R.J. Reynolds Ends Sponsorship of NASCAR Event

Tobacco Settlement with States Prompts Move

Winston-Salem, North Carolina, October 20, 1999 -- Reflecting the controversial nature of the realities of society's lesser tolerance for tobacco, R.J. Reynolds Tobacco Company announced that it was withdrawing from sponsorship of the NASCAR Winston Racing Series at the end of the 1999 season. The Winston Racing Series sanctions the programs at 100 short tracks across the country.

RJR, based in Winston-Salem North Carolina has sponsored the event for 26 years. The Winston series offers regional and national prizes to drivers totaling $1.4 million.

Some of the drivers in the series are 16 and 17 years old. NASCAR only requires that the drivers be old enough to have a driver's license in their home state. The decision to withdraw its sponsorship was "made in part because of the tobacco companies' $206 billion Master Settlement Agreement (MSA) of state claims last year. As part of the settlement, "participation by drivers younger than 18 in a cigarette-sponsored series is not permitted," according to the Charleston Post and Courier.

Rick Sanders, sports marketing president of RJR, said that RJR wanted to "fully comply with the letter and the spirit of the MSA". In addition, Sanders said "it was decided . . . that making permanent rule changes to exclude 16- and 17-year-old drivers from the series -- and thus continue to comply with the MSA was not in the best interest of the sport, which serves as a grass roots program for NASCAR," according to the Richmond Times Dispatch.

NASCAR said that it would continue the series without interruption but is now seeking a new sponsor.

RJR will continue to sponsor NASCAR's Winston Cup and Winston West series, the premier division, since all participants are required to be at least 18-years-old.

 

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