, who together with long-time business partner and team principal Datuk Seri Tony Fernandes, will own 60% in 1MF1T via Tune Group.
The remaining stake will be held by Naza Group chief executive officer SM Nasarudin SM Nasimudin in his personal capacity.
“It must give good returns even though there are risks ...,” said Nasarudin.
Fernandes pointed out that there was one F1 brand that managed to sell £150mil worth of T-shirts.
“We are monetising the Lotus brand. It is one of the greatest racing brands and nothing invokes the same emotion except Ferrari,” he said, adding that other potential revenue sources included technology spin-offs, entertainment, and research and development.
“We are also looking at possible sponsors. Interestingly, a lot of people and corporations have approached us wanting to be part of this team,” he said.
One of the firms that have been approached is, not surprisingly, Petroliam Nasional Bhd (Petronas). On the likelihood of the national oil company getting involved in 1MF1T, he replied: “Why not?”
On its part, Petronas would have to evaluate the investment rationale in making such a decision. It currently sponsors the F1 via the BMW Sauber team but the sponsorship will expire this season and it has yet to commit itself to a new team.
Other large corporations that would be approached for sponsorship, according to Fernandes, include Malaysia Airlines and Genting Bhd.
He also said that talks were ongoing with a third group, Litespeed UK, to take up a 10% stake in IMF1T.
“We are still talking and have not fully worked out the final shareholding structure ...,” he said.
In the event the British company steps in, then the shareholding structure will be 55:35:10 among Tune Group, Nasarudin and Litespeed respectively.
Is 1MF1T open to new shareholders? “Of course we are, but the investor has to be one that contributes to the brand and relevant expertise. This is the best time to be in the F1 business as the overall cost has come down,” said Nasarudin.
The privately funded 1MF1T will have a start-up capital of RM168mil with an estimated baseline annual budget of RM308mil.
The Government will not hold any equity in the project, either directly or indirectly, through any of the government-linked companies.
By B.K. SIDHU
Shareholders keen on monetising the Lotus brand
PETALING JAYA: The establishment of the much-publicised 1Malaysia F1 Team Sdn Bhd (1MF1T) is an attractive business proposition and is expected to turn profitable in the first year of operations.
The main revenue drivers include sponsorship, sale of merchandise and share of profits with FOM (Formula One Management, the F1 commercial rights holders).
“We will make money in the first year as we have always done with our other ventures,” said Datuk Kamarudin Meranun, who together with long-time business partner and team principal Datuk Seri Tony Fernandes, will own 60% in 1MF1T via Tune Group.
The remaining stake will be held by Naza Group chief executive officer SM Nasarudin SM Nasimudin in his personal capacity.
“It must give good returns even though there are risks ...,” said Nasarudin.
Fernandes pointed out that there was one F1 brand that managed to sell £150mil worth of T-shirts.
“We are monetising the Lotus brand. It is one of the greatest racing brands and nothing invokes the same emotion except Ferrari,” he said, adding that other potential revenue sources included technology spin-offs, entertainment, and research and development.
“We are also looking at possible sponsors. Interestingly, a lot of people and corporations have approached us wanting to be part of this team,” he said.
One of the firms that have been approached is, not surprisingly, Petroliam Nasional Bhd (Petronas). On the likelihood of the national oil company getting involved in 1MF1T, he replied: “Why not?”
On its part, Petronas would have to evaluate the investment rationale in making such a decision. It currently sponsors the F1 via the BMW Sauber team but the sponsorship will expire this season and it has yet to commit itself to a new team.
Other large corporations that would be approached for sponsorship, according to Fernandes, include Malaysia Airlines and Genting Bhd.
He also said that talks were ongoing with a third group, Litespeed UK, to take up a 10% stake in IMF1T.
“We are still talking and have not fully worked out the final shareholding structure ...,” he said.
In the event the British company steps in, then the shareholding structure will be 55:35:10 among Tune Group, Nasarudin and Litespeed respectively.
Is 1MF1T open to new shareholders? “Of course we are, but the investor has to be one that contributes to the brand and relevant expertise. This is the best time to be in the F1 business as the overall cost has come down,” said Nasarudin.
The privately funded 1MF1T will have a start-up capital of RM168mil with an estimated baseline annual budget of RM308mil.
The Government will not hold any equity in the project, either directly or indirectly, through any of the government-linked companies.
ILLINOIS ON THE 1ST
ST. CHARLES 2009 and
RICHARD ELLIS COLLECTION
by Mecum Auctions
Pheasent Run Resort
4051 East Mail Street
St. Charles, Illinois
www.mecum.com
1-815-568-8888
RICHARD ELLIS COLLECTION
by Mecum Auctions
Pheasent Run Resort
4051 East Mail Street
St. Charles, Illinois
www.mecum.com
1-815-568-8888
THE MAKING OF A FORMULA ONE TEAM by Peter Windsor
The story of the new American team that will race in Formula One next season really begins in 1985. That’s when Honda was supplying its wonderful turbo engines to the Williams team and I was working for Frank Williams as his manager of sponsorship and public affairs.
We luxuriated in the 48,000 square feet, or 4,460 square meters, of the new Williams factory in Didcot, England, south of Oxford — a new facility that included a special Honda engine test area and a one-third scale wind tunnel that had originated at a company in northeastern England, Specialized Mouldings. There, in 1977, Peter Wright and Colin Chapman had discovered the principle now called “ground effect.” At the time, that wind tunnel was the equal of anything in the world.
My office was conveniently placed near the parking lot, which meant that I could watch the ceaseless comings and goings of a Formula One team. It was not long before I noticed the regular appearance of a stocky man in jeans who always headed toward the wind tunnel, a briefcase in hand.
A few inquiries revealed that he was Ken Anderson, a young American engineer who worked for Penske Racing, running their new shock-absorber department. Anderson had started with motocross bikes in the United States, but quickly joined the rapidly expanding Fox shock-absorber company. He then formed a successful working relationship with an off-road racer, Roger Mears, winning major desert events with him before working miracles at the Indy 500.
Soon word was out: Penske’s Rick Mears, Roger’s brother, wanted to know about these amazing Fox shock absorbers that were enabling his brother to run so fast. Roger Penske then hired Anderson to set up a Penske shock-absorber company.
Penske shock absorbers quickly became a mainstay of Formula One. But back in 1985, Williams was the only team using them, on the FW10-Honda; in return for the shock absorbers, Williams allowed Penske to use its wind tunnel for development of its British-built Indy car. Thus Anderson’s regular visits to the Williams factory.
