[Todd Kimmel]

Inside the Mind of Todd Kimmel
A weekly column by Todd talking about racing and the industry

• I am not trying to offend anyone with my thoughts. I am sure this will cause a lot of debate and that is fine. If this offends anyone or my facts are wrong I am sorry. I am simply going off CNN.com and racing websites.
• Thanks for reading this. This just seemed like a good idea to get my thoughts on paper and see what people think

Friday, December 12, 2008-Last night made it official that the United States would not help out the Big Three Automakers. Congress feels as though bailing them out would not help because they do not think that the automakers will change their ways. In the long run I think it is very safe to say that by not bailing out the Big Three we are actually hurting the US economy even more. When the Big Three go under over 8 million people in the US will lose their jobs. The trickle down effect will be catastrophic to the people of the US.

If you look at everything the Big Three are involved in it is clear to see that the US economy is in going to be worse off. Entertainments such as NASCAR and other forms of racing will seize to exist. When GM, Ford, and Chrysler go under who will supply engines and other parts needed for NASCAR racing. Also as most of you know Chrysler is a big part of USAC Racing. They are the title sponsor of the National Midget Series and also the major sponsor of Kasey Kahne’s USAC teams. I know that the series can go on without a title sponsor, but the question is for how long? GM is also a big part in midgets and sprint cars. They are the main sponsor for Tony Stewart’s sprint car team and also sponsor Shannon Babb in the WoO late models and Tony Stewarts WoO sprint car team. As many know Chevrolet has been working on a new 4 cylinder engine for midget racing to possibly decrease the cost of the sport. Ford is another one that has been a huge part of USAC racing. They have won more championships in USAC midgets then any other manufacture including many feature wins over the course of their history. With Esslinger being a big part of Ford what will happen to them? Other engines builders to be worried about are Hawk, Speedway Engines, Gaerte, Kister, and many other smaller companies that build engines without direct factory support.


The next topic I would like to go on about is the fuel prices. Although over the course of the last month fuel prices have started to decrease we find ourselves waking up this morning to gas prices increasing more than 20 cents.

Last year the gas prices started to affect low budget racers keeping more and more at race tracks closer to home or even forcing them to park their cars for the remainder of the season. If you add in the ailing economy and the high gas prices you might see that more and more teams stay closer to home or possibly do not race in the coming season.


Fan count is also going to go down as more people lose their jobs and gas prices increase. Late last year at any given race track you could notice empty seats in grandstands. It is not just the sprint car and midget word either. NASCAR is even having problems selling tickets. For the first time in decades the Daytona 500 is NOT sold out. Not to mention over part of the season NASCAR was losing fan base.

It can also be noticed with all of the teams merging and getting partners. Gillette Evernham teamed up last year, but it seems Ray Evernham has sold his share of the team. Ganassi is teaming up with DEI, Roush partnered with Fenway, and so on and so forth.


Todd Kimmel

[SUPERDUKE]

Originally Posted by Todd Kimmel Inside the Mind of Todd Kimmel A weekly column by Todd talking about racing and the industry • I am not trying to offend anyone with my thoughts. I am sure this will cause a lot of debate and that is fine. If this offends anyone or my facts are wrong I am sorry. I am simply going off CNN.com and racing websites. • Thanks for reading this. This just seemed like a good idea to get my thoughts on paper and see what people think Friday, December 12, 2008-Last night made it official that the United States would not help out the Big Three Automakers. Congress feels as though bailing them out would not help because they do not think that the automakers will change their ways. In the long run I think it is very safe to say that by not bailing out the Big Three we are actually hurting the US economy even more. When the Big Three go under over 8 million people in the US will lose their jobs. The trickle down effect will be catastrophic to the people of the US. If you look at everything the Big Three are involved in it is clear to see that the US economy is in going to be worse off. Entertainments such as NASCAR and other forms of racing will seize to exist. When GM, Ford, and Chrysler go under who will supply engines and other parts needed for NASCAR racing. Also as most of you know Chrysler is a big part of USAC Racing. They are the title sponsor of the National Midget Series and also the major sponsor of Kasey Kahne’s USAC teams. I know that the series can go on without a title sponsor, but the question is for how long? GM is also a big part in midgets and sprint cars. They are the main sponsor for Tony Stewart’s sprint car team and also sponsor Shannon Babb in the WoO late models and Tony Stewarts WoO sprint car team. As many know Chevrolet has been working on a new 4 cylinder engine for midget racing to possibly decrease the cost of the sport. Ford is another one that has been a huge part of USAC racing. They have won more championships in USAC midgets then any other manufacture including many feature wins over the course of their history. With Esslinger being a big part of Ford what will happen to them? Other engines builders to be worried about are Hawk, Speedway Engines, Gaerte, Kister, and many other smaller companies that build engines without direct factory support. The next topic I would like to go on about is the fuel prices. Although over the course of the last month fuel prices have started to decrease we find ourselves waking up this morning to gas prices increasing more than 20 cents. Last year the gas prices started to affect low budget racers keeping more and more at race tracks closer to home or even forcing them to park their cars for the remainder of the season. If you add in the ailing economy and the high gas prices you might see that more and more teams stay closer to home or possibly do not race in the coming season. Fan count is also going to go down as more people lose their jobs and gas prices increase. Late last year at any given race track you could notice empty seats in grandstands. It is not just the sprint car and midget word either. NASCAR is even having problems selling tickets. For the first time in decades the Daytona 500 is NOT sold out. Not to mention over part of the season NASCAR was losing fan base. It can also be noticed with all of the teams merging and getting partners. Gillette Evernham teamed up last year, but it seems Ray Evernham has sold his share of the team. Ganassi is teaming up with DEI, Roush partnered with Fenway, and so on and so forth. Todd Kimmel

