International Speedway Reports Record Revenues for the Fourth Quarter and Full Year of Fiscal 2006

DAYTONA BEACH, Fla., Jan. 25, 2007 -- International Speedway Corporation (BULLETIN BOARD: ISCB) ("ISC") today reported results for the fiscal fourth quarter and full year ended November 30, 2006.

"Fiscal 2006 was another successful year for the Company, anchored by a strong fourth quarter," said ISC President Lesa France Kennedy. "Increased television broadcast rights, sponsorship and hospitality revenues resulted in record top-line results for the quarter. Consumer demand also remained solid, evidenced by sellouts at five of our last seven NASCAR NEXTEL Cup events of the year."

Fourth Quarter Comparison

Total revenues for the fourth quarter increased to $253.5 million, compared to revenues of $236.7 million in the prior-year period. Operating income was $16.7 million compared to $90.5 million in the fourth quarter of fiscal 2005. Impacting year-over-year comparability are pre-tax, non-cash charges of $87.1 million, or $1.04 per diluted share after tax, for the impairment of long-lived assets. These impairments are substantially related to the Company's decision to discontinue its speedway development project on Staten Island. Results were further impacted by an IRL IndyCar Series event at Watkins Glen International (conducted in the third quarter of 2006 versus the fourth quarter of 2005), an IRL IndyCar Series event at California Speedway in 2005 that was not held in 2006, and increased litigation expenses.

Net income for the fiscal 2006 fourth quarter was $7.8 million, or $0.15 per diluted share, which includes pre-tax expenses of approximately $1.5 million, or $0.02 per diluted share, related to the Company's defense in the Kentucky litigation, and $750,000, or $0.01 per diluted share after tax, related to the dismantling and transfer of grandstand seating structures from Nazareth Speedway to Michigan International Speedway.

Excluding the aforementioned impairment charges, net income for the 2006 fourth quarter was $63.2 million, or $1.19 per diluted share. Net income for the three months ended November 30, 2005 was $55.0 million, or $1.03 per diluted share.

Full Year Comparison

For the twelve months ended November 30, 2006, total revenues increased to $798.4 million from $740.1 million in 2005. Operating income for the twelve- month period was $199.2 million compared to $265.3 million in the prior year. Results for 2006 were primarily impacted by the aforementioned pre-tax, non- cash charges of $87.1 million, or $1.04 per diluted share after tax, for the impairment of long-lived assets.

Net income was $116.8 million, or $2.19 per diluted share, in 2006, which includes a pre-tax expense of $5.5 million, or $0.06 per diluted share, related to the Company's defense in the Kentucky litigation. Excluding the aforementioned impairment charges, net income for fiscal 2006 was $172.2 million, or $3.23 per diluted share. Net income for the twelve months ended November 30, 2005 was $159.4 million, or $2.99 per diluted share.

GAAP to Non-GAAP Reconciliation

The following financial information is presented below using other than generally accepted accounting principles ("non-GAAP"), and is reconciled to comparable information presented using GAAP. Non-GAAP net income and diluted earnings per share below are derived by adjusting amounts determined in accordance with GAAP for certain items presented in the accompanying selected operating statement data, net of taxes.

The adjustment relates to the impairment of long-lived assets in the fourth quarter. These impairments are substantially related to the previously announced decision by the Company to discontinue pursuit of a speedway development project on Staten Island. The Company believes such non-GAAP information is useful and meaningful to investors, and is used by investors and ISC to assess core operations.

This non-GAAP financial information may not be comparable to similarly titled measures used by other entities and should not be considered as an alternative to operating income, net income or diluted earnings per share, which are determined in accordance with GAAP.

