Jonathan Ferrey/Getty Images

Podcast: Behind the scenes of the Race Team Alliance and its negotiations with NASCAR

Leave a comment

Inside an airplane hangar that’s a shrine to the P51 Mustang fighter pilots who helped win World War II, NASCAR’s most powerful team owners gathered to plot seismic events.

Rick Hendrick, Roger Penske, Richard Childress and Jack Roush met at a conference table in Roush’s personal hangar at the Concord, N.C., airport more than two years ago, identifying the stiffest economic headwinds facing their Sprint Cup organizations.

That was the genesis of the Race Team Alliance, an initially controversial consortium that brokered the landmark charter deal with NASCAR this season, recalibrating the team business model with more dependable and predictable revenue streams.

“It was fascinating,” Roush Fenway Racing president Steve Newmark, who attended the meeting, said in the latest NASCAR on NBC podcast. “As the owners were discussing the challenges they had on sponsorship and some things they saw coming down the pike, they all had similar views of what was going on. These were very successful businessmen both in racing and outside of it.”

In the podcast, Newmark details the behind-the-scenes machinations and negotiations that led to the formation of the RTA and team charters.

The meeting in Roush’s hangar was preceded by a February team owner meeting called by NASCAR at its headquarters in Daytona Beach, Fla., during Speedweeks 2014. Childress then lobbied his peers to gather independently.

“It evolved from there that the owners got together,” Newmark said. “We tried to figure out how to achieve some more synergies in the sport.

“Part of the initial purpose was to talk about we’re all spending ridiculous amounts of money on hotels, rental cars. Is there a way we can leverage our purchasing power on some of these items to do a better job?

“That was one of the primary discussion topics. It wasn’t these meetings were intended to discuss ‘How can we overthrow NASCAR?’ That was some of the suspicions, and I understand that, but that wasn’t the origin or purpose.”

By June, the RTA (chaired by Rob Kauffman) was formed and announced on July 7, 2014, in the form of a news release.

Newmark said it was a much more complex process than it seemed.

“That was more work than anyone envisioned,” he said. “Even the simple act of selecting a name. I’ve still got an email with 50 names on it with everyone trying to create an acronym that made sense. Ultimately we settled on Race Team Alliance. We had to have attorneys guide us because we didn’t want to trip up on antitrust issues. We didn’t want to be anticompetitive, and there were lots of issues that we were told, ‘Hey, the teams together cannot talk about that.’ ”

Though the RTA had made NASCAR aware of its existence, it was met by a chilly reception from the sanctioning body, which initially indicated there would be no plans to recognize the group.

“We’d talked to NASCAR in advance, made sure they were aware, tried to alleviate concerns,” Newmark said. “But it was natural because it was such a sea change from how we operated in the past.

“I do think there was initial trepidation for certain folks in NASCAR. To be blunt, probably the concern was because you saw this whispered in the press. If I were in NASCAR, that would have been a legitimate concern. Is this what they are aiming to do? We had to have a learning process and build trust. There was a constant dialogue. After initial concern and pushback, it transformed very quickly.”

Within a year, the framework had been built for the charter system that would assign value to teams while allocating revenues through a new structure based partly on historical performance.

But while the numbers in the deal were worked out relatively easily, governance – or how much influence teams would have on the direction of NASCAR competition and rulemaking – was a sticking point that caused negotiations to last well into the offseason.

“One of the more contentious days, where I wondered if we’d be able to have a meeting of the minds, was Christmas Eve,” said Newmark, who was heavily involved with Kauffman in negotiations. “Rob and I, with some lawyers and some other team presidents, we were sending issues lists on Christmas (to NASCAR). We were able to bridge some of the gaps that came up then. That was a fairly constant process. It was fun doing it. It was grueling.”

Newmark recalled an all-night session at The Ballantyne Lodge in which talks with NASCAR went until 3 a.m. and resumed at 6 a.m. He took a nap at the hotel rather than make the 3-mile drive to his Charlotte home.

“Ask my kids, they’d get used to my phone lighting up with Rob Kauffman on it,” Newmark said. “It was very different than a lot of negotiations I was involved in with walkout moments. This had a more collaborative spirit. That doesn’t mean we didn’t have a difference of opinions, and we didn’t have some tough moments. But there really was an openness that I think was unprecedented in the sport.”

