Administrators have announced that the Marussia team has ceased trading, with the loss of 200 jobs.

Despite interest in the team from various potential investors, a 12:00 (GMT) deadline passed with no funds being transferred, thereby leaving administrators FRP Advisory with no option but to wind up the Banbury outfit.

"While the team made significant progress during its relatively short period of operation, operating a F1 team requires significant ongoing investment," said Geoff Rowley, joint administrator, and partner at FRP Advisory, in a statement

"The group was put into administration last month following a shortfall in on-going funding and the administration process provided a moratorium to allow for attempts to secure a long term viable solution for the Company within in a very limited time-frame.

"Sadly no solution could be achieved to allow for the business to continue in its current form. We would like to thank all the staff for their support during this difficult process.

"As joint administrators our immediate focus will be to assist staff who have lost their jobs and provide them with the necessary support to submit timely claims to the Redundancy Payments Service.

"The team will not be participating in the two further rounds of the 2014 championship remaining, in Sao Paulo and Abu Dhabi. The joint administrators will continue with their statutory duties to realise the assets of the business in the best interests of all the creditors.

"It goes without saying that it is deeply regrettable that a business with such a great following in British and world motorsport has had to cease trading and close its doors."

Earlier this week, the team, albeit as Manor, was included in the provisional entry list for 2015 issued by the FIA.

With the team missing Abu Dhabi, thereby missing more than the two traces it is allowed to miss under the regulations, the Banbury outfit is effectively eliminated from the 2014 standings and therefore misses out on the prize money earned by Jules Bianchi's points finish in Monaco.

Marussia entered F1 in 2010, along with Caterham and HRT, drawn by the promise of a $50m budget cap that would limit costs and level the playing field. However, the budget cap dream was stillborn, while the raft of new regulations for 2014 drove costs ever higher.

With initial support from Richard Branson, though this was really more about lending the Virgin name in order to attract sponsors, the team was subsequently taken over by Russian industry magnate Andrey Cheglakov who finally pulled the plug several weeks ago.

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READERS COMMENTS

1. Posted by Spindoctor, 07/11/2014 16:36

"Very sad, very predictable.

Until someone with some serious testicular endowments takes on the F1 "establishment" I can only see a downward spiral for F1 as a "Sport". That's not to say it won't continue as some kind of choreographed Vanity Project for (VERY) wealthy companies.

The example of MotoGp from Darvi is particularly apposite, as indeed has been the way BTTC has developed over the years. It's all very well to get sniffy about being the "pinnacle of motorsport", but if that leads to there being a mere handful of teams, and a likely return to processional "races" (when everybody has caught up with Mercedes), then it will all be for nought.

Apart from the lack of excessive egoism and pretentiousness, what's particularly attractive about MotoGP is the RACING. Valentino hasn't won all those races on the best bike, he's simply a brilliant rider, the same for young Marquez. What's also missing from MotoGP is the near total reliance on aerodynamics that characterises modern F1, and that's what makes for close MotoGP racing.

There's still plenty of scope for ingenuity and development by manufacturers. Ducati historically has more power, Honda revels in the fast sweepers, Yamaha is more "chuckable" . All teams work constantly on getting more power, reducing consumption, improving "drivability" etc. Setting-up a MotoGP bike is a "black art" at which few excel. Aero & energy storage & regeneration aside a MotoGP bike is pretty nearly as sophisticated a device as an F1 car, but without all the pretentious BS.

We don't need to return to V8's we just need to ditch all (O.K. Many of) those fins, wings, flaps, gurneys, illicit ride-height devices etc.etc. etc. which make F1 cars "stick", but which consume fantastic amounts of teams' budgets. Keep the hybrid power, but force Mercedes et al to sell it to the small teams at a hugely subsidised price and\or simply divvy-up the prize-money giving most to the unsuccessful teams.....

I could go on, but these are just a few ideas and certainly not the best. Surely all those clever people in F1 at the "pinnacle" can do better than a mere middle-aged fan?

"

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2. Posted by Peter Rickitt, 07/11/2014 15:31

"Whilst I understand that non-appearance at Abu Dhabi means the loss of any 'points-money', what is the position as regards the F1 'entry-right'? It appears this is owned by a Manor entity - is that within the administrators remit? If so, is it a purchaseable item and would CVC/BCE assent to its transferability? To a new Manor entity perhaps? If not, can and might Manor be backable to acquire the existing cars,etc. at a knockdown price and restart with Graham Loudon and as many of his team as possible? And would CVC/BCE allow it? and even help?
I have been advising administrators and their 'clients' or potential buyers most of my working life (now virtually retired) and nothing is ever impossible or what it seems, but there always alot of 'dreamers', 'if-I-had-more-time-merchants' or plain liars knocking around: the only real question that always matters is 'show me the money'."

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3. Posted by Darvi, 07/11/2014 15:00

"I agree, a sad, sad day - but one that was inevitable from the moment that the FIA walked away from the promised cost cap and then compounded the problem by completely changing the regulations which neccessiated a whole new design around a powerplant that is three times dearer than the good old V8s.

Sadly, Christian Horner's attitude of "don't air your dirty laundry in public" is typical of the larger teams who appear not to realise that they need a healthy formula 1 for them to exist. Is anyone really going to be interested in races featuring five three car teams?

MotoGP has reacted to its "shrinking grid" problems by reinventing itself to regenerate the premier class and it seems to be working. If Formula 1 doesn't react swiftly and positively then it will wither on the vine. Much as I'd hate to see it, it's almost worth it just to see the likes of Bernie and Christian being on the receiving end for once."

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4. Posted by ScottC, 07/11/2014 14:31

"Sad news. Hopefully Manor F1 can get something going for next season - although ironic that Sauber will probably "steal" the prize money that Bianchi earned at Monaco.

Also ironic that the engineering and management of both Marussia and Caterham were from the old, washed up, soon to be third world (according to BCE) while the so called funding ... until it dried up (just who does the due diligence for F1 anyway) was from the All-New-User-Friendly-Russia and, at least initially, the vanity side project of a cut price Far-Eastern airline owner.

And who honestly believes for 1 minute that the proposed Rumanian team are going to be any different.
"

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Marussia ceases trading

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