Maryland racing woes

[Glimmerglass]

Likely just posturing for the Maryland Legislature to do something, but still obvious evidence the state of racing in Maryland is in significant trouble ... this was the race that started the US career of 2006 Horse of The Year and 2006 Older Horse of the Year Eclipse winner Invasor.

Baltimore Sun 1-25-07 "Md. Jockey Club cancels Pimlico Special" (http://www.baltimoresun.com/sports/horseracing/bal-horses012507,0,2588238.story?coll=bal-sports-headlines)

excerpt

The Maryland Jockey Club canceled the Pimlico Special, the most prestigious race in the state after the Preakness Stakes, because of limited purse monies on Thursday.

The $500,000 race was scheduled for May 18, the day before the $1 million Preakness at the Pimlico Race Course. The Pimlico Special dates to 1937, and the 1938 event featured the famed race when Seabiscuit upset War Admiral.

Maryland's racing industry is facing increasing competition from purses at tracks in Delaware and West Virginia that are funded by slots, said Lou Raffetto, the jockey club's president and chief operating officer. Also, racetracks in Pennsylvania will begin slot operations this year.

"We must do everything we can to keep our average daily overnight purses for our local horsemen as high as possible, and in order to do so must reallocate the dollars that would otherwise have been used to fund the purse for the Pimlico Special," Raffetto said in a statement.

Legislation to legalize slots at Maryland racetracks has failed repeatedly in the General Assembly. Maryland's Gov. Martin O'Malley said he supports allowing a limited number of slots at tracks but doesn't plan to push the issue this year.

[caffeinated]

:no:

I'm getting the feeling I should skip work to spend as much time at Pimlico as possible this spring...

The other thread on getting butts in the seats makes me think, though- have they done anything besides pushing slots to try to get people in there? Besides the occasional TV ad?

[Jessi P]

This is be verrie verrie bad.

[VirginiaBred]

Oh No! :no:

[Glimmerglass]

Accordingly for all of Maryland in 2007 there will be just two Grade 1 races: the Preakness at Pimlico and the Frank J. De Francis Memorial Dash (http://www.laurelpark.com/De+Francis+Dash/) at Laurel Park in November.

[Laurierace]

I thought it was ironic that I come home from training at Pimlico only to find out they cancelled the Pimlico special on a message board. Either no one else at Pimlico knows either or no one cares because it certainly wasn't a topic of discussion today.
My first thought was "oh that's too bad" but my second thought is I would rather see that race go than a purse cut any day. Generally speaking, none of the locals are in that race anyway.
Preakness day is like my Christmas. I prepare for weeks on end getting the barn and the house ready for all my guests. Preakness day is always a blast, but it is also borderline insane with all the people and activity. Black Eyed Susan day is always a much more pleasant day to actually watch the races with its several good fields up close and personal. If you haven't been before, make an effort to check it out before they do away with Pimlico altogether.

[Texarkana]

Laurie, I think you have a good point.

I'd rather see one grade one race go in lieu of further purse cuts, especially if it helps to prevent losing MD racing altogether.

But it still really, really, really, sucks. :(

[TWF]

SAD DAY for Maryland Racing!! :(

[Glimmerglass]

It looks like next on the chopping block after the Special will be Laurel Park's racing dates ...

Annapolis "The Capital" Jan 26, 2007 "Laurel Park may cut schedule" (http://www.hometownannapolis.com/cgi-bin/read/2007/01_26-44/TOP)

Laurel Park could shave 40 days off of its horse-racing calendar without slot revenues or state subsidies to bolster purses, the industry warned state senators yesterday.

Invoking the specter of the Baltimore Colts - Maryland's other great equine sporting loss - Alan Foreman, general counsel to the Maryland Thoroughbred Horsemen's Association, warned the Senate Finance Committee in Annapolis that there would be no Ravens to take the place if racing withers.

"The racing industry is not one you can pack in a Mayflower (moving van) and take somewhere else," he said.

Maryland's fading horse racing industry could trim its racing schedule to 140 days this year, down from the current 184 days. Two years ago the industry was running 224 days a year.

The $500,000 Pimlico Special - which ranks only behind the prestigious Preakness in Maryland racing - has also been canceled this year because of the inability to compete with other states.

