Well, if National Events become "Pro" only, I can guarantee they will go up considerably. Do the math, every sprotsman entry pays $250, who do you think is paying a good part of the overhead for these events?
NHRA Sold (1 Viewer)
- Thread starter Alan
- Start date
Well, if National Events become "Pro" only, I can guarantee they will go up considerably. Do the math, every sprotsman entry pays $250, who do you think is paying a good part of the overhead for these events?
Joker
Nitro Member
Lots of questions, I guess time will only tell the answers:
1. Will they divide national events where they have just the 4 pro classes and then NHRA will hold seperate events for the sportsman?
2. If #1 happens, then what about ticket prices at Nationals?
3. What about TAD and TAFC, I would assume they are still considered sportsman classes.
4. Or what about Pro Mod also.
5. I would think that if they split it and have pro only national events they would have to cut it down to atleast 2 days if not one and also cut time between rounds down. They would need filler classes so I cant see them not having Pro Mod and the alky guys there, but who knows.
6. What will the effect be on the sportsman guys?
7. Who actually gets the $121m? I still bet the sportsman guys dont see a dramatic change in payouts.
8. I would hope like already mentioned that they wouldnt close the pits. Thats what I love about our sport, however I would still go b/c I love the sport regardless of whether I could get up close or not. It just wouldnt be the same, but I would be there. And we still have the IHRA, ADRL, etc.
9. I wonder if they wont turn around and sell it to someone. I dont see Bruton wanting to own it but have no say in the rules and such but I dont know.
10. Getting bigger may not be better for fans however. I would love for our guys to make Nascar's money and have the sponsorship deals they do, but it all comes at a price, so we will see. Personally I dont think we will ever be half that big, but I would like to see sponsor $$$ improve and be able to attract more of them and I would absolutely love live tv if they could figure out a way to make it work without alot of downtime.
1. Will they divide national events where they have just the 4 pro classes and then NHRA will hold seperate events for the sportsman?
2. If #1 happens, then what about ticket prices at Nationals?
3. What about TAD and TAFC, I would assume they are still considered sportsman classes.
4. Or what about Pro Mod also.
5. I would think that if they split it and have pro only national events they would have to cut it down to atleast 2 days if not one and also cut time between rounds down. They would need filler classes so I cant see them not having Pro Mod and the alky guys there, but who knows.
6. What will the effect be on the sportsman guys?
7. Who actually gets the $121m? I still bet the sportsman guys dont see a dramatic change in payouts.
8. I would hope like already mentioned that they wouldnt close the pits. Thats what I love about our sport, however I would still go b/c I love the sport regardless of whether I could get up close or not. It just wouldnt be the same, but I would be there. And we still have the IHRA, ADRL, etc.
9. I wonder if they wont turn around and sell it to someone. I dont see Bruton wanting to own it but have no say in the rules and such but I dont know.
10. Getting bigger may not be better for fans however. I would love for our guys to make Nascar's money and have the sponsorship deals they do, but it all comes at a price, so we will see. Personally I dont think we will ever be half that big, but I would like to see sponsor $$$ improve and be able to attract more of them and I would absolutely love live tv if they could figure out a way to make it work without alot of downtime.
BlueStangGT
Nitro Member
For those of you (us) that are interested in the film archives... did anyone notice that the archives were part of the sold property? It would be difficult to imagine that they don't already of plans for all that footage.
Tom
Nitro Member
That will go over like a fart in church. Whose willing to pay more to get less? Not me.
Whatever changes that will take place probably won't happen till '09, that's when the Powers at be decide what's making $$$ and what's not. IF this new ownership only has imput on the Professioanl side of NHRA than the sportsman side should remain status quo. I would hate to see Pro mod given Pro status, that would kill the Alky classes overnight. Anyone remember how many Comp racers bailed out to play in PST?
