For Immediate release
Donald D. Mateer III, President and CEO of Specialty Tires of America (STA), announced the filing on October 9, 2009, of an appeal of the court ruling dismissing STA’s Complaint against Hoosier Racing Tire Corp. and World Racing Group, Inc., for violations of the U.S. anti-trust laws. The decision rejecting the suit was issued on September 15 by a Federal Court in Pittsburgh. STA’s appeal was filed with the Federal Third Circuit Court of Appeals in Philadelphia, PA.
Mr. Mateer stated that the court’s opinion is contrary to the intent of the anti-trust laws, and will lead to even less competition in the market for racing tires and other racing equipment. Hoosier maintains its monopoly position by use of long-term, exclusive agreements; boycotts, such as the implementation of a “National Sprint Tire” rule in 2007; and collusive behavior with World Racing Group and other sanctioning companies. Mateer said “We simply cannot let this ruling stand unchallenged. If we do so, the end result will be that a few large sanctioning companies and parts suppliers, like Hoosier, will dictate to promoters, car owners and racers not only the rules, but also how much extra race participants have to pay for ordinary parts. Already, in some parts of the country, promoters preferring to have more affordable races for their competitors cannot do so because of the overwhelming influence of a dominant sanctioning company. This ruling only aggravates that inequity.”
“Without a truly competitive market benefiting promoters, drivers and car owners,” Mateer said, “racer participation and car counts will suffer and the interests of a few dominant companies will determine the face of short track racing in America for everyone else. We believe that true competition fosters innovation, choice, reduced prices and better serves the many participants in the short track racing industry rather than a select few.”
STA manufactures American Racer® brand racing tires and markets them through its Race Tires America division.
For further information, contact: Thomas M. Schultz
General Counsel
Specialty Tires of America, Inc. and
Race Tires America, Inc.
4731 State Route 30
Greensburg, PA 15601
Email:
tschultz@polymerenterprises.net