Collapse Of Marussia F1 Team Costs Lloyds Banking Group $15.6M

Taxpayer-owned Lloyds Banking Group "stands to lose" more than £10M ($15.6M) from the collapse of the Marussia F1 team, according to Christian Sylt for the London TELEGRAPH. Documents from FRP Advisory dated Dec. 18 show that the bank’s private equity division, Lloyds Development Capital (LDC), "is at the top of a list of more than 200 other creditors" who are owed a total of £31.4M ($48.9M). They are "on track to lose all their money as, unlike LDC, their debts are unsecured." The biggest bill is the £16.6M ($25.8M) owed to Ferrari for "supplying engines to the Banbury-based team." Ferrari is followed by British engineering firm McLaren, which is due £7.1M ($11M). LDC is owed £13.2M ($20.5M) which is "secured on all of Marussia F1's assets." It gives LDC "priority over the other creditors, but according to documents from FRP, the estimated payout" will come to £1.6M ($2.5M) "at most." FRP Managing Partner Geoff Rowley said that "the secured creditors will suffer a significant shortfall" (TELEGRAPH, 12/27).