Other topics discussed by Newmark on the podcast:

–How the merger between Roush Racing and Fenway Sports Group transpired and how the entities still are working together;

–The evolution of team owner Jack Roush’s role from demanding leader to mentor;

–How NASCAR might be positioned to hook Millennials in the face of possibly declining car culture;

You can listen to the podcast by clicking below or download and subscribe to it on iTunes by clicking here.

The free subscription will provide automatic downloads of new episodes to your smartphone. It also is available on Stitcher by clicking here and also can be found on Google Play, Spotify and a host of other smartphone apps.

NASCAR Power Rankings: Kevin Harvick back at No. 1

NASCAR Power Rankings
Getty Images
Leave a comment

Stop us if you’ve heard this before: Kevin Harvick is the No. 1 driver in this week’s NASCAR rankings.

Martin Truex Jr. held the top spot for just a week before Harvick reclaimed the crown with his series-leading ninth Cup win of the year Saturday at Bristol Motor Speedway.

This week’s rankings includes three ties as 12 drivers received votes.

More: Playoff standings after Round of 16

Harvick takes his power rankings lead to Las Vegas Motor Speedway for the start of the Round of 12.

Here is this week’s NASCAR Power Rankings:

1. Kevin Harvick (Last week No. 1): The Stewart-Haas Racing driver has three wins in the last five races: Dover, the Southern 500 and Bristol night race.

2. Chase Elliott (Last week No. 7): Finished seventh at Bristol for his third top 10 in five races. His 11 top fives so far matches his total from each of the last two seasons. He scored a career-high 12 top fives in 2017.

3. (tie) Kyle Busch (Last week No.  9): Finished second in Bristol after he started from the rear due to inspection failures. Has three consecutive top 10s for the first time this season.

3. (tie) Joey Logano (Last week No. 3): Followed consecutive third-place finishes with an 11th at Bristol.

5. (tie) Martin Truex Jr. (Last week No. 1): Finished 24th in Bristol following contact with Denny Hamlin after an unscheduled pit stop.

5. (tie) Brad Keselowski (Last week No. 5): After winning at Richmond, Keselowski had a rough night in Bristol. He finished 34th due to power steering problems.

7. (tie) Aric Almirola (Last week unranked): Finished fifth in Bristol for his third consecutive top 10 and his fourth in five races.

7. (tie) Clint Bowyer (Last week unranked): Placed sixth in Bristol for his third consecutive top-10 finish and to keep his playoff chances alive.

9. Austin Dillon (Last week No. 3): Placed a respectable 12th to finish the first round after consecutive top fives.

10. Erik Jones (Last week unranked): Placed third in Bristol for his seventh top-five finish of the season and his second in the last three races.

Also receiving votes: Alex Bowman and Denny Hamlin

NASCAR Silly season features Bubba Wallace, Michael Jordan

Leave a comment

NASCAR Silly Season took a twist Monday. A day that started with the announcement that Ross Chastain would drive for Chip Ganassi Racing next year ended with the news that Denny Hamlin would co-own a team with Michael Jordan and have Bubba Wallace as the driver in 2021.

As JTG Daugherty Racing co-owner Brad Daugherty said: “I think it’s a pretty dynamic trio with Michael, Denny and Bubba. They’re going to be like rock stars.”

The 26-year-old Wallace is in his third full Cup season. All 105 of his starts in NASCAR’s premier series have been with Richard Petty Motorsports.

“Bubba has shown tremendous improvement since joining the Cup Series and we believe he’s ready to take his career to a higher level,” Hamlin said in a statement. “He deserves the opportunity to compete for race wins and our team will make sure he has the resources to do just that. Off the track, Bubba has been a loud voice for change in our sport and our country. MJ and I support him fully in those efforts and stand beside him.”

A team name, car number, manufacturer and sponsors will be announced at a later time.

ANNOUNCED CUP RIDES FOR 2021

No. 00: Quin Houff enters the second year of his two-year deal with StarCom Racing.

No. 1: Kurt Busch enters the second year of a multi-year contract that Chip Ganassi Racing announced last season.