Anderson and I became good friends. We quickly discovered that we loved the same things — Frank Lloyd Wright architecture, for example, and the details of the Gemini, Mercury and Apollo space missions. We began to talk about putting our own race team together — first in the United States (with an Indy Racing League team in the mid-1990s) and, more recently, a Formula One team.
Anderson first contacted me about his Formula One idea in 2006. He had built the Falcon IndyCar in 2002 in Charlotte, North Carolina (the car never raced because of a sudden change in the I.R.L./IndyCar engine regulations) and he was now working as an engineer at Haas/C.N.C. Racing, a Nascar team financed by Gene Haas. Anderson said that he had convinced Haas to finance the design and construction of a full-scale, rolling-road wind tunnel in North Carolina and that he, Anderson, was going to manage the project. If he could pull that off, he promised, then a Formula One team would be the next step.
I followed the progress of what would become the Windshear wind tunnel. By the end of 2007, Anderson had finished the tunnel ahead of schedule and under budget. Most of today’s top Formula One teams spent time in Windshear in 2008 and virtually all of them declared it to be the best tunnel in the world. From there, our American Formula One team was but a short step away.
The overriding principle of our project is that, contrary to current wisdom, it is possible to design and build a Formula One car in the United States (rather than in Europe, where all the current teams build their cars). Why would we want to do that? There are a number of good reasons:
Much of the current Formula One technology originates in the United States.
It is much more cost-efficient to design and build in the United States than in Europe (as such car companies as BMW, Mercedes, Honda and Toyota have proven over the years).
Europe is crowded. It’s fine for Ferrari in Italy or McLaren in England, but for all other Formula One teams, it is a case of playing catch-up or paying prices at a premium, particularly when it comes to recruitment and supply.
The Formula One calendar is now based at least 50 percent outside Europe. Never has the sport been so “global.”
By basing ourselves in the United States, we would have the “pick of the bunch” from all the key suppliers, most of whom have been a part of Anderson’s world for the past 20 years.
As a national team, we would start from a unique marketing base. We would plan to race American drivers in the medium term and to build a conduit for them, from grassroots racing to Formula One. The large majority of our staff would be American. We would give talented American engineers and technicians a chance to work on a world stage to which they have not had access in recent decades. On the car’s nose would be marked, “Made in America.”
From the start, we had no doubts about the technical base of the team. The obvious first move was to base it near the Windshear tunnel. We found a building with not a little motor sports history: the original “Hall of Fame” race team’s headquarters, where such Nascar stars as Kyle Busch started their careers.
The logistics, of course, were another matter. We would have to pay for all the travel to and from Europe, but, even so, the figures made sense. We could have our cars and team personnel back in Charlotte after a race like the Spanish Grand Prix faster than the average British-based team would have its trucks back in England, and for virtually no increase in cost. We would join the other Formula One teams for the “flyaway” race logistics — and we would treat the European double-headers just like any other team: We would simply truck our cars to the next race.
We would need, however, a European logistics base. This, in turn, opened another door in our thinking.
We had decided that if we were going to be based in Charlotte, in the heart of Nascar country, then obviously we would have to play to the fans, as Nascar does. We would make our factory “fan friendly,” with easy access to the public, and, with a television production facility in the factory, we would enable Formula One fans to follow the progress of the car from conception to completion.
Our European base would therefore be chosen as much for its location as for its excellent facilities. We want it to be the sort of place that our sponsors, fans and investors want to visit, something different than the standard, murky building on an English industrial estate.
Finally, there was the timeframe of operation — and this, in turn, was linked to the way we wanted to build and run the team. To finance the formation of the team and the construction of the cars in 2009, we would sell a stake in the company to a group of the right sort of investors — people who believed in us, loved Formula One and could see that this team was approaching the future in a new way and was in it for the long haul, not for a quick turnaround.
We were confronted with the global recession, and with a particularly difficult patch of Formula One political turbulence, but at one of our road shows in early February, we met a young man named Chad Hurley, a co-founder of YouTube and now the chief executive of YouTube for Google.
In a Silicon Valley café, Chad asked us a million questions about Formula One and our project. He grasped it immediately: the beauty of a new, creative U.S. team taking on the big guns. For an American to stand up and effectively say, “I believe in F1 as the world’s largest global TV sport” when there is not even a Formula One race in America, let alone an American driver in the series, was magical. For him to believe in us and our innovative concepts was something else again.
I don’t think this would have been possible in a country other than the United States. In Europe, the attitude to the global recession was basically, “Let’s do nothing and hope it goes away.” Americans, it seemed to me in New York, Los Angeles, San Francisco or Chicago, still gave time to the entrepreneur who talked sense and examined the problem from every angle.
Before the recession really hit, no one would believe that we could do the team for substantially less than the Formula One norm. In the recession, people suddenly began to listen to what we had to say. Of course, Formula One’s global reach helped: An average of 50 million people watch Formula One events 18 times a year throughout the world.
There is no guidebook to forming a new Formula One team. We are breaking new ground. In the sense that we are building our complete car in-house, we will be the first all-new Formula One team of the 21st century. We will be the first team of the cellphone-text-message-email-YouTube generation. Without those inventions, Anderson and I could never have kept so many balls in the air for so long in so many different parts of the world. We will be the first team to design and build its cars in the United States since Dan Gurney did so with his Eagles in 1966-67.
It was Kelly Johnson’s Skunk Works philosophy that inspired us from the start and it continues to drive us today. When Johnson wrote that success is primarily achieved by employing the minimum number of the best possible people, with the company’s head count controlled in an almost vicious way, he was also writing the philosophy of how a Formula One team should operate from 2010 onward.
Peter Windsor is co-founder and executive vice president of the new American Formula One team.
We luxuriated in the 48,000 square feet, or 4,460 square meters, of the new Williams factory in Didcot, England, south of Oxford — a new facility that included a special Honda engine test area and a one-third scale wind tunnel that had originated at a company in northeastern England, Specialized Mouldings. There, in 1977, Peter Wright and Colin Chapman had discovered the principle now called “ground effect.” At the time, that wind tunnel was the equal of anything in the world.
My office was conveniently placed near the parking lot, which meant that I could watch the ceaseless comings and goings of a Formula One team. It was not long before I noticed the regular appearance of a stocky man in jeans who always headed toward the wind tunnel, a briefcase in hand.
A few inquiries revealed that he was Ken Anderson, a young American engineer who worked for Penske Racing, running their new shock-absorber department. Anderson had started with motocross bikes in the United States, but quickly joined the rapidly expanding Fox shock-absorber company. He then formed a successful working relationship with an off-road racer, Roger Mears, winning major desert events with him before working miracles at the Indy 500.
