Formula One's rapid invasion of countries to the east of its traditional heartland could be set to continue apace following reports that its advertising and hospitality division took a hit over the last twelve months.
According to
The Daily Telegraph's business pages, CVC - the private equity company which assumed control of the sport's commercial side in 2006 - reported an after tax loss amounting to $3m from the advertising and hospitality division based on figures for eleven of 18 races staged after the 31 May takeover date.
With countries like China, Bahrain and, more recently, Singapore and Abu Dhabi signed up for spots on the grand prix calendar, the clamour for Formula One racing in the Middle and Far East remains high, and new venues, including India and Russia appear poised to join the schedule in coming seasons. Without exception, those behind the bids are willing to pay whatever
F1 ringmaster
Bernie Ecclestone says is the going rate, such is the desire to attract the sport to their shores, while advertisers are equally keen to be involved, boosting the income for both trackside exposure and hospitality.
The pressure to incorporate those pushing for places has naturally put strain on existing races, particularly those without commercial backers or staged at venues that Ecclestone feels do not live up to the standard being set by government-funded venues in the East. According to reports, neither the French or Canadian rounds have a title sponsor for 2008, while
Silverstone is among those being targeted as needing investment or face dropping off the schedule altogether.
