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PureDeathRacing
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Texas-sized battle is taking shape in NASCAR.
Bruton Smith, the most powerful figure this side of the France family, finds himself in a fight because NASCAR won't give him another Winston Cup race at his highly profitable Texas Motor Speedway.
Francis Ferko of Plano, Texas, who owns stock in the Fort Worth track, sued NASCAR in February for allegedly reneging on an agreement to grant a second Winston Cup race. The 1.5-mile oval already has a race in early April.
While Smith is not a plaintiff in the case, he contends that NASCAR -- which is run by the France family -- steered new races to tracks that the Frances control through their publicly owned company, International Speedway Corp.
Since 1996, NASCAR has added five races to its schedule. Four of those -- California, Chicago, Kansas and Homestead, Fla. -- are at tracks that are owned by or have ties to ISC. The other is Las Vegas, which was purchased by Smith's company after it already had a Winston Cup race.
``The antitrust issues in this litigation are compelling,'' said Sam Cherry, an attorney for Ferko. ``What you basically have is a regulatory body that is granting races to its sister company.''
Smith was never actually granted a race in Texas. He landed the April date by purchasing 50 percent of the historic track in North Wilkesboro, N.C., and moving one of its Winston Cup events to his new facility in 1997.
Smith said he was under the impression that NASCAR would grant him a second race, boosting the track's profit margin significantly. Certainly, there's plenty of fan demand -- Texas annually draw about 200,000 fans, making it one of the nation's largest one-day sporting events.
``I was promised a date and I never did get it,'' Smith said. ``I should have it three or four years ago. Of course, they've given themselves four dates during that period. If that unfair? I think so.''
NASCAR insists that it never promised Texas another race. Officials say they are working to balance the best interests of the sport, including growth and historical issues.
Thirteen of the circuit's older tracks have two races a year, but NASCAR can't make that commitment to newer facilities with a schedule that has grown to 36 races.
``Basically it comes down to this,'' said George Pyne, NASCAR's senior vice president. ``Has our growth and strategy been good for everyone over the last five to 10 years, or not? I think we've got the track record.''
Cherry contends that NASCAR's strategy is based on favoritism. If the governing body doesn't want to add another race to its crowded calendar, then take away one from a less-successful track.
``Why are they running two annual Winston Cup races at Rockingham, where they can't fill up either race, and Darlington, where they have to give tickets away to get people there, when there's a facility (at Texas) that can put 200,000 folks in the stands and is dying, begging for another race?'' Cherry asked. ``Only one reason: Because they don't own the track.''
Kentucky Speedway is an outsider in the dispute, owned by neither Smith nor the Frances.
Still, NASCAR's treatment of Kentucky is interesting. The $160 million, 66,000-seat facility has drawn overflow crowds for two Busch races -- a step below Winston Cup -- but hasn't been granted a big-time event.
NASCAR has passed over Kentucky on the 2003 schedule as well. By comparison, similar-sized facilities in Chicago and Kansas City were granted Winston Cup races as soon as they opened.
With analysts estimating that a single Winston Cup race generates $18 million, the stakes are high.
``We are the largest, best facility in America without a date,'' said Mark Cassis, the track's general manager. ``That does get me a little discouraged.''
Kentucky has already pledged to NASCAR that it would increase seating capacity to at least 80,000 and double the number of luxury boxes from 50 to 100 if granted a Winston Cup event. Still, no race.
``We've proven ourselves,'' Cassis said. ``I've got my fingers crossed that '04 will be our time. We'll be ready.''
Eliot Disner, an attorney who has specialized in antitrust cases for more than 20 years, said Texas Motor Speedway will have a hard time making its case on antitrust grounds.
``The problem I see is the plaintiff is a guy who's not been shut out,'' Disner said. ``He's got one race already and wants a second one. ... The better plaintiff would be someone who's shut out completely.''
One such track might be Kentucky.
Disner imagined what his might closing argument might sound like if he was representing the track in front of a Kentucky jury.
``I might say, 'You've heard NASCAR say they treated Kentucky fairly. Actually, they've shown great disrespect for Kentucky. They've given us the Busch league. They think we're bush league. Go out and teach them a lesson.' I can kind of see that thing working,'' Disner said.
But, he added, NASCAR would certainly argue that it can't be in all 50 states and has done its best to spread the sport to all corners of the country. The Kentucky track is within driving distance of Indianapolis and Bristol, Tenn.
``Tough competition is fair,'' Disner said. ``This isn't like nursery school. The law not only tolerates aggressive competition, it encourages it. That's a way to get the best product.''
Bruton Smith, the most powerful figure this side of the France family, finds himself in a fight because NASCAR won't give him another Winston Cup race at his highly profitable Texas Motor Speedway.
Francis Ferko of Plano, Texas, who owns stock in the Fort Worth track, sued NASCAR in February for allegedly reneging on an agreement to grant a second Winston Cup race. The 1.5-mile oval already has a race in early April.