                                    (In Thousands, Except Per Share Amounts)
                                                   (Unaudited)

                                     Three Months Ended  Twelve Months Ended
                                      Nov. 30,  Nov. 30,  Nov. 30,  Nov. 30,
                                        2005      2006     2005      2006

  Net income                           $55,044   $7,792  $159,361  $116,804

  Net loss (income), net of tax, from:
      Discontinued operations             (432)      30      (289)      176
  Income from continuing operations     54,612    7,822   159,072   116,980

  Adjustments, net of tax:
      Impairment of long-lived assets      -     55,441       -      55,441
  Non-GAAP net income                  $54,612  $63,263  $159,072  $172,421

  Per share data:
  Diluted earnings per share             $1.03    $0.15     $2.99     $2.19

  Net loss (income), net of tax, from:
      Discontinued operations              -        -         -        0.01
  Income from continuing operations       1.03     0.15      2.99      2.20

  Adjustments, net of tax:
      Impairment of long-lived assets      -       1.04       -        1.04
  Non-GAAP diluted earnings per share    $1.03    $1.19     $2.99     $3.24

  2006 Fourth Quarter Highlights

An overview of the significant major event weekends held in the fourth quarter of 2006 includes:

  - California hosted an exciting weekend of NASCAR NEXTEL Cup and Busch
    series racing, anchored by the Sony HD 500.  The weekend was also
    highlighted by the debut of California's Opportunity, California FanZone
    and Wolfgang Puck's Apex, a high-end eatery featuring cuisine by the
    world renowned chef.

  - Richmond International Raceway hosted another successful NEXTEL Cup and
    Busch weekend in September, highlighted by its 30th consecutive sellout
    for the NEXTEL Cup Chevy Rock and Roll 400.  Richmond also posted
    increased attendance for the Emerson 250 NASCAR Busch Series race.

  - Chicagoland Speedway hosted the IRL IndyCar Series finale weekend, which
    was sold-out as part of the facility's season ticket package.

  - Kansas Speedway hosted a successful and sold-out weekend of NEXTEL Cup
    and Busch series racing.  Tony Stewart took the checkered flag for the
    Banquet 400, despite running out of fuel on the final lap of the race.

  - Talladega Superspeedway held a successful event weekend in early
    October, featuring the inaugural NASCAR Craftsman Truck Series John
    Deere 250, which was realigned from Richmond in 2006.  Attendance for
    both weekend events was very strong, and the NEXTEL Cup UAW Ford 500
    drew one of the largest crowds in recent years.   The weekend also
    featured the debut of Talladega's newly repaved racing surface, which
    resulted in outstanding on-track competition.

  - Martinsville Speedway hosted a successful Craftsman Truck and NEXTEL Cup
    weekend, posting its second NEXTEL Cup sellout of the year for the
    Subway 500.  Jimmie Johnson captured the checkered flag to begin his
    drive to ultimately become the 2006 NASCAR NEXTEL Cup Champion.

  - Phoenix International Raceway hosted a very successful weekend of
    Craftsman Truck, Busch and NEXTEL Cup series racing in early November,
    highlighted by a sold-out crowd for the Checker Auto Parts 500.  The
    facility's support events also posted increased attendance over the
    prior year.  Kevin Harvick held off Jimmie Johnson to complete his 2006
    sweep at Phoenix.

  - Homestead-Miami Speedway closed out the 2006 racing season with the
    highly successful NASCAR Ford Championship weekend.  Attendance
    increased for both the Ford 200 Craftsman Truck and Ford 300 Busch
    series races.  In addition, demand for NEXTEL Cup Ford 400 was strong,
    with the race posting a near five-month advanced sellout.  As a result,
    an additional 4,000 temporary grandstand seats were installed behind
    Turn 4, which were sold as well.

The Company's results were also driven by increased corporate marketing partner spending. For the full year, partner spending for the Company's events, including sponsorship and hospitality, grew at a double-digit rate as compared to the prior year. Fueling this increase were several significant official status agreements with Anheuser Busch, Bank of America, Unilever, and others. In addition, the Company sold its entire inventory of NASCAR NEXTEL Cup and Busch race entitlements for 2006.

"Corporate marketers continue to recognize the significant business- building opportunities that exist in motorsports," continued Ms. France Kennedy. "These advertisers increasingly choose to partner with ISC because of our nationwide footprint of premier events and facilities, as well as our significant attention to partnership management. We work closely with our partners to help them realize the highest possible return on their investments. In addition, we will continue to leverage all of our assets to drive future growth in sponsor-related revenue."

