SMI also said it would hire professional parking and engineering services to manage automotive and pedestrian traffic flows during event days.

As a result, the Kentucky Transportation Cabinet vowed to improve surrounding highways to allow faster access to the expanded parking areas.

Kentucky Speedway General Manager Mark Simendinger said:

We learned meaningful lessons during our inaugural NASCAR Sprint Cup Series race weekend and we committed that the traffic congestion that occurred on race day would not happen again. It was important for us to act quickly and I am thrilled to report this solution, which was formed in only seven short weeks. I compliment and thank SMI Chairman and CEO Bruton Smith, Kentucky Gov. Steve Beshear and KYTC Sec. Mike Hancock for working collaboratively on this plan.

The new parcel of land is expected to increase parking capacity by 35%.

Additionally, SMI reaffirmed its full year earning’s guidance of $0.90 to $1.20 per diluted share.

SMI’s GAAP loss from operations was $28.1 million and $29.3 or $0.68 and $0.71 per diluted share for three and six month periods, respectively.

Factors that impacted SMI’s second quarter results include:

• Atlanta Motor Speedway held a NASCAR Sprint Cup Series racing event in the first quarter 2010 that was realigned to Kentucky Speedway in the third quarter 2011
• New Hampshire Motor Speedway held a NASCAR Sprint Cup and a Nationwide Series racing event in the second quarter 2010 that was held in the third quarter 2011
• Charlotte Motor Speedway held a NHRA Nationals racing event in the first quarter 2010 that was held in the second quarter 2011
• Kentucky Speedway held a NASCAR Nationwide Series racing event in the second quarter 2010 that was held in the third quarter 2011
• Ongoing effects of challenging economic conditions, including high food and fuel prices, as well as high unemployment
• Lower interest expense from first quarter 2011 debt refinancing transactions
• Higher effective income tax rates in 2011

Total revenues are down 13.9% compared to the second quarter of 2010. Year-to-date, total revenues are down 19% compared to the same span in 2010.

Marcus G. Smith, Chief Operating Officer and President of Speedway Motorsports said:

Our second quarter results, excluding a sizable non-cash charge, exceeded our expectations and reflect growing indications that attendance trends are stabilizing, as well as current and prospective corporate marketing interest is increasing. The non-cash charge overshadows our progress with cost reduction efforts and benefits of reduced interest costs under our successful first quarter 2011 financing transactions. And we continue to believe our price reductions are successfully helping offset the tough economic times for our fans.

These results come a few weeks after Kentucky Speedway, in its inaugural Sprint Cup race, had horrible traffic conditions that resulted in several fans being turned away, after sitting in hours of traffic, due to a lack of parking. Ultimately, SMI offered fans a ticket exchange.

Bruton Smith, Chairman and Chief Executive Officer of Speedway Motorsports said:

What was intended to be an incredibly successful, sold-out inaugural NASCAR Sprint Cup race in July at our newly modernized Kentucky Speedway was marred by extreme traffic and other congestion for which we remain apologetic. This is not SMI’s way. We build the finest, most fan-pleasing facilities and infrastructure possible for our fans and our sport. Our history is conducting exceptionally fan-appealing, entertaining and successful events. We are already progressing on improving and expanding on-site road systems, available parking, restroom, and other facilities at the speedway, as well as working with the State of Kentucky to help improve surrounding roadways. Notwithstanding these fixable issues, the interest and excitement surrounding this inaugural race event far exceeded our expectations. We remain more confident than ever that Kentucky’s premium market represents a tremendous long-term growth opportunity for SMI, as well as broadcasters and advertisers, and will undoubtedly join SMI’s successful history of investing in first-class facilities.

Like every inaugural event Kentucky had its fair share of problems, most notably traffic. Yahoo Sports is reporting that approximately 20,000 fans who had tickets for the Quaker State 400 weren’t allowed into the track because of parking problems. Both Kentucky Speedway general manager Mark Simendinger and Speedway Motorsports Inc. president Marcus Smith acknowledged the traffic problem and said they will work feverishly to fix this problem for the 2012 race.

The damage may have been done, though, as many angry fans took to the speedway’s Facebook page Sunday afternoon.

One fan posted:

Left our house that was only 60 miles away and sat in traffic for over seven hours, then was unable to park anywhere near the race and had to walk miles to get there, by the time we [were] about a mile away from the actual track, the race was over…none of the shuttles were even helping people and the idiots on the bike trolly wanted $40 dollars per person to take us one mile…EPIC FAIL, My FIRST NASCAR race and I did not see ONE CAR!!! Not to mention I am out $200.00 plus gas and a whole day and night with NOTHING to show for it!!

Another posted:

I’ve been to 62 NASCAR races. I’ve been to every track east of the Mississippi. I was at [Kentucky] and made it there with no problems, but I was one of the fortunate ones. Out if all of the races I’ve been to, this was the worst run. Kentucky should be ashamed [of itself]. Bruton [Smith] wants to blame [I-71], but his facility was the problem. There was nowhere to park. People want to mention the first Texas race as having the same problem. I was at that inaugural race as well and they are totally different. It [was pouring] and [they] couldn’t use some of the parking and 200,000 people were going there. [Smith] needs to step up and take responsibility.

Kentucky Speedway announced that race fans who weren’t able to make it to their seats for the race Saturday evening can either exchange their ticket for any other SMI track this year, or for a ticket to the 2012 Kentucky race. Smith issued a statement saying he “apologized on behalf of Speedway Motorsports” for the debacle.

I applaud everyone at SMI and Kentucky Speedway for stepping up and apologizing to the fans for this setback. I am glad to see they handled the situation professionally and are making the situation right by allowing fans to exchange their tickets for tickets to upcoming races.