Hendrick: N&O left facts in dust with Easley story

From Charlotte businessman Rick Hendrick, in response to “Hendrick, Easley gain from close ties,” a News & Observer story that ran in the Observer on Sunday:

The News & Observer was correct in reporting that I have enjoyed a longtime friendship with Mike Easley. The former governor and I both like to fish, talk about our children (and, in my case, grandchildren) and simply enjoy each other's company. Both of us grew up on tobacco farms, and we have a lot in common, as most friends do. Mike and his wife, Mary, have been especially supportive of my family during the most difficult of times, which is the mark of truly great and caring people.

The newspaper also got it right when citing a report that said racing is “big business” in North Carolina. According to the most recent figures, the industry accounts for more than 27,000 jobs and $5.9 billion in economic impact. And it's true that I am a big supporter of motor sports, and have been honored to serve in the ceremonial post of vice chairman of the North Carolina Motorsports Association (NCMA).

But being correct on those basic facts doesn't mean The News & Observer and other McClatchy-owned media outlets were justified in publishing a lengthy but thinly documented and innuendo-laden story suggesting that our friendship somehow has showered both of us with a multitude of benefits. That's unfair – a misplaced use of the press's undeniable duty to expose wrongdoing – and simply not true.

Let's look at the News & Observer's main assertions and the facts that are intended to back them up:

The assertion: Auto racing teams received tax breaks and other government help, and that must be because of my friendship with Mike Easley.

The facts: The News & Observer noted that one bill provided a sales-tax refund on aviation fuel and saved Hendrick Motorsports about $35,000 (or approximately 1 percent of our state tax bill) in 2007. This refund was for all race teams and was passed at a time of concern over competitive threats to North Carolina's motor sports industry, an economic engine that other states covet. The assertion that I had any role in the bill's passage is laughable: As we told the reporter prior to publication, I never discussed state assistance with Mike and wasn't even aware of the tax bill until after it was enacted and my accounting department mentioned it. The other tax break had to do with race car parts, and I hadn't even heard of it until we were approached by The News & Observer.

My position on the NCMA, which seems to be the string that holds this tale together, is strictly ceremonial. I have attended dinners, awards ceremonies and other similar events to help promote motor sports in general, but I have never been to an NCMA board meeting or participated in any discussion of the association's legislative agenda.

Another example of “help” cited by the newspaper was a $1 million state grant for an auto technician training center at Central Piedmont Community College. My family and Hendrick Automotive Group exceeded the state's contribution to the project with more than $1.6 million in private funding and equipment. I'm honored that we have had a strong relationship with CPCC for more than 20 years and even more honored that the center is named after my late father, “Papa Joe” Hendrick.

I am proud of my family's connection to the center, and I'm sorry the newspaper account failed to mention its real benefits. The facility, dedicated in May 2007, has become the training site for 3,000 students annually, preparing them to meet a growing need for auto technicians in our state. It's unfortunate that the newspaper tarred an institution that has an undeniably positive impact on our state and the racing and automotive industries.

The assertion: Mike and I “maintained a close relationship” while the governor was in office and “have been together on many occasions,” as if the existence of a friendship is itself evidence of wrongdoing.

The facts: Mike was a busy guy while in office, and we mostly saw each other at ceremonial events. The newspaper focused on the one (and only) time Mike and I traveled together. He visited me at our home near Key West, Fla., and we confirmed this information to the paper prior to print. I don't apologize, nor should I, for paying for my friend of nearly 20 years to join me on one two-day trip to go fishing. We did not discuss legislation or any other “assistance” from the state government.

The newspaper also attempted to make a big deal out of Mike's appearance at a grand opening of a Lexus dealership more than five years ago, noting it happened to coincide with state efforts to attract a Toyota plant to North Carolina. Yes, the governor made the appearance, which was arranged through his press office. And while I never took a position on that issue, the story left me wondering: What's wrong with the state trying to attract well-paying auto jobs? We're proud that Hendrick Automotive Group and Hendrick Motorsports employ more than 3,200 hard-working North Carolinians.

I was personally offended when, in a further effort to sustain its faulty premise, the newspaper noted that Mike (also five years ago) awarded my parents the Order of the Long Leaf Pine, the highest honor a governor gives a civilian. That meant a lot to my entire family, and it humbled my father, who was an icon in the racing world. He was also a World War II veteran who had been shot down twice during battle. Including it in the story was the cheapest of shots.

The News & Observer seemed very interested in the timeframe of October 2004, citing two trips that Mike made to the Charlotte area on Oct. 5 and Oct. 12. Curiously, the paper omitted mention of a third visit by the governor that month: On Oct. 29, he attended the memorial service for my son, brother and two nieces. He came to support my family, not to network or collect campaign contributions.

The assertion: Mary Easley has been driving a Honda Accord from one of my dealerships.

The facts: Since Mike left office in January, Mary actually test-drove three cars before buying an Accord last month, and we disclosed that information to The News & Observer with the Easleys' permission. It is not unusual for our dealerships to make cars available for customer convenience and/or demonstration, and our stores carry about 1,000 such “loaners.” I acknowledge that Mary's use of a loaner was longer than average, and I should have been more sensitive to appearances since she is the wife of the former governor.

But I also believe that the newspaper's account of the car – complete with photographs typically associated with celebrity-chasing paparazzi – was blown way out of proportion and downplayed the significant detail that the Easleys did purchase the vehicle. In fact, they purchased two.

I understand it's open season on politicians and corporate executives, and the media get bonus points when they can link the two and imply some dishonorable actions. And I have taken my lumps as a visible private businessman and have developed a fairly thick skin over the years.

In this case, though, we provided lengthy responses to each of the reporter's questions and attempted to inject some much-needed context to the situation. Yet the resulting story set a new low in substituting false innuendo for hard facts and presented a grossly distorted picture of the friendship Mike Easley and I share.

At a time when we need a free press to scrutinize crucial problems such as our economic crisis, The News & Observer devoted its precious resources to twist a long-time friendship so it appeared to be something it's not. Mike Easley, who served North Carolina well for eight years, deserves better. Our families deserve better. But most of all, your readers deserve better.

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