Caterham Caterham Team set to miss US and Brazilian GPs

Yesterday afternoon, it was announced that Caterham have been granted special dispensation by Bernie Ecclestone to skip both the United States and the Brazilian grands prix.

Yesterday, the team was handed over to administrator Finbarr O’Connell, a representative for London-based accountancy firm Smith & Williamson.

O’Connell was given full management of the Caterham F1 Team “in the higher interest of allowing the team to continue operating and preparing for the next events.”

And although initially there was some hope that the team could make the grid next weekend in Texas, dispensation has been granted should that not happen.

A statement from the administrative company reads as follows:-

'In a telephone conversation between Finbarr O’Connell and Bernie Ecclestone, Mr Ecclestone agreed to support the administrators in their wish to sell the Formula One team to a party with the financial strength to sustain it into the future.

'Mr Ecclestone also agreed to give dispensation to Caterham F1 such that it could, if necessary, miss the US and Brazilian Grands Prix, but hoped that a new owner would be in a position to race the team at the Abu Dhabi Grand Prix.

'Mr Colin Kolles, the previous principal of the team, offered today to hand over management control of 1MRT to the administrators. Lawyers for the administrators and Mr Kolles are currently working on the paperwork to effect this transfer.

'The administrators have already been contacted by a number of interested parties expressing a wish to buy the team and they hope a transaction with an operator of substantial financial means can be concluded in the next few weeks.

'It is hoped that any purchaser of the F1 team will take over the employees and they will be able to recommence their work including that at the Leafield site.'

In an interview with Press Association Sport yesterday, O’Connell is hoping that by keeping the option of racing in Formula 1 open to potential bidders, he will soon find a buyer for the team. O'Connell said the following:-

'We believe this arrangement gives us a much better chance of being able to reach a better conclusion for the racing team and its creditors. While this is a great step forward in making the whole team and assets more attractive, there is no need for the staff of 1MRT to return to the Oxford site in Leafield until a sale of the Formula One team occurs.

'This is a difficult situation which is not of our making. We regret any personal impact on 1MRT’s employees. As administrators for CSL we are seeking to maximise the outcome for its creditors and other stakeholders.

'Our objective is to get this team racing on a proper financial standing, and hopefully if a funder comes through, this team can run again. I have spoken to people who are interested in taking over the Leafield factory, and the staff being employed there. It’s early days, but there is a major hope that all of that can happen.'

It would seem that under the difficult circumstances and while the situation is being resolved legally, I believe it is correct that Caterham have been given permission to not take part in the US and Brazilian GPs if the situation cannot be resolved fully. Even though it is sad that the team may not be there racing as planned at the two GPs, they need to concentrate all their efforts on making sure that they survive as a team with the existing or new ownership to take part in Formula One at the end of the season and also for future seasons to come.

It is clear that the administrator's objective is to make sure that the team continues racing in the sport and also that they are properly funded and supported in the process. From what the administrators stated yesterday, they believe that the situation can be sorted soon with potential parties already interested in buying the team. And I really hope that is the case and the current personnel in the team keep their employment as I cannot imagine what they are going through right now.

But it seems that as more information is made available to us, time is running out for Caterham to find a viable solution that will enable them to stay in Formula One. As despite all the best intentions of everyone who has been or is associated with the team, if a buyer cannot be found, then it might be time to call it quits and Caterham has to sadly bow out of the sport for good.

But I seriously hope and pray that Caterham manages to find a way to survive, is back to racing in Formula One as soon as they can and most importantly are in a secure position that will enable them to have a sustained future in the sport we know and love.

Sarah Jones reports