Soon word was out: Penske’s Rick Mears, Roger’s brother, wanted to know about these amazing Fox shock absorbers that were enabling his brother to run so fast. Roger Penske then hired Anderson to set up a Penske shock-absorber company.
Penske shock absorbers quickly became a mainstay of Formula One. But back in 1985, Williams was the only team using them, on the FW10-Honda; in return for the shock absorbers, Williams allowed Penske to use its wind tunnel for development of its British-built Indy car. Thus Anderson’s regular visits to the Williams factory.
Anderson and I became good friends. We quickly discovered that we loved the same things — Frank Lloyd Wright architecture, for example, and the details of the Gemini, Mercury and Apollo space missions. We began to talk about putting our own race team together — first in the United States (with an Indy Racing League team in the mid-1990s) and, more recently, a Formula One team.
Anderson first contacted me about his Formula One idea in 2006. He had built the Falcon IndyCar in 2002 in Charlotte, North Carolina (the car never raced because of a sudden change in the I.R.L./IndyCar engine regulations) and he was now working as an engineer at Haas/C.N.C. Racing, a Nascar team financed by Gene Haas. Anderson said that he had convinced Haas to finance the design and construction of a full-scale, rolling-road wind tunnel in North Carolina and that he, Anderson, was going to manage the project. If he could pull that off, he promised, then a Formula One team would be the next step.
I followed the progress of what would become the Windshear wind tunnel. By the end of 2007, Anderson had finished the tunnel ahead of schedule and under budget. Most of today’s top Formula One teams spent time in Windshear in 2008 and virtually all of them declared it to be the best tunnel in the world. From there, our American Formula One team was but a short step away.
The overriding principle of our project is that, contrary to current wisdom, it is possible to design and build a Formula One car in the United States (rather than in Europe, where all the current teams build their cars). Why would we want to do that? There are a number of good reasons:
Much of the current Formula One technology originates in the United States.
It is much more cost-efficient to design and build in the United States than in Europe (as such car companies as BMW, Mercedes, Honda and Toyota have proven over the years).
Europe is crowded. It’s fine for Ferrari in Italy or McLaren in England, but for all other Formula One teams, it is a case of playing catch-up or paying prices at a premium, particularly when it comes to recruitment and supply.
The Formula One calendar is now based at least 50 percent outside Europe. Never has the sport been so “global.”
By basing ourselves in the United States, we would have the “pick of the bunch” from all the key suppliers, most of whom have been a part of Anderson’s world for the past 20 years.
As a national team, we would start from a unique marketing base. We would plan to race American drivers in the medium term and to build a conduit for them, from grassroots racing to Formula One. The large majority of our staff would be American. We would give talented American engineers and technicians a chance to work on a world stage to which they have not had access in recent decades. On the car’s nose would be marked, “Made in America.”
From the start, we had no doubts about the technical base of the team. The obvious first move was to base it near the Windshear tunnel. We found a building with not a little motor sports history: the original “Hall of Fame” race team’s headquarters, where such Nascar stars as Kyle Busch started their careers.
The logistics, of course, were another matter. We would have to pay for all the travel to and from Europe, but, even so, the figures made sense. We could have our cars and team personnel back in Charlotte after a race like the Spanish Grand Prix faster than the average British-based team would have its trucks back in England, and for virtually no increase in cost. We would join the other Formula One teams for the “flyaway” race logistics — and we would treat the European double-headers just like any other team: We would simply truck our cars to the next race.
We would need, however, a European logistics base. This, in turn, opened another door in our thinking.
We had decided that if we were going to be based in Charlotte, in the heart of Nascar country, then obviously we would have to play to the fans, as Nascar does. We would make our factory “fan friendly,” with easy access to the public, and, with a television production facility in the factory, we would enable Formula One fans to follow the progress of the car from conception to completion.
Our European base would therefore be chosen as much for its location as for its excellent facilities. We want it to be the sort of place that our sponsors, fans and investors want to visit, something different than the standard, murky building on an English industrial estate.
Finally, there was the timeframe of operation — and this, in turn, was linked to the way we wanted to build and run the team. To finance the formation of the team and the construction of the cars in 2009, we would sell a stake in the company to a group of the right sort of investors — people who believed in us, loved Formula One and could see that this team was approaching the future in a new way and was in it for the long haul, not for a quick turnaround.
We were confronted with the global recession, and with a particularly difficult patch of Formula One political turbulence, but at one of our road shows in early February, we met a young man named Chad Hurley, a co-founder of YouTube and now the chief executive of YouTube for Google.
In a Silicon Valley café, Chad asked us a million questions about Formula One and our project. He grasped it immediately: the beauty of a new, creative U.S. team taking on the big guns. For an American to stand up and effectively say, “I believe in F1 as the world’s largest global TV sport” when there is not even a Formula One race in America, let alone an American driver in the series, was magical. For him to believe in us and our innovative concepts was something else again.
I don’t think this would have been possible in a country other than the United States. In Europe, the attitude to the global recession was basically, “Let’s do nothing and hope it goes away.” Americans, it seemed to me in New York, Los Angeles, San Francisco or Chicago, still gave time to the entrepreneur who talked sense and examined the problem from every angle.
Before the recession really hit, no one would believe that we could do the team for substantially less than the Formula One norm. In the recession, people suddenly began to listen to what we had to say. Of course, Formula One’s global reach helped: An average of 50 million people watch Formula One events 18 times a year throughout the world.
There is no guidebook to forming a new Formula One team. We are breaking new ground. In the sense that we are building our complete car in-house, we will be the first all-new Formula One team of the 21st century. We will be the first team of the cellphone-text-message-email-YouTube generation. Without those inventions, Anderson and I could never have kept so many balls in the air for so long in so many different parts of the world. We will be the first team to design and build its cars in the United States since Dan Gurney did so with his Eagles in 1966-67.
It was Kelly Johnson’s Skunk Works philosophy that inspired us from the start and it continues to drive us today. When Johnson wrote that success is primarily achieved by employing the minimum number of the best possible people, with the company’s head count controlled in an almost vicious way, he was also writing the philosophy of how a Formula One team should operate from 2010 onward.
Peter Windsor is co-founder and executive vice president of the new American Formula One team.
PENNSYLVANIA ON OCTOBER 1ST
THE FALL CARLISLE COLLECTOR CAR AUCTION and
THE ALL-CORVETTE AUCTION
by Carlisle Auctions
Carlisle Expo Center
Carlisle, Pennsylvania
www.carlisleauctions.com
1-717-243-7855
THE ALL-CORVETTE AUCTION
by Carlisle Auctions
Carlisle Expo Center
Carlisle, Pennsylvania
www.carlisleauctions.com
1-717-243-7855
Monday
STILL SUFFERING
Still suffering major computer problems. Hope to be sorted out by Monday. The next Monday that is.
