"From a core operations standpoint, considering the economic pressures on discretionary consumer and corporate spending, we are pleased with the results of the first six months of fiscal 2009 which are generally in line with our revised expectations," stated ISC Chief Executive Officer Lesa France Kennedy. "While the economic environment is challenging for us, our fans and business partners alike, we remain in a strong financial position to weather this protracted downturn. Our balance sheet was further solidified with the recently announced definitive settlement entered into with the Internal Revenue Service that returned approximately $112 million to the Company. These funds will be used, in part, to pay down debt and make opportunistic open-market share repurchases."

Ms. France Kennedy continued, "While advance ticket sales continue to trail last year's trends considerably, we remain encouraged by the strong ticket demand witnessed in the weeks and days leading up to our events. This was most recently demonstrated in sales for the Coke Zero 400 at Daytona, where robust sales in the last few weeks before the event pushed attendance above our expectations. In addition, we continue to closely analyze our business operations to lower costs where possible and maximize efficiencies. However, it is important to note that the fan experience remains our primary concern and our cost reduction efforts have not been to the detriment of the experience for our guests or business partners. We are cautiously optimistic for a gradual economic recovery beginning next year, and believe we have taken the necessary steps that will allow ISC to emerge a more efficient business positioned for long-term growth."

Second Quarter Comparison

Total revenues for the second quarter decreased to $152.4 million, compared to revenues of $174.9 million in the prior-year period. Operating income was $31.7 million during the period compared to $42.9 million in the second quarter of fiscal 2008. In addition to the macroeconomic challenges, quarter-over-quarter comparability was impacted by:

   --  An IndyCar(R) and Grand-Am Rolex Sports Car series weekend held at       Homestead-Miami Speedway in the second quarter of 2008 which will be       held in ISC's fiscal fourth quarter 2009.   --  The 2009 second quarter results include interest income, net of tax,       of approximately $8.9 million, or $0.18 per diluted share after tax,       for interest earned on the deposited funds which were ultimately       returned to the Company as a result of the definitive settlement       agreement entered into with the Internal Revenue Service in connection       with the previously disclosed federal income tax examination for its       1999 through 2005 fiscal years.   --  The second quarter of 2008 included an impairment charge of $1.2       million, or $0.01 per diluted share after tax, related to charges for       the fill removal process on the Company's Staten Island property and,       to a lesser extent, the net book value of certain assets retired from       service.    --  The second quarter of 2009 recognized a $57.3 million, or $1.17 per       diluted share after tax, charge for equity in net loss from equity       investments related to Motorsports Authentics, LLC ("MA"), the       Company's motorsports-related merchandise 50/50 joint venture with       Speedway Motorsports Inc.  Included is an approximately $55.6 million,       or $1.14 per diluted share after tax, non-cash charge to reflect an       impairment recognized by ISC on its equity investment in MA.  The 2008       second quarter included equity income of $3.0 million, or $0.04 per       diluted share after tax.    

Net loss for the second quarter was $31.7 million, or $0.65 per diluted share, compared to net income of $26.0 million, or $0.52 per diluted share, in the prior year. Excluding discontinued operations, the aforementioned interest income from the IRS settlement; impairment charges; operating results from the Company's equity investment including the related impairment taken by ISC; and, accelerated depreciation of $0.5 million, or $0.01 per diluted share after tax, for certain office and related buildings in Daytona Beach associated with the Company's previously announced Daytona Live! project (the 2008 second quarter also included similar accelerated depreciation charges), non-GAAP (defined below) net income for the second quarter of 2009 was $17.0 million, or $0.35 per diluted share. Non-GAAP net income for the second quarter of 2008 was $25.2 million, or $0.50 per diluted share.

Year-to-Date Comparison

For the six months ended May 31, 2009, total revenues were $318.5 million, compared to $368.8 million in 2008. Operating income for the six-month period was $81.7 million compared to $109.8 million in the prior year.

   Year-over-year comparability was impacted by:    --  Exceptionally strong consumer and corporate demand for the 50th       running of the DAYTONA 500 and surrounding events in the first quarter       of 2008.  The historic race provided unique opportunities to drive       revenue above the otherwise strong appeal of one of sport's most       marquee events.   --  2008 impairment charges of $1.9 million, or $0.02 per diluted share       after tax, associated with the previously discussed fill removal costs       on Staten Island and net book value of certain assets retired from       service.   --  A 2008 first quarter non-cash charge of $3.8 million, or $0.07 per       diluted share after tax, to correct the carrying value of certain       other assets as of November 30, 2007.   --  The previously mentioned interest earned on the deposited funds       returned to the Company as a result of the definitive settlement       agreement it entered into with the Internal Revenue Service, and the       IndyCar and Grand-Am Rolex Sports Car series weekend moving to the       Company's fiscal 2009 fourth quarter.    --  The six months ended May 31, 2009, included a $58.9 million, or $1.21       per diluted share after tax, charge for equity in net loss from equity       investments related to MA, which includes the previously discussed       impairment on MA.   The same period in 2008, included equity income of       $4.8 million, or $0.06 per diluted share after tax.    