Making its annual pitch to the state for support, the horse-racing industry said it currently pays out $200,000 a day in purses - as much as $100,000 less than some of its slot-machine-boosted competitors can offer in neighboring states.

By the end of this year, Maryland Jockey Club President Lou Raffetto estimates the one-time surplus of $8 million, used to keep purses competitive, will have evaporated.

Attendance at Laurel Park in Anne Arundel County, which got a $20 million face-lift to its turf track, has dropped to 3,000 per day on average, putting it on par with Churchill Downs, the home of the Kentucky Derby, which also may be turning to slots to bolster its purses.

Horse-racing's fan base may be aging the sport out of existence, according to Sen. E. J. Pipkin, R-Stevensville.

"Each day there are fewer and fewer fans in the stands to care about this, and it becomes more of a discussion of market share between differing forms of gambling," Mr. Pipkin said. "It's a pretty clear picture (that) people in their 20s and 30s aren't using this gambling as their primary form of gambling."

As an aside, I still recall watching the MD tv stations each year bitterly replaying the grainy video footage catching the Baltimore Colts sneaking out of town in the wee hours of the morning (http://www.nytimes.com/packages/html/sports/year_in_sports/03.29.html). The widespread photo of the infamous move captured here - "3/28/84 Mayflower Moving Trucks sneek the Colts out of Baltimore after Midnight" (http://www.sportsecyclopedia.com/nfl/balticolts/mayflower.jpg)

I think if Magna closes down Pimlico one thinks Frank Stronach will be as hated as Robert Irsay in Maryland.

Here is an odd remark from one State Legislator:
Baltimore Democrat Sen. George Della, who sits on the Finance Committee, remained skeptical of the notion of slots as a panacea for the industry's ills.

Mr. Della suggested the tracks do better marketing to "bring in the Irish and bring in the Arabs with all their money."

WTF?

[Texarkana]

I don't like the line about the purse money evaporating by the time the year's out... because it's probably very, very true.

*sigh*

Well, if anyone decides to pull a Robert Irsay and try to "sneak" racing out of MD in the dead of night, they're more than welcome to set up camp here in Nashville. We could use some racing here in the belt buckle of the Bible Belt! :lol:

[Glimmerglass]

I'll park this under this thread as Maryland can't all be about doom and gloom.

The effort by Oprah Winny - albeit a NY'er - at Laurel this weekend shows that solid horses are coming to Maryland to race.

Another example of a quality Maryland race with an excellent entry will be seen today on President's Day:

Ah Day in the Grade 2 General George Breeders' Cup Handicap at Laurel Park! He's been an exciting horse since last year and showing up on the national radar. He'll be in a tight spot today but that's what makes for a damn good race :)

Baltimore Sun 2-19-07 "Ah Day team unfazed by impressive favorite" (http://www.baltimoresun.com/sports/horseracing/bal-sp.laurel19feb19,0,2169902.story?coll=bal-sports-horse)

excerpt:

Riding Ah Day will be Ryan Fogelsonger, who rode Ah Day in three of his early wins.

"Pino is on a really nice 3-year-old and he could be the real deal, so I am lucky to be on Ah Day in this spot," Fogelsonger said. "I know this horse very well and worked him earlier this week and he has grown up a lot. In the Fire Plug I was on Crafty Schemer and turning for home I thought we were home free when Ah Day just ran by us. This is a tough test. He's running against some nice horses in this spot ... but [seven furlongs] is probably Ah Day's best distance and he is still improving."

Silver Wagon, a 6-year-old trained by Richard Dutrow Jr. and entered here by Tony Dutrow, who is handling his brother's horses while Richard Dutrow serves a 14-day suspension in New York, is the 6-5 morning line favorite and will be ridden by Edgar Prado.

The son of Wagon Limit has two graded stakes wins, including the Grade I Hopeful at Saratoga as a 2-year-old and the Grade III Sport Page Breeders' Cup Handicap at Aqueduct at the end of last season.

Also presenting a challenge is Will He Shine (9-2), ridden by Kent Desormeaux.

"Ah Day will have to pick it up to beat tougher horses," Pino said. "But if he runs the same race that he did in the Fire Plug, he will be tough."

