Prodrive entry hangs in the balance

Prodrive, who won the 12th entry for the 2008 season, have been in talks with McLaren over a commercial agreement that includes a supply of chassis and car parts.

But the entry has now been challenged and will be reviewed by the FIA's International Court of Appeal in two weeks' time.

Moreover, with no new commercial agreement between all teams, the FIA and FOM signed for next year, the existing Concorde Agreement looks set to be renewed for another year - which may altogether affect Prodrive's entry next year.

As revealed by autosport.com yesterday, McLaren F1 CEO Martin Whitmarsh notified his staff on Monday that they will not continue with the Prodrive deal.

In response, Prodrive have told autosport.com the negotiations with McLaren could be renewed if the Court of Appeal decides in their favour - and if the Concorde Agreement is resolved in time to allow customer cars.

But they have expressed concern that with time running out, Prodrive may not be ready in time for the start of the 2008 season in Australia.

"It would be totally wrong for anyone to claim that 'negotiations between Prodrive and McLaren have collapsed'; quite the contrary," Prodrive said.

"Both Prodrive and McLaren have, for some time, agreed on the manner in which we would establish 'the 12th team' in time for the 2008 F1 season.

"However, we have now passed our self-imposed deadline required to guarantee a competitive and professional start to next year.

"The delay in confirming our agreement with McLaren has been created by a challenge to our entry in next year's F1 World Championship as a non-Constructor.

"While we remain confident that the short term issue of eligibility to race in 2008 will be resolved in our favour, it still leaves the question of longer term stability unanswered.

"It is Prodrive's opinion that the financial viability of a new team will not be possible until agreement is reached on a revised 'Concorde Agreement'.

"This is required to determine the long term rights of participation in the championship and eligibility to FOM income, on an equitable basis for all participants in Formula One.

"It would therefore be totally irresponsible of us to employ all the staff required to establish the new team or commit to significant financial obligations while these uncertainties are still unresolved.

"Prodrive remain committed to participating in Formula One. We are hopeful that the current dispute over our eligibility to race will be clarified at the ICA hearing later this month and that a 'Concorde Agreement' between the FIA, FOM and all 12 teams can be established in the near future.

"In the meantime, we will consider all our alternative options for next season."