Joker
Nitro Member
I think if they go to pro only national events then they would have to have pro mod and alky guys there for down time. Nothing against them, I like the classes but they are filler for pros. Hell, Pro Mod is my favorite class. And Joe, I personally believe that Pro Mod should be a pro class before the alky simply b/c the alky car DO NOT bring in a fan base at all. Some but not alot. The divisional races dont have alot of spectators but the ADRL is packed. Proof enough even more for me.
Right now I'm wondering how long membership has to file a law suit. If membership is being shafted, will the powers that be wait that long before making changes?
The TA guys do a fair amount of wondering about their classes. Now they really must be thinking!
Don, Mike, Alan, et al it would be very nice to hear from you!
Lee
Nitroclovers
The TA guys do a fair amount of wondering about their classes. Now they really must be thinking!
Don, Mike, Alan, et al it would be very nice to hear from you!
Lee
Nitroclovers
If the NHRA was sold for 121Mil, that's roughly 1x Revenues, which is basically a steal. 3-4 X Revenues would be a little more in line, I would think. Anyone agree? Also how does a public company operate as a not-for-profit organization when being public is all about being FOR profit?
Apples and Oranges Justin, the ADRL is self promoted not to mention the hundreds of free tickets. Alky classes have no free rein as to promote their shows, set purses, and ticket giveaways... A Stand alone Alky Dragster/FC show prmoted as the ADRL would probably do very well. And remember those ADRL shows are run mostly on 1/8 tracks, less stands to fill.
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DrRocket
Nitro Member
First off, I really have to laugh at the fact that this news caught everyone soooo flat footed. Especially after all the hoohah last year about the supposed "eminent sale" of the NHRA to Bruton Smith. I find it quite funny, actually.
Let's think about this. What does a deal like this entail?
130 mil for all that property seems pretty paltry to me. 4 tracks, including Indy? And NHRA headquarters? How about the museum? All of it sitting on some pretty valuable real estate. Does this mean the sportsman side of the organization are new renting space at HQ?
They mentioned "pit access" as being one of the special things about NHRA and that has me pretty nervous. I sure hope they don't continue to ape NASCAR and start to charge dearly for pit access, while at the same time tightly controlling where you "may" go and how much time you can be there.
If they DO split the sportsman events from the pro-shows entirely, what do they fill the space with between rounds? Can we take 30 straight minutes of THE POWERAID GUYS!!!!!!???
Let's think about this. What does a deal like this entail?
130 mil for all that property seems pretty paltry to me. 4 tracks, including Indy? And NHRA headquarters? How about the museum? All of it sitting on some pretty valuable real estate. Does this mean the sportsman side of the organization are new renting space at HQ?
They mentioned "pit access" as being one of the special things about NHRA and that has me pretty nervous. I sure hope they don't continue to ape NASCAR and start to charge dearly for pit access, while at the same time tightly controlling where you "may" go and how much time you can be there.
If they DO split the sportsman events from the pro-shows entirely, what do they fill the space with between rounds? Can we take 30 straight minutes of THE POWERAID GUYS!!!!!!???
Wes
Nitro Member
Dave
Nitro Member
I'll play the devil's advocate on this one.
I did the math. The last national event had 280 sportsman entries ($70,000). Of that, how much was paid out? How much extra does it cost for the extra employees (parking, registration, staging lanes, etc.) needed to manage the sportsman racers? I'm sure there are other costs involved that I haven't listed here.
I don't know the attendance figures for St. Louis, but if there were a total of 60,000 spectators over the weekend at an average of $35 (just an assumption) a ticket that is $2.1M. If each spectator spent just $10 on concessions and souvenirs you add in another $600K for a total of $2.7M.
$70,000 less expenses looks like a drop in the bucket to me. If having sportsman racers at national events were such a cash cow for the NHRA, why did they cut back on the number of classes at each event and why do they limit the number of participants in each class?
Flame away.
NitroRichFire
Nitro Member
ESPN ESPN.com: NHRA has tentative agreement to sell pro ranks
From ESPN...
