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Hooters’ Financial Struggles Evoke Nostalgia in NASCAR Circles: The Impact on Sponsorships and Legacy

Carl Harrison by Carl Harrison
March 10, 2025
in Motorsports
Reading Time: 3 mins read
0
Hooters, Former Billion-Dollar NASCAR Sponsor, Navigates Bankruptcy Rumors as Amazon Prime Video Steps Up

The exterior of Hooters can be seen on Monday, Dec. 23, 2024 at 250 Peabody Pl Suite 101 in Memphis, Tenn.

NASCAR’s landscape is undeniably shifting as the iconic Hooters owl, a visual symbol firmly woven into NASCAR’s tapestry, is facing the threat of extinction. The orange owl has been a part of the NASCAR saga since Alan Kulwicki’s #7 Ford thundered its way to victory at the Atlanta Motor Speedway in 1992. Winning the Cup Series championship by a hair’s breadth, Kulwicki, an underdog, had Hooters as his sponsor.

Fast forward to three decades later, Kulwicki’s legacy was reignited when Chase Elliott, son of the legendary Bill Elliott, ended his 42-race winless streak in 2024. The victory was at the Texas Motor Speedway, with Elliott driving a Hooters-sponsored #9 Chevrolet. Paying homage to Kulwicki, Elliott performed the classic “Polish Victory Lap” in celebration, unbeknownst to him that it would mark the end of an iconic partnership.

The future of Hooters, a brand deeply intertwined with NASCAR since the 90s, is currently hanging in the balance. According to Bloomberg, Hooters of America may be on the brink of filing for bankruptcy in the forthcoming months. This has sparked waves of nostalgia and concern not only within the NASCAR community but also among those who have had a personal connection with the brand throughout its 40-year history.

Among those expressing nostalgia is Gianna Tulio, the wife of Ryan Blaney and a former Hooters model. Tulio, who was once the face of Hooters’ marketing campaigns, shared her feelings on Instagram, revealing how much the brand meant to her, even as she moved on to a new chapter in her life within NASCAR’s inner circle.

Hooters’ potential downfall is not without its fair share of financial woes. The company reportedly has debts amounting to $300 million from bonds issued back in 2021. This led to the closure of approximately 40 underperforming branches across the United States in 2024. The brand, established in 1983 by a group of Florida businessmen, has been grappling with liquidity issues and a drop in customer traffic for years, eventually leading to its premature departure from NASCAR sponsorship.

The impact of Hooters’ potential bankruptcy extends beyond simple nostalgia. After Hooters failed to fulfill its business obligations to Hendrick Motorsports in 2024, a multimillion-dollar lawsuit was filed by HMS to retrieve over $1.7 million in unpaid sponsorship fees. This led to an abrupt end to the partnership that began in 2017, forcing Elliott to drop the third scheduled Hooters race at Richmond Raceway.

However, the departure of Hooters has opened doors for new sponsors for Elliott’s #9 Chevrolet. Coca-Cola stepped in to fill the void at Richmond while Amazon Prime Video signed a three-year deal running through to 2027. Rick Hendrick praised the new partnership, stating that Amazon Prime Video has shown great commitment and an innovative approach to delivering high-quality content to fans.

While the Hooters owl may be fading into the annals of NASCAR history, the sport’s sponsorship landscape continues to evolve. This evolution is not only seen in the present but also reflects the rich history of NASCAR’s sponsor transitions. From the iconic partnership between R.J. Reynolds Tobacco Company and the Grand National Series in 1971, which birthed the Winston Cup, to the transformative merger between Hooters and NASCAR, which ended in 2003, change has always been part of the sport’s narrative.

NASCAR’s visual heritage has been shaped by numerous memorable sponsor-driver partnerships. Iconic pairings like Richard Petty’s red and blue #43 STP, Dale Earnhardt Sr.’s menacing #3 Goodwrench Chevrolet, and Jeff Gordon’s colorful #24 DuPont Chevrolet have left an indelible mark on the sport. These partnerships have shown that a perfect alignment between sponsors and drivers can create a cultural phenomenon that transcends racing.

However, as the saying goes, all good things must come to an end. NASCAR has seen the departure of prominent sponsors like M&M’s, FedEx, and GEICO, in addition to Hooters. As the sponsorship landscape continues to evolve, we can expect more shake-ups in the modern era of NASCAR racing. The journey of Hooters in NASCAR serves as a poignant reminder of the constant evolution within the sport and leaves a nostalgic echo in the hearts of those who were part of the Hooters family, like Gianna Tulio.

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