... The rumors mills ground furiously in Valencia trying to just predict the 33e America's Cup.

A photograph taken of guests on board Alinghi boss Ernesto Bertarelli's family yacht has led to speculation that Spain's Desafio Espanol will be the new challenger of record, or representative of the challenging syndicates.

Among those pictured on board the Vava were Societe Nautique de Geneve (SNG) president Pierre-Yves Firmenich and Desafio president Jose Ignacio Sanchez Galan. SNG is the yacht club that Alinghi are representing.

Swiss newspaper 24 Heures today reported that Firmenich was carrying a top-secret document – the protocol for the next America's Cup regatta.

If SUI 100 were to get the additional victory it needed over NZL 92, the protocol would be signed immediately with the new challenger of record, which 24 Heures named as Desafio.

The Spanish will not challenge again through their national federation as they did for AC 32, because Alinghi's legal experts believe that flies in the face of the Deed of Gift.

Instead, a yacht club of convenience has been formed through which the Spanish team will challenge, to be called Club Nautico Español and based at the current Desafío team base in the Port America's Cup. The president of the new yacht club is Manuel Xirivella, from Valencia and currently the Vice President of the Royal Spanish Yachting Federation (RFEV).

The newspaper also said the first part of a new contract had been placed with Valencia's regional authorities.

However, according to BMW Oracle Racing's Tom Ehman, the city and region must still pony up the €150 million that one hears Ernesto is asking (€60 million more than for AC 32) for the deal to be finalized.

Firmenich told 24 Heures that Alinghi and SNG would adopt the same procedure as they did with the then challenger of record, American syndicate Oracle Racing, on winning the cup in Auckland four years ago.

The aim was "to avoid a challenger coming forward up and messing up the cards by proposing a wild protocol like in 1987". The reference was to New Zealand businessman Michael Fay's rogue campaign, which led to the mismatch between Fay's big boat and American skipper Dennis Conner's catamaran off San Diego in 1988.

According to Tom Ehman, the next Cup will be in 2009 and the first pre-regatta will be early next year (January-February) in Dubai. A "huge, fantastic event" or so we are hearing. Then another Act or two in Europe next summer (possibly in connection with F1 Grands Prix including Monaco), and a final '08 Act in Valencia in connection with the F1 Grand Prix de Europa in Valencia next September or October.

Finally, Tom Ehman said they alter the AC Class, but again only incrementally by reducing the weight (max. displacement) by one ton thereby making them faster downwind but not obsoleting the current fleet. Composite rigging will be permitted to help balance the righting moments.

There is, however, discussion of going to a new 100-footer, with each team limited to building only one such new yacht. But that is more likely the AC 34 follow-on plan.