F1: Ferrari (NYSE:RACE) to Confront Liberty Media on Key Issues
Liberty Media (NASDAQ:LMCA) is pushing to discuss a fairer distribution of F1’s prize money, thus leading to an battle with Ferrari (NYSE:RACE).
Last year, in their 1st season as Formula 1’s new owners, Liberty made it clear that Ferrari’s $100-M annual bonus payout just for being in the sport was not fair.
Liberty wants to bring in a democratic payment structure, along with shaking up the engine rules for Y 2021.
Both of those issues are contentious with the management of the iconic Maranello Outfit, aka The Scuderia.
I is inevitable that there is going to be a confrontation between Ferrari and Liberty as Ferrari is F1, and that is beyond the ownership of the event managers.
CEO Marchionne will move to protect the money that it receives, as it receives a disproportionate amount of money.
Racing fans all recognize that The Scuderia has added more value to the motorsport than any other manufactures and should be rewarded accordingly, the talks will be about the balance.
Ferrari’s CEO Sergio Marchionne has threatened to exit F1 if Liberty’s changes for the Y 2021 season and beyond are radical.
|NYSE:RACE||127.04||6 February 2018||5.59||121.02||127.43||120.43||1,563,615|
|HeffX-LTN Analysis for RACE:||Overall||Short||Intermediate||Long|
|Very Bullish (0.51)||Very Bullish (0.52)||Bullish (0.38)||Very Bullish (0.62)|
Latest posts by HEFFX Australia (see all)
- A Closer Look At China Overseas Grand Oceans Group (0081.HK) - August 10, 2020
- Is Now The Time To Buy Kowloon Development Company (0034.HK) - August 10, 2020
- Bitcoin: BTC/USD (BTC=X) Target Price $15000 - August 10, 2020