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Thread: Trying this again... Comparing pre-2011, post-2011, & now

  1. #1
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    Default Trying this again... Comparing pre-2011, post-2011, & now

    I finally found out to get RARA tax returns...

    2010:
    Insurance costs of $354,074
    Prize money of $1,093,508
    Revenue of $4,730,977 ($3,972,519 generated from ticket sales)

    2012:
    Insurance costs of $2,103,415
    Prize money of $867,661($145,153 paid to Strega Air Racing Ent.)
    Revenue of $5,725,882 ($3,602,993 generated from ticket sales)

    2015: (Most recent I can find)
    Insurance costs of $792,044 (down from $955,540 in 2014)
    Prize money of $936,125 (Down a mere $5,000 from 2014) ($206,167 paid to Strega Air Racing Ent.)
    Revenue $4,543,214 ($3,640,678 generated from ticket sales)

    Take it as you will, I'm not sure what insurance is for 2017/18 and the future, but I imagine it should go back to pre-2011 totals? And if our new CEO forgoes his salary and says give it to the purse... That puts it right back around 2010's total purse. Not saying that would happen, but...
    *My Air Race Site*

    Reno from '99 to '18

  2. #2
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    Default Re: Trying this again... Comparing pre-2011, post-2011, & now

    So, I just got back from the Presidents meeting on Friday. RARA lost about $300k last year, primarily due to lower than expected ticket sales. That being said, I'm not sure how to interpret those numbers you shared. We didn't get specific financials (didn't ask) but something tells me it hasn't made money in a number of years.

    The million dollar question (maybe even a couple million) is what to change to make it recover. I think the new CEO has some good ideas and at least he has been on the racer side of the fence so he knows some things to watch out for, unlike the previous guy.

  3. #3
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    Default Re: Trying this again... Comparing pre-2011, post-2011, & now

    Quote Originally Posted by Dudewanarace View Post
    So, I just got back from the Presidents meeting on Friday. RARA lost about $300k last year, primarily due to lower than expected ticket sales. That being said, I'm not sure how to interpret those numbers you shared. We didn't get specific financials (didn't ask) but something tells me it hasn't made money in a number of years.

    The million dollar question (maybe even a couple million) is what to change to make it recover. I think the new CEO has some good ideas and at least he has been on the racer side of the fence so he knows some things to watch out for, unlike the previous guy.
    Thanks for the thoughts, I personally wasnít sure how to interpret them either, just thought I would throw them out in the open as food for thought.

    I definitely agree about the new CEO being somewhat racer friendly. Maybe he can fix some ties with guys such as Brent Hisey, etc... you know what I mean. If not maybe he can bring some new guys into the sport. Either way itís a good change, really looking forward to the new leadership
    *My Air Race Site*

    Reno from '99 to '18

  4. #4

    Default Re: Trying this again... Comparing pre-2011, post-2011, & now

    Thanks for the due diligence. Interesting to note the spike in gross revenue in 2012, the year after the accident. Certainly seems to speak to the sports following and a willingness by those who love air racing to step up and do what can be done to refill the coffers. It's also possible some of that was due to first timers who, for a variety of reasons, were not aware of the event.

    Also looking at 2010 vs. 2012, in 2010 insurance was 7% of gross revenues and prize was 23%. In 2012, insurance was 36% of gross revenues and prize was 15%. A more than 5-fold increase in insurance as operating costs is mind-boggling. I'd venture to say most any other organization, faced with that reality, would have said, "No Mas...no mas."

    Frankly, I believe there is a huge debt of gratitude owed to John Gather and Mike Crowell, et al, for shepherding RARA through some incredibly troubled waters. From 2012 through 2017 RARA has managed to weather that storm better than most anyone could have imagined. Through increased marketing efforts, partnerships, sponsorships and ticket sales I feel RARA is, while still struggling with the bottom line, on the right road and headed in the right direction.
    Owen Ashurst
    Deputy Air Boss - Reno Air Races
    AIR BOSS ONE
    San Diego CA
    http://airbossone.com

  5. #5
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    Default Re: Trying this again... Comparing pre-2011, post-2011, & now

    Quote Originally Posted by Air Judge View Post
    Thanks for the due diligence. Interesting to note the spike in gross revenue in 2012, the year after the accident. Certainly seems to speak to the sports following and a willingness by those who love air racing to step up and do what can be done to refill the coffers. It's also possible some of that was due to first timers who, for a variety of reasons, were not aware of the event.

    Also looking at 2010 vs. 2012, in 2010 insurance was 7% of gross revenues and prize was 23%. In 2012, insurance was 36% of gross revenues and prize was 15%. A more than 5-fold increase in insurance as operating costs is mind-boggling. I'd venture to say most any other organization, faced with that reality, would have said, "No Mas...no mas."

    Frankly, I believe there is a huge debt of gratitude owed to John Gather and Mike Crowell, et al, for shepherding RARA through some incredibly troubled waters. From 2012 through 2017 RARA has managed to weather that storm better than most anyone could have imagined. Through increased marketing efforts, partnerships, sponsorships and ticket sales I feel RARA is, while still struggling with the bottom line, on the right road and headed in the right direction.
    Very well put I agree 100% and give my utmost appreciation to the exec's after the crash until now. I think this new CEO switch might be a sign of the "turning point" for Reno. It took 5 years of building up to get back to a somewhat normal state and will hopefully expand from here. 2018 looks... good? Not really sure. 2019 SHOULD be very good. Thunderbird's, Precious Metal hopefully back (she has a HUGE following so I thought to mention it), and hopefully the "secret" Unlimited sponsor might fall into place by then? I forget the company but it was supposed to bring a couple hundred thousand straight into the Unlimited's. Time will tell...

    Is TFLM bringing their Bearcat this year? Planes of Fame's Bearcat? THE Bear? Would be awesome to have some Cat's back on the ramp.
    *My Air Race Site*

    Reno from '99 to '18

  6. #6
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    Default Re: Trying this again... Comparing pre-2011, post-2011, & now

    Quote Originally Posted by GRNDP51 View Post
    I finally found out to get RARA tax returns...

    Take it as you will, I'm not sure what insurance is for 2017/18 and the future, but I imagine it should go back to pre-2011 totals?
    I imagine the insurance number will decline to an extant, but back to pre 2011 numbers will not happen. Remember the Ford/stone tire fiasco? I sell auto parts. Our liability insurers would not even consider allowing any tire sales until the last couple years, and that mess was over a decade ago.

    So, is Strega now the Ferrari of Reno racing?

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