Dennis Conner, the hard-nosed Californian who became godfather of the world's oldest sporting trophy - sailing's Americas Cup - exited the competition yesterday after a humiliating defeat.

In a must-win race, Conner's Stars and Stripes lost the start and at the first mark was trailing by a minute and a half as America True, led by Dawn Riley, began capitalising on her lead.

Riley, who Conner once dismissed as "just a girl", kept the margin throughout the race.

Conner's defeat was good news for Italy's popular Prada Challenge, which now joins San Francisco's AmericaOne in the finals. The winner goes on to meet Team New Zealand in the best of nine races for the Americas Cup, beginning on February 19th.

This was the eighth campaign for the cup by Conner, who won the trophy four times and lost it on three occasions.

Conner now says it depends on where the next cup is as to whether he goes for it again - and whether his wife, Daintry, lets him.

"It's very hard to raise money in the United States if the event is in New Zealand. I have a lot of bills left," Conner said.

Conner's challenge was the best of the one-boat campaigns. Stars and Stripes was built late, without the tank testing and computer testing enjoyed by the better-funded syndicates.

He said there were no prizes for being the best one-boat challenge. "While it's nice to know we got a lot out of our programme, the bottom line is to come here and win the cup."

Prada boss Patrizio Bertelli had no sympathy. "We never have compassion for a race. One loses and one wins and that's it," he said.

Bertelli put $100 million into the campaign and was delighted that two years' work had been rewarded.

"You know that there's been a couple of tough moments in the series, but its over," he said.

"AmericaOne's a very good challenge. They are a very strong team, and I believe that with the format of the finals, the best of nine, the strongest team will come out," he said.

Conner had already had a point deducted in the semi-finals for using an illegal rudder, and on Thursday night Prada filed a protest claiming it was also using an illegal sail.

At the Viaduct Basin, home to the cup competition, Prada's challenge was seen as having a very good chance of succeeding.

Conner must have known he was dead by lunch yesterday - an hour before the race was to start and the Gulf was flat and the air was barely moving, conditions which did not suit his entry.

Stars and Stripes, in the language of the cup, was a dog in light air.