NASCAR IS IN BIG TROUBLE AND ALL RACING IS IN TROUBLE! THE POWERS TO BE ARE JUST LIKE THE AUTO MAKERS POOR MANAGEMENT!!!!!!!!!! THEY LET THE COST OF RACING GET WAY OUT OF CONTROL!!!!!!!!!!
:headbang:doh:

[hairracer44]

Todd I appreciate your thoughts on the big three but to be honest I truly don't believe that the big three will go completely under. What they need to do is file bankruptcy and reorganize as many business in the past have done. They have gotten themselves into the situation they are in and need to look at what they have done wrong. If this means that Chrysler and GM need to merge than so be it.

As far as the government bail out you have to ask yourself were does the government say no to bailing out companies. I saw on the news last night that the RV industry is now asking for help, and who will be next.

This brings up my next question with the government in a record deficit where are they going to get the money to bail all these people out. As the government prints money the dollar decreases in value and if they opt to barrow money from other countries we only dig the United States deeper into debt. The deeper into debt the government goes the higher your taxes go. It turns into a viscous cycle. At some point in time we have to take responsibility for what we do. If I go out and get myself 30 or 40 thousand dollars in credit card debt I am responsible for that debt not you or my neighbor or the government.

We as a country and in our business and personal lives need to take responsibility and quit thinking the government owes us and is responsible for use.They are responsible for nothing other than making sure we are not denied our basic right as written in the Constitution. They are not responsible for my bills or the bill of anyone else or the bills of a company that was miss managed.

I don't want to get off topic but We have a right to the pursuit of happiness we are not guaranteed happiness.

[Seadog]

Good stuff, Todd.

I focused on your gasoline paragraphs. With prices being well south of $2, let us not forget the lessons of the summer of '08. I paid a high (for me)of $4.37 a gallon in New York just a few months ago. This could come back to haunt us in the future. We must continue exploring for more effecient and better ways to fuel our vehicles, be it gasoline, various alcohols, CNG, hydrogen, electric, solar, wind, or whatever.

I'm just an idiot race fan for 54 of my 57 years, and I have seen racing survive economic situations in the past. I hope it can weather this current financial storm for selfish reasons. My selfish reason? Racing lets me escape from my all too real humdrum life on summer weekends. I just pray I still have a job next summer and can afford to still go.

[LEADERS EDGE]

Racing survived the 70's and that was a miserable time for the US.

This isn't the first time the Auto's had to pull back or out of the sport.

The technology in the sport has been driven by the individules involved and someone like Jack Roush for example actually is more of the driving force behind Ford Racing Technology than Ford itself is. In my opinion.

There have been many periods over the years where Nascar for example didn't have enough cars to fill the field and wasn't the 43 starting spots just introduced within the last 10-15 years. Even in the 2000's there where times when they didn't have 43.

The job losses are pretty intense right now, but in many ways we have to go through this to bring everything back to square again. 6 months,1 year, 5 years, or 10, no one knows how long it will last, but it had to happen to get us back on track and uncover the bombs that have been hidden for some time. I hate it not only for racing, but for people in general.

The early 80's where rough, the early 90's and the early 2000's. We will get through this too.

[BAsprintcar]

Man Todd what a weekly column!!! You hit everything on the head!

[cecil98]

GM pulled out of NECKCAR circa the mid sixties and stayed out for quite a while and they survived. however, we had Ole' Smokey Yunick runnin' the Chevies by himself. That was fun. Curtis Turner even put the "Independent" Chevelle on the pole and led the race one year (1969?).

[Daboy]

The BIG THREE should all merge together into one and they could call it American Motors Corp. :O:

[Charles Nungester]

GEE, GIVE US 40 BILLION TO DO WITH AS WE PLEASE. YOU CAN BUY GM FOR 5 BILLION!

Its gotta break to be fixed correctly. You go under, You start OVER.
WELLS FARGO came in an bought failing banks and their debt. Said we don't need a Bailout and THE GOVT tells them. THEY HAVE TO GIVE UP 20 percent share.

Govt intervention only prolongs decay.

[Wallsracing]

yeah its just hard to tell these days espically working in that line of work...i work for a Dodge dealership and wonder everyday if im coming into work tommorrow..i heard that we may not be here in jan....also heard about the other dealer here in town trying to buy us