Sunday
FORMULA ONE IN SINGAPORE
The second annual Formula One night race through the streets of Singapore was a more exciting and dynamic edition than the first. And it happened without any suspicion - not even in jest - that a driver had crashed on purpose, as happened last year.
In fact, the Singapore Grand Prix on Sunday not only had more wild events, but even more tight racing, resulting in frequent changes of position in a race of attrition in which 15 of the 20 cars finished. And the man that came out and survived it all in a masterful drive from beginning to end was Lewis Hamilton, the reigning world champion, in a McLaren Mercedes, who led from pole to finish.
It was the 11th victory of Hamilton's career and the second of the season after he won the Hungarian Grand Prix in July.
Timo Glock finished in a surprise second position in his Toyota, as the team had scored points only once in the last five races.
But the most significant man on the podium was Fernando Alonso, who finished third in his Renault. Alonso won last year thanks to a cheating incident involving his teammate Nelson Piquet Jr., which had only come to light last month and which culminated in the resignation of the Renault team's top two directors and a suspended sentence of disqualification from the series for the team. Last year, Piquet Jr. had crashed his car on purpose on the orders of his team directors with the result was that Alonso climbed up the pack under the resulting safety car to win the race after starting 15th.
On Sunday Alonso started 7th and again profited by attrition at the front of the pack due to accidents on the narrow street track. But none was done on purpose.
Briatore, who is also Alonso's manager, had been involved along with another director, Pat Symonds, in asking Piquet to crash his car after 14 laps in last year's race. Last year's victory had been the team's first since 2006.
Sunday's third place finish was the first podium finish for Renault this year.
The same three top drivers were all in the top four in last year's race, and that was not a coincidence, according to Alonso.
This year the safety car was again called in to neutralize the race after an accident on Lap 21.
But despite Hamilton's commanding control of the race from beginning to end, the main interest of the race lay in the tense battle between the four contenders for the drivers' title.
It was one of the last chances for Sebastian Vettel and Mark Webber of the Red Bull team to gain points on Jenson Button and Rubens Barrichello of the Brawn team. The Brawn drivers went into the race with a commanding lead in the championship, but Vettel qualified second and Webber fourth, while Barrichello started from only 9th position and Button began in 11th.
The Brawn drivers had a fairly uneventful race and finished in fifth and sixth, with Button increasing his lead in the series by a point over Barrichello.
After Webber began with a flying start to the race, passing Alonso on the first lap, he later had to concede position to the Spaniard since he had been outside the bounds of the track when he passed him. Webber then later spun out of the race when his brakes failed. With only three races left he is virtually out of the championship race.
After a poor start, Vettel worked his way back into second position and attacked Hamilton for several laps in the middle of the race at less than a second behind the leader. It looked like he might be able to win the race and score 10 points to return to the battle against the Brawn drivers.
But then suddenly everything began to fall apart. Vettel made his second pit stop after Lap 39 in 8.4 seconds. But on Lap 42 the race stewards announced that he would be penalized for speeding in the pitlane during his pit stop. He then went over a curb and destroyed part of the underside of his car.
He lost position with his penalty and could no longer attack for the victory. Vettel finished fourth.
Button leads the series with 84 points, Barrichello is second with 69 and Vettel is third with 59. As the German is 25 points behind Button and with only three races left, or a maximum of 30 points available, his chances are virtually finished. Webber is 27.5 points behind Button.
Button gained a single point on Barrichello, and now leads his teammate by 15 points in the drivers' season.
Ross Brawn, the team director and part owner, called the race one simply of "recovery," after a poor qualifying session on Saturday.
When asked how he felt about the now virtual certainty that the team and drivers would win the championship, he remained stoic.
"I've been in too many world championships where I have lost them on the last race," Brawn said. "So it's not done until its done."
FROM THE NEW YORK TIMES
In fact, the Singapore Grand Prix on Sunday not only had more wild events, but even more tight racing, resulting in frequent changes of position in a race of attrition in which 15 of the 20 cars finished. And the man that came out and survived it all in a masterful drive from beginning to end was Lewis Hamilton, the reigning world champion, in a McLaren Mercedes, who led from pole to finish.
It was the 11th victory of Hamilton's career and the second of the season after he won the Hungarian Grand Prix in July.
Timo Glock finished in a surprise second position in his Toyota, as the team had scored points only once in the last five races.
But the most significant man on the podium was Fernando Alonso, who finished third in his Renault. Alonso won last year thanks to a cheating incident involving his teammate Nelson Piquet Jr., which had only come to light last month and which culminated in the resignation of the Renault team's top two directors and a suspended sentence of disqualification from the series for the team. Last year, Piquet Jr. had crashed his car on purpose on the orders of his team directors with the result was that Alonso climbed up the pack under the resulting safety car to win the race after starting 15th.
On Sunday Alonso started 7th and again profited by attrition at the front of the pack due to accidents on the narrow street track. But none was done on purpose.
Briatore, who is also Alonso's manager, had been involved along with another director, Pat Symonds, in asking Piquet to crash his car after 14 laps in last year's race. Last year's victory had been the team's first since 2006.
Sunday's third place finish was the first podium finish for Renault this year.
The same three top drivers were all in the top four in last year's race, and that was not a coincidence, according to Alonso.
This year the safety car was again called in to neutralize the race after an accident on Lap 21.
But despite Hamilton's commanding control of the race from beginning to end, the main interest of the race lay in the tense battle between the four contenders for the drivers' title.
It was one of the last chances for Sebastian Vettel and Mark Webber of the Red Bull team to gain points on Jenson Button and Rubens Barrichello of the Brawn team. The Brawn drivers went into the race with a commanding lead in the championship, but Vettel qualified second and Webber fourth, while Barrichello started from only 9th position and Button began in 11th.
The Brawn drivers had a fairly uneventful race and finished in fifth and sixth, with Button increasing his lead in the series by a point over Barrichello.
After Webber began with a flying start to the race, passing Alonso on the first lap, he later had to concede position to the Spaniard since he had been outside the bounds of the track when he passed him. Webber then later spun out of the race when his brakes failed. With only three races left he is virtually out of the championship race.
After a poor start, Vettel worked his way back into second position and attacked Hamilton for several laps in the middle of the race at less than a second behind the leader. It looked like he might be able to win the race and score 10 points to return to the battle against the Brawn drivers.
