New Racetrack Group Considers Its Options In Face Of OEM Attempts To Derail AMA/DMG Series

New Racetrack Group Considers Its Options In Face Of OEM Attempts To Derail AMA/DMG Series

© 2008, Roadracing World Publishing, Inc. By Michael Gougis.

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1. Has everyone seen the summary of the meeting held by Roger Edmondson at Mid-Ohio with the non-factory teams? You can read it on www.roadracingworld.com. This makes for sober reading 2. I have attached a note that reviews some of the factors that would need to be considered should anyone want to start an alternate series. It also makes sober reading. 3. For discussion today. Who else is going to be invited to join the RRIC and how are we to approach other tracks? Points To Consider When Considering Strategy For Addressing The AMA/DMG/Manufacturers Crisis August 1, 2008 It has been suggested that, in the event that there is no satisfactory resolution to the AMA/DMG/Manufacturers rules and series operation crisis, it may be necessary for the major race circuits which have previously relied on the AMA to sanction the national championships to consider alternate solutions and event formats. The points raised and ideas suggested in this memo are simply intended to identify what elements would need to be addressed should the worst case scenario arrive, that is, the total withdrawal of the manufacturers from the AMA/DMG championship series and their withdrawal of sponsorship funds from the tracks as well as their withdrawing financial support from professional motorcycle racing in North America. If such a situation were to arise, the tracks that have promoted AMA Superbike series in the past, and who may not wish to or be unable to afford to run DMG series events, may need to consider promoting some alternate form of top level professional motorcycle competition. If this was to be the case the following points would need to be taken into account before any decision should be taken to establish any alternate racing program: 1. Sanctioning: Some form of sanctioning entity would be required. This could be a new body or sanctioning could be provided by another, existing group. 2. Finances: A financial plan would have to be developed by which the events could be effectively operated and promoted. 3. Legal: Legal entities would need to be established. 4. Insurance: A comprehensive series insurance plan would need to be established and paid for. 5. FIM Relationship. As events of this stature would of necessity need to accommodate riders from countries other than the USA, FIM sanction would be required. As the AMA is the formal FIM associate for the USA, a relationship would have to be developed with the FIM. 6. Series Management. Series management would need to be contracted. These persons would need to have the experience and skills needed to create a level of confidence amongst series participants and competitors. 7. Capital Equipment: Series operational equipment and support systems will need to be purchased and developed. 8. Rules: A comprehensive set of rules would need to be developed. It is probable that these may have to differ from the 2008/2009 AMA rules because these may be protected as their intellectual property. 9. Television: A relationship would need to be put in place to televise the events. 10. Commitment: A minimum number of tracks and manufacturers would need to commit. If no common base was established it would not be feasible to set up any alternate series of events. 11. Timing: The need to accomplish all of these in a very short time is essential if any alternate series is to be established. Series schedules, manufacturers commitments, track commitments have to be in place before the end of August. 12. Relationship with DMG: Most race tracks have existing relationships with DMG and it’s associated companies, and any attempt to establish a competing race series will likely result in these relationships being severely impacted. 13. Industry Reaction: It would be essential than any discussions, negotiations or planning with regard to these issues be undertaken with the awareness that the racing industry and media will have multiple and inconsistent reactions; that speculation will be rife; that political games will be played at every level of the industry and that misunderstandings, both inadvertent and deliberate, will create an industry-wide atmosphere of distrust and confusion that will make any resolution of issues very difficult to achieve, especially with regard to direct discussions with DMG. These and other factors must be considered before any serious discussions can be undertaken regarding any form of alternate program to the DMG/AMA proposed programs. Consequently any discussions or planning that may lead to creating an alternate professional motorcycle racing program should consider the costs, difficulties and consequences outlined above and any movement along the lines of establish a competing series should be undertaken with extreme caution. At every stage of any such discussions, the alternative of finding ways to work with and with-in the DMG umbrella should always be considered and given priority of choice.

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