ISC CEO To Step Down June 1

Nearly one week after announcing its income fell 31%, International Speedway Corp. CEO Jim France will step down June 1.

The AP reported that France will be replaced by Lesa France Kennedy, current ISC president and France’s neice. He will continue to serve as chairman of the board, while John Saunders will move from his current position as COO to president. Roger VanDerSnick will move to executive VP and COO.

Reuters added that these moves will not increase the company’s annualized executive compensation expenses. And, AHN noted that Kennedy will retain the title of vice chairwoman of the board. The Daytona Beach News-Journal quoted Kennedy as saying:

I  join ISC’s board, management and team of employees in recognizing and expressing appreciation for Jim’s contributions over his 50-year career with the company, especially the last six years as chief executive officer. His vision and energies have been vital to our ability to prosper, and we will continue to benefit from his extensive experience and knowledge of the motor sports industry.

 These moves were part of the succession plan, which “has been in place for quite some time.”

DEI’s Fall From Grace

Earnhardt Ganassi Racing’s decision to park its famed No. 8 Chevy is a sign of the economic times we’re in. But, it is also a sign of just how far the team has fallen.

And while I don’t know the reasons for some of the business decisions being made by Teresa Earnhardt, I suspect that pride and stubborness are leading to the mismanagement of the company that Dale Earnhardt Sr built.

Since Sr’s death, Teresa hasn’t had much interest in the sport, often skipping appearances at the track. She’s been called an absentee owner on several occasions.

She let pride get in the way when Dale Earnhardt Jr made his highly publicized bid for ownership in the company. Jr frequently complained that DEI was doing nothing to keep up with the competition. He contended that the team was not purchasing new technology that would help performance, and that the team was not expanding, despite being too big for its shop in N.C.

Teresa was so stubborn and arrogant that she let NASCAR’s most popular driver walk away, and expected the team to survive.

She wouldn’t even let Jr take with him the number he put back on the map. I can understand that the No. 8 has sentimental value to DEI, but it’s not like Jr and Rick Hendrick made an unreasonable offer. I think they also would have agreed to return the number, when Jr was finished with it. But, Teresa went out of her way to ensure that they would not get the number by seeking a percentage of licensing revenue.

Since Jr jumped ship, DEI has been a sinking ship. The team merged with Bobby Ginn Racing and Chip Ganassi Racing. It lost three sponsors in Budweiser, US Army, and Menards. It lost drivers Mark Martin and Paul Menard. And is rumored to be in danger of losing Martin Truex Jr and Bass Pro Shops.

Sadly, things will not improve until Teresa gives up control of the company, or she stops letting foolish pride and personal reason influence business decisions.