Fatal error occured (7): Racer
java.lang.InstantiationException: Racer
at java.lang.Class.newInstance0(Unknown Source)
at java.lang.Class.newInstance(Unknown Source)
at org.lwjgl.util.applet.AppletLoader.switchApplet(AppletLoader.java:752)
at org.lwjgl.util.applet.AppletLoader.run(AppletLoader.java:640)
at java.lang.Thread.run(Unknown Source)
The problem is that your Racer class cannot be instantiated because it has a non-default constructor. Create a constructor that does not take any arguments (the current one takes a boolean argument).
I dont even understand why you are creating a new instance of Racer in the init code and why the applet has ever worked.
I have updated the AppletLoader to print a stacktrace if one such occurs.