But then suddenly everything began to fall apart. Vettel made his second pit stop after Lap 39 in 8.4 seconds. But on Lap 42 the race stewards announced that he would be penalized for speeding in the pitlane during his pit stop. He then went over a curb and destroyed part of the underside of his car.
He lost position with his penalty and could no longer attack for the victory. Vettel finished fourth.
Button leads the series with 84 points, Barrichello is second with 69 and Vettel is third with 59. As the German is 25 points behind Button and with only three races left, or a maximum of 30 points available, his chances are virtually finished. Webber is 27.5 points behind Button.
Button gained a single point on Barrichello, and now leads his teammate by 15 points in the drivers' season.
Ross Brawn, the team director and part owner, called the race one simply of "recovery," after a poor qualifying session on Saturday.
When asked how he felt about the now virtual certainty that the team and drivers would win the championship, he remained stoic.
"I've been in too many world championships where I have lost them on the last race," Brawn said. "So it's not done until its done."
FROM THE NEW YORK TIMES
Saturday
STOLEN IN ENGLAND
Beech Hill Garage, which specializes in MG automobiles and just celebrated their 30th anniversary, has had some MG's stolen from their property in Beech Hill, Reading, Berkshire, England.
This occurred the 27th and 30th of July and by this time are either in pieces or long gone. Some stolen cars show up 12-15-20 years later, so you never know.
They are:
1. MGB ROADSTER in Old English White
Registration Number: RJW200F
Chassis Number: GHN3-115972
Valued at £9995
This car is fully restored in Old English White with black leather seats with white piping, wood-rim MotoLita steering wheel, black vinyl hood also with white piping, wire wheels and overdrive gearbox. Distinctively, it has wood door cappings in a varnish finish.
2. MGB GT in Black
Registration Number: SKU226J
Chassis Number: GHD5235667
Valued at £4495
This car was fully resprayed in black with Autumn Leaf interior, new 15"
Minilite type wheels with new Yokohama tyres and overdrive gearbox.
There are lots of distinctive features to identify this car.
3. MGB GT in Flame Red
Registration Number: OCK637K
Chassis Number: GHN3-115972
Valued at £4250
This car is in Flame Red with Biscuit seats and black carpet, Rostyle wheels - in a slightly darked shade of silver than normal - and Overdrive Gearbox.
There are lots of distinctive features to identify this car.
Any information leading to the recovery of any one of these MGs will be rewarded generously.
Please call William on 0118 988 5774 or Thames Valley Police on 0845 8 505
505 quoting Crime Reference: FP3393326-09, EA3391367-09 or EA3393258-09
This occurred the 27th and 30th of July and by this time are either in pieces or long gone. Some stolen cars show up 12-15-20 years later, so you never know.
They are:
1. MGB ROADSTER in Old English White
Registration Number: RJW200F
Chassis Number: GHN3-115972
Valued at £9995
This car is fully restored in Old English White with black leather seats with white piping, wood-rim MotoLita steering wheel, black vinyl hood also with white piping, wire wheels and overdrive gearbox. Distinctively, it has wood door cappings in a varnish finish.
2. MGB GT in Black
Registration Number: SKU226J
Chassis Number: GHD5235667
Valued at £4495
This car was fully resprayed in black with Autumn Leaf interior, new 15"
Minilite type wheels with new Yokohama tyres and overdrive gearbox.
There are lots of distinctive features to identify this car.
3. MGB GT in Flame Red
Registration Number: OCK637K
Chassis Number: GHN3-115972
Valued at £4250
This car is in Flame Red with Biscuit seats and black carpet, Rostyle wheels - in a slightly darked shade of silver than normal - and Overdrive Gearbox.
There are lots of distinctive features to identify this car.
Any information leading to the recovery of any one of these MGs will be rewarded generously.
Please call William on 0118 988 5774 or Thames Valley Police on 0845 8 505
505 quoting Crime Reference: FP3393326-09, EA3391367-09 or EA3393258-09
STOLEN IN CANADA
On September 19, 2009, the hauler used by DIRT Modified driver Michael Storms’ team was stolen from the parking lot of a motel in Drummondville, Quebec, where the Super DIRTcar Series for big-block Modifieds had a race scheduled. The truck and trailer, stripped bare, were found about a half-hour away.
Among the stolen items were two complete TEO Pro Car chassis, big and small-block engines, about 60 Keizer wheels mounted with Hoosier tires, 30 Bilstein shocks, several transmissions, two quick-change rears, five carburetors and the team’s Snap-On toolbox. Team owner Vinnie Salerno of Stony Point, New York, marked all the stolen items with the team’s name. Nothing was insured against theft, but Salerno and lead sponsor Don Kruger are offering $20,000 in reward money to solve the theft. If you know anything, give a call to 845-786-2200 or 845-591-7254.
Among the stolen items were two complete TEO Pro Car chassis, big and small-block engines, about 60 Keizer wheels mounted with Hoosier tires, 30 Bilstein shocks, several transmissions, two quick-change rears, five carburetors and the team’s Snap-On toolbox. Team owner Vinnie Salerno of Stony Point, New York, marked all the stolen items with the team’s name. Nothing was insured against theft, but Salerno and lead sponsor Don Kruger are offering $20,000 in reward money to solve the theft. If you know anything, give a call to 845-786-2200 or 845-591-7254.
