Toyota finances being what they are, the company is ruthlessly assessing its accounts and making cuts anywhere it deems appropriate. The latest head to roll is the Formula 1 race at Fuji Speedway, Toyota's own circuit. Opened in 1965 and host of the Japanese Grand Prix for the first time in 1976, Formula 1 returned to Fuji in 2007 and 2008, and was due again in 2010.

In spite of that, Toyota deemed the $20-to-$30 million dollars necessary to hold a Grand Prix -- a mere fraction of the money it spends on its F1 team – couldn't be justified. Said Hiroaki Kato, president of Fuji Speedway (above), trading conditions have made the race "extremely difficult."

This year's Japanese GP will be held at Honda's Suzuka as scheduled, but next year's race will need to be decided on. Honda has said it has no idea where the 2010 race will be held.

[Source: AFP via Google | Image: Yoshikazu Tsuno/Getty]

In any game of chicken, it's all about who flinches first. Ever since its first running in 1963, the Japanese Grand Prix has bounced between Fuji Speedway and Suzuka Circuit, the former dominating in the '60s and '70s before the latter got the exclusive in the late-'80s through 2006, at which point Fuji took over again. The rivalry is about more than just the tracks, though: With Toyota owning Fuji and arch-rival Honda owning Suzuka, the back-and-forth has become something of a turf war between the country's automotive powerhouses.

Two years ago, the two tracks worked out a deal that would have the race alternating year to year, sort of like Germany's arrangement between Hockenheim and the Nürburgring. However, emerging reports suggest that tightening belts at Toyota could spell trouble for Fuji Speedway. The costs of hosting a Formula 1 grand prix event continue to escalate, and those costs may be harder to justify for the cash-strapped auto giant – especially if ticket sales don't cover the budget. Honda is likely in no better a financial situation, as evidenced by their unfortunate withdrawal from the sport. But if Toyota flinches first, Honda might win the race... in one sense or another.

[Source: F1-Live | Image: Mark Thompson/Getty]

Emerging reports indicate that Toyota is preparing to nearly double its stake in Subaru's parent company, Fuji Heavy Industries. Toyota initially bought into Fuji when that other automotive giant, General Motors, sold its 8.7% stake to its Japanese rival. The new share-grab, the door to which was opened by revised Japanese laws, would bring Toyota's partial ownership of Fuji up to 17%, just short of double its current stake.

Since Toyota's buy-in of Fuji, cooperation between the two companies has only increased, ranging from new product development to manufacturing. Insiders predict that with the increased stake will come even more integrated collaboration between the two Japanese automakers, which, considering Toyota's enormous success worldwide, can only mean good things for Subaru's operations.

Meanwhile, it's worth noting that with Toyota reportedly considering following Honda into the sky, Fuji's other core business in aerospace could prove an invaluable asset.

[Source: Indianapolis Business Journal via Straightline]

Click on either image to view our high-res gallery of the Legacy 3.0 R and Outback

Subaru launched the 2008 Legacy and Outback models at the Detroit show, and while it's largely business as usual for the all-wheel-drive duo, there are a few revisions that the Subie fans amongst our readership might find interesting.

After its kid brother, the Impreza, has gotten a new face time and time again, the Legacy and Outback have now gotten their turn under the knife. Sheetmetal up front is the biggest change for 2008. The Legacy gets a new, bigger, chromed-up grille; restyled bumpers front and rear with shorter overhangs; and new headlights and taillights. The Outback gets a bigger, more upright and rugged-looking grille, plus restyled fenders, restyled hood and new wheels. Stability control will be offered on more models, and a tire pressure monitoring system becomes standard. Both models also get some revised features inside.

The 2008 model year also marks the debut of the range-topping Legacy 3.0 R, transplanting the 3-liter DOHC 245-hp Flat-6 engine that's already under the hood in its Outback sister car. Paddle-shifters for the 5-speed auto are also new, and the car bobs and weaves on a Bilstein suspension setup. And while it may not have the clout of a premium German badge, the 3.0 R makes a compelling case against the usual suspects from Europe.

Follow the jump for the full press releases, and click here or on the image above for our gallery of high-resolution images from the studio and the Detroit show floor.