"The NHRA will continue to control the amateur and sportsman classes of NHRA drag racing. The NHRA will also continue to establish the rules of the pro and sportsman classes, along with acting as the sanctioning body."
This is from ESPN. Does this mean that NHRA still gets the millions of member dollars every year or does that get split with the HD company.
My take is NHRA sold off the thing that cost them money and kept the thing that makes them money. Let me explain.
1. PRO's race for a purse and cost NHRA money.
2. Sportsman race for a very small purse and get a little trophy plus pay to be there. Sticker money comes from companies not NHRA.
3. The TV deal cost NHRA money and that was only for the PROs.
4. It cost money to keep tracks up to speed.
5. They still get the membership money and make all the rules.
6. They will not be held for racer deaths in the same way as before.
7. They still get all the company dollars for race sponsership
8. They still get some of the gate at all the races.
9. $121,000,000.00 reasons and they are still in charge.
10. Wally Parks gets to cash out before checking out.
Just my 2 cents
From ESPN...
"The NHRA will continue to control the amateur and sportsman classes of NHRA drag racing. The NHRA will also continue to establish the rules of the pro and sportsman classes, along with acting as the sanctioning body."
This is from ESPN. Does this mean that NHRA still gets the millions of member dollars every year or does that get split with the HD company.
My take is NHRA sold off the thing that cost them money and kept the thing that makes them money. Let me explain.
1. PRO's race for a purse and cost NHRA money.
2. Sportsman race for a very small purse and get a little trophy plus pay to be there. Sticker money comes from companies not NHRA.
3. The TV deal cost NHRA money and that was only for the PROs.
4. It cost money to keep tracks up to speed.
5. They still get the membership money and make all the rules.
6. They will not be held for racer deaths in the same way as before.
7. They still get all the company dollars for race sponsership
8. They still get some of the gate at all the races.
9. $121,000,000.00 reasons and they are still in charge.
10. Wally Parks gets to cash out before checking out.
Just my 2 cents
Jim
Nitro Member
I haven't done the math, but, if your number is correct, it is a steal!
As noted in later post, the real estate has to be worth something.
I guess the question is: Who's getting hosed by NHRA not demanding a "fair price" ? If one assumes (a BIG assumption) that the ALL $100 million goes to a pot to "benefit the sportsmen side of the house" (by providing economic stability to the member sector that PROBABLY doesn't make money and needs a subsidy) then, the individual NHRA member (to the extent he is getting less than a fair price) is being harmed. It just seems to me that NHRA Board and employed management have a fiduciary obligation to get the best price possible for the valuable assets to provide for the "not-for-profit" aspect.
Again, it just seems to me like this "Acquisition Vehicle" is a transitional device to strip the valuable assets THEN flip them for a "fair" price, no doubt, far beyond the amount the "Vehicle" paid -with no benefit to the non-profit estate and no value being added by the Acquisition Vehicle.
Frankly, the more you stir this the more it smells.
I can see the whole thing amounting to a release of liability .
Julie Russell , spectators , future accidents , etc .
Obviously not by virtue of responsibility but by creating a publicly traded entity that would basically put a corporate umbrella if you will over some of the new millionaires in Glendora . How would you sue a non profit group anyway ? I see a lot more money at stake for NHRA now , but I see a lot more money coming in once this is done . I see a grand marketing scheme . A better television show would have to be part of this for sure .
But if you really read between what was already said it gets a little vague or at best left to individual interpretation . The way I see it they are going to get more companies to invest in drag racing without sponsoring the teams or cars . Why would I throw 3 million a year at a race program when I could throw 3 million right now at the ground floor . 8 bucks a share is the new math that the Glendora people are looking at . That would hurt some of the teams the way I see it up front , but in the long run when this thing is nothing but a tower of money it will attract the other filthy rich people wanting something to do with the sport and once the big over turn in stocks has leveled out and wont be quit the money maker investment wise in the NHRA itself , then you will see the empire attract money to the sport in the form of sponsorships for the teams .