Race 9, Laurel Park 4:26 pm Eastern - "General George Breeders' Cup H. (G2)" (http://drf.com/entries/19/eLRL19.html?rn=494255#9)

you can see the race live on youbet.net

[Acertainsmile]

Top Maryland races may still be able to draw nice out of town horses, but the day to day entries are pretty weak. I'm wondering what is going to happen when all the NE people ship out in the spring and take their horses to Penn next fall...

[Glimmerglass]

Ah Day in the Grade 2 General George Breeders' Cup Handicap at Laurel Park! He'll be in a tight spot today but that's what makes for a damn good race

Close - I really think that Ah Day didn't see Silver Wagon and Prado coming down the middle with a tremendous head of steam. Ah Day was in control and had this one in the bag but that is racing ...

Silver Wagon by perhaps 3/4 to 1-length over Ah Day.

[Glimmerglass]

Top Maryland races may still be able to draw nice out of town horses, but the day to day entries are pretty weak. I'm wondering what is going to happen when all the NE people ship out in the spring and take their horses to Penn next fall...

The "spoils of war": Daily Racing Form 2-20-07 "Pennsylvania Derby worth $1 million" (http://www.drf.com/news/article/82710.html)

"There's something special about that million-dollar plateau," said Hal Handel, the track's chief executive officer. "We're excited that we can now offer our fans a race like this."

After legislation allowing a limited number of slot-machine licenses passed in Pennsylvania, the machines debuted at Philadelphia Park in December 2006, and the revenue is expected to boost purses considerably.

Sadly just another of Maryland's loss while the State government sits on the fence over slots ...

[Glimmerglass]

Take a look at the 2007 nominations for the $750,000 Toyota Blue Grass Stakes (G1) (http://tcm.bloodhorse.com/viewstory.asp?id=37775) for April 14th. There are 179 3-year-olds nominated - meaning everyone who is even pondering a chance at the Derby wants to be in that race.

Here is a question - why doesn't Maryland look to make sure they offer graded stakes prep race in around the same time as the Blue Grass with a larger ($300k+) purse? This is vastly different then the Pimlico Special which occurs on a weekend when Maryland already has the spotlight and doesn't really need extra attention. That in fact is likely the one weekend which Magna's coffers are full and Pimlico operates in the black.

(Obviously this requires a long term plan as you can't just make a new race a graded stakes in one year)

The reasoning behind such a plan is that clearly the Kentucky Derby is where the action is both with horsemen, fans and the media. Getting some of that excitement on Maryland tracks during late March, early April would help more.

I know many in the state view these big races as being largely just for temporary visitors who come in for the race and go out. Yet still having a big draw card is where the action is. If Pimlico or Laurel offered a big purse, last chance for 3-year olds needing the money or even to get some final experience - here would be the chance.

A 14-horse field of top contenders for the final race on the card would at least be the solid basis for fleshing out the rest of the days races.

Today I only see Maryland having two 3 Derby prep races, none graded (http://tcm.bloodhorse.com/derby_preps.asp)

Miracle Wood Stakes: Feb 3 (won by the late Bud Delp trained "Crafty Bear")
Horatius: Mar 3
Private Terms Stakes: Mar 24

Nothing in that first week of April when all of the other key graded preps exist - Wood, Illinois, Santa Anita, and Bay Shore.

[Glimmerglass]

Associated Press 5-16-07 "Governor Warns Md. Could Lose Preakness Without Slot Machines" (http://www.wtopnews.com/index.php?nid=598&sid=1142549)

O'Malley, who has supported bringing a limited number of slot machines to save the horse-racing industry in Maryland since he was mayor of Baltimore, said the state stands to lose 17,000 racing jobs and horse-related open space if it doesn't legalize slot machines.

With the 132nd Preakness Stakes days away, Gov. Martin O'Malley reiterated Wednesday that he believes the state will eventually lose the storied Triple Crown race if slot machines are not legalized in Maryland.

I agree that it will come a time that another track in another State will get the "middle" race of the TC, unlikely to be called the Preakness of course.

[Acertainsmile]

We were tortured again in the State House this past March... I'm afraid Maryland will be so far behind the eight ball with slots that even if we do ever get them it will be far to late...

