Honda F1 team sold for 1 pound !!!!!!!!!!!!!!!!

[virtuso13]

Yes you read it right , check out the following link
http://racing.timesofindia.indiatimes.c ... 385805.cms

[xpensive]

Darn that Alzheimer, but didn't we have a similar thread last December?

[nae]

now that is cost reduction

50p a car and they beat the whole field

[axle]

And in other news;

The Titanic has sunk and WWII is over!

[JamesS]

These types of stories are stupid.

Technically, something can be sold for £1. But you then need £50 million odd in order to fund the team.

Same when you hear a company is sold for £1, but the buyer agrees to service so many £millions of existing debt.

[f1tc]

Not only that but gave him 150mill to spend. I think this is a first in f1 where you get paid to take a problem off someone's hands

[Giblet]

I was going to buy the team until I saw that it was selling for one pound, not one dollar.

No frikkin way I an afford a whole pound.

[Rob W]

This is nothing special in reality. They announced their withdrawal from the sport so, from that second, the team was worth zero. All that mattered after that was whether they wanted to ensure their masses of equipment and staff, not to mention the 2009 car designs, would have a chance of being on-sold, reused productively or simply mothballed.

I imagine Honda's liability in personnel contracts alone would run over $50m - which they'd possibly still have to pay no matter what, especially because the nature of F1 would see most workers on fixed contracts (they wont work without some level of security).

This deal allows money already spent or committed to have some use and potential payback for Honda. I'm certain they would have arrangement whereby their obligations reduce as the team succeeds.