I can assume all the big money players in the sport currently are drooling at the chance to invest in their sport . I hope that the drivers associations get a bigger say in what happens as far as purses and safety .
Finally , yes I do also believe this package will some how evolve into an owner of the NHRA by virtue of share stock , not an out right owner of the whole thing . I think Bruton could swing 51% owner ship in stock here . They just put a bigger price tag on the NHRA for future sale also . I dont see a problem here folks , this should get us up to a bigger level . If they close off the pits it will be for liability reasons . The way around that is to sell us another ticket specifically for the pits with another waiver on the back . That will cut down the amount of people in the pits and create more revenue . I remember as a kid it was another 5 bucks to get into the pits . I think the ticket being a pit pass now was something they had to do when we had a big lull in attendance for awhile some years back . I dont see any attendance issues now .
Julie Russell , spectators , future accidents , etc .
Obviously not by virtue of responsibility but by creating a publicly traded entity that would basically put a corporate umbrella if you will over some of the new millionaires in Glendora . How would you sue a non profit group anyway ? I see a lot more money at stake for NHRA now , but I see a lot more money coming in once this is done . I see a grand marketing scheme . A better television show would have to be part of this for sure .
But if you really read between what was already said it gets a little vague or at best left to individual interpretation . The way I see it they are going to get more companies to invest in drag racing without sponsoring the teams or cars . Why would I throw 3 million a year at a race program when I could throw 3 million right now at the ground floor . 8 bucks a share is the new math that the Glendora people are looking at . That would hurt some of the teams the way I see it up front , but in the long run when this thing is nothing but a tower of money it will attract the other filthy rich people wanting something to do with the sport and once the big over turn in stocks has leveled out and wont be quit the money maker investment wise in the NHRA itself , then you will see the empire attract money to the sport in the form of sponsorships for the teams .
I can assume all the big money players in the sport currently are drooling at the chance to invest in their sport . I hope that the drivers associations get a bigger say in what happens as far as purses and safety .
Finally , yes I do also believe this package will some how evolve into an owner of the NHRA by virtue of share stock , not an out right owner of the whole thing . I think Bruton could swing 51% owner ship in stock here . They just put a bigger price tag on the NHRA for future sale also . I dont see a problem here folks , this should get us up to a bigger level . If they close off the pits it will be for liability reasons . The way around that is to sell us another ticket specifically for the pits with another waiver on the back . That will cut down the amount of people in the pits and create more revenue . I remember as a kid it was another 5 bucks to get into the pits . I think the ticket being a pit pass now was something they had to do when we had a big lull in attendance for awhile some years back . I dont see any attendance issues now .
I forgot , if someone is suing for 250,000,000 and all the "non-profit" group is worth is 120,000,000 then I also agree with some other people here . It is a lot of protection from losing all of the NHRA when we all know darn well this thing is worth way more than that . Maybe it is a big flip , but the people orchestrating this in Glendora got their share up front . I can assure you if this thing gets too outta hand then the IHRA will get alot more racers . I hope this goes well .
Wes, good read. I didn't read all of it since it's pretty long. But as long as NHRA and IHRA are separate entities and are in business to make a profit, I don't see how they could be combined. Over the last 30+ years a take sides approach has taken over the sport. Too many IHRA fans and racers think NHRA fans and racers are snobs and arrogant. Plus the IHRA has dedicated itself to the smaller rural markets that NHRA simply won't cater too. "IF" IHRA was ever sold to NHRA true the Sport could grow tremendously, but how anyone person could come up with a system that pleases even 60% of the racing contingent I think is Impossible!
robinjackson
Nitro Member
First, last year's surprise news about the Countdown. Now, this. At least give NHRA credit for their communication channel security.
Also, if they are intent on developing the asset and raising its profile, does this pave the way to the first million-dollar purse?
Also, if they are intent on developing the asset and raising its profile, does this pave the way to the first million-dollar purse?
