PARIS, March 5, 2009 (AFP) - Honda Formula One team principal Ross Brawn was on Thursday reported to be on the brink of securing a deal to save the team.

French web radio www.lci.fr, a partner of the media group which carries the broadcast rights to the sport in France, claimed that the chassis would be built by Honda with engines supplied by Mercedes.

The report came just hours after manager Nick Fry had suggested that the team, which had been put up for sale by the Japanese manufacturer as a consequence of the global economic crisis, had a future in Formula One.

Fry was speaking after a meeting of Formula One Teams´ Association (FOTA) in Geneva where a raft of cost-cutting measures was agreed, a package which has helped ease the Honda deal.

"I think it´s correct to say that our team has, and will benefit in the future, from FOTA. Clearly the cost reductions will help us enormously with the challenges that our team will face over the next two or three years," Fry said.

Fry also praised behind the scenes support from the other teams. FOTA chairman Luca di Montezemolo suggested that he was confident Honda will be in the starting line-up for the first Grand Prix in Melbourne on March 29.

"Today Ross is not here but we are sure that the former Honda team can have a future and can have all the rights that they need, and that they can look ahead in a positive way," he said.

Meanwhile, the BBC claimed that the new team would probably be called Brawn Racing, and that the car would test for the first time at Silverstone on Friday.

It´s understood that Jenson Button will retain his seat with the new team while veteran racer Rubens Barrichello is likely to edge out Brazilian compatriot Bruno Senna, the nephew of three-time world champion Ayrton Senna.

A disappointed Senna told www.autosport.com: "It seems that Ross (Brawn) has made his decision. It looks like he´s based it on the security of the team - it´s much easier for him to take Rubens because he´s worked with him for a long time.

"Ross was happy with my testing at the end of last year, but it just wasn´t enough for him to have the proof that I´m ready for Formula One."