Friday
AUSTRALIA ON THE 27TH
MILTARY AND AVIATION COLLECTABLES
by Bonhams and Goodman
Level 1, 540 Malvern Road, Prahran
Melbourne, Australia
www.bonhams.com
+61 (0) 3 8530 3900
by Bonhams and Goodman
Level 1, 540 Malvern Road, Prahran
Melbourne, Australia
www.bonhams.com
+61 (0) 3 8530 3900
FRANCE ON THE 26TH
REIMS - CIRCUIT SALE
by Bonhams
Circuit de Gueux en Champagne
Reims, France
www.bonhams.com
+33 (0) 1 42 61 10 11
by Bonhams
Circuit de Gueux en Champagne
Reims, France
www.bonhams.com
+33 (0) 1 42 61 10 11
CALIFORNIA ON THE 26TH
ICONS OF SPEED & STYLE
by RM Auctions
Petersen Automotive Museum
Los Angles, California
www.rmauctions.com
1-519-437-3043
by RM Auctions
Petersen Automotive Museum
Los Angles, California
www.rmauctions.com
1-519-437-3043
OREGON ON THE 26TH
PORTLAND AUCTION
by Silver
Portland Expo Center
Portland, Oregon
www.silverauctions.com
1-800-255-4485
by Silver
Portland Expo Center
Portland, Oregon
www.silverauctions.com
1-800-255-4485
ILLINOIS ON THE 26TH
INTERNATIONAL ROUTE 66 MOTHER ROAD COLLECTOR CAR AUCTION
by ICA
Downtown Springfield
Springfield, Illinois
www.icaauctions.com
1-800-243-1957
by ICA
Downtown Springfield
Springfield, Illinois
www.icaauctions.com
1-800-243-1957
OKLAHOMA ON THE 26TH
TULSA CLASSIC CAR AUCTION
by Santiago Auctions
Tulsa Convention Center, Hall AB
100 Civic Center
Tulsa, Oklahoma
www.santiagoauctions.com
1-918-894-4350
by Santiago Auctions
Tulsa Convention Center, Hall AB
100 Civic Center
Tulsa, Oklahoma
www.santiagoauctions.com
1-918-894-4350
Wednesday
ILLINOIS ON THE 25TH
ALL CORVETTE AUTO AUCTION
by Mid America Motorworks
17082 N US Highway 45
Effingham, Illinois
www.mamotorworks.com
1-217-5404330
by Mid America Motorworks
17082 N US Highway 45
Effingham, Illinois
www.mamotorworks.com
1-217-5404330
ENGLAND ON THE 24TH
CLASSIC CAR AUCTION
by Dorset Vintage & Classic Auctions
Gartell Light Railway, Common Lane, Yenston
Templecombe, Somerset
United Kingdom
www.dvca.co.uk
+44 (0) 1963 363353
by Dorset Vintage & Classic Auctions
Gartell Light Railway, Common Lane, Yenston
Templecombe, Somerset
United Kingdom
www.dvca.co.uk
+44 (0) 1963 363353
Tuesday
PROBLEM.......
HAVING MAJOR COMPUTER PROBLEMS, PICTURES WILL RETURN IN THE NEAR FUTURE. iN THE MEANTIME PLEASE COPY AND PASTE THE INTERNET ADDRESSES OF THE AUCTIONS AND TAKE A LOOK.
ENGLAND ON THE 24TH
CLASSIC CAR AUCTION
by BCA
Bridgwater, Somerset
United Kingdom
www.british-car-auctions.co.uk
+44 (01) 252 879945
by BCA
Bridgwater, Somerset
United Kingdom
www.british-car-auctions.co.uk
+44 (01) 252 879945
ENGLAND ON THE 23RD
CLASSIC CAR AUCTION
by Brightwells
Easters Court, Leominster, Herefordshire
United Kingdom
www.brightwells.co.uk
+44 (0) 1568 611122
by Brightwells
Easters Court, Leominster, Herefordshire
United Kingdom
www.brightwells.co.uk
+44 (0) 1568 611122
ELIO ZAGATO......1921 - 2009
The following is from 'Hemmings' if you remember the double-bubble read on:
Elio Zagato, son of the founder of the Milanese carrozzeria, has died at the age of 88, the company has announced. During his long career, he was responsible for bringing us some of the most desirable Italian GTs and race cars: the Fiat 8V Zagato, the Alfa Romeo 1900 SSZ, the Ferrari 250 GTZ, the Maserati A6G and the Aston Martin DB4 GT Zagato, as well as nearly all of the Lancia sport coupes. He developed the “Coda Tronca” and pioneered the use of plexiglass windows, and, with his father, Ugo, was the creator of Zagato’s trademark “double-bubble” roofline.
Zagato was a key figure in Europe’s post-war race scene, and was the epitome of the Italian gentleman driver. He competed in more than 150 races in his lifetime, winning 82, and was GT series champion five times. He faced off against such legendary drivers as Alberto Ascari, Juan-Manuel Fangio and Tazio Nuvolari. Among his victories were the Targa Florio and the 1955 Grand Prix at Avus. Enzo Ferrari called him “Zagatino.”
Elio Zagato prized originality and minimalism in his designs. When asked to explain his design philosophy, he would respond, “You see that car? Is it different from all the others? Then it’s a Zagato.”
Carrozzeria Zagato, which this year celebrates its 90th anniversary, continues under the direction of Andrea and Marella Zagato. For more about the company, visit www.zagato.com.
Elio Zagato, son of the founder of the Milanese carrozzeria, has died at the age of 88, the company has announced. During his long career, he was responsible for bringing us some of the most desirable Italian GTs and race cars: the Fiat 8V Zagato, the Alfa Romeo 1900 SSZ, the Ferrari 250 GTZ, the Maserati A6G and the Aston Martin DB4 GT Zagato, as well as nearly all of the Lancia sport coupes. He developed the “Coda Tronca” and pioneered the use of plexiglass windows, and, with his father, Ugo, was the creator of Zagato’s trademark “double-bubble” roofline.
Zagato was a key figure in Europe’s post-war race scene, and was the epitome of the Italian gentleman driver. He competed in more than 150 races in his lifetime, winning 82, and was GT series champion five times. He faced off against such legendary drivers as Alberto Ascari, Juan-Manuel Fangio and Tazio Nuvolari. Among his victories were the Targa Florio and the 1955 Grand Prix at Avus. Enzo Ferrari called him “Zagatino.”
Elio Zagato prized originality and minimalism in his designs. When asked to explain his design philosophy, he would respond, “You see that car? Is it different from all the others? Then it’s a Zagato.”
Carrozzeria Zagato, which this year celebrates its 90th anniversary, continues under the direction of Andrea and Marella Zagato. For more about the company, visit www.zagato.com.
Saturday
MICHIGAN ON THE 19TH
ZIMMERMAN AUTOMOTIVE ESTATE AUCTION
by Rowley Auctions
6390 N. Lapeer Road
Fostoria, Michigan
www.rowleyauctions.com
1-810-724-4035
by Rowley Auctions
6390 N. Lapeer Road
Fostoria, Michigan
www.rowleyauctions.com
1-810-724-4035
A WINNER BY NIKI LAUDA
At age 60 Niki Lauda, former Formula One driver, and his wife Birgit became parents of a set of twins weighing almost 8 pounds each....ouch! In my view, parenting after 60 is a rich man's game. Lauda is remembered by race fans as a tough as nails survivor of a near fatal accident in Germany when he was trapped in a burning car. He had won the Championship the year before. Came back the next year to win the Championship again. Retired for about 4 years then came back to race three more years. In those years winning another Championship. He was already making millions while racing and they went on to make millions more in the airline business, Lauda Air. In 2002-2005 he managed the Jaguar Formula One team. Like I said, a rich man's game.
