CART in Court????

[indycool]

It's now 2:10 p.m. ET U.S. Court has been recessed again until 2:50 p.m. The IRL is revising its offer a second time.

[indycool]

P.S. -- Have verified IRL has NOT withdrawn its bid for the engines. The confusion has been in the maintenance contracts for 'em, which IRL never bid on in the first place.

[EBTM]

If I remember properly, one of the OWR guys said that it will be interesting when the bid reaches $14 million, so here we go...

[Mags]

Who Is There?
posted on 01-28 09:55

Adrian Fernandez is in attendance, as is Emmerson Fittipaldi. Pat Patrick is not in attendance.

[indycool]

Understand Forsythe is not there, either.

[Ac.]

Thanks indycool for the great reporting!

[jjspierx]

yep, I wonder what he is doing that is more important than the court proceedings. Or maybe he just doesn't like being in court and would rather send PG and KK to do the work for him. I'm sure they've spent countless hours discussing the possible scenarios, and they already know exactly how much they are willing to spend on the various assets, so there is no need for him there? I dunno, just speculating.

[indycool]

UNCONFIRMED report that this second afternoon recess was called because the judge told OWRS and IRL to prepare their final bids because it's gonna get done today. Court is scheduled to reconvene in five minutes. He seems to be moving things right along. You're welcome, Ac.!

[Fogelhund]

Thanks indycool

jj - I am sure that GF is only a cell phone call away. He could easily be contacted during these recesses....

Or perhaps he paid the $5 and is watching through champweb.

[jjspierx]

Well apparently IRL has made a bid $13.5m AND a guarentee that both Mexico races, the Toronto race AND the LBGP will be run within the next 5 years.

Also TG is putting on his coat and scarf, and apparently is about to leave, meaning that is probably his final offer.

[indycool]

Champweb's PPV site says court is back in session and the IRl has upped its bid to $13.5 million and has agreed to run the two Mexico races, Toronto and Long Beach for each of the next five years. The creditor's committee is arguing it's not enough.

[Mags]

Originally posted by indycool
Understand Forsythe is not there, either.

I heard that, too.

[racerkeke]

I am getting info from elsewhere that says that Cosworth would have exercised its right to buy back all engines at $10 apiece if the IRL won the bid. Apparently this buyback clause exists in the current contract, maintenance or no. So I suspect the engines are no longer part of the deal.

keke

[Mags]

The judge told both parties, after all of the discussions with the creditors committee;

"I have two rooms, one for each of you. Come back when one of you are ready to buy this company."

So there we have it.

The judge wants this resolved today.



Report

[Fogelhund]

Mags - was that comment by Otte after the upgraded IRL bid that Indycool mentioned above? Or before?

[jjspierx]

That was before, when they recessed till 1:30.

[indycool]

racerkeke, I believe the figure was $100 apiece but you're probably right.

[Liz]

So PG was correct, if that $13m figure was in fact TG's last offer ... he said it would get interesting when it reached $14m ... wonder how high OWRS is prepared to go?

[Mags]

Originally posted by Fogelhund
Mags - was that comment by Otte after the upgraded IRL bid that Indycool mentioned above? Or before?

After. I understand it's all in The Lord's hands now.

[Liz]

Originally posted by jjspierx
Well apparently IRL has made a bid $13.5m AND a guarentee that both Mexico races, the Toronto race AND the LBGP will be run within the next 5 years.

"Within" the next five years? Was that the exact wording? Because that would actually mean he could propose to run them four years eleven months from now . I wouldn't call that much of an offer.

[Mags]

Originally posted by indycool
Champweb's PPV site says court is back in session and the IRl has upped its bid to $13.5 million and has agreed to run the two Mexico races, Toronto and Long Beach for each of the next five years. The creditor's committee is arguing it's not enough.

GOOD.

[jjspierx]

I agree Liz, and from the way I understood it, I interpreted like you did.

[indycool]

It is "for"

[jjspierx]

Originally posted by Mags
After. I understand it's all in The Lord's hands now.

Actually, Mags, it was before, I just checked

[jjspierx]

Originally posted by indycool
It is "for"

"over the next 5 years" is how CW reported it, but thats just their interpration, and its fairly open-ended. Its pretty much impossible for TG to run all 4 of those races this year, so its almost for sure, his offer was to run them sometime within the next 4 years, and I doubt there is any stipulation on how many times the events have to be run to meet the requirement of the bid/contract. I think TG realized that things were definitely looking in the favour of OWRS, and that was his last effort to swing things in his favour, even though I don't think he had any intentions of running all 4 of those events before. He might be figuring that if the judge doesn't accept that, then he won't accept anything. Hence, him preparing to leave.