Dale Jr. working on extension

Despite Dale Earnhardt Jr.'s struggles on the track, Hendrick Motorsports has begun negotiating a contract extension for NASCAR's most popular driver. Team owner Rick Hendrick told ESPN.com of his plans Thursday after Earnhardt was named the sport's most popular driver for the eighth straight year during the National Motorsports Press Association Myers Brothers luncheon at the Bellagio. "We're looking at extending it," Hendrick said of Earnhardt, who just completed the third year of a five-year deal that ends in 2012. "I really like him. I think the world of him. I know he can do it. We just have to get the right combination in, and I think we're going to have it. I hope we get to race together until he retires … until I retire. I'll retire first," he said. Extending the contract would end any speculation that Earnhardt might move his Nationwide Series program to Sprint Cup after 2012 and drive for himself or go to another team. But Earnhardt's first priority is making sure the next time he returns to Las Vegas for the season-ending banquet it is as a member of the Chase field and not just to get a popularity award. "The only person that can truly help me get where I need to go starts with me, then it goes to Rick, Steve [Letarte] and those guys in your inner circle every week and in your corner every week," said Earnhardt, who finished 21st in points. "My biggest problem, I think, is my confidence," he said. ESPN