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Rob Kauffman Says Ganassi Purchase Competition Based, Hints At Consolidation

Michael Waltrip Racing Principal Owner Rob Kauffman this weekend said that his purchase of a stake in Chip Ganassi Racing "is an attempt to put more competitive race teams out on the track," according to Bob Pockrass of ESPN.com. MWR does "not have a manufacturer contract nor a sponsor for its No. 55 car signed" for '16. The "most likely scenario appears for Ganassi to expand to a three-car Chevrolet team with Kauffman bringing driver Clint Bowyer and sponsor 5-Hour Energy to that stable." Kauffman said, "It is a competitive business, as everybody knows. It is competitive on-track as well as off-track. ... You're going to see more consolidation along the way. As businesses mature, you're going to see, like in many industries, a lot of consolidation. In fact today, I would say there aren't really any one- or two-car teams that aren't affiliated with much larger organizations. The day you could have a lone wolf be in this sport are long past." Pockrass noted Kauffman also is chair of the Race Team Alliance, which is "working with NASCAR on ways to create long-term equity for teams." Kauffman said, "It's very difficult for the teams to maintain a sensible business model. That's probably why the impetus of the Race Team Alliance was formed, to help reorganize the teams and focus them on improving the business model together with NASCAR and our other partners" (ESPN.com, 8/1). 

WHAT LIES AHEAD: NBCSN’s Jeff Burton said Kauffman's move has everyone in the garage “all looking for answers." Burton: "They’re all looking for their owner to tell them what this means on both ends -- on Chip’s end and on Rob’s end -- because what we’ve been told is very, very limited to be quite honest. … That creates a tremendous amount of discomfort." He added, "Everybody’s nervous, everybody’s wanting to know what does this mean for my future?” ("NASCAR America Sunday," NBCSN, 8/2). FOXSPORTS.com's Tom Jensen wrote the "saga" of MWR "keeps getting curiouser and curiouser." Sources said that MWR's shop in Cornelius, N.C., is "up for sale, with at least one potential buyer already scheduled to visit." But Kauffman said, "Any idea that, like, I'm leaving or taking anything is actually misplaced. What we're really doing is integrating the businesses, trying to get the most competitive product on track, do the best for all of our partners. That's really our focus." Jensen wrote it "appears Kauffman and the Ganassi organization have agreed to work together, but are only in the starting stages of deciding how their partnership will be set up and operated going forward." There are "myriad sponsors to consider, not to mention employees, two automakers, drivers, crew chiefs, multiple facilities and much more." In a "perfect world, Kauffman and Ganassi would have preferred to have had all the details pinned down before going public with the announcement." Jensen: "Rest assured the folks who work at MWR are feeling a pronounced sense of urgency right now. And like the rest of us, they're wondering what's going to happen next" (FOXSPORTS.com, 8/1).

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