Purses to decrease by 10%

[mike honcho]

NASCAR cutting race purses to all three series: As part of its cost-cutting measures, NASCAR is decreasing the amount it will pay teams in race winnings by approximately 10 percent in 2010. Dover Motorsports Chief Executive Officer Denis McGlynn told financial analysts about the cut during a conference call Thursday, and NASCAR spokesman Ramsey Poston confirmed it Friday morning. Purses in all three national series  Sprint Cup, Nationwide and Camping World Truck  will decrease. The move will help the tracks, which pay purse fees and a separate sanction fee to NASCAR. Part of the purse fees include television money  tracks get 90 percent of the television money allocated for a race (NASCAR keeps the other 10 percent), and the tracks then must put 25 percent of the total television money allocated for the race back into the purse. The tracks then also contribute additional purse fees, as computed by NASCAR, with other contingency awards also added to the final purse. International Speedway Corp. officials reported Thursday that they expect television money will increase by about 2.5 percent this year but ticket revenues and other motorsports-related revenues are expected to drop 4-9 percent.(Scene Daily)(1-29-2010)

 

[MRM]

I guess this means the cash cow is officially dead. A couple of years ago, I kept wondering how these teams could justify spending all this money on these garage-mahals, travel in extreme luxury, and have 3 or 4 haulers per team. I guess some of that will have to come to an end, at least for now.

 

[Magicmiler]

I can't stand purses. I use a wallet.

 

[wilson89]

Sounds like an all out invitation to field fillers.

 

[Joniki]

I have to wonder how much $$$ the France family will be putting back into the sport as opposed to sucking $$$ OUT of the sport wherever they can.

 

[SST55]

I give Na$car credit for reducing ticket prices but the other expenses in going to a race, gas,food and lodging haven't changed. Lodging really kills you, a $100 room is $3-4-500 on a race weekend.
With teams facing increasing costs and sponsers cutting back or quitting all together this will really hurt the smaller teams and especially the start and parkers. If the purse for a 40th place S & P'er was enough to keep the doors open how can they survive if it's cut 10%? Will they survive is the real question.

 

[Magnethead]

I give Na$car credit for reducing ticket prices but the other expenses in going to a race, gas,food and lodging haven't changed. Lodging really kills you, a $100 room is $3-4-500 on a race weekend.
With teams facing increasing costs and sponsers cutting back or quitting all together this will really hurt the smaller teams and especially the start and parkers. If the purse for a 40th place S & P'er was enough to keep the doors open how can they survive if it's cut 10%? Will they survive is the real question.

or is NASCAR specifically trying to remove S&P's, or at least hamper them? $43,000 or what have you for 43rd, will go down to $38,700....

 

[SST55]

Correct me if i'm wrong but doesn't Na$car guarantee a full field in their TV contract? Haven't they "helped" smaller truck and NNW teams in the past year or so in order to have a full field? that 4 grand or whatever it is could be the make or break point.

 

[Mopardh9]

Correct me if i'm wrong but doesn't Na$car guarantee a full field in their TV contract? Haven't they "helped" smaller truck and NNW teams in the past year or so in order to have a full field? that 4 grand or whatever it is could be the make or break point.

There were quite a few races where there weren't full truck fields last year.