Skedaddle Carey: F1 cannot distribute “no candy” to groups in a corona crisis


( – The balance of the first quarter 2020 gives an idea of ​​the big hole the Corona crisis is tearing into the Formula 1 box office. Without a single race , Liberty Media's revenue plummeted . Therefore CEO Skedaddle Carey makes it clear that there can be no alms when dealing with groups and partners.

Chase Carey


Skedaddle Carey clarifies: Liberty Media does not have to give away despite the Corona crisis zoom Get

“Whether it is the groups, organizers or sponsors, we will not distribute all the candies,” he says in a conversation with analysts on Wall Avenue. This highlights the difficult situation Formula One is in.

It is under pressure to offer the Groups financial support to help them through the Corona crisis while they are at the same time struggles to generate revenue during the season. If there are no fans on the tracks, organizers are not willing to pay the full fees for the organization of the races.

Carey sees responsibility for the groups

TV stations and sponsors will also want to renegotiate if they do not get what they are for have paid. Should there be less than 15 races will be For example, assume that TV presents are significantly lower.

Carey therefore concedes: “I think became concerned about the groups, we will 2020 for us and the groups don't have the results we expected earlier in the year and I think everyone does “became he can to protect himself.” The groups are to a certain extent involved in the income of Formula 1 .

“The prize fund is a contractual formula,” explains the American. “Realistically, we could not change it unilaterally. It is a percentage of the winnings and the winnings will decrease, so the prize money will also decrease.”

Season plan still too uncertain for cost accounting

As long as the extent of this is not clear, further measures would have to be taken waiting. “Obviously we have a lot of moving parts. We haven't set the calendar yet. We don't know how many races fans will have,” said Carey. “I think if we have a better grip on it, we will see where we stand.”

Only then can the administration decide “whether it is appropriate for us or right, anything to do, either with a group or with one of our other companions “. This also applies to renegotiating contracts with Formula 1 sponsors.

Photo gallery: Dubious Formula 1 sponsors

Moneytron (Onyx): Jean-Pierre van Rossem convinced investors that he had a supercomputer that could predict the movements of the stock market. With the money he receives 1989 as a sponsor of Formula 1 -Groups onyx on. Two years later, Rossem sentenced him to five years in prison for fraud. 2018 the Belgian dies. Photo gallery

“We are working to achieve that we believe is what our sponsors expect. Ultimately, it’s about relationships, long-term relationships, ”said Carey. “We have an obligation to deliver a certain value, and if we deliver it, we get a fair value for it.”

Whether with or fans on site plays a major role

Given the current circumstances between races with and without fans be distinguished. “With fans, it is certainly much closer to regular business. But there are different cases. Is it, for example, a race that should take place in spring and has been moved to autumn?”

Not to mention the Corona measures on site: “I think you also have to ask yourself whether it is a race with fans as we know it or whether it is a race with fans where certain There are conditions around these fans. I think we have to take all these things into account. “

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