CVC took control of
Formula One's commercial rights through its Alpha Prema UK offshoot in March 2006 and added the sport's sponsorship agency and hospitality groups in a $1.7bn second acquisition in April. Prior to that, the Allsopp Parker & Marsh group of companies marketed and sold advertising and sponsorship packages for the world championship, while Allsport was the principal provider of VIP hospitality at events. Overseer Patrick McNally joined the board of Alpha Prema, advising APM and continuing as chief executive of Allsport Management after the handover.
It was CVC's Beta Holdings offshoot that reported the current deficit, claiming a $91m turnover with costs of $87m. However, the company has a net debt of $315m and is paying a higher rate of interest on loans taken out to complete the acquisition of 70 per cent of Formula One's businesses. Investment banks JP Morgan and Lehman Brothers continue to hold minority stakes, as does the Ecclestone family trust.
Singapore will debut with
F1's first-ever night race later this year, with Abu Dhabi set to join the calendar in 2009. India has an agreement to become part of the circus in 2010, while Ecclestone has admitted to targeting Russia as the next addition for future seasons.