Recent Developments

The Company continues to make progress on its development efforts. In the state of Washington, ISC expects the necessary legislation, which creates the public funding mechanism for the project, to be introduced into the 2007 State Legislative Session within the next few weeks. The Company has been working closely with state legislators to secure sponsors for the bill and believes it has assembled a strong team of supporters. The 2007 Session is scheduled to run through April 2007, with the potential for extension into May. ISC is optimistic for the passage of the legislation, and looks forward to racing in Washington by 2011.

In the New York metropolitan area, ISC continues to search for a suitable site for a potential speedway development. The Company continues to believe that a premier facility in the nation's number one media market represents a significant long-term opportunity. In addition, ISC is also evaluating alternative strategies for the 676 acres currently owned on Staten Island, including sale of the acreage in parcels or as a whole, or its potential development with a third party. ISC believes the acreage, which represents the largest undeveloped parcel of land in the five boroughs of New York City, will be valued in excess of $100 million once it is filled and ready to sell in the next couple of years.

Regarding the civil action filed in July 2005 by the Kentucky Speedway, LLC, against NASCAR and ISC, the Company is moving forward with discovery and proceeding with preparation of its defense. As previously discussed, legal expenses for fiscal 2006 related to the litigation were $5.5 million, or $0.06 per diluted share. The Company anticipates incurring legal expenses in fiscal 2007 of between $3.5 million and $4.5 million, or a $0.04 to $0.05 per diluted share reduction in earnings. Based on evidentiary materials reviewed to date, the Company maintains the lawsuit is without merit and intends to continue to vigorously defend itself.

The Company is also proceeding with its previously announced acquisition of Raceway Associates, LLC, owner and operator of Chicagoland Speedway and Route 66 Raceway in Joliet, Illinois. The acquisition remains on track to close by February 28, 2007.

Outlook

Speedweeks 2007 kicks off on January 27 with the 45th running of the Grand Am Rolex 24 at Daytona. Both FOX and SPEED Channel will air a total of 15 hours of live coverage, marking the first ever network broadcast of the country's premier endurance race. SPEED will also air the Craftsman Truck Series Chevy Silverado HD 250 from Daytona. Speedweeks culminates with the 49th annual Daytona 500, the Great American Race. FOX and SPEED have partnered to broadcast the NEXTEL Cup Budweiser Shootout, Gatorade Duel at Daytona and the Daytona 500. ESPN2 will begin its NASCAR coverage by broadcasting the Orbitz 300 Busch race during Speedweeks.

ISC reiterates its prior financial estimates for the 2007 full fiscal year of revenues between $755 and $775 million, and net income of $3.05 to $3.15 per diluted share. In addition, the Company expects first quarter earnings before interest, taxes, depreciation and amortization ("EBITDA")(1) and operating margins to range from 44 to 45 percent and 36 to 37 percent, respectively. It is important to note that the full year guidance does not include the consolidated results of Chicagoland Speedway and Route 66 Raceway. Upon the close of the transactions, the Company will update its financial outlook for fiscal 2007.

"We eagerly await the start of the 2007 race season and the 49th running of the Daytona 500," concluded Ms. France Kennedy. "Our sound consumer and corporate marketing initiatives will help drive increased corporate partner and attendance-related revenue for the long-term. We will also continue to capitalize on our internal and external growth initiatives to help further drive the popularity of NASCAR racing throughout North America. In addition, several significant industry developments, including ESPN's return to NASCAR, the Car of Tomorrow and the entry of Toyota into the NASCAR NEXTEL Cup and Busch series, are expected to continue expanding the sport's popularity, further raising awareness among fans and media. We are excited about the future prospects for the Company, and remain committed to growing shareholder value."

  (1) EBITDA is a non-GAAP financial measure used by the Company as an
      important indicator of its operating margin.

  

International Speedway Corporation is a leading promoter of motorsports activities in the United States, currently promoting more than 100 racing events annually as well as numerous other motorsports-related activities. The Company owns and/or operates 11 of the nation's major motorsports entertainment facilities, including Daytona International Speedway in Florida (home of the Daytona 500); Talladega Superspeedway in Alabama; Michigan International Speedway located outside Detroit; Richmond International Raceway in Virginia; California Speedway near Los Angeles; Kansas Speedway in Kansas City, Kansas; Phoenix International Raceway in Arizona; Homestead-Miami Speedway in Florida; Martinsville Speedway in Virginia; Darlington Raceway in South Carolina; and Watkins Glen International in New York.

