PARIS -- The Magny-Cours circuit, which has hosted the French Grand Prix in recent years, has signed a five-year contract with Formula One chief Bernie Ecclestone to stage the event from 2005 to 2009.

But circuit chief Roland Hodel told radio RMC-Info the race would definitely "take a break" in 2004.

"We're taking a break in 2004, in full agreement with Bernie Ecclestone and we have signed a contract from 2005 to 2009 with a possibility to renew it for five more years," Hodel said.

The French sports minister earlier said a final decision had not been taken to cancel next year's French Grand Prix, due to take place at the Magny-Cours circuit in July.

On Friday, a local government official said the race had been canceled because of financial problems.

Marcel Charmant, president of the local council in the Nievre region, said the company running Magny-Cours could not pay Ecclestone the guarantees he required ahead of the race.

But minister Jean-Francois Lamour said in a statement a decision had yet to be taken.

He said he would be supporting efforts by the French motor racing federation to persuade the sport's ruling body, the FIA, to keep the race on the 2004 calendar "for the good of motor sport."

In an interview with the local newspaper Journal du Centre on Saturday, Charmant said the 2003 Grand Prix had made a loss for the second year running.

According to the L'Equipe Web site, the department in central France which contains Magny-Cours will be asked next month to provide 4.5 million euros ($5.34 million) to cover the 2003 deficit.

When the FIA announced their 2004 calendar in September, the Magny-Cours race was said to be "subject to contract."