Associated Press - November 10, 2009 10:54 AM ET

SAN DIEGO (AP) - Defending America's Cup champion Alinghi of Switzerland says it is preparing to hold its showdown against American challenger BMW Oracle Racing in Valencia, Spain, starting Feb. 8.

In a letter Tuesday to New York State Supreme Court Justice Shirely Kornreich, Alinghi's yacht club, Societe Nautique de Geneve, said talks to resolve its long, bitter legal fight with San Francisco's Golden Gate Yacht Club had broken down.

The Swiss said they intend to publish a Notice of Race immediately.

GGYC didn't have an immediate response.

Also Tuesday, BMW Oracle Racing began installing an enormous wing sail on its monster trimaran at its boatyard on San Diego Bay.

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