Jaguar, Ford Pulling Out of Formula One

LONDON September 17, 2004; Stephen Wade writing for the APO reported that Jaguar and parent company Ford are pulling out of Formula One racing at the end of this season after just two top-three finishes since joining the circuit in 2000.

Ford's decision to sell Jaguar and its Cosworth engine subsidiary is a blow to F1. Two of the sport's small teams — Jordan and Minardi — use Ford-made Cosworth engines.

"Jaguar's presence in Formula One has been a valuable marketing and brand awareness platform particularly outside our main markets of the U.S. and the U.K.," Joe Greenwell, Jaguar chairman said Friday. "However, it was our collective view that it is time for Jaguar cars to focus 100 percent on our core business."

Jaguar, whose drivers are Australia's Mark Webber and Austria's Christian Klien, is seventh in the F1 championship with 10 points. Jaguar entered F1 four years ago after buying out the Stewart Ford team. The team has been unable to compete with the likes of Ferrari, McLaren, Williams, Renault and BAR-Honda.

In 82 F1 races, Jaguar's best showing has been third-place finishes in 2001 and 2002 by Eddie Irvine. It has led only two laps of 7,500 contested.

Ford vice president Richard Parry-Jones said there have been "active discussions" with potential buyers. He said Ford also talked with Minardi and Jordan to find them new engine suppliers.

"There is no compelling business case to continue the operation," Parry-Jones said. "We have to be able to win, and we just can't justify the spending."

Last season, Formula One lost Prost and Arrows reducing the grid to only 10 teams. Only three teams are still owned individually — Sauber, Minardi and Jordan — with the other seven financed by major auto manufacturers.

The announcement came as Jaguar said it was stopping production at a factory in central England with the loss of 1,100 jobs. The move was prompted by poor sales in the United States.