[BridalBridle]

O Malley is the one who wouldn't sign the bill if it passed. What was the legislature to do? The politicians want the slots and have for a while, but it was going to be vetoed by the new governor.

[Drvmb1ggl3]

Can someone explain to me why slots are inextricably linked with racetracks? For example, if you're going to allow slots, why do they have be at tracks, why not just open mini casinos on the street corners or wal-mart parking lots or church halls?
It seems that instead of putting all this energy into demanding slots, and that they be exclusive to racetracks, which basically amounts to welfare for racing, wouldn't it be better to address the real problem which is people not going to the track, or more specifically, people not going to the track and betting (as that is how US racing has chosen to finance itself, with parimutuel take out).
Maybe it's time for a new paradigm, instead of demanding that the government artifically prop up racing with revenue from another source.

[WhiteCamry]

O Malley is the one who wouldn't sign the bill if it passed. What was the legislature to do? The politicians want the slots and have for a while, but it was going to be vetoed by the new governor.

How much a majority does MD require to override a governor's veto?

[Glimmerglass]

Can someone explain to me why slots are inextricably linked with racetracks? ... Maybe it's time for a new paradigm, instead of demanding that the government artifically prop up racing with revenue from another source.

Along those lines a bit of commentary from the Baltimore Sun ...

Baltimore Sun May 22, 2007 "Pride and persuasion" - Opinion (http://www.baltimoresun.com/news/opinion/bal-ed.slots22may22,0,2667532.story?coll=bal-opinion-headlines)

(unedited and extracted in full as the Sun archives its content in days for $)

All those associated with the Preakness Stakes deserve kudos for putting on a spectacular show Saturday. A record crowd of 121,263 witnessed a race as fast as any ever run at the course and that featured a finish so close that a single bob of the head may have made the difference in Curlin's victory over Kentucky Derby winner Street Sense.

This was the best that horse racing has to offer - and it didn't require that a single slot machine be installed at Pimlico Race Course.

How unfortunate that slot machines continue to be promoted as the golden tonic of our age, the balm for not only the declining attendance at Maryland tracks (on days other than Preakness Saturday, that is) but also the state's budget woes. That's certainly the view of Magna Entertainment, owner of Pimlico and Laurel Park, which stands to make an enormous windfall if the General Assembly chooses to buy this snake oil.

Yes, slots might bring customers to Pimlico, and all the money fed into the machines would no doubt include a tax payoff for the state (although the revenue potential has been grossly oversold). But they also carry an enormous cost, financial and social.

Slots represent a regressive tax on the poor and fixed-income residents. And they carry a particular burden for law enforcement, which must address increased crime, and for local businesses that lose their customers to gambling. That's not helpful to a struggling neighborhood such as Pimlico.

Gov. Martin O'Malley has been talking up slots lately, and aides are exploring the possibility of a "limited" franchise at the racetracks as part of a budget-balancing initiative. But such a proposal still faces long odds in Annapolis. Why? Because House members will once again be divided by the core issues - where to locate the machines (rare is the community that wants them nearby) and who gets to profit from them.

The whole concept of a limited expansion of gambling seems fraudulent on its face. Surrounding states are already engaged in a veritable arms race of gambling. Next month, voters in West Virginia's Jefferson County will decide whether to permit table games at Charles Town, which is just 67 miles from Baltimore. Instead of arguing for slots, Magna will soon be asking for a full-fledged casino to keep up - and a state government dependent on gambling revenues is unlikely to deny it.

Maryland horse racing has a proud tradition exemplified by the Preakness. Propping it up with slot machines so it might continue as some half-forgotten vestigial appendage does no honor to the sport of kings.

Count me a one of those folks who isn't a big slots person. Feeding money into a machine in a pure luck of the draw seems silly. Comparatively good money can be made on actual horse racing. Eight horses in a field go out and there is a guaranteed payout of 1-2-3-4 and assorted exotic wagers thereof. Not terribly hard on the face of it but I suppose some folks like to see instead of beautiful horses running, the faux Vegas flashing lights and the glitz of bells and whistles.

[WhiteCamry]

Along those lines a bit of commentary from the Baltimore Sun ...

