- As Legendary Nurburgring Files For Bankruptcy, Broke Greece Launches Its Own Formula 1 Race Track (ZeroHedge, Oct 1, 2012):
There is something very wrong with this story. Two months ago, the world’s most legendary race track, Germany’s Nürburgring filed for bankruptcy. As AP wrote then: “Germany’s legendary Nürburgring racetrack and entertainment complex is effectively bankrupt. The circuit—which hosted Formula One’s German Grand Prix last year—is to launch insolvency proceedings amid fears that it could run out of cash while the European Commission considers planned government aid. The state government in Rhineland-Palatinate, which owns the financially troubled Nuerburgring GmbH, decided on the move on Wednesday, the dapd news agency reported…. A state subsidy had been in place since a disastrous development plan left the ‘Ring organization saddled with more than 350 million euros in debt. While the Nordschleife—the circuit’s famous “North Loop” which covers more than 13 miles—generates healthy operating profits, the income does not cover the interest payments on the enormous debt incurred when the state entered into the plan with two developers, Kai Richter and Jorg Lindner.” Sadly such is life in a world in which not everyone is bailed out by the government, and when it comes to the “fairness for everyone, bankruptcy for no one” doctrine, Germany has still not jumped on the bandwagon.