MILAN, Italy (May 11, 2010)—Pirelli & C. S.p.A.'s bid to become the designated tire supplier for Formula 1 racing would be structured to ensure the company turns a profit on the business, Pirelli's top executive told analysts in a conference call.
Pirelli CEO Marco Tronchetti Provera said this would be a change from the past, where there was a net flow of money out of the sponsor.
Pirelli was set to submit its technical and commercial offer for the contract at last weekend's Spanish Grand Prix—where it also debuted as the spec tire supplier for the new GP3 Series, a stepping-stone series to GP2 Series, which itself considered a feeder venue for Formula 1. GP3 features a Dallara chassis powered by a turbocharged 2-liter four-cylinder Renault engine.
Pirelli was an F1 tire supplier on at least two occasions in the past, the last time from 1988-91. It also weighed bidding for the contract four years ago when it last came up for bid.