While Smith is not a plaintiff in the case, he contends that NASCAR -- which is run by the France family -- steered new races to tracks that the Frances control through their publicly owned company, International Speedway Corp.
Since 1996, NASCAR has added five races to its schedule. Four of those -- California, Chicago, Kansas and Homestead, Fla. -- are at tracks that are owned by or have ties to ISC. The other is Las Vegas, which was purchased by Smith's company after it already had a Winston Cup race.
``The antitrust issues in this litigation are compelling,'' said Sam Cherry, an attorney for Ferko. ``What you basically have is a regulatory body that is granting races to its sister company.''
Smith was never actually granted a race in Texas. He landed the April date by purchasing 50 percent of the historic track in North Wilkesboro, N.C., and moving one of its Winston Cup events to his new facility in 1997.
Smith said he was under the impression that NASCAR would grant him a second race, boosting the track's profit margin significantly. Certainly, there's plenty of fan demand -- Texas annually draw about 200,000 fans, making it one of the nation's largest one-day sporting events.
``I was promised a date and I never did get it,'' Smith said. ``I should have it three or four years ago. Of course, they've given themselves four dates during that period. If that unfair? I think so.''
NASCAR insists that it never promised Texas another race. Officials say they are working to balance the best interests of the sport, including growth and historical issues.
Thirteen of the circuit's older tracks have two races a year, but NASCAR can't make that commitment to newer facilities with a schedule that has grown to 36 races.
``Basically it comes down to this,'' said George Pyne, NASCAR's senior vice president. ``Has our growth and strategy been good for everyone over the last five to 10 years, or not? I think we've got the track record.''
Cherry contends that NASCAR's strategy is based on favoritism. If the governing body doesn't want to add another race to its crowded calendar, then take away one from a less-successful track.
``Why are they running two annual Winston Cup races at Rockingham, where they can't fill up either race, and Darlington, where they have to give tickets away to get people there, when there's a facility (at Texas) that can put 200,000 folks in the stands and is dying, begging for another race?'' Cherry asked. ``Only one reason: Because they don't own the track.''
Kentucky Speedway is an outsider in the dispute, owned by neither Smith nor the Frances.
Still, NASCAR's treatment of Kentucky is interesting. The $160 million, 66,000-seat facility has drawn overflow crowds for two Busch races -- a step below Winston Cup -- but hasn't been granted a big-time event.
NASCAR has passed over Kentucky on the 2003 schedule as well. By comparison, similar-sized facilities in Chicago and Kansas City were granted Winston Cup races as soon as they opened.
With analysts estimating that a single Winston Cup race generates $18 million, the stakes are high.
``We are the largest, best facility in America without a date,'' said Mark Cassis, the track's general manager. ``That does get me a little discouraged.''
Kentucky has already pledged to NASCAR that it would increase seating capacity to at least 80,000 and double the number of luxury boxes from 50 to 100 if granted a Winston Cup event. Still, no race.
``We've proven ourselves,'' Cassis said. ``I've got my fingers crossed that '04 will be our time. We'll be ready.''
Eliot Disner, an attorney who has specialized in antitrust cases for more than 20 years, said Texas Motor Speedway will have a hard time making its case on antitrust grounds.
``The problem I see is the plaintiff is a guy who's not been shut out,'' Disner said. ``He's got one race already and wants a second one. ... The better plaintiff would be someone who's shut out completely.''
One such track might be Kentucky.
Disner imagined what his might closing argument might sound like if he was representing the track in front of a Kentucky jury.
``I might say, 'You've heard NASCAR say they treated Kentucky fairly. Actually, they've shown great disrespect for Kentucky. They've given us the Busch league. They think we're bush league. Go out and teach them a lesson.' I can kind of see that thing working,'' Disner said.
But, he added, NASCAR would certainly argue that it can't be in all 50 states and has done its best to spread the sport to all corners of the country. The Kentucky track is within driving distance of Indianapolis and Bristol, Tenn.
``Tough competition is fair,'' Disner said. ``This isn't like nursery school. The law not only tolerates aggressive competition, it encourages it. That's a way to get the best product.''
Well---you mentioned "Darlington and The Rock")...I read on one of the "Forums" a couple of weeks ago-- that "ISC" Tracks --ALL--went up on Price of tickets for the 2003 season.. Somehow that does not surprise me...!! Smith has held the pricing Firm for His Tracks--and "in accordance with a News letter that i recieve---"---Gauranteed to Hold Firm thru 2004... I also see where he is "Increasing" the Number of seats at Bristol--to around 170,000... That is awesome---compared to the "Rock---Darlington---or even Kentucky".... I'll venture to say this---""If Kentucky does NOT get a race by 2004... It will close its doors--and go Bankrupt...".. Then a "Bidding War" between ISC and Smith--with take place---just like Darlington---when Smith tried to buy it... They would have LOst ONE race--to Texas---and MAYBE--the other to "Lost Wages"....