No. 2: Brad Keselowski and Team Penske announced a contract extension Aug. 3.

No. 4: Kevin Harvick signed a contract extension in February that will keep him at Stewart-Haas Racing through the 2023 season.

No. 8: Tyler Reddick said Aug. 7 that he will be back with Richard Childress Racing next season.

No. 9: Chase Elliott is under contract with Hendrick Motorsports through the 2022 season.

No. 10: Aric Almirola extends deal with Stewart-Haas Racing for 2021 season.

No. 11: Denny Hamlin is signed with Joe Gibbs Racing through at least next year.

No. 12: Ryan Blaney and Team Penske announced a multi-year extension earlier this season.

No. 18: Kyle Busch is signed with Joe Gibbs Racing through at least next year.

No. 19: Martin Truex Jr. is signed with Joe Gibbs Racing through at least next year.

No. 20: Christopher Bell moves from Leavine Family Racing to take over this ride in 2021.

No. 22: Joey Logano is tied to Team Penske “through the 2022 season and beyond.”

No. 24: William Byron is under contact with Hendrick Motorsports through 2022.

No. 42: Ross Chastain takes over Chip Ganassi Racing’s ride for the 2021 season.

No. 47: Ricky Stenhouse Jr. enters the second year of a multi-year deal with JTG Daugherty Racing.

No. 88: Alex Bowman will race for Hendrick Motorsports under a one-year contract extension announced earlier this year.

No. TBA: Bubba Wallace joins the new team co-owned by Denny Hamlin and NBA great Michael Jordan. The team purchased Germain Racing’s charter. Germain Racing will not continue after this season.

 

Available/possibly available rides

No. 14: Clint Bowyer is in a contract year to drive for Stewart-Haas Racing.

No. 21: Matt DiBenedetto said Sept. 17 that Wood Brothers Racing has an option to pick up his contract for next year and the deadline is the end of September.

No. 32: Ride is open with Corey LaJoie announcing he will not return to Go Fas Racing in 2021.

No. 43: Bubba Wallace will not return to Richard Petty Motorsports in 2021, the team confirmed on Sept. 10.

No. 48: With Jimmie Johnson retiring from full-time competition, Hendrick Motorsports has this seat to fill.

No. 95: Spire Motorsports purchased the charter and assets of Leavine Family Racing and will be a two-car operation in 2021.

No. 96: Daniel Suarez and Gaunt Brothers Racing announced Sept. 15 that they would part ways after this season.

 

Brad Daugherty: Michael Jordan to NASCAR is ‘huge moment’

Leave a comment

Brad Daugherty calls Michael Jordan’s ownership of a Cup team a “huge moment for NASCAR.”

Jordan and Denny Hamlin will co-own a Cup team next season. Bubba Wallace will be the driver. Jordan will become the first Black majority car owner of a full-time team since Wendell Scott owned and raced cars in the 1960s and ‘70s.

Daugherty, the only Black owner of a full-time Cup team currently, is excited about Jordan’s entrance into NASCAR.

“It’s a big momentum shift for this sport culturally, period,” said Daugherty, co-owner of JTG Daugherty Racing and an analyst for NBC Sports. “Three years ago, this would have never happened. A year ago, this wouldn’t have happened. It’s the timing. If the timing is right and you have someone like Michael Jordan put his brand and what he’s all about into whatever you are doing, it adds a lot of credibility. I look forward to whatever he can bring to the table to help continue to build NASCAR.”

Daugherty told NBC Sports that Jordan can help the sport reach more people.

“The eyeballs are going to be incredible,” Daugherty said of Jordan’s potential impact. “The opportunity for entrance into the sport will be made more available as far as people being aware of the availability to get involved in NASCAR as a fan or as a business. There’s just so many different areas that will light up just because of who he is and what he represents. His entire legacy creates opportunity for everyone.

“Now, we start talking diversity with what he’s able to do from a corporate standpoint and also just from a legacy standpoint with his brand. It’s going to be exciting. I’m excited because I think more people now, more than ever, will take a look at NASCAR with a keen eye and keen interest and be excited about maybe participating as a fan or as a business partner or as someone wanting to learn how to drive a race car or own a race team. The more notoriety the better.”

