DAYTONA BEACH, Fla. - Ginn Racing is not broke.
Ginn Racing will be racing all three Cup teams at Chicago Speedway next weekend.
Ginn Racing is not selling off the Nos. 13 or 14 for points to other teams.
However, Ginn Racing did let go of seven people earlier in the week, is expected to discontinue a full-time effort in the Busch Series after Daytona and is currently revisiting preseason talks of a merger with Dale Earnhardt Inc.
Bottom line: Ginn expanded too quickly and it was time to cut the fat.
At least Ginn could afford to do that. Morgan-McClure laid off five people last week — including long-time employees — where there wasn't any excess to snip.
"It was a business decision," said Morgan-McClure crew chief Chris Carrier. "We don't have Salvation Army on the door. We tried to weigh fairness into the equation. There just were no other solutions."
Team owner Larry McClure, who took the weekend off to celebrate his 30th wedding anniversary, made the right decision. With the qualifying rainout, his driver — 2002 Daytona 500 winner Ward Burton — didn't make the race.
Who would have imagined 11 years ago after Morgan-McClure won its fifth Daytona race in six years that the team wouldn't be around to race on Saturday night?
Ginn GM Jay Frye has been forthcoming with the media. When the season started he expected to have three fully-funded race teams. That didn't happen. Panasonic didn't come through. Ginn Resorts was the sponsor of record on both the Nos. 13 and 14. It's not unlike other owners, Gene Haas for one, who decorate their cars with their own interests. Race cars are the best mobile billboards in the world. Why not?
Even without outside funding, Sterling Marlin and crew chief Slugger Labbe accomplished what no other team outside the top 35 in 2006 owner points could do — qualify for the first five races. Still, Frye humbly admits he'd be better off with two strong teams rather than three diluted squads.
A Ginn-DEI marriage provides positives for both organizations. Ginn can benefit from DEI sponsor and marketing relations. DEI acquires the long-needed space it's desired along with owner points for Paul Menard from the No. 13. With the newly formed DEI/RCR engine development program, there would be eight cars to pull data from instead of six. RCR is currently putting the pieces together for a fourth team as well. Part of Hendrick Motorsports success stems from the amount of feedback it receives from providing engines for nine teams. DEI/RCR hopes to make similar gains. At the least, DEI could pick up one team from Ginn and continue a satellite partnership in similar fashion to Hendrick and Haas.
NASCAR's top-35 rule protects its strongest organizations. That hasn't been a problem for Ginn — yet. The Car of Tomorrow, that was billed as the great equalizer, has widened the gap between the three tiers of Nextel Cup. Perhaps this was the simple solution to weed out the weaker teams if NASCAR moves to franchising in 2009.
At the top, the Hendrick, Roush, Gibbs and Childress outfits have prospered. DEI and Penske have tremendous talent and are rebounding nicely at the second level of the top tier. Although Richard Petty denied that a merger between Petty Enterprises and Evernham Motorsports is in the works, a blending of NASCAR's first family with the depth of engineering at EMS could bring instant cachet and elevate that marriage to the upper echelon.
The COT has wreaked havoc with the secondary and tertiary organizations. The budgets simply can't accommodate the research and development expense, particularly when it comes to extensive supplementary testing. Under a single-car plan, Ginn's stability would have never been questioned. Robert Yates Racing, who waited until the 11th hour to develop the COT, has been at a loss all season. Bill Davis Racing — which received no factory support during its Dodge swan song — has been hindered not only by the switch to Toyota but also by having to build new current models as well as COTs.
The Pettys have come to the realization that by moving close to the racing hub of Concord/Mooresville north of Charlotte, the company will be able to draw from a more specialized labor pool. A similar move by the Wood Brothers has produced marginal results. Latest addition Bill Elliott has ignited a long needed spark. Despite the Woods' long relationship with Ford, unless they partner with Yates or another blue oval operation, Roush could spin off Fenway into its own organization and control the manufacturer's purse strings.
It was assumed when Chip Ganassi brought Juan Pablo Montoya into the fold, it would renew his interest in stock cars. Ganassi started the season strong but has fallen off lately. Acquisition of talent will determine whether Ganassi reaches its potential.
If progress by the middle tier has suffered because of the COT, think of the remaining organizations. How long can BAM or Morgan-McClure continue at this rate? Haas-CNC, a satellite effort of Hendrick Motorsports, decided to install Joe Custer as the owner of record going into Michigan, with Gene Haas' September court date looming.
