Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, November 15, 1994 TAG: 9411150112
SECTION: SPORTS PAGE: C-3 EDITION: METRO
SOURCE: BOB ZELLER STAFF WRITER
DATELINE: LENGTH: Medium
Throughout the 1994 NASCAR Winston Cup stock car racing season, fans and competitors alike wondered how the Hoosier Racing Tire company could afford to compete, considering that they had to bring hundreds of tires to each race that remained unsold.
With Hoosier's announcement Monday that they were withdrawing from both the Winston Cup and Grand National series because of financial considerations, it became obvious that the small Indiana racing tire manufacturer in fact could not afford to race in NASCAR's big leagues.
``Our effort in NASCAR Winston Cup and NASCAR Busch series racing has been rewarding for us, but we remain a family-owned company that relies totally on income from the sale of racing tires to remain profitable,'' Hoosier president Robert Newton said in a statement released Monday afternoon. ``At this time, we believe it is in our best interest to concentrate our efforts in short-track racing, which remains our bread and butter.''
Newton said the withdrawal was immediate.
``We're just sorry to see it happen, but I guess Bob Newton had to make a business decision,'' said Cal Lawson, manager of the team owned by Geoff Bodine, the lead Hoosier driver who won three points races and The Winston all-star race this year. ``We'll move on. We'll be OK.''
Although the Hoosier tires were competitive against Goodyear in 1994 - with Bodine's four victories and with 12 pole positions - the financial burden was overwhelming.
NASCAR rules required both Hoosier and Goodyear to come to each track with enough tires to supply all teams, including those using the other company's tires. This rule was a result of situations in the first Goodyear-Hoosier tire war in 1988-89 where one company or the other had to withdraw from an event after discovering their tires were unsafe.
The rule meant that even though Hoosier only had a few teams using their tires, they still had to bring 600 to 1,200 tires, depending on the track, to each race. Since each tire sold for about $250, the supply for each race had a retail value of $150,000 to $300,000.
To remain competitive, both companies developed different tires for many of the races and performed extensive, costly testing. And few, if any, of the Hoosier tires were actually sold, since most, if not all, of the teams using Hoosiers got them for free.
Hoosier had hoped to continue in NASCAR's big leagues in 1995 with sponsorship. But it failed in its efforts to negotiate a contract with the parent company of General Tire, with which it had a licensing agreement to make and sell a street radial with the Hoosier imprint.
In his statement, Newton said NASCAR had been ``more than fair'' with his company, and he was thrilled with Hoosier's limited success this year. Hoosier also had three wins and five poles in the Grand National series.
``All of this was accomplished when cars running our tires were usually heavily outnumbered,'' Newton said. ``We feel that there were several races in which cars running our tires were superior, but all experienced problems which prevented them from winning. There just weren't enough cars running our tires in those situations.''
Besides Bodine, regular Hoosiers drivers included Ward Burton, Greg Sacks, Jeff Burton (who was officially named rookie of the year Monday) and Loy Allen. Darrell Waltrip used them for the first seven races, and other drivers, including Harry Gant, Rick Mast and Joe Nemechek, used them at times.
Mast won the Brickyard 400 pole on Hoosiers, but he's glad to see the company bow out.
``It tickles the dickens out of me,'' he said. ``It's the best thing that could have happened. It put everybody in a bad spot. When tire companies are in competition, to go faster, your tire's gotta be softer, and softer tires are just not as safe. They're more apt to come apart.''
NASCAR President Bill France said Hoosier ``is a first-class organization'' and wished them well. ``In all of the meetings and conversations we have had with Hoosier over the last two years, the overwhelming factor from them has been their desire to produce a good product and do what is in the best interest of the sport,'' France said.
Keywords:
AUTO RACING
by CNB