Monroe Motor Speedway Closes on Financing, Begins Planning Construction

Set to Open in January 2008, the Race Track Will Bring Jobs, Attention and Entertainment Dollars to Monroe

MONROE, La., Jan. 3 -- Auto racing, one of the country's fastest growing and most popular sports, will soon have a home in northern Louisiana thanks to the persistence and vision of racing enthusiast and local businessman Stewart Bashner. With the closing today of a $4.5 million investment from BizCapital in New Orleans, construction will begin this month as scheduled -- with the first races planned for early 2008.

The Monroe Motor Speedway, the region's first paved auto racing facility, is designed to be a complete motorsports and entertainment destination for fans of all ages. Located on 55 acres in the Ouachita Parish, the speedway will feature a .375 mile paved oval short track and will accommodate up to 5,000 fans. The speedway will feature 45 weekends of racing a year and serve as a venue for a variety of events, including concerts and open-air markets.

"Racing fans in northern Louisiana will no longer have to drive six or more hours to see top quality racing," Bashner said. "Instead of making the trip to Talladega or Memphis, they will soon be able to see some of the sport's most promising young drivers compete right here in Monroe. Once this speedway is complete, we have no doubt we will achieve our goal of becoming a NASCAR-sanctioned track."

In addition to offering best-in-class short track racing, the Monroe Motor Speedway will include family friendly amenities such as a super-sized playground, an ice-cream parlor and a large game room. Alcohol and tobacco will be prohibited in certain areas of the grandstands, ensuring a clean and safe environment where the entire family can enjoy the racing events.

"This new race track will have a significant economic impact on Monroe and the surrounding communities in the form of jobs, tourism dollars and increased tax revenue," said John M. Brocato, president of BizCapital. "Economic data and regional demographics show that Monroe provides an exceptionally favorable environment for auto racing. Despite a population of 4 million people, Louisiana is underserved by auto racing facilities. The new speedway will provide a much-needed form of family entertainment and make Monroe a destination for thousands of racing fans in the Tri-state area."

BizCapital is providing financing for the new speedway through a small business lending fund established to provide financing for entrepreneurs in communities that qualify under the U.S. Treasury's New Markets Tax Credits Program. BizCapital's parent firm, Advantage Capital Partners of New Orleans, already has raised more than $100 million through the New Markets program. To qualify for investment from the fund, a company must fit the SBA definition of a small business for its particular industry and be located within a low- income census tract. Loans can range from $250,000 to $2 million for capital to build, rebuild or expand operations and facilities.

In addition to the financing from BizCapital, the speedway will receive funding through an equity investment by Bashner and other owner/partners. The total cost of the speedway is estimated at $6.2 million.

The speedway will be managed and marketed by a board of directors and management team that is highly skilled and experienced in all areas of the motorsports and entertainment businesses. In addition to Bashner, who will act as general manager, key consultants on the project include Don Naman, former director of the International Motorsports Hall of Fame; Andy Vertrees, CEO of the Iowa Speedway; Johnny Parsons Jr., retired Indy car driver and current media analyst; Bobby Allison, retired NASCAR driver and auto racing legend; Doyle Ford, retired flagman for NASCAR's Winston Cup Series (now known as the Nextel Cup); Herb Adcox, racing enthusiast; and Paxton Waters, designer of the California Speedway, Las Vegas Motor Speedway, Iowa Speedway, Naperville Test Track and others.

About BizCapital and Advantage Capital Partners

BizCapital ( http://www.biz-capital.com/ ) is a non-depository financial institution offering competitive loans to small and medium-sized companies. Since its inception in 1999, BizCapital has made more than $100 million in loans to businesses in a variety of industries, helping to stimulate business growth and economic activity.

BizCapital's parent firm is Advantage Capital Partners ( http://www.advantagecap.com/ ), a venture capital and private equity firm focused on investing in promising companies located in areas underserved by traditional venture capital. With offices and partners in New Orleans, St. Louis and several other cities, Advantage Capital has raised more than $750 million in institutional venture capital since 1992.