A spokesman for R.J. Reynolds Tobacco said Tuesday night that there’s no validity to an [ESPN] Internet report saying the company is considering ending its sponsorship of NASCAR’s top series after the 2003 season. An ESPN.com story quotes an anonymous source as saying RJR, which has the name of one of its brands of cigarettes on the Winston Cup series, “would walk away if a suitable replacement could be found.” But Denny Darnell, senior manager of media relations for Sports Marketing Enterprises, the division of RJR that directs the NASCAR program, said the company isn’t looking to leave. “We have just signed a multi-year deal with NASCAR to continue our long-running partnership,” Darnell said. “We’re looking forward to the 2003 season and beyond.” Winston began its sponsorship of NASCAR’s top series in 1971 and has spent millions in bonus and points fund money since.( ThatsRacin.com )(2-5-2003) UPDATE 2 – But: Ned Leary, president of R.J. Reynolds Tobacco Co.’s Sports Marketing Enterprises arm, issued a statement Wednesday afternoon confirming discussions with NASCAR about RJR ending its sponsorship of the Winston Cup series. “Winston and NASCAR have been partners for over 30 years. We signed a five-year contract for the NASCAR Winston Cup series sponsorship last July,” Leary said. “Since that time, our business dynamics have changed dramatically. In our ongoing conversations with NASCAR, we have discussed the potential of their exploring a new series sponsor at some time in the future.” Leary did not say how serious the talks were or provide a timetable for a possible such changes. “We have always worked with NASCAR and others to do what was in the best interests of this great sport. As the series sponsor, we will continue our work to grow this sport,” he said. The statement comes one day after an Internet report claimed RJR was considering ending its sponsorship of NASCAR’s top series after the 2003 season. An ESPN.com story quoted an anonymous source as saying RJR, which has the name of one of its cigarette brands on the Winston Cup series, “would walk away if a suitable replacement could be found.” Denny Darnell, a spokesman for SME, had said Tuesday that night the company looked forward to a long relationship with NASCAR. Darnell said Wednesday he was not aware of a meeting between RJR and NASCAR officials on the subject when he had said that.( ThatsRacin.com ) AND from NASCAR.com: The Winston Cup in the NASCAR Winston Cup Series may be gone after 2003. The R.J. Reynolds Tobacco Company said it has talked with NASCAR about the possibility of the sanctioning body finding another company to become the title sponsor of stock-car racing’s top division. Last July, RJR signed a five-year agreement to continue as the backer of the Winston Cup Series. But times have changed, said Ned Leary, president of Sports Marketing Enterprises, the arm of RJR that handles NASCAR sponsorship. The news is a bombshell in the NASCAR world. RJR has been the title sponsor since 1971, when the company came into the sport as manufacturers were leaving. Many have considered Winston to be a saving grace to NASCAR, establishing a points fund and pumping millions of dollars into the sport. Winston Cup has become synonymous with NASCAR in the years since. Last week, Winston announced an increase in its season-ending points fund to $17 million, with the Winston Cup champion getting $4.25 million. But on Jan. 6, perhaps a sign of things to come, RJR announced it was discontinuing the No Bull 5 program that could have handed out a $1 million bonus to a driver and fan at one of five selected races. R.J. Reynolds Tobacco Holdings Inc., the parent company of RJR, announced last week losses in the fourth quarter of 2002. The company lost $59 million in the final three months, as opposed to an $89 million profit in the same span of 2001. The company blamed increased spending on promotions on the losses, saying it needed to spend more to compete with other tobacco companies both large and small. The company also had a $224 million restructuring charge for the elimination of 635 jobs and the proposed sale of two businesses, according to the Winston-Salem Journal. RJR also had a loss in the first quarter of 2002, and profits for the entire year were down compared to 2001. Leary set no timetable for when Winston could leave the sport. “We have always worked with NASCAR and others to do what was in the best interest of this great sport,” Leary said. “As the series sponsor, we will continue our work to grow this sport.”( NASCAR.com )(2-5-2003)
