Michelin tyres look comfortably set to return to the world of Formula One racing just three years after walking away from the sport.
The French tyres manufacturer has emerged as the front runner to secure an exclusive, three-year contract to supply Formula One with tyres after reports that it has agreed to drop the supply price from £2.5 million to £1.27 million.
Two other tyre manufacturers, Cooper Avon and most recently Pirelli, have been in the running to take over from Bridgestone who are leaving the sport at the end of the current season.
However, many of the decision makers favoured Michelin because of their previous experience of working with F1.
According to the report in Auto Motor und Sport, Michelin has also agreed to back-down on a number of demands, including significant advertising space on every car and driver overalls.
They have reportedly agreed to small shoulder adverts on driver overalls, the Michelin logo on the nose-cone and Michelin lettering on the rear-wing.
They also requested a switch from the current 13-inch rims to a much larger sized 18-inches. This change will now not come into affect until 2013 when a new engine and the return of KERS are introduced.
Alex Kapadia, Operations Team