RLR won the Indianapolis 500 with Buddy Rice in 2004 and brought Danica Patrick to the IndyCar Series.
"At this time Rahal Letterman will not be in the IRL in 2009," team co-owner Bobby Rahal told The Associated Press in an e-mail Thursday.
American driver Ryan Hunter-Reay drove for RLR last season and won the race last July at Watkins Glen.
Rahal - Letterman Racing say it will continue to seek sponsorship as well and concentrate on its sports car alliance with BMW in the American Le Mans Series.
RLR is co-owned by talk-show host David Letterman.
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