Copyright 2002, Roadracing World Publishing, Inc.

By David Swarts

Racers’ reactions to the re-configured chicane at Daytona International Speedway remained generally positive after it was tested under racing conditions Thursday afternoon.

“It’s pretty good. I think it’s a good design,” said Larry Pegram after riding an endurance stint for Team Orient Express in Thursday’s Team Challenge. “It needs to be closer to NASCAR three. We have too much speed before NASCAR three now. It could overheat the tires and push us into the wall on the banking. We’re probably going 7-8 mph faster by the time we get to NASCAR three and 10 mph faster at the start/finish line.”

“It was about the same under race conditions except it was a whole lot safer,” said Jason DiSalvo, who used the Team Challenge to test his factory Yamaha YZF-R6. “It was kind of tough to pass people going in. You can take the entrance faster because there’s not so much of a bump at the entrance now. Overall, it makes about half a second to a full second faster on our lap times.”

“It’s a lot safer and a lot smoother,” said Matt Wait after taking the Team Challenge overall race win. “The approach is good, the exit’s good and I like the way it feels coming out. It’s smooth so there’s a lot of grip. I like it.

“I think they put more pavement on the inside (of the right at the entrance). So you have a wider section. The paint’s got some kind of grit in it, so it has grip now. But it’s still the same as far as passing.”

“It’s the same,” said Steve Rapp. “You can’t pass going in really. If you get behind them at the entrance, you have to slow down and wait behind them until you get to the exit. It’s kind of one-line now. Before you could pass them in the middle. Now if you don’t pass them before you lean it in, you have to wait. But it’s better on the exit. You can’t risk messing up the exit though because that takes you all the way around.”

Copyright 2002, Roadracing World Publishing, Inc.

Racer and CMRA Director Eric Kelcher and CCS Event Manager Tiffiney Ingram are engaged to be married.

The wedding has been scheduled for April 6, 2003 but the location has yet to be determined.

Copyright 2002, Roadracing World Publishing, Inc.

By David Swarts

Priority Racing/Irish Bike’s Simon Turner broke both bones in his lower left leg Friday morning in a crash during CCS practice at Daytona International Speedway.

“We wanted to try some stuff with the motor and try the Bridgestones,” Priority Racing’s Per Hogdahl told Roadracingworld.com Friday in the Daytona paddock. “They’ve been lobbying for our business for a while now. They were working pretty well. We were trying a new profile front tire, but I don’t think that had anything to do with the crash. I suspect he highsided coming out of the International Horseshoe because his bike was lying in the middle of the track at the exit.

“He broke both bones in his lower left leg. It’s well above the ankle. So that’s good. He’s in the infield care center being stabilized right now.”

Turner finished fourth in the 2002 AMA 250cc Grand Prix Championship.

Copyright 2002, Roadracing World Publishing, Inc.

By David Swarts

Three-time AMA Superbike Champion Doug Chandler is close to coming to terms to ride for No Limits Honda in the 2003 AMA Formula Xtreme and Supersport series. That’s the word from No Limits rider and team co-owner Jason Curtis.

“Yeah, we’re pretty close,” Curtis told Roadracingworld.com Friday at Daytona. “What we’re waiting for right now is for his (Chandler’s) guys to look over the deal and see if it works out for him. We’ve been working on it for some time, almost a month. It’s in his hands now.

“We’d still like to bring Lance (Isaacs) over because Lance did not do a bad job for us last year. We’d like to bring Lance over to ride 600 only if there’s enough money.” Isaacs finished fifth in the 2002 AMA Formula Xtreme Championship on a No Limits Yamaha YZF-R1.

Curtis also stated that he had hired former Erion Honda mechanic Dave Presler and former Bruce Transportation Group Honda mechanic Poncho Rangel to work with him and had hired ex-Damon Buckmaster Formula Xtreme Crew Chief John Asher to work with Chandler. A second mechanic will be hired to work with Asher and Chandler.

Copyright 2002, Roadracing World Publishing, Inc.

By David Swarts

After riding in a Team Hammer Advanced Riding School & Track Ride event at Daytona International Speedway Wednesday, Formula USA and AMA racers had generally positive feedback on the 3.56-mile infield road course’s redesigned chicane, with a few reservations.

“I love it!” Arclight Suzuki’s Craig Connell told Roadracingworld.com. “I was going to come in there at the end, but I did another lap just so I could go through it (chicane) again. It’s definitely safer for us (Formula USA Unlimited Superbike riders) and 600s, but Superbikes, down here (in the tri-oval), they’re going to be going faster. I think the complaints will come when they get here in March.”

