Ecclestone pleased with new agreement

Bernie Ecclestone is pleased that the Concorde Agreement has been extended to 2012 and believes that Formula One is now in good shape for the future. The FIA, Ecclestone's Formula One Management (FOM) and Ferrari struck a deal this week to continue the Agreement for a further five years from 2008, although the other teams have yet to sign.

Bernie Ecclestone.

Photo by Brousseau Photo.

"It's what we should have done a year ago," Ecclestone told Reuters. "It's good, we're in good shape." The Agreement covers such things as the commercial aspect of F1, as well as racing affairs. The teams have been offered a deal of $500m over the next three years if they sign the new contract.

Ecclestone has reportedly spoken to all but one of the teams and claimed that they are positive about the situation. "They are all relieved," he said. "Their main concern is that the technical regulations don't keep changing. That's what's cost them a fortune."

Jordan is the team absent from Ecclestone's list. The Silverstone based squad's future is currently uncertain as reports suggest that Midland boss Alex Shnaider is in negotiations for a buyout. However, should Midland acquire Jordan, it's speculated that the team will continue under the same name, at least for this season.

Ferrari's decision to sign a new Concorde Agreement does not bode well for Grand Prix World Championship (GPWC), the group that is threatening to form a rival series from 2008. Ferrari was a major part of the group but according to Ecclestone, the Scuderia quit the GPWC last year. GPWC denied that was the case.

So is GPWC now defunct? "I don't think it's the end of the GPWC but it is the end of them starting a separate championship, I can tell you that," was the opinion of Minardi boss Paul Stoddart. He also suggested that GPWC could take over from the banks that own 75% of F1's commercial holding company SLEC.

Concorde Agreement extended to 2012