President Clinton's approval of FDA proposals to ban tobacco
advertising on and sponsorship of sporting events is seen as
having the greatest impact on auto racing. CNN's Mark Morgan:
"A ban on tobacco advertising would hit the good 'ol boys where
it hurts -- in the pocketbook. ... These proposed regulations
couldn't come at a worse time for the Winston Cup circuit.
Revenues are up, purses are up, and fans are coming out in record
numbers." Financial World's Michael Ozanian: "If you eliminated
all tobacco advertising, you couldn't raise ticket prices enough
to cover for it. ... If you cripple [the racing] industry, you
cripple a lot of the other businesses in these areas where you
have auto racing. So there's a much more devastating effect than
simply just saying we're going to hurt auto racing." CNN's
Morgan: "At the pinnacle of its popularity, the Winston Cup
circuit may face an uncertain future" ("Sports Tonight," 8/12).
A spokesperson for RJ Reynolds said the company is undecided
whether parent company sponsorship is worth the financial
investment: "After all, how many people know that we make
Winston?" (WALL STREET JOURNAL, 8/14). In Tampa, racing
columnist Holly Cain writes the "bottom line" may be whether RJR
or Philip Morris "is still willing to financially back a series
without using its brand name for recognition" (TAMPA TRIBUNE,
8/12).
DRIVING FORCE: In Elmira, NY, Winston Cup drivers carried
American flags in opposition to the Clinton plan and handed out
petitions for fans to sign. A statement read: "We hope our flag
demonstration will be a dramatic signal that we support our
sponsors who market legal products in a responsible way." Driver
Dale Jarrett: "We've got far greater things to be concerned with
involving young people than tobacco" (Roger Neumann, ELMIRA STAR-
GAZETTE, 8/14).
THE RODEO MUST GO ON: The ban on tobacco sponsorship would
also affect the rodeo circuit to which Copenhagen and Skoal
contribute thousands each year. Steve Fleming, media
spokesperson for the Professional Rodeo Cowboys Association, said
the ban "would be detrimental, but not devastating to the PRCA"
(Colorado Springs GAZETTE TELEGRAPH, 8/11).