“We’re going to see Superbikes doing 200 mph next Spring!” said Daytona veteran Rick Shaw. “I was two gears higher exiting the new chicane.”

When asked if he meant two gear teeth higher, Shaw clarified, stating, “No, two gears higher.”

“I like it,” said AMA Supersport regular Michael Hannas. “It’s much safer. You’re coming back on the track at a much straighter shot, and you come back onto the speedway where it’s straight instead of you coming out right at NASCAR three.

“I think lap times will be around the same, maybe a little faster. You’re not carrying as much speed through it (chicane), but you come out faster and sooner and your top speed should be higher in the tri-oval.”

“I think it’s fun,” said Team Valvoline EMGO Suzuki’s new signee Steve Rapp. “I think it’s faster. I think the lap times will be faster. I think you’re going into (NASCAR turn) three faster.”

Unofficially, Rapp turned a best lap time of 1:53.226, on his team’s stopwatches, in his first ride on a Formula USA Unlimited Superbike-spec Suzuki GSX-R750, his first racebike ride on Michelin DOT-labeled tires in years and his first day on the new Daytona layout.

The current Formula USA Unlimited Superbike lap record is a 1:52.941, set on the old course by Shawn Higbee in March 2001.

“But if somebody crashes at the entrance, there’s more of a chance of somebody getting hit by the crashed bike than before,” added Rapp.

“I don’t know. It’s different,” said Higbee of the new chicane. “It was hard to go fast because it was dusty and kind of slippery. There seem to be some bumps at the entrance and at the exit. It looks like it might have been a rush job.”

Despite the dust and bumps, Higbee almost matched his own lap record. “We were in the low 1:53s or 1:53-flat, and I didn’t feel up to speed yet. So it will be faster, but I think we could have some tire issues because we’re carrying more speed around the banking and into the tri-oval. At least we saw something that suggested that.”

“The jury’s still out. Ask me at the end of the weekend,” said 14K The Movie’s Eric Wood. “As far as wanting to point you away from the wall at the exit, it works. But, it presents the opportunity to do a vicious highside in the middle there.

“I think it will be a bottleneck. It will be difficult to deal with a person who is slower. You used to be able to pass someone in the middle of the old chicane. Now, to pass someone in the middle of it, you’re gonna have to horrify them. You’ll have to pass them on the way in.

“I don’t know if it’s faster or slower. If it increased my top speed, it was by 200 or 300 rpm. It was pretty similar.”

From a press release issued by Team Stargel Aprilia:

TEAM STARGEL PREPARES FOR BATTLE IN VALENCIA

Team Stargel Aprilia rider Chuck Sorensen said “I couldn’t believe it when the AMA called me last week and told me I had received one of the five wild cards for the Spanish GP. I will try my hardest and learn from the best in the world.”

Now the tough part, getting all the stuff over there and taking care of the preparations so we can do well. The team has received many phone calls and e-mails from fans and well wishers.

This adventure is being funded by Team Stargel Aprilia, so if you would like to help an American team compete in a World Championship Grand Prix, your contributions would be greatly appreciated.

You can make a donation to [email protected] at www.paypal.com. We will represent our country with great pride and determination.

Copyright 2002, Roadracing World Publishing, Inc.

Thursday Morning F-USA Unlimited Superbike Practice Times:

1. Craig Connell, Suzuki GSX-R750, 1:52.625
2. Eric Wood, Suzuki GSX-R750, 1:53.403
3. Larry Pegram, Suzuki GSX-R750, 1:53.425
4. Michael Barnes, Suzuki GSX-R750, 1:53.885
5. Lee Acree, Suzuki GSX-R750, 1:54.037
6. Steve Rapp, Suzuki GSX-R750, 1:54.248
7. Shawn Higbee, Suzuki GSX-R750, 1:54.328
8. Geoff May, Suzuki GSX-R1000, 1:55.000
9. Matt Furtek, Suzuki GSX-R750, 1:55.183
10. Michael Himmelsbach, Aprilia RSV1000, 1:55.658
11. Jason DiSalvo, Yamaha YZF-R6, 1:55.963
12. Shawn Conrad, Yamaha YZF-R1, 1:56.747
13. Larry Denning, Yamaha YZF-R1, 1:56.833
14. John Madden, Suzuki GSX-R750, 1:57.066
15. Robert Jensen, Suzuki GSX-R750, 1:57.518
16. Des Conboy, Suzuki GSX-R750, 1:57.571
17. Jeff Williams, Suzuki GSX-R1000, 1:57.923
18. Andrew Nelson, Honda CBR600F4i, 1:58.387
19. Marco Martinez, Suzuki GSX-R750, 1:58.625
20. Anthony Fania, Suzuki GSX-R750, 1:59.127

The current Formula USA Unlimited Superbike class lap record belongs to Shawn Higbee at 1:52.941.

