Knoxville, TN -- Rally Promotions, LLC announced today the cancellation of the Cherokee Trails International Rally scheduled for March 15-18, 2006 due to lack of entries. As of midnight, March 2, 2005, the rally had received a total of 15 entrants. “I’m sorry to have to announce to the competitors the cancellation of the event,” stated John K. Shirley, organizer of the rally, “However, with the requirement of entering into a five figure agreement for use of the roads as of today with the USDA - Forest Service, and having spoken to numerous competitors about their plans to compete or not compete in the event, along with other projections regarding the final entry numbers, the rally was facing a significant loss if it were to take place – a loss that Rally Promotions is unable to absorb at the present time.”

“Current entries will be returned their entry fees in full,” continued Shirley, “and I would ask that everybody involved with the event – from competitors to volunteers to the preliminary teams that have already put significant time in on the rally – please accept my sincerest apologies, as well as thanks for their hard work and support.”

“I would also like to make clear to the rally community that the cancellation of Cherokee should not impact other events organized by Rally Promotions,” added Shirley, “Cherokee is unique because of the significant road use fee required by the Federal Government. Rally Tennessee and Rally West Virginia do not require road use fees, and therefore the break-even level is significantly less than with Cherokee, and they will proceed as planned.”

“We do intend to continue with events in the Cherokee National Forest in the future,” stated Shirley, “however, it may be that we need to return to single day events with reduced mileage until entry levels are high enough to support a multi-day format.”