Despite downturn, Toyota re-commits to F1
Toyota has reiterated its commitment to F1, in spite of its first annual operating loss since 1938. Said Toyota CEO Katsuake Watanabe of Toyota's F1 budget, still the largest in F1 at $445 million, "To keep it up at the current level is extremely difficult." Yet even with the loss, the global economic mess, the belt-tightening on the corporate side, and the fact that Toyota hasn't won a race in seven years, a Toyota spokesperson said, "We don't have anything to add to the statement we made on 5 December [committing to F1 after Honda's pullout -- Ed.] because the financial results don't change anything for us in the formula one team. Our situation has not changed." The FIA has suggested that next year's cost cutting measures will save teams 33% over their 2008 budgets. On top of that, Toyota is conducting its own cost cutting study to see what it can do over and above that. We have a feeling 2009 won't see Toyota on top of the big spenders list again.
[Source: The Guardian | Image: Clive Mason/Getty]
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Reader Comments (Page 1 of 1)
robin 8:29PM (12/23/2008)
Thats the right attitude, a positive move from Toyota, we need to be positive and things will come back much quicker, its the only way forward...
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JDMlover 9:01PM (12/23/2008)
+5
Good for Toyota. Keep at it. :)
Toyota.
Tom Winch 3:33AM (12/24/2008)
Amen to that!
SimbaDogg 8:17PM (12/24/2008)
i think there's a fine line between being optimistic, and realistic. toyota had to infuse that much money to get, well compared to other manufacturers, less than stellar results. there's no doubt in my mind they wont be spending top dollar on their program this coming year, probably making them less competitive. in my eyes, they're def they're for the sake of being there, rather than actually winning. in sports you should never just show up, you should always be there to win. I simply fail to see how a toyota team, potentially w/ less cash on hand has any plan for a winning or even competitive formula.
Alvin 10:33PM (12/23/2008)
It's nice to see Toyota F1 keep a positive light in this recession. Even though they spend the most and don't really win any races, it'll still be nice to see them around during the 2009 season.
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garth 10:42PM (12/23/2008)
I've been following F1 since the early 1960's at the Glen. And I can guarantee you even greedy Bernie would agree this is a perfect example of the what's wrong with F1 today.
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Bob 11:58PM (12/23/2008)
Talk about throwing good money after bad.
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ls1vette 12:32AM (12/24/2008)
As the norm they never tell the whole truth .
They cannot blame UAW, or GM so must be lousy quality and car designs no one wants
TOKYO — Toyota said that no decisions have been made regarding its leadership after Japanese media reported Tuesday that the company's president planned to step down.
The report of a possible top executive change came during a week in which the Japanese automaker forecast its first operating loss since 1938.
The Asahi newspaper and the Kyodo news agency reported Tuesday that President Katsuaki Watanabe will step down in April, with his replacement likely to be Executive Vice President Akio Toyoda.
"No decision has been made. We have no comment at this time," Toyota spokesman Paul Nolasco told The Associated Press Wednesday.
Toyoda, who is the son of former President Shoichiro Toyoda and the grandson of the company's founder, has in recent years been seen as a top candidate for the post. But on Monday Watanabe told reporters that the timing was not right to change leadership as Toyota
tries to turn itself around.
Toyota's forecast is for an operating loss of 150 billion yen ($1.66 billion)
for the fiscal year ending March 2009. It last had an operating loss for the fiscal year ending March 1938 the first fiscal year after the company was founded.
On Wednesday, Toyota stock shares were down 4 percent in Tokyo. The benchmark Nikkei 225 stock average was down 2.7 percent.
The carmaker _ which makes the Camry sedan and Prius gas-electric hybrid _ is set to become the world's largest this year, passing main rival General Motors Corp.
Monday slashed its forecast for the current fiscal year through March for the second time.
Japanese automakers have been hit by poor sales in the U.S.
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hashiryu 3:32AM (12/24/2008)
wtf is your point? Seriously.......
MKIV 11:52AM (12/24/2008)
The pint is?
Shane Frm Australia 1:52AM (12/24/2008)
I agree ... it is great news to see Toyota will continue participating in F1 - music to my ears.
I also agree that Toyota has struggled in F1 but it goes to show thier determination in the most technologically advanced motorsport in the world.
Last year they really started showing some potential and i believe Timo Glock will prove to be a real asset for the team and i wish them all the best of luck for the 2009 season.
All-in-all ... keep up the good work Toyota - good to see.
Oh yeah - i really enjoyed Toyota's solid run in NASCAR this year aswell with them winning 2 from 3 Manufactuer Titles ... Nationwide & Craftsman Trucks.
I hope 2009 proves to be just as good.
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noz 1:54AM (12/24/2008)
Good news for Toyota and all the haters have crawled back into their holes...no where to be found.
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jon 2:00AM (12/24/2008)
im glad toyota has kept at it. despite the hard economic times, big companies shouldnt be removing themselves from racing series'. i was very dissapointed to see honda pull out of F1, even if it was a smart business move. what needs to be done in times of crisis is that the governing body of F1 needs to make it cheaper for the manufacturers, rather than leaving them to just pull out. any true keynesian economist (keynesian economic theories got us out of the great depression mind you, google the word) will tell you that extreme spending cutback from the people who actually have the money during hard times is bad. we need companies like honda (and thankfully toyota in this case) to keep pumping money into the economy. obviously in cases like the big three, where they actually have no money, its different. but F1, and all the other race series' needed to make it easier for companies to stay on board, rather than watching honda leave F1, and watching subaru leave the WRC. im glad toyota is still putting the money in, because in the end, people spending money now will help the whole economy in the long run more than it will hurt companies and people in the short run
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bmwMontreal 2:09AM (12/24/2008)
Question: with Honda no longer a part of F1 and Toyota pledging to stay, concurrently with Suzuka being owned by Honda and Fuji being owned by Toyota, can we expect the two circuits to switch Grands Prix year by year as previously stipulated or will we be stuck with more long straight and hairpin nonsense? As an aside: does Herman Tilke understand that those, lets go ahead and call them "wings", on the front and the back of the cars are designed to make cars perform better in the turns, or are we going to ignore the concept of aerodynamic drag as a byproduct of downforce and just watch circuits like Sepang and Fuji slowly turn the greatest motorsport on earth slowly turn to the illegitimate child of drag racing and NASCAR?
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FENNIX 10:41AM (12/26/2008)
so true, the more money added in, brings back spending, it's call tideing! Thank you Toyota, now lets hope you will win races. GM's problem is they still in the forties in their thinking. Toyota has always changed to the met the changing market. I still don't understand Subie & WRX, Fiji Heavy Industries is shipping equipment to China, India & South America, still operating at a profit, I'm very disappointed in them! Don't they know giving is better than recv'ing!
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TigerMil 9:25AM (12/24/2008)
Utterly stupid. Utterly beautiful. OTOH, I hate anything to do with feathering He-Whose-Name-Will-Not-Be-Printed's nest.
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ken_aisin 12:17PM (12/24/2008)
They've been heavily committed for years with no success. Isn't the economic downturn a good time (or excuse) for Toyota to leave F1 without worrying about saving face?
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A.R. 3:54AM (12/25/2008)
Go Toyota! When you run your business right, you will have money left over for "fun things"
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