The ratings on Speedway Motorsports Inc. reflect the company's good market position in the growing motor sports industry, its relatively stable operating performance, and a moderate capital structure. Speedway Motorsports is one of the two largest companies hosting races sanctioned by the National Association for Stock Car Racing Inc. (NASCAR). High construction costs and a limited supply of NASCAR racing dates have created important barriers to entry. However, operating diversity is somewhat limited. More than 70% of revenues, and an even greater percentage of EBITDA, come from 17 annual NASCAR events held at the company's six tracks. EBITDA coverage of interest expense is adequate at 5.6 times (x) for the last twelve months ended June 30, 2001, though it has
