BMW Set To Quit Formula One
German manufacturer BMW is all set to become the second team to quit the Formula One circuit ,after Japanese car giant Honda.
It was reported on Wednesday that BMW is very soon going to announce its withdrawal from Formula One at the end of the current season. BMW's pull out could also encourage other car manufacturers like Renault and Toyota to take such decisions
FIA, World motorsports body feared this situation with the quitting of Honda in December due to the global financial downturn. BMW's exit will cause a major setback to Bernie Ecclestone, the chief executive of Formula One Management.
Norbert Reithofer, the chairman of the BMW board, and Klaus Draeger, the director for development, and BMW motorsport director Mario Theissen are expected to make the announcement any time at its headquarters in Munich.
The Formula One management thought that all five remaining manufacturers would pledge themselves to the sport until 2012 by signing a new Concorde Agreement with CVC Capital Partners, the commercial rights holder, and the FIA, the sport's governing body.
The latest draft of the document was being assessed by their World Motor Sport Council and "should be ready for signature" by the end of this week, subject to confirmation that a satisfactory inter-team cost-reduction agreement is in place.