NASCAR stated Monday: “Michael is an iconic sports figure and celebrated champion whose fiercely competitive nature has placed him among the greatest athletes of all time. His presence at NASCAR’s top level will further strengthen the competition, excitement and momentum growing around our sport. We wish Michael and his team tremendous success.”

Jordan told The Charlotte Observer on Monday that the deal came together in about 10 days because of the chance to hire Wallace.

“When (Hamlin) told me there was a possibility of getting Bubba Wallace, I’m saying, ‘OK, this is perfect!’” Jordan told The Observer. “If I’m getting involved in NASCAR, then get a Black driver (with) a Black owner.”

For all that Jordan can bring to NASCAR, Daugherty knows that the competition can prove challenging.

“I’m sure he’s committed to next season and we’ll see how that goes and if it goes well, you go beyond that,” Daugherty said. “He had a (Superbike) team for a long time and loved that. He understands it’s a different business model. He’s at the point in his life, he’s like Roger Penske and Rick Hendrick and those guys to where it’s really not a detriment to him financially if he’s not making money. We’ll have to see how much he can stomach because it’s an interesting business model for sure.”

Jordan told The Observer he’s in it to win.

“If I’m investing, if I’m a participant, then I want to win! I don’t want to be out there to be just another car,” Jordan said.

Daugherty looks forward to seeing Jordan, Hamlin and Wallace at the track.

“I think it’s a pretty dynamic trio with Michael, Denny and Bubba,” Daugherty said. “They’re going to be like rock stars.”

Daugherty also looks forward to something else next year.

“Look forward to racing against those guys,” he said, “and trying to kick their butts.”

Germain Racing sells charter, will exit sport at end of season

Leave a comment

Germain Racing car owner Bob Germain announced Monday that he has sold the team’s charter and will end the team after this season.

The charter was purchased by a new team that will have Denny Hamlin and Michael Jordan as owners and Bubba Wallace as the driver.

Germain said in a statement that the No. 13 team will continue the rest of the season with Ty Dillon as driver.

“Being an owner in NASCAR for the last 16 years has been a thrilling and rewarding adventure,” Germain said in a statement. “From winning two NASCAR Truck Series championships in 2006 and 2010 to competing at the highest level of motorsports in the Cup Series for the last 12 seasons, I have experienced the highs and lows of our sport. I’m extremely proud of what Germain Racing has accomplished at every level and I will be transitioning out of ownership with many memories and friendships. I appreciate the interest and offers made over the last couple of weeks and I am excited to see how the sport continues to grow in the future.

“Thank you to GEICO for their loyalty to Germain Racing for over a decade. It has been a great source of pride for our team to represent their brand on the track. Doug Barnette with Player Management International has facilitated our GEICO relationship since the beginning and I truly appreciate his efforts. Finally, to my employees: building a team camaraderie and creating a family atmosphere has been a highlight of this journey. I will miss each of you.”

Germain pondered a sale when GEICO decided not to renew its contract after this season with the team.  GEICO is one of NASCAR’s Premier Partners, joining Busch Beer, Coca-Cola and Xfinity.

Dillon spoke in late August about the challenges facing single-car teams in Cup.

“The model is very tough right now for single-car teams,” he said. “I’m hoping that NASCAR is going to change it and help on it. But it needs to change for one-car teams to be more successful that haven’t already been at the top level of the sport or have an incredible amount of money to leapfrog into the top spot. If you don’t have three or four teams to spread the wealth with big name sponsors and a lot of money behind the effort, it’s just not a model that’s going to survive long term.”

Hamlin acknowledged the challenge a one-car team can have.

“I do believe that the (ownership) model will hopefully get better,” Hamlin said before last weekend’s race at Bristol Motor Speedway. “Do I think it’s fixed? No, I think there is still some work to be done to make the model a viable business. You want a business that everyone wants to be a part of, not the ones that are fleeting. Certainly, I think NASCAR is trying it’s best to make the teams a little more healthy. I think that outlook toward the future is what’s interesting to me.”

Germain Racing is the second team to sell its charter since August. Leavine Family Racing announced it had sold its charter on Aug. 4. Spire Motorsports purchased it and will be a two-car team in 2021.