Other motorsports entertainment facility ownership includes an indirect 37.5 percent interest in Raceway Associates, LLC, which owns and operates Chicagoland Speedway and Route 66 Raceway near Chicago, Illinois. In addition, ISC is a limited partner with Group Motorise International in the organization and promotion of certain events at Circuit Gilles Villeneuve in Montreal, Canada.

The Company also owns and operates MRN Radio, the nation's largest independent sports radio network; DAYTONA USA, the "Ultimate Motorsports Attraction" in Daytona Beach, Florida, the official attraction of NASCAR; and subsidiaries which provide catering services, food and beverage concessions, and produce and market motorsports-related merchandise under the trade name "Americrown." In addition, ISC has an indirect 50 percent interest in a business called Motorsports Authentics, which markets and distributes motorsports-related merchandise licensed by certain competitors in NASCAR racing and other sports. For more information, visit the Company's Web site at www.iscmotorsports.com.

                    Consolidated Statements of Operations
                   (In Thousands, Except Per Share Amounts)
                                 (Unaudited)

                                 Three Months Ended     Twelve Months Ended
                                Nov. 30,    Nov. 30,    Nov. 30,    Nov. 30,
                                  2005        2006        2005        2006
  REVENUES:
       Admissions, net          $71,563     $73,533    $234,768    $235,251
       Motorsports related      134,325     149,307     408,514     466,095
       Food, beverage and
        merchandise              28,093      27,853      87,269      87,288
       Other                      2,749       2,766       9,578       9,735
                                236,730     253,459     740,129     798,369

  EXPENSES:
       Direct expenses:
            Prize and point
             fund monies and
             NASCAR sanction
             fees                47,296      51,781     136,816     151,203
            Motorsports
             related             42,173      39,559     134,395     144,445
            Food, beverage
             and merchandise     18,561      16,141      56,773      53,141
       General and
        administrative           24,812      26,908      95,987     106,497
       Depreciation and
        amortization             13,355      15,268      50,893      56,833
       Impairment of long-
        lived assets                  -      87,084           -      87,084
                                146,197     236,741     474,864     599,203

  Operating income               90,533      16,718     265,265     199,166
  Interest income                 1,299       1,928       4,860       5,312
  Interest expense               (3,107)     (2,736)    (12,693)    (12,349)
  Equity in net income
   (loss) from equity
   investments                      480        (450)      3,516         318

  Income from continuing
   operations before income
   taxes                         89,205      15,460     260,948     192,447
  Income taxes                   34,593       7,638     101,876      75,467

  Income from continuing
   operations                    54,612       7,822     159,072     116,980
  Income (loss) from
   discontinued operations,
   net of income taxes
   of $195, $(60), 0 and
   $(268), respectively             432         (30)        289        (176)
  Net income                    $55,044      $7,792    $159,361    $116,804

  Basic earnings per share:
       Income from
        continuing
        operations                $1.03       $0.15       $2.99       $2.20
       Income (loss) from
        discontinued
        operations                 0.01           -        0.01           -
       Net income                 $1.04       $0.15       $3.00       $2.20

  Diluted earnings per
   share:
       Income from
        continuing
        operations                $1.03       $0.15       $2.99       $2.20
       Income (loss) from
        discontinued
        operations                    -           -           -       (0.01)
       Net income                 $1.03       $0.15       $2.99       $2.19

  Dividends per share                $-          $-       $0.06       $0.08

  Basic weighted average
   shares outstanding        53,143,565  53,178,043  53,128,533  53,166,458

  Diluted weighted average
   shares outstanding        53,250,512  53,293,850  53,240,183  53,270,623

                       Consolidated Balance Sheets
                              (In Thousands)
                               (Unaudited)

                                             November 30,
                                           2005        2006

  ASSETS
  Current Assets:
       Cash and cash equivalents         $130,758     $59,681
       Short-term investments               8,200      78,000
       Receivables, less allowance of
        $1,500 in 2005 and $1,000 in
        2006                               45,557      52,699
       Inventories                          6,528       3,976
       Deferred income taxes                    -         995
       Prepaid expenses and other
        current assets                      6,335       8,251
  Total Current Assets                    197,378     203,602