Hall of Fame Racing, with strong ties to Gibbs, hoped to merge or expand but is still waiting to see if the mother ship switches to Toyota before making further commitments. Denver-based Furniture Row Racing, which rents space from Ginn as an East Coast satellite, has been rumored to be running Marlin on a limited schedule next season but would like to use the affable Kenny Wallace to garner new sponsorship for the 78 and move Furniture Row to a second team. Ginn has denied Marlin's owner points would be part of that package.
However, there was pre-season talk of a DEI/Ginn merger, and that story has heated up again. Robby Gordon attempted a merger with Yates last year that never came to fruition, but still hopes to add a second team by 2008.
As with Davis, the transition to Toyota for Michael Waltrip Racing and Red Bull Racing has been miserable. Waltrip's struggle has spawned rumors of a Penske buyout, which would ease the Captain's conversion to Toyota and immediately expand Penske's stable to four teams — the magic number that NASCAR has proposed to max out the organizations.
Will Red Bull even remain under the Toyota banner in the future if they intend on moving forward? Vickers has been strong -- when he qualifies for races -- but with only 10 starts and eight for his teammate A.J. Allmendinger, neither driver has a shot of being among the top 35 rolling into 2008. Could a jump to Chevrolet be in the works?
Keep in mind the "four" factor. If NASCAR contracts to 44 franchised teams and 11 owners, here's how it could shape up.
1. Hendrick — Done deal.
2. Roush — Needs to trim, Fenway spin-off possibility, but would be an overwhelming undertaking.
3. Gibbs — According to Coach, not next year. Bringing in HoF is an instant solution.
4. Childress — In the works.
5. DEI/Ginn — On the radar screen. Could be expedited quicker by Ginn merger.
6. Penske — Waltrip buyout seals the deal.
7. Evernham — Merge with Petty, lose the No. 10.
8. Ganassi — All the pieces are there.
9. Yates/Woods — Steeped in Ford history.
10 Davis — Toyota's first choice. But will it be second fiddle to a Penske or Gibbs in the future?
11. Red Bull/? — They'll need another well-heeled organization that could substantially fund two teams.
Consolidation is the key to building a stronger NASCAR. A constant number of cars will add to the stability of the sport. The most damaging effect to competition this season has been sending teams home. Calls to the sponsors on Friday have soured potential long-term relationships that are necessary for NASCAR's continued growth.
Whether NASCAR decides to franchise on its own or natural selection takes over, only the fittest will survive.
Ginn Racing will be racing all three Cup teams at Chicago Speedway next weekend.
Ginn Racing is not selling off the Nos. 13 or 14 for points to other teams.
However, Ginn Racing did let go of seven people earlier in the week, is expected to discontinue a full-time effort in the Busch Series after Daytona and is currently revisiting preseason talks of a merger with Dale Earnhardt Inc.
Bottom line: Ginn expanded too quickly and it was time to cut the fat.
At least Ginn could afford to do that. Morgan-McClure laid off five people last week — including long-time employees — where there wasn't any excess to snip.
"It was a business decision," said Morgan-McClure crew chief Chris Carrier. "We don't have Salvation Army on the door. We tried to weigh fairness into the equation. There just were no other solutions."
Team owner Larry McClure, who took the weekend off to celebrate his 30th wedding anniversary, made the right decision. With the qualifying rainout, his driver — 2002 Daytona 500 winner Ward Burton — didn't make the race.
Who would have imagined 11 years ago after Morgan-McClure won its fifth Daytona race in six years that the team wouldn't be around to race on Saturday night?
Ginn GM Jay Frye has been forthcoming with the media. When the season started he expected to have three fully-funded race teams. That didn't happen. Panasonic didn't come through. Ginn Resorts was the sponsor of record on both the Nos. 13 and 14. It's not unlike other owners, Gene Haas for one, who decorate their cars with their own interests. Race cars are the best mobile billboards in the world. Why not?
Even without outside funding, Sterling Marlin and crew chief Slugger Labbe accomplished what no other team outside the top 35 in 2006 owner points could do — qualify for the first five races. Still, Frye humbly admits he'd be better off with two strong teams rather than three diluted squads.
A Ginn-DEI marriage provides positives for both organizations. Ginn can benefit from DEI sponsor and marketing relations. DEI acquires the long-needed space it's desired along with owner points for Paul Menard from the No. 13. With the newly formed DEI/RCR engine development program, there would be eight cars to pull data from instead of six. RCR is currently putting the pieces together for a fourth team as well. Part of Hendrick Motorsports success stems from the amount of feedback it receives from providing engines for nine teams. DEI/RCR hopes to make similar gains. At the least, DEI could pick up one team from Ginn and continue a satellite partnership in similar fashion to Hendrick and Haas.