Copyright 2002, Roadracing World Publishing, Inc.

By David Swarts

Kris Bickford, manager of the Blackmans Aprilia Formula USA Unlimited Superbike team, told Roadracingworld.com Thursday at Daytona International Speedway that he is actively working toward racing Aprilias in AMA Superbike in 2003 and beyond.

“I’m working with an international motorsports marketing firm to get the cash to go into AMA Superbike racing,” said Bickford. “It would be a multi-year program. Our sponsors would have to buy in for the long haul because we wouldn’t be competitive next year. We would be racing the Aprilia RSV1000Rs (Aprilia currently races RSV1000SP homologation specials in the World Superbike Championship), but we are anticipating that there will be a new 2004 Aprilia model that would be eligible and competitive for AMA Superbike. What I’m trying to do is position ourselves to be ready when Aprilia is ready to go into AMA Superbike so that we would hopefully be the team to do that for them.

“We’re looking at running a two-rider team, but we have not made any decisions on riders or crew yet. Michael Himmelsbach (Blackmans Aprilia’s current rider) is certainly a possibility, but we’re in discussions with other riders.

“I hope to know something on the deal within two or three weeks.”

Bickford then added, “The firm that I’m working with also represents Colin Edwards.”

When asked what the name of the firm is, Bickford said, “I can’t say right now.”

From a press release issued by Harley-Davidson:

HARLEY-DAVIDSON, INC. REPORTS RECORD THIRD QUARTER

Strong Demand Drives 100th Anniversary Accessories & MotorClothes Revenue

Milwaukee, Wis.- Harley-Davidson, Inc. (NYSE: HDI) announced record revenue and earnings for its third quarter ended September 29, 2002. The Company’s third quarter revenue was $1.14 billion, an increase of 31.8 percent over the third quarter last year. Diluted earnings per share were 54 cents, a 50 percent increase compared with last year.

“As we began our year-long 100th Anniversary Celebration, we achieved our biggest quarter ever, setting new records in revenue and earnings,” said Jeffrey L. Bleustein, chairman and chief executive officer of Harley-Davidson, Inc. “The commemorative products for our 100th Anniversary Celebration were a major driver for our exceptional third quarter performance and are a great springboard for growing demand for the future.”

“Our global dealer network sold nearly 18 percent more new motorcycles over the past nine months. This, together with better than expected accessories and MotorClothes sales in a difficult economy, gives us confidence in the robust demand for our products,” said Bleustein. “In response, we are increasing our 2002 production target for Harley-Davidson motorcycles from 262,000 to 263,000, and for 2003 our target is being set at 289,000, a ten percent increase over 2002.”

Motorcycles and Related Products Segment – Third Quarter Results

Third quarter revenue from Harley-Davidson motorcycles was $832.7 million, an increase of 28.4 percent over the third quarter last year. Shipments totaled 67,474 units, up 10,863 units or 19.2 percent over the same period last year.

Revenue from Parts and Accessories (P&A), which consists of Genuine Motor Parts and Genuine Motor Accessories, totaled $199.3 million, a 32.3 percent increase from the year-ago quarter. Third quarter revenue from General Merchandise, which consists of MotorClothesÔ apparel and collectibles, totaled $83.1 million, an 88.5 percent increase over the same period last year.

The Company’s 100th Anniversary commemorative products drove the performance of both product lines. Revenue from 100th Anniversary P&A products was $21 million and revenue from General Merchandise associated with the 100th Anniversary was $25 million. “We expected P&A revenues during this anniversary year to be strong, and General Merchandise revenues to be even stronger,” said Bleustein, “but these third quarter results have exceeded even our expectations.” For the longer term, the Company expects the growth rate for P&A revenues to be slightly higher than Harley-Davidson’s motorcycle unit growth rate and the General Merchandise growth rate is expected to be lower than the motorcycle unit growth rate.

Third quarter gross margin was 34.9 percent of revenue, up from 34.5 percent of revenue for the same period last year. Gross margin improved primarily due to Parts & Accessories’ margin contribution, a higher percentage of U.S. motorcycle shipments and worldwide price increases on the 2003 model year motorcycles.

Third quarter operating margin for the Motorcycles and Related Products Segment was 19.6 percent of revenue, an improvement on last year’s third quarter margin of 18.0 percent. The increase in gross margin was the primary contributor to the increase in operating margin.