INDYCAR IN JAPAN
Scott Dixon finished first and cemented his point lead at 570. Dario Franchitti came in second and confirmed his second overall at 565. Third went to Graham Rahal, son of former driver Bobby Rahal.
The next race will be the last for the season and it looks like a run for the money between Dixon, Franchitti and Ryan Briscoe at 562. No one else is close enough to compete.
The next race will be the last for the season and it looks like a run for the money between Dixon, Franchitti and Ryan Briscoe at 562. No one else is close enough to compete.
OKLAHOMA ON THE 19TH
OKLAHOMA CITY CLASSIC COLLECTOR CAR AUCTION
by Santiago
Oklahoma City Fairgrounds
ITC Building
Oklahoma City, Oklahoma
www.santiagoauctions.com
1-800-994-2816
by Santiago
Oklahoma City Fairgrounds
ITC Building
Oklahoma City, Oklahoma
www.santiagoauctions.com
1-800-994-2816
Thursday
TEXAS ON THE 19TH
1973 TRIUMPH TR6
1932 FORD
SINGLE OWNER COLLECTION
by Coys and Leake Auctions
The Reliant Centre
Houston, Texas
www.coys.co.uk and www.leakecarauctions.com
+44 208 614 7888 and 1-800-722-9942
1971 ALFA ROMEO
1950 BRISTOL 401
1932 FORD
SINGLE OWNER COLLECTION
by Coys and Leake Auctions
The Reliant Centre
Houston, Texas
www.coys.co.uk and www.leakecarauctions.com
+44 208 614 7888 and 1-800-722-9942
1971 ALFA ROMEO
1950 BRISTOL 401
ENGLAND ON THE 18TH
1923 ROLLS ROYCE
1929 ALFA ROMEO 6C 1750
1959 FERRARI 250 GT
GOODWOOD REVIVAL
by Bonhams
Goodwood Race Track
Chichester, Sussex
United Kingdom
www.bonhams.com
+44 (0) 20 7468 5801
1956 MERCEDES 300 SL
1925 BENTLEY
1933 MG J2
1929 ALFA ROMEO 6C 1750
1959 FERRARI 250 GT
GOODWOOD REVIVAL
by Bonhams
Goodwood Race Track
Chichester, Sussex
United Kingdom
www.bonhams.com
+44 (0) 20 7468 5801
1956 MERCEDES 300 SL
1925 BENTLEY
1933 MG J2
Monday
ENGLAND ON THE 16TH
1954 BENTLEY
1950 VINCENT
CLASSIC CARS AND MOTORCYCLES
by H & H Auctions
The Pavilion Gardens
Buxton, United Kingdom
www.handh.co.uk
+44 1928 210035
1952 NORTON
1957 AC
1950 VINCENT
CLASSIC CARS AND MOTORCYCLES
by H & H Auctions
The Pavilion Gardens
Buxton, United Kingdom
www.handh.co.uk
+44 1928 210035
1952 NORTON
1957 AC
Sunday
FORMULA ONE IN ITALY
The winner at Monza....Rubens Barrichello. Followed by teammate Jenson Button and bringing up third was Kimi Raikkonen.
With four races left it is anybody's guess who the champ will be. We have seen some weird championship runs in the last few years. Currently Button is in the lead with Barrichello not far behind. Their team manager said that he will let them fight it out. That is great and great for Barrichello who always had to play second fiddle to Michael Schumacher when he was at Ferrari.
Saturday
NEW McLAREN
Erin Baker of the Telegraph says that the MP4-12C, which goes on sale in early 2011 with a price tag of about £150,000. Telegraph Motoring viewed the car at McLaren Automotive's headquarters in Woking last week and was briefed on the plans for a range of sports cars from the new company, headed by former F1 McLaren boss, Ron Dennis.
The 12C follows the McLaren F1 supercar, which had a top speed of 240mph in the mid-Nineties, and the Mercedes-Benz SLR McLaren, which ended production earlier this year. A McLaren spokesman said this week:
At the 12C's heart lies a carbon fibre monocoque (a tub light enough for two men to lift), a structure that McLaren insists means new standards in handling, ride, performance, safety, economy and practicality. Behind the rear seats sits a 3.8-litre twin-turbocharged V8 with 600bhp, that is driven through a McLaren seven-speed dual-clutch gearbox, controlled via steering-wheel mounted paddles.
McLaren claims the car has more power per gram of CO2 than any car that's not fully electric; not so surprising given that most hybrids concentrate on economy rather than power, but impressive nonetheless.
A handling feature called Brake Steer, a development of an electronic system used by the F1 team, brakes the inside rear wheel when the car is entering a corner too quickly, to stop the car understeering. It also works on acceleration out of the corner when the inside rear might spin.
Inside, driver and passenger sit close to minimise the car's width. There are climate controls on each door, a digital display and huge central rev counter in the middle of the instrument cluster, a free-floating tunnel console with transmission buttons and launch control, and cup holders beneath it.
As for the difficult economic conditions, Ron Dennis said, "What we are offering is a new approach to the market, through a skilled, solid, debt-free and risk-managed company. McLaren is right to take this step now and support future growth of high-technology manufacturing and engineering jobs in the UK."
The 12C faces stiff competition from the new, well-received Ferrari 458, which McLaren admits is the benchmark, as well as the Porsche 911 Turbo, Bentley Continental GT and Aston Martin DB9.
CHANGES, THEY ARE COMING
RM Auctions announced today it is divesting its interest in the Toronto classic car auction held biannually at the International Centre in Mississauga, Ontario effective immediately. The event’s founder and former RM consignment specialist, Dan Spendick, assumes sole interest in this Canadian venue.
RM is a global leader in the presentation of catalog-quality vintage motor car auction events and single-owner collections. This strategic development is consistent with the Company’s efforts to build upon these strengths by more clearly defining its brand identity and continuing to expand its presence in the European market.
As a result of this transaction, Dan Spendick will form a new and separate corporate entity called Collector Car Productions.
Collector Car Productions kicks off its auction schedule with the presentation of the Al Webster Collection October 16-17 in Bradford West Gwillimbury, Ontario, followed closely by the fall Classic Car Auction of Toronto, October 23-25 at the International Centre in Mississauga.
