New Toyo Contingency

[RichardC]

Please someone correct me if I'm wrong but it looks like the rebate potential that we can earn has now gone down with the new program.

 

Simple example:

 

Last years program paid $150 for each race win, thats $2400 if you won every race of a 16 race series.

 

This years program pays $100 per race and $500 for winning the championship, thats $2100 if you won every race of a 16 race series.

 

There was no mention to the price of tires so I assume thats the same as last year.

 

It appears this was done so that rebates can be paid to those series that do not spec the tire!!!

 

I think the contingency that was negotiated last year was great and I appreciate all the financial help I can get. But I'm disappointed to see it reduced this year.

 

Richard.

[JWL]

Richard-

 

If you look a little more carefully, the cash was shifted a little to reward guys deeper in the field. We didn't do anything to shift money away from the spec tire classes, but we did want to spread the benefits a bit to give more folks a shot at a payout. The cash is a little less overall this year, but that's mainly because the program was a huge deal last year with Toyo paying you guys some serious cash. They only have a limited budget to work with for these deals, so we agreed it would be best to reward more folks whenever possible with the cash we had to work with. I, for one, am happy that we have such a program and the payouts seems pretty generous to me when you factor in how many NASA regions are out there with hundreds of them on Toyos.

 

-JWL

[RichardC]

Hi John, thanks for the reply.

 

You're right a little more thought and I can see some of the benefits and I certainly didn't mean to take anything away from the effort it takes to secure these kinds of deals which we are all gratefull for.

 

Has Toyo fixed the dollar amount for contingency or will it increase with increased purchases of tyres? Obviously all the series are growing with new regions and the potential tyre purchases will go up accordingly.

 

Richard.

[JWL]

Richard-

 

The program is fixed, so they'll be on board to the end of the year no matter how much it hurts! The were definitely surprised by the 2004 amount, but I think the pain was soothed by the big spike in RA-1 sales we helped them with.

 

-JWL