Retail Sales Data
Harley-Davidson retail motorcycle sales through September grew in the U.S. (19.1 percent), Europe (8.0 percent) and Japan (13.9 percent) compared to the same period last year. Industry data is available through August. Harley-Davidson retail sales resulted in market share gains in all major heavyweight motorcycle markets.

Financial Services Segment – Third Quarter Results

Harley-Davidson Financial Services, Inc. (HDFS), a subsidiary of Harley-Davidson, Inc., reported third quarter operating income of $29.7 million, a $13.4 million increase compared to the year-ago quarter. The subsidiary continues to benefit from the increase in Harley-Davidson’s U.S. motorcycle sales, growing acceptance of its consumer financing program and decreased cost of funds due to lower interest rates.

HDFS sold approximately $390 million of a previously announced $600 million securitization during the third quarter. The subsidiary completed the sale of the remaining $210 million securitization in the fourth quarter. HDFS recorded a gain of $17.0 million on the loans sold during the third quarter. This compares with a gain of $13.1 million on a $302 million securitization during the third quarter of 2001.

The Company expects HDFS’ full year 2002 operating income to be approximately 55-60 percent higher than in 2001. The Company expects HDFS’ full year 2003 operating income to be approximately 20 percent higher than 2002 expectations. Over the longer term, the Company expects the HDFS growth rate to be slightly higher than the Company’s motorcycle unit growth rate.

Cash Flow – Nine Month Results
Operations generated cash of more than $734 million during the first nine months of 2002 providing the Company the ability to invest $183 million in capital expenditures, repurchase 1.1 million shares of company stock, pay $30 million in dividends and contribute $50 million to the Company’s pension plans. Even with these investments, the Company’s cash increased by more than $200 million.

Harley-Davidson, Inc. – Nine Month Results
For the nine month period ended September 29, 2002, revenues totaled $3.06 billion, a 22.5 percent increase over the year-ago period. Diluted earnings per share were $1.41, an increase of 35.0 percent.

Through the first nine months of this year, Harley-Davidson® motorcycle revenue was $2.34 billion, a 20.8 percent increase compared with the same period in 2001 and shipments of Harley-Davidson motorcycles were 197,683, a 15.7 percent increase.

For the first nine months of 2002, P&A revenue totaled $499.3 million, a 25.4 percent increase compared with the same period in 2001, while General Merchandise revenue totaled $176.7 million, a 51.8 percent increase.

Through the first nine months of 2002, HDFS operating income was $78.9 million, a 78.0 percent increase over last year.

Harley-Davidson, Inc. is the parent company for the group of companies doing business as Harley-Davidson Motor Company, Buell Motorcycle Company and Harley-Davidson Financial Services, Inc. Harley-Davidson Motor Company, the only major U.S.-based motorcycle manufacturer, produces heavyweight motorcycles and offers a complete line of motorcycle parts, accessories, apparel, and general merchandise. Buell Motorcycle Company produces sport and sport-touring motorcycles. Harley-Davidson Financial Services, Inc. provides wholesale and retail financing and insurance programs to Harley-Davidson dealers and customers.

Forward-Looking Statements
The Company intends that certain matters discussed in this release are “forward-looking statements” intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements can generally be identified as such because the context of the statement will include words such as the Company “believes,” “anticipates,” “expects” or “estimates” or words of similar meaning. Similarly, statements that describe future plans, objectives, outlooks, targets or goals are also forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated as of the date of this release. Certain of such risks and uncertainties are described below. Shareholders, potential investors, and other readers are urged to consider these factors in evaluating the forward-looking statements and cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements included in this release are only made as of the date of this release, and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

The Company’s ability to meet the targets and expectations noted depends upon, among other factors, the Company’s ability to (i) continue to realize production efficiencies at its production facilities through the implementation of innovative manufacturing techniques and other means, (ii) successfully implement production capacity increases in its facilities, (iii) successfully introduce new products and services, (iv) avoid unexpected P&A /general merchandise supplier backorders, (v) sell all of the motorcycles it has the capacity to produce, (vi) continue to develop the capacity of its distributor and dealer network, (vii) avoid unexpected changes in the regulatory environment for its products, (viii) successfully adjust to foreign currency exchange rate fluctuations, (ix) successfully adjust to interest rate fluctuations, and (x) successfully manage changes in the credit quality of HDFS’s loan portfolio.

In addition, the Company could experience delays in the operation of manufacturing facilities as a result of work stoppages, difficulty with suppliers, natural causes or other factors. Risk factors are also disclosed in documents previously filed by the Company with the Securities and Exchange Commission.

For tables please click on the following link: http://www.harley-davidson.com/CO/NEW/en/news.asp?bmLocale=en_US