Nothing at GM is off-limits-including its high-profile NASCAR program – company executives warned as the automaker went public Tuesday in Detroit with its latest round of cost-cutting measures. With the auto industry in North America taking a beating, GM racing director Mark Kent said that every level of motorsports that GM supports-from the giant stock-car racing series NASCAR to the grassroots Sports Car Club of America-is being evaluated. GM also competes in the NHRA, USAC midgets/sprints and the American Le Mans Series. “Racing is not exempt (from cuts),” Kent said last week. “We are looking at ways to be even more efficient … looking to see if they are genuinely positioned for a positive return on investment.” Troy Clarke, president of GM North America, added: Motorsports “have not gone without scrutiny. I’m not going to get into specifics about NASCAR. But there will be modifications-changes in our marketing footprint-in this area.” GM’s NASCAR program, which has enjoyed great success and supports 12 Chevy teams, is under review, as is all of the racing GM supports, Kent said. “NASCAR, SCCA club racing-we are looking at where we need to be.” Funding a championship-winning team such as Chevy’s Hendrick Motorsports and drivers of the caliber of Jeff Gordon, Jimmie Johnson and Dale Earnhardt Jr. costs GM at least $30 million a year.(The Oylmpian)(7-16-2008) UPDATE: Troubled General Motors has notified two racetracks that run NASCAR events that their current contracts will not be renewed as part of an overall $10 billion cost-cutting program. That seems to be just the first step in what could be a huge drop in support by GM, Ford and Chrysler for tracks and teams in NASCAR’s top three professional divisions, the NHRA and other racing series in the face of the weakest U.S. auto sales in a decade. Speedway Motorsports Inc., which owns eight tracks that hold NASCAR events, already has been told GM will not renew contracts at two tracks – New Hampshire Motor Speedway and Bristol Motor Speedway. GM has contracts with 12 of the 22 tracks where NASCAR’s top Sprint Cup series races and is the title sponsor for the fall race at Richmond International Raceway. GM also is the official vehicle provider for Daytona International Speedway, owned by International Speedway Corp., and a track spokesman said they have not been notified of any impending change.(Associated Press/CNNMoney.com) AND: Richmond International Raceway is not one of the two tracks [having contracts not renewed]. GM is the title sponsor for the fall NASCAR Sprint Cup race at RIR — The Chevy Rock and Roll 400. Aimee Turner, spokeswoman for RIR, said Wednesday that Chevy’s partnership with the track runs through 2010. That deal includes not only naming rights for the September race, but also Chevy’s status as the official vehicle of the track.(Richmond Times Dispatch)(7-17-2008)