  Property and Equipment, net           1,178,682   1,157,313
  Other Assets:
       Equity investments                  51,160     175,915
       Intangible assets, net             149,464     149,314
       Goodwill                            99,507      99,507
       Deposits with Internal Revenue
        Service                            96,913     110,813
       Other                               23,965      25,595
                                          421,009     561,144
  Total Assets                         $1,797,069  $1,922,059

  LIABILITIES AND SHAREHOLDERS' EQUITY
  Current Liabilities:
       Current portion of long-term debt     $635        $770
       Accounts payable                    19,274      29,577
       Deferred income                    123,870     124,254
       Income taxes payable                20,067      22,477
       Other current liabilities           18,645      19,226
  Total Current Liabilities               182,491     196,304

  Long-Term Debt                          368,387     367,324
  Deferred Income Taxes                   194,825     191,642
  Long-Term Deferred Income                11,342      10,808
  Other Long-Term Liabilities                  69         866
  Commitments and Contingencies                 -           -
  Shareholders' Equity:
       Class A Common Stock, $.01 par
        value, 80,000,000 shares
        authorized; 29,215,778 and
        31,078,307 issued and outstanding
        in 2005 and 2006, respectively        292         311
       Class B Common Stock, $.01 par
        value, 40,000,000 shares
        authorized; 23,928,058 and
        22,100,263 issued and outstanding
        in 2005 and 2006, respectively        239         221
       Additional paid-in capital         695,658     698,396
       Retained earnings                  343,766     456,187

  Total Shareholders' Equity            1,039,955   1,155,115
  Total Liabilities and Shareholders'
   Equity                              $1,797,069  $1,922,059

                    Consolidated Statements of Cash Flows
                               (In Thousands)
                                 (Unaudited)

                                                        Year Ended
                                               November 30,     November 30,
                                                  2005              2006
  OPERATING ACTIVITIES
  Net income                                    $159,361          $116,804
       Adjustments to reconcile net
        income to net cash provided by
        operating activities:
            Depreciation and amortization         50,893            56,833
            Stock-based compensation               1,953             2,700
            Amortization of financing costs          569               538
            Deferred income taxes                 29,208            (4,178)
            Income from equity investments        (3,516)             (318)
            Impairment of long-lived assets          -              87,084
            Excess tax benefits
             relating to stock-based
             compensation                            -                (185)
            Other, net                              (248)               23
            Changes in operating assets
             and liabilities:
                 Receivables, net                  7,304            (7,142)
                 Inventories, prepaid
                  expenses and other assets         (644)              336
                 Deposits with Internal
                  Revenue Service                (96,913)          (13,900)
                 Accounts payable and
                  other liabilities               (5,359)              345
                 Deferred income                   9,191              (150)
                 Income taxes                     (5,027)            2,607
  Net cash provided by operating activities      146,772           241,397

  INVESTING ACTIVITIES
       Capital expenditures                     (248,850)         (110,374)
       Proceeds from asset disposals                  31               182
       Acquisition of business                   (12,660)                -
       Purchase of equity investments            (11,642)         (124,565)
       Proceeds from short-term investments      430,950            80,855
       Purchases of short-term investments      (324,150)         (150,655)
       Advance to affiliate                            -            (3,000)
       Proceeds from affiliate                       487               128
       Other, net                                   (377)              314
  Net cash used in investing activities         (166,211)         (307,115)

  FINANCING ACTIVITIES
       Proceeds under credit facility                  -            80,000
       Payments under credit facility                  -           (80,000)
       Payment of long-term debt                  (7,505)             (635)
       Deferred financing fees                       (10)             (368)
       Cash dividends paid                        (3,199)           (4,270)
       Reacquisition of previously
        issued common stock                         (511)             (460)
       Exercise of Class A common stock options      444               189
       Excess tax benefits relating to
        stock-based compensation                     -                 185
  Net cash used in financing activities          (10,781)           (5,359)

  Net decrease in cash and cash equivalents      (30,220)          (71,077)
  Cash and cash equivalents at
   beginning of year                             160,978           130,758
  Cash and cash equivalents at end of year      $130,758           $59,681

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