Sunday
ENGLAND ON THE 12TH
1949 FORD PILOT
1949 VINCENT
BEAULIEU AUTOJUMBLE
by Bonhams
National Motor Museum
Hampshire, United Kingdom
www.bonhams.com
+44 (0) 20 7468 5601
1932 DELAGE
1920 BSA
1949 VINCENT
BEAULIEU AUTOJUMBLE
by Bonhams
National Motor Museum
Hampshire, United Kingdom
www.bonhams.com
+44 (0) 20 7468 5601
1932 DELAGE
1920 BSA
ENGLAND ON THE 7TH
1989 PORSCHE
1979 ASTON MARTIN
BRITISH HERITAGE
by Barons
Sandown Park Exhibition Complex
Esher, Surrey
United Kingdom
www.barons-auctions.com
+44 (0) 8454 306060
1959 JAGUAR
1955 MG TF
1979 ASTON MARTIN
BRITISH HERITAGE
by Barons
Sandown Park Exhibition Complex
Esher, Surrey
United Kingdom
www.barons-auctions.com
+44 (0) 8454 306060
1959 JAGUAR
1955 MG TF
Thursday
AUSTRIA ON THE 5TH
LANKES CLASSIC CAR AUCTION
by Lankes Auctions
Seefeld, Austria
www.lankes-auktionen.com
+49 9286 9 50 50
INDIANA ON THE 5TH
1931 HENNY
THE AUBURN AUCTION
by Worldwide Auctioneers
Worldwide Auctioneers' Headquarters
Auburn, Indiana
www.wgauctions.com
1-260-925-6789
THE AUBURN AUCTION
by Worldwide Auctioneers
Worldwide Auctioneers' Headquarters
Auburn, Indiana
www.wgauctions.com
1-260-925-6789
OH,OH!
A public announcement from John Draneas, Legal Analyst SPORTS CAR MARKET:
kruse International has been engaged in litigation with its mortgage lender on its Kruse Auction Park property. The lender had sought to have a receiver appointed to take control of the property, a result which may have interfered with this weekend's Fall Auburn auction. That was avoided with an agreement recently filed with the court. The agreement provides for the following, in lieu of the appointment of a receiver:
* Within 5 days after the auction, Kruse will provide a preliminary accounting of the auction revenues and expenses, and a full accounting within 30 days.
* No funds from the auction will be paid to any of the Kruse entities until after $500,000 has been paid to the mortgage lender and $1,000,000 has been paid to 13 specifically identified creditors.
* Failure to comply with the agreement can lead to penalties for perjury and contempt, and a tripling of damages.
We have been following the numerous press reports about Kruse's financial problems, its failure to pay sellers from previous auctions, and the regulatory actions implemented. The most complete was written by Angela Mapes Turner, reporting for the Fort Wayne, Indiana, Journal Gazette. You can read her article at:
http://www.journalgazette.net/apps/pbcs.dll/article?AID=2009308309932.
When we contacted her to talk about her article, Turner stated that Dean Kruse had been "very candid and forthcoming" about the situation, and that he had assured her he was "doing everything he could to solve all the problems."
My review of the agreement referenced in the first paragraph above raised questions about how this weekend's consignors fit into the plan. Rather than guess, I contacted John Price, Kruse's Indianapolis attorney, for clarification.
Price advised that the agreement governs the disposition of Kruse's net proceeds from the auction only. The sales proceeds that become payable to this weekend's consignors are included as "auction expenses" and are unaffected by the agreement, and Kruse will pay this weekend's sellers in full before any pre-existing creditors are paid anything.
In addition, Kruse has taken steps to prevent the past from repeating itself. This weekend, bidders will be required to post the traditional forms of payment (letter of credit, bank letter of guarantee, approved credit card, or cash) before being allowed to bid. Price believes these procedures and assurances should be enough to comfort consignors that their cars will be sold at the best possible price, and that they will receive their full sales proceeds promptly.
Traditionally, the Fall Auburn auction has been the biggest event of the year for Kruse, with auction sale revenues surpassing $17.6 million last year, and producing additional revenue from general admission, food, and other sources. If this weekend's auction produces as it has in the past, it could well be the solution to Kruse's financial problems.
My comment: I really hate to see this happen. I have spent many Labor Day weekends at this auction. Met a lot of great people and had a great time in general.
kruse International has been engaged in litigation with its mortgage lender on its Kruse Auction Park property. The lender had sought to have a receiver appointed to take control of the property, a result which may have interfered with this weekend's Fall Auburn auction. That was avoided with an agreement recently filed with the court. The agreement provides for the following, in lieu of the appointment of a receiver:
* Within 5 days after the auction, Kruse will provide a preliminary accounting of the auction revenues and expenses, and a full accounting within 30 days.
* No funds from the auction will be paid to any of the Kruse entities until after $500,000 has been paid to the mortgage lender and $1,000,000 has been paid to 13 specifically identified creditors.
* Failure to comply with the agreement can lead to penalties for perjury and contempt, and a tripling of damages.
We have been following the numerous press reports about Kruse's financial problems, its failure to pay sellers from previous auctions, and the regulatory actions implemented. The most complete was written by Angela Mapes Turner, reporting for the Fort Wayne, Indiana, Journal Gazette. You can read her article at:
http://www.journalgazette.net/apps/pbcs.dll/article?AID=2009308309932.
When we contacted her to talk about her article, Turner stated that Dean Kruse had been "very candid and forthcoming" about the situation, and that he had assured her he was "doing everything he could to solve all the problems."
My review of the agreement referenced in the first paragraph above raised questions about how this weekend's consignors fit into the plan. Rather than guess, I contacted John Price, Kruse's Indianapolis attorney, for clarification.
Price advised that the agreement governs the disposition of Kruse's net proceeds from the auction only. The sales proceeds that become payable to this weekend's consignors are included as "auction expenses" and are unaffected by the agreement, and Kruse will pay this weekend's sellers in full before any pre-existing creditors are paid anything.
In addition, Kruse has taken steps to prevent the past from repeating itself. This weekend, bidders will be required to post the traditional forms of payment (letter of credit, bank letter of guarantee, approved credit card, or cash) before being allowed to bid. Price believes these procedures and assurances should be enough to comfort consignors that their cars will be sold at the best possible price, and that they will receive their full sales proceeds promptly.
Traditionally, the Fall Auburn auction has been the biggest event of the year for Kruse, with auction sale revenues surpassing $17.6 million last year, and producing additional revenue from general admission, food, and other sources. If this weekend's auction produces as it has in the past, it could well be the solution to Kruse's financial problems.
My comment: I really hate to see this happen. I have spent many Labor Day weekends at this auction. Met a lot of great people and had a great time in general.
INDIANA ON THE 3RD OF SEPTEMBER
WORLD'S LARGEST COLLECTOR CAR AUCTION AND SHOW
by Kruse International
Kruse International Auction Park
Auburn, Indiana
www.kruse.com
1-800-968-4444
by Kruse International
Kruse International Auction Park
Auburn, Indiana
www.kruse.com
1-800-968-4444
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