NASCAR's top-35 rule protects its strongest organizations. That hasn't been a problem for Ginn — yet. The Car of Tomorrow, that was billed as the great equalizer, has widened the gap between the three tiers of Nextel Cup. Perhaps this was the simple solution to weed out the weaker teams if NASCAR moves to franchising in 2009.
At the top, the Hendrick, Roush, Gibbs and Childress outfits have prospered. DEI and Penske have tremendous talent and are rebounding nicely at the second level of the top tier. Although Richard Petty denied that a merger between Petty Enterprises and Evernham Motorsports is in the works, a blending of NASCAR's first family with the depth of engineering at EMS could bring instant cachet and elevate that marriage to the upper echelon.
The COT has wreaked havoc with the secondary and tertiary organizations. The budgets simply can't accommodate the research and development expense, particularly when it comes to extensive supplementary testing. Under a single-car plan, Ginn's stability would have never been questioned. Robert Yates Racing, who waited until the 11th hour to develop the COT, has been at a loss all season. Bill Davis Racing — which received no factory support during its Dodge swan song — has been hindered not only by the switch to Toyota but also by having to build new current models as well as COTs.
The Pettys have come to the realization that by moving close to the racing hub of Concord/Mooresville north of Charlotte, the company will be able to draw from a more specialized labor pool. A similar move by the Wood Brothers has produced marginal results. Latest addition Bill Elliott has ignited a long needed spark. Despite the Woods' long relationship with Ford, unless they partner with Yates or another blue oval operation, Roush could spin off Fenway into its own organization and control the manufacturer's purse strings.
It was assumed when Chip Ganassi brought Juan Pablo Montoya into the fold, it would renew his interest in stock cars. Ganassi started the season strong but has fallen off lately. Acquisition of talent will determine whether Ganassi reaches its potential.
If progress by the middle tier has suffered because of the COT, think of the remaining organizations. How long can BAM or Morgan-McClure continue at this rate? Haas-CNC, a satellite effort of Hendrick Motorsports, decided to install Joe Custer as the owner of record going into Michigan, with Gene Haas' September court date looming.
Hall of Fame Racing, with strong ties to Gibbs, hoped to merge or expand but is still waiting to see if the mother ship switches to Toyota before making further commitments. Denver-based Furniture Row Racing, which rents space from Ginn as an East Coast satellite, has been rumored to be running Marlin on a limited schedule next season but would like to use the affable Kenny Wallace to garner new sponsorship for the 78 and move Furniture Row to a second team. Ginn has denied Marlin's owner points would be part of that package.
However, there was pre-season talk of a DEI/Ginn merger, and that story has heated up again. Robby Gordon attempted a merger with Yates last year that never came to fruition, but still hopes to add a second team by 2008.
As with Davis, the transition to Toyota for Michael Waltrip Racing and Red Bull Racing has been miserable. Waltrip's struggle has spawned rumors of a Penske buyout, which would ease the Captain's conversion to Toyota and immediately expand Penske's stable to four teams — the magic number that NASCAR has proposed to max out the organizations.
Will Red Bull even remain under the Toyota banner in the future if they intend on moving forward? Vickers has been strong -- when he qualifies for races -- but with only 10 starts and eight for his teammate A.J. Allmendinger, neither driver has a shot of being among the top 35 rolling into 2008. Could a jump to Chevrolet be in the works?
Keep in mind the "four" factor. If NASCAR contracts to 44 franchised teams and 11 owners, here's how it could shape up.
1. Hendrick — Done deal.
2. Roush — Needs to trim, Fenway spin-off possibility, but would be an overwhelming undertaking.
3. Gibbs — According to Coach, not next year. Bringing in HoF is an instant solution.
4. Childress — In the works.
5. DEI/Ginn — On the radar screen. Could be expedited quicker by Ginn merger.
6. Penske — Waltrip buyout seals the deal.
7. Evernham — Merge with Petty, lose the No. 10.
8. Ganassi — All the pieces are there.
9. Yates/Woods — Steeped in Ford history.
10 Davis — Toyota's first choice. But will it be second fiddle to a Penske or Gibbs in the future?
11. Red Bull/? — They'll need another well-heeled organization that could substantially fund two teams.
Consolidation is the key to building a stronger NASCAR. A constant number of cars will add to the stability of the sport. The most damaging effect to competition this season has been sending teams home. Calls to the sponsors on Friday have soured potential long-term relationships that are necessary for NASCAR's continued growth.
Whether NASCAR decides to franchise on its own or natural selection takes over, only the fittest will survive.
