Saturday, August 9, 2008

Is the Kentucky Track Deal Wavering?

Speedway Motorsports Inc. may bail on the purchase of Kentucky Speedway.

The deadline for SMI to decide if they want to close the track purchase deal is Aug. 18, unless they're just stalling to put pressure on various parties. They may still dole out an amendment to extend the date and who would argue if Kentucky doesn't have any other takers?

Right now, the purchase price is at $78 million and that includes absorbing a grand debt of $63 million in the process! OK, my credit card bills just aren't that bad!

"I can't answer definitively whether or not we would go forward with the transaction," Bill Brooks, the company's chief financial officer, said during a conference call with financial analysts Wednesday.

If they do close the deal, SMI would consider moving a Cup date from one of its current tracks to Kentucky. Great, another track to lose a date. Can't wait for that one!

source: thatsracin

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