Great Western Sports Agrees to a Public Referendum on the Speedway Project Within the Public Speedway Authority Area

OLYMPIA, Wash., Feb. 27, 2007 -- Further demonstrating its commitment to work with local and state government officials, and after consultation with legislative bill sponsors, Great Western Sports ("GWS") today announced it has agreed to include language in HB 2062 and SB 6040 calling for a public vote within the Public Speedway Authority ("Authority") area on proceeding with the project.

If enacted, the legislation provides for the formation of the Authority to undertake project financing and development. The Authority would own the new speedway and lease it to GWS. Establishing the new Authority would be the first formal step in implementing the speedway legislation. Although the bill's sponsors are still developing specific referendum language to include in their bill, voters within the proposed Authority's area, which can include up to three contiguous counties, would be asked to approve formation of the Authority. Assuming passage of the bill this Session, the referendum likely would take place this fall.

"We continue to listen to state and local officials on how we can make this project a reality and today's announcement is another example of our commitment," said GWS President Grant Lynch. "The public referendum will allow residents in the area most directly affected by the project to voice their opinion. We have always stated that we would respect the decisions of the appropriate local jurisdictions with regard to the formation of the Authority, as well as the environmental review and permitting of the project. With this vote, citizens within the Authority's area are guaranteed a direct opportunity to be heard.

"We are prepared to listen to the will of the people on this important project and we strongly believe that it stands on its own merits," continued Lynch. "A motorsports facility will generate billions of dollars in economic benefit, including thousands of jobs, without creating, increasing or extending taxes or taking any funding from other critical Washington issues like education. The project also creates a valuable community amenity available for use when there are no events being held. Lastly, we have committed to building the first 'green' facility in motorsports, as well as contributing $1 million within our host community for projects such as wetlands, critical fish and wildlife habitat and green space preservation."

The legislation requested by Washington Lieutenant Governor Brad Owen and sponsored in the House (HB 2062) by Rep. Geoff Simpson (D-47), and in the Senate (SB 6040) by Sen. Brian Hatfield (D-19), merely create the funding mechanism for the motorsports facility. The legislation will not impact the Washington State general fund or take any funding earmarked for K-12, higher education or health care. GWS will invest a minimum of $180 million, or nearly half of the estimated total project cost of $368 million, plus fund construction cost overruns, future upgrades and maintenance to the facility.

The legislation authorizes the creation of the Authority by local governments within its area. The Authority's area must have a total population of at least 400,000 and can include up to three contiguous counties. The Authority would issue approximately $164 million in bonds to help finance a portion of the speedway construction. The bonds issued by the Authority would be repaid using a capped state sales tax credit calculated to represent a portion of the state's share of new sales tax revenues generated by spending from out-of-state fans who attend events at the facility. If a person does not attend a racing event, they will not pay. Depending upon the outcome of discussions with the host jurisdiction that would permit the project on use of admissions taxes collected on race attendance at the facility, additional project costs could be paid through remaining available admissions tax revenue. It is important to note that none of the Authority's bonds will be issued or guaranteed by the state, and therefore do not consume Washington's debt capacity.

The facility is estimated to generate approximately $120 million in annual economic benefit, and nearly $500 million during construction. A recent study conducted by the Arizona State University W.P. Cary School of Business estimated that the total statewide economic benefit from Phoenix International Raceway was $434 million in 2005. In addition, the construction phase of the Washington project will generate thousands of jobs over a multi-year period. The motorsports and multi-use recreational facility will be used three weekends annually for major and regional racing events and will also be available for community use. At other ISC-owned tracks around the country, local organizations use facilities for meetings, fundraisers and walk-a-thons. Bremerton Mayor Cary Bozeman will form a committee to study the most appropriate potential community uses of the facility to benefit local non- profits and other organizations.

GWS continues its efforts to directly address concerns of local residents and provide additional information about the project. Support for the project continues to increase, as GWS has collected more than 35,000 petitions from citizens and endorsements from more than 350 Peninsula businesses and over 50 organizations representing labor unions, Chambers of Commerce, Economic Development Associations and other community groups.

For more information on GWS' efforts to bring world-class racing to Washington, visit www.race2wa.com.

Great Western Sports is a wholly-owned subsidiary of International Speedway Corporation, a leading promoter of motorsports activities in the United States, currently promoting more than 100 events annually as well as numerous other motorsports-related activities.