Net loss for the six months ended May 31, 2009, was $6.6 million, or $0.13 per diluted share, compared to $62.2 million, or $1.23 per diluted share in 2008. Excluding discontinued operations, the aforementioned interest income from the IRS settlement; impairment charges; operating results from the Company's equity investment including the related impairment taken by ISC; and, accelerated depreciation of $1.0 million, or $0.01 per diluted share after tax, for certain office and related buildings in Daytona Beach associated with the Company's previously announced Daytona Live! project (the six months ended May 31, 2008 also included similar accelerated depreciation charges), non-GAAP (defined below) net income for the six months ended May 31, 2009, was $44.2 million, or $0.91 per diluted share. This is compared to non-GAAP net income for the first six months of 2008 of $64.9 million, or $1.29 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 2008 adjustments relate to: a benefit for equity in net income from equity investment; accelerated depreciation for certain office and related buildings in Daytona Beach; the impairment of long-lived assets associated with the fill removal process on the Staten Island property and the net book value of certain assets retired from service; and, a non-cash charge to correct the carrying value of certain other assets.

The adjustments for 2009 relate to: a charge for equity in net loss from equity investment; accelerated depreciation for certain office and related buildings in Daytona Beach; interest earned on the deposited funds returned to the Company as a result of the definitive settlement agreement it entered into with the Internal Revenue Service; and, the impairment of long-lived assets associated with the net book value of certain assets retired from service.

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   Six Months Ended                                       May 31,   May 31,   May 31,   May 31,                                        2008      2009      2008      2009                                      --------  --------  --------  --------   Net (loss) income                   $25,972  $(31,740)  $62,183   $(6,594)   Loss from discontinued    operations, net of tax                  36        45        67        87                                            --        --        --        --   Income from continuing operations    26,008   (31,695)   62,250    (6,507)    Equity in net (income) loss from    equity investments, net of tax      (1,817)   57,274    (2,919)   58,913                                        ------    ------    ------    ------   Consolidated income from continuing    operations excluding equity in net    (income) loss from equity    investments                         24,191    25,579    59,331    52,406    Adjustments, net of tax:     Interest income from IRS      Settlement                             -    (8,923)        -    (8,923)     Additional depreciation               320       319       640       638     Impairment of long-lived assets       706         9     1,154        52     Correction of certain other      assets' carrying value                 -         -     3,758         -                                           ---       ---     -----       ---   Non-GAAP net income                 $25,217   $16,984   $64,883   $44,173                                       =======   =======   =======   =======    Per share data:   Diluted earnings (loss) per share     $0.52    $(0.65)    $1.23    $(0.13)   Loss from discontinued    operations, net of tax                   -         -         -         -                                           ---       ---       ---       ---   Income from continuing operations      0.52     (0.65)     1.23     (0.13)    Equity in net (income) loss from    equity investments                   (0.04)     1.17     (0.05)     1.21                                         -----      ----     -----      ----   Consolidated income from continuing    operations excluding equity in net    (income) loss from equity    investments                           0.48      0.52      1.18      1.08   Adjustments, net of tax:     Interest income from IRS      Settlement                             -     (0.18)        -     (0.18)     Additional depreciation              0.01      0.01      0.02      0.01     Impairment of long-lived assets      0.01      0.00      0.02      0.00     Correction of certain other      assets' carrying value                 -         -      0.07         -                                           ---       ---      ----       ---   Non-GAAP diluted earnings per    share                                $0.50     $0.35     $1.29     $0.91                                         =====     =====     =====     =====     Recent Events  

During the Company's fiscal second quarter, it hosted a weekend of NASCAR Sprint Cup and Camping World Truck series events at Martinsville Speedway. ISC also hosted Sprint Cup and Nationwide series weekends at Phoenix International Raceway, Talladega Superspeedway, Richmond International Raceway and Darlington Raceway. Kansas Speedway hosted a weekend of NASCAR Camping World Truck and IndyCar series events.

Subsequent to the fiscal second quarter, the Company hosted a Grand-Am Rolex Sports Car Series race at Watkins Glen International; a weekend of NASCAR Sprint Cup and Camping World Truck series events at Michigan International Speedway; an IndyCar weekend at Richmond; and, a NASCAR Sprint Cup, Nationwide and Grand-Am Rolex Sports Car series weekend at Daytona International Speedway.

For the remainder of the third quarter, ISC will host Sprint Cup and Nationwide series weekends at Chicagoland Speedway, Watkins Glen, and Michigan. The Watkins Glen weekend will also include a Grand-Am Rolex Sports Car Series event.