F1 to lose China’s $43m race fee

Imola has offered to replace China but at a much reduced fee
Imola has offered to replace China but at a much reduced fee

(GMM) Formula 1 looks set to take at least a $43 million hit due to the coronavirus crisis.

Because Shanghai's scheduled April race has had to be postponed and probably cancelled due to 'force majeure', the promoter Juss Sports Group may be subject to a refund of the race fee it paid to Liberty Media.

Writing in the London business newspaper City A.M., F1 business journalist Christian Sylt said the sport's company documents state that cancellations "due to outbreak of disease" means F1 faces a "loss of revenue".

"If the cancellation of an event is due to a force majeure event, the race promoter is not required to pay Formula 1 the race promotion fee for that event," the documents add.

Also in doubt is nearby Vietnam's inaugural race, although it is believed organizers are delaying any decision about postponement in the hope that the situation improves.

To date, there have been over 70,000 confirmed coronavirus cases, and 1,874 confirmed deaths.

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