IndyCar AGR Crack Up

Andretti Green Racing and Andretti Green Promotions are splitting. Michael Andretti will take the racing team. Kim Green and Kevin Savoree will get the company that promotes races in St. Petersburg and Toronto.

The Republic isn't sure what to make of this. It seemed as if Savoree was the chief deal maker at AGR. Maybe he and Kim Green believe the business of promoting events at temporary circuits is more promising than the business of running an IndyCar team. We would be inclined to agree, particularly if Danica Patrick is headed to either another IndyCar team or to NASCAR (sans-culottes!)

The irony is that Honda's "sponsorship" of St. Pete, Toronto and Mid-Ohio is effectively subsidized by the teams. How's that? Teams overpay HPD for engines. Honda then redirects that money to race promoters and Formula Dream, which is believed to be heading for the exit at AGR. If a rift really did break out among the AGR partners, then the prospect of owning races that are subsidized, in part, by Michael's team must cause Savoree and Green to break out in Cheshire cat grins.

If Honda does take the Formula Dream "sponsorship" elsewhere in 2010, then we would not be surprised to see Andretti partner with another existing team. This is rank speculation, we admit, but it is based on underlying economic facts. Because operating an IndyCar team is overpriced, team owners are going to have to do whatever they can to stay in the game.

And it's no secret that Michael Andretti has been telling people he needs new money for 2010.