JT265
12-03-03, 06:01 PM
Honestly?
A sanctioning body. Simple, really. Does CART own patents and copyrights to the race cars or venues?
'Course not.
Besides the Atlantic Series, CART owns (IIRC) the Medical Center and a few transporters, all of which can be leased at a favorable price from any of the vendors currently in the market, as well as a long term lease on some overpriced real estate in NW Indy. Big freakin' deal.
Bridgestone have pledged support, as have Ford. While there is value in the 100 engines that CART owns, that is only IF they continue to run, otherwise they are museum pieces. Would Ford pledge some kinda financial support to OWRS to continue the 265 program? No idea, but I bet that Jerry has Dan on speed dial.
What about contracts?
The TV deal is about spending dough, so I see no worries there. How about venues and the promoters behind them?
I'm gonna take a wild guess here, but Players and Molson are two big fish in a Canadian pond, so I gotta think that the Canadian races are safe, as are the Mexican ones. Surfers I would bet is on board as well. That leaves the US market to ponder CART's fate, but let's consider sanctioning fees for a minute. CART prize payouts are piss-poor for a major series, so if we leave 'em where they are at, we gotta pay out $500,000 per race. If we go back to Gurneys white paper and trim office staff to a minimum, let's toss another 1/4 mil at the 1/2 and say we need $750,000 to race at your track, letting the promoter cover insurance. If the promoter can draw 100,000 people at an average ticket cost of $80, he's got 8 mil in his pocket to pay a sanction fee and the related stuff that he's involved with.
So, if we consider the Canadian, Mexican and Oz venues as solid, we need at least 6 US venues to have a series, and hopefully 8 or 10. When you factor in the economic impact of a race coming to town, it's a win-win for the area hands down, properly promoted of course. The three wise men don't foresee an issue with car count for OWRS (please change the name, ok?) ;), so that isn't an issue.
So, to sum up, what is CART, exactly? I've spent a lotta years around race shops, and I never sported wood over a bunch of idle carbon fiber, nor have I ever got teary-eyed staring at a shock dyno either, but my sense is that what we think of as CART is alive and well and looking to answer the bell with a clean slate in April '04.
Oh, and as a side note to the navel-gazing slobbering lurkers from Gooberforum that are crying foul cause MPH stock tanked, while all the while slammimg CART at every turn, WTF were you thinking??? That you could buy your way outta purgatory as soon as the stock hit $100? How exactly was the stock every gonna hit the zenith it had at the IPO? Growth? Wilke's ISP refusing his trade?
WHAT?????
If I was one of those whiney bastards that moan about how they bought at $20 only to see there investment tank at a quarter, (PSSSST! WIlke!!!! You only bought 10 shares dood, get over it! :D)
the LAST thing I'd do is brag about my financial genius on an internet forum. (or anywhere else for that matter)
A sanctioning body. Simple, really. Does CART own patents and copyrights to the race cars or venues?
'Course not.
Besides the Atlantic Series, CART owns (IIRC) the Medical Center and a few transporters, all of which can be leased at a favorable price from any of the vendors currently in the market, as well as a long term lease on some overpriced real estate in NW Indy. Big freakin' deal.
Bridgestone have pledged support, as have Ford. While there is value in the 100 engines that CART owns, that is only IF they continue to run, otherwise they are museum pieces. Would Ford pledge some kinda financial support to OWRS to continue the 265 program? No idea, but I bet that Jerry has Dan on speed dial.
What about contracts?
The TV deal is about spending dough, so I see no worries there. How about venues and the promoters behind them?
I'm gonna take a wild guess here, but Players and Molson are two big fish in a Canadian pond, so I gotta think that the Canadian races are safe, as are the Mexican ones. Surfers I would bet is on board as well. That leaves the US market to ponder CART's fate, but let's consider sanctioning fees for a minute. CART prize payouts are piss-poor for a major series, so if we leave 'em where they are at, we gotta pay out $500,000 per race. If we go back to Gurneys white paper and trim office staff to a minimum, let's toss another 1/4 mil at the 1/2 and say we need $750,000 to race at your track, letting the promoter cover insurance. If the promoter can draw 100,000 people at an average ticket cost of $80, he's got 8 mil in his pocket to pay a sanction fee and the related stuff that he's involved with.
So, if we consider the Canadian, Mexican and Oz venues as solid, we need at least 6 US venues to have a series, and hopefully 8 or 10. When you factor in the economic impact of a race coming to town, it's a win-win for the area hands down, properly promoted of course. The three wise men don't foresee an issue with car count for OWRS (please change the name, ok?) ;), so that isn't an issue.
So, to sum up, what is CART, exactly? I've spent a lotta years around race shops, and I never sported wood over a bunch of idle carbon fiber, nor have I ever got teary-eyed staring at a shock dyno either, but my sense is that what we think of as CART is alive and well and looking to answer the bell with a clean slate in April '04.
Oh, and as a side note to the navel-gazing slobbering lurkers from Gooberforum that are crying foul cause MPH stock tanked, while all the while slammimg CART at every turn, WTF were you thinking??? That you could buy your way outta purgatory as soon as the stock hit $100? How exactly was the stock every gonna hit the zenith it had at the IPO? Growth? Wilke's ISP refusing his trade?
WHAT?????
If I was one of those whiney bastards that moan about how they bought at $20 only to see there investment tank at a quarter, (PSSSST! WIlke!!!! You only bought 10 shares dood, get over it! :D)
the LAST thing I'd do is brag about my financial genius on an internet forum. (or anywhere else for that matter)