Question-and-Answer Session
Operator
(Operator Instructions) We’ll pause for just a moment to compile the Q&A roster. Your first question comes from Joe Latchke – Wachovia.
Joe Latchke – Wachovia
Can you give us an update on the closing of Kentucky? Are you still on track to close that at the end of Q4?
William R. Brooks
Yes, Joe. It’s scheduled to close late in 2008, it will probably be late December, 2008.
Joe Latchke – Wachovia
Any update on the antitrust litigation or progress in essentially getting a Sprint Cup event there in 2010?
William R. Brooks
The case as I understand it is still pending in the Court of Appeals. It’s being re-briefed or having all the relevant documents put together to be sent up to the Court of Appeals. As far as I know, they’re still set to hear the case in the Spring and rule on it a few months thereafter.
Joe Latchke – Wachovia
How much does your cost of debt change with the S&P downgrade last week?
Marcus G. Smith
I’m not sure it’s going to change necessarily. As you know both Moody’s and S&P put out a notice that they would think about adjusting our ratings and Moody’s did not and S&P chose to do so. I’m not sure that either one is particularly going to affect our ability to obtain new financing. I think it’s more a function of the markets and they’re pretty disruptive right now.
I don’t foresee a big change between the double B plus and the double B. In addition we don’t have any financial instruments that are adjusted by ratings.
Joe Latchke – Wachovia
Final questions here, congrats on getting all the entitlements for ’09, but can you give us an update on the overall corporate sponsorship environment? Any progress you’ve made in replacing your GM contracts for next year?
Marcus G. Smith
We’ve had pleasing response from our existing partners on renewals, we’ve had good discussions with new prospects for 2009 opportunities. As I mentioned earlier because speedways offer a low cost entry point for brands to get involved in America’s biggest attendance sport and second highest rating sport, I think we’re positioned very well.
Looking at GM and the other manufacturers specifically we did not have a tremendous amount of exposure to the automobile industry. They have been fantastic partners in marketing and certainly have helped the sport tremendously over the decades and we hope that they return to solid footing soon, but from a financial direct perspective we have not had a tremendous exposure to that industry.
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