Thursday March 16th, 2000

Italian clothing group Benetton will announce later on Thursday it is selling its Formula One team to French car-maker Renault, the Financial Times reports today.

Rocco Benetton, chief executive of the Benetton team, said in February that the group would like closer ties with the French carmaker, saying that some sort of future partnership between the two appeared inevitable.

"Benetton will announce today it is selling its Formula One team," said an industry source, referring to an afternoon press conference in Milan, due at 15:00 GMT.

Benetton entered Formula One racing 14 years ago as a way to promote its clothing brand.

Michael Schumacher won two drivers' titles for the team in 1994 and 1995 and they also won the constructors' title in 1995.

Benetton finished sixth overall last season, their worst placing since their first season in F1.

Their cars are powered by a Renault-based Supertec engine.