Honda have confirmed that they are to pull out of Formula One - although the Japanese company remain hopeful a buyer will be found.
Team confirm decision to pull out of F1
Honda have confirmed that they are to pull out of Formula One - although the Japanese company remain hopeful a buyer will be found for the team.
The announcement was due to be made by Honda Motorsport Corporation in Japan, ending the team's nine-year involvement in the sport.
Honda initially supported BAR with engines from 2000 to 2005 prior to becoming a team in their own right in 2006.
However, exactly seven months after withdrawing their financial support of Super Aguri - leading to that team's demise - Honda themselves are being forced to quit F1, citing the global credit crunch as the reason behind the end of their association with the sport.
"We have come to the conclusion that we will withdraw from all Formula One activities, making 2008 the last season of participation," Honda CEO Takeo Fukui said.
"This difficult decision was made in light of the quickly deteriorating operating environment facing the global auto industry brought on by the sub-prime problem in the United States, the deepening credit crises and the sudden contraction of the world economies."
He continued: "The team had done a superb job of getting ready for the 2009 season and I offer my sincere apologies to everyone involved. I also apologize to our loyal fans who have supported us so well over the years in F1."
Despite pulling the team out, Fukui has said Honda would be open to offers from prospective buyers.
Consultation
"We will enter into consultation with the associates of the Honda racing team and its engine supplier Honda Racing Development regarding the future of the two companies," Fukui said.
"This will include offering the team for sale."
It is understood that if no buyer is found over the next few weeks, staff will be placed on three months' notice from January 1, while just nine teams and 18 cars will line up on the grid at the Australian Grand Prix on March 29.
It would also mean that Jenson Button and Rubens Barrichello are out of a job after nine and 16 years in F1 respectively, unless there is a late reprieve.
Team principal Ross Brawn and chief executive Nick Fry had informed the other nine marques of Honda Japan's decision at a meeting in London on Thursday of the Formula One Teams' Association (FOTA).
That was followed on Thursday evening when the 700 members of staff at the team's headquarters in Brackley, Northamptonshire, were told of the plans.
Earlier this year FIA president Max Mosley made it clear costs in F1 were spiralling out of control, claiming the sport was rapidly becoming "unsustainable."
Mosley has since urged teams to drastically reduce costs in order to survive, but the accelerated global economic downturn has only exacerbated the situation.
With Honda's bombshell certain to send shockwaves throughout the sport, it begs the question as to which other teams might also be on the brink of following in their footsteps.
