Need answers

[Rudy Tamasz]

I'm trying to make sense of all that's happened. Can anybody answer a couple of key questions?

How's that merger/unification/amalgamation different from a hostile takeover if what we get is essentially IRL product (races, cars) and not much is left from CCWS?

What did KK and GF get in return for signing the papers, if anything?

Who runs the new series in terms of ownership and decisionmaking?

I understand, the emotions are still flying high, but what I need is facts or at least sober opinions. I'd imagine there are other people who would love to get the answers to these questions as well.

[electron]

I suggest you go to indycar.com and under the news section read the two or three articles there. the second one after the done deal announcement is most enlighting.

The IRL swallowd it all.
You will get the IndyCar series product and decission maker(s).

As for what KK and the gang got for this deal: we will probably never know that.

[mikiec]

How's that merger/unification/amalgamation different from a hostile takeover if what we get is essentially IRL product (races, cars) and not much is left from CCWS?

It's not a hostile takeover, as the two sides negotiated the deal. Hostile would have been the CCWS owners not wanting it to happen but TG finding a way to do it. However, yes it is effectively a takeover.


What did KK and GF get in return for signing the papers, if anything?

I'm sure some sort of financial recompense, plus they still own a few races and they won't be spending loads of money each year propping-up the CCWS teams, so that alone will have saved them a helluvalot of money.


Who runs the new series in terms of ownership and decisionmaking?

TG/IMS/Hullman-George family - any or all of those actually own it. TG will, I imagine have final say on major decisions, but the day-to-day stuff will be down to the IRL's management team, which now includes Tony Cotman.

[Rudy Tamasz]

Okay, the way I see it now is KK decided he's spent enough money on CCWS and it was time to call it quits. Questionable from the ethical point of view, but who cares about ethics in racing these days?

What I'm really surprised about is why he negotiated the deal on such bad terms? I mean the business situation was pretty bad for CCWS, but no worse than in any of previous five years. He still had teams, cars, the engine maker, races and a pretty successful Sebring test. He had already covered most of the startup costs and some of the poorer teams like Conquest found themselves sponsors. On the other hand IRL fared no better. He could have negotiated something much better. Was it just an emotional decision? I wonder how the .... the guy became a billionaire if he's so bad at running business?

[champcarray]

I'm curious about this, too. I guess KK and GF couldn't find anymore investors willing to pour money into what appeared to be a losing cause. Which is too bad for us CCWS fans...

[heelntoe]

Okay, the way I see it now is KK decided he's spent enough money on CCWS and it was time to call it quits. Questionable from the ethical point of view, but who cares about ethics in racing these days?

What I'm really surprised about is why he negotiated the deal on such bad terms? I mean the business situation was pretty bad for CCWS, but no worse than in any of previous five years. He still had teams, cars, the engine maker, races and a pretty successful Sebring test. He had already covered most of the startup costs and some of the poorer teams like Conquest found themselves sponsors. On the other hand IRL fared no better. He could have negotiated something much better. Was it just an emotional decision? I wonder how the .... the guy became a billionaire if he's so bad at running business?

IMO, the terms were what they were because of many factors, including a weakening relationship between KK and GF, possible team defections before the series opener, no sponsors to speak of for the series, and basically, no turn-around in sight. And, you keep referring to KK, when it was always KK AND GF. KK is NOT a billionaire but GF is...it's just that KK chose to be the mouth of the operation. There comes a point where good money after bad makes you look stupid...they past that point a while ago.

[Rudy Tamasz]

IMO, the terms were what they were because of many factors, including a weakening relationship between KK and GF, possible team defections before the series opener, no sponsors to speak of for the series, and basically, no turn-around in sight. And, you keep referring to KK, when it was always KK AND GF. KK is NOT a billionaire but GF is...it's just that KK chose to be the mouth of the operation. There comes a point where good money after bad makes you look stupid...they past that point a while ago.

I accept it was KK and GF. However, not too long ago KK went on record saying that supporting CCWS is not much of a financial loss and he can run it indefinitely. This is a good point to start bargaining, given the fact that IRL was bleeding just as badly and Honda threatened them to withdraw.

Instead it looks as if there a couple in relationship. They broke up and spent twelve years apart and everybody wanted them to be back together but it wouldn't work for many reasons. Then all of a sudden one of them has an emotional moment/gets drunk/runs out of money/loses patience and decides it's time to make up and kiss. The other takes the advantage and screws the first one to the maximum. Come the morning, everybody goes, 'Gees! We wanted it, but not this way!'

[nigelred5]

KK was the beneficiary of good timing with JDSU. From what little I've actually read about him, I wouldn't necessarily call him a good businessman, just a rich one. Look at a lot of the fabulously wealthy that have made fortunes being at the head of failing companies at the right time or being a so called turn around expert that leave a company very wealthy after a failed turn around, or simply managing to arrange a buyout and a biy payoff. In the end, it is ALWAYS the little man that gets screwed for the big man's mistakes. He is not my favorite kind of people in this world.

[Rudy Tamasz]

Speaking of buyouts, we can compare KK to a certain Chris Pook. Everybody criticised his management at the moment, but he accomplished his task and transferred Champ Car to new owners. That's a different approach from what we see now.