Baltimore Sun May 22, 2007 "Pride and persuasion" - Opinion (http://www.baltimoresun.com/news/opinion/bal-ed.slots22may22,0,2667532.story?coll=bal-opinion-headlines)

(unedited and extracted in full as the Sun archives its content in days for $)



Count me a one of those folks who isn't a big slots person. Feeding money into a machine in a pure luck of the draw seems silly. Comparatively good money can be made on actual horse racing. Eight horses in a field go out and there is a guaranteed payout of 1-2-3-4 and assorted exotic wagers thereof. Not terribly hard on the face of it but I suppose some folks like to see instead of beautiful horses running, the faux Vegas flashing lights and the glitz of bells and whistles.

Slot players don't care about horses but just the machines. They don't want to know from exactas, trifectas, superfectas, quinellas or any such scheme. They'll go to wherever the slots are, so Maryland may just as well put the slots at the tracks.

[caffeinated]

Slot players don't care about horses but just the machines. They don't want to know from exactas, trifectas, superfectas, quinellas or any such scheme. They'll go to wherever the slots are, so Maryland may just as well put the slots at the tracks.

That's kind of how I feel.

On the other hand, going to Charles Town last week was so depressing. I hate "slots hell" It's so confusing in there you can't even find your way to the track- there's one sign when you walk in, and the next thing you know, you're lost in a sea of bells and whistles and glassy-eyed people pulling levers.

But I don't want racing to die, either. And if one person out of ten actually ventures down to the track, and gets hooked, well that's a good thing, isn't it?

Actually I wonder about night racing, still... I'd go to the track a lot more often if I didn't have to skip work to do it.

[Glimmerglass]

Actually I wonder about night racing, still... I'd go to the track a lot more often if I didn't have to skip work to do it.

Saratoga has tried their hand at twilight races with success. As you've nailed the issue: who is able to go to the track at 1 pm during a weekday with frequency?

My guess is that some folks in power who have railed against slots at a place like Pimlico would find reason to object here too. They'd whine that it will create traffic issues late at night, fears of consumers who have consumed too much alcohol getting into cars, and the tried-and-true slant against betters as being seedy folk and how the area around Pimlico doesn't need that at night. [The latter was good for a laugh!]

[Texarkana]

Night racing is HELL on the horse people involved... nothing like having a horse run at a 10:15 and then having to be back in the barn training by 4 or 5 am. It's especially grueling if you have to van in for the race.

But I've been out at Penn National on an average weekday evening and there sure as heck aren't any more people in the stands than there are at Pimlico during the day. Charlestown's night races seems to get more people because of the slots... and probably because there isn't a whole lot else to do in Charlestown.

[Acertainsmile]

The slots at the track wont make much of a difference as far as bringing people into bet on the horses, what will make the difference to horsemen is that some of the money being pumped into those machines will go to supplement purses.

[poltroon]

I think something that might help bring families out to race tracks would be to have free (or cheap) pony rides for the little kids, and having a few ponies around for the public to pet. When I was little, I begged to go to the race track, as my only opportunity to interact with horses - and that was seeing them from the stands.

It's sad to see the loss of the Pimlico Special, and I will always associate it with Farma Way and his incredible race. I hope it will return in 2008.

[Glimmerglass]

Looks like ALL of Maryland racing (under Magna) will feel the pain - not just the big races .. yet another nail driven in and more trainers looking at stalls further up I-95 where the grass is greener or the Mountaineer state.

DRF June 12, 2007 "Maryland tracks cut purse funds" (http://drf.com/news/article/85742.html)

excerpt

The Maryland Jockey Club, owner of Laurel Park and Pimlico Race Course, will reduce every race purse by $2,000 for each of its 78 remaining live racing days this year and will also take $1 million out of its stakes schedule as part of a broad plan to reduce expenses, the MJC said Tuesday.

In addition, the MJC is going to trim some live races from its remaining schedule, while maintaining the same number of race days. Racing resumes in Maryland on Aug. 10 at Laurel Park for a 10-day meet, and, after a short meet at Timonium fair grounds, will return to Laurel for 68 days on Sept. 5 through Dec. 29 on a four-day-a-week schedule.

Thou wilt not cower in the dust,
Maryland!
Thy beaming sword shall never rust,
Maryland!
Remember Carroll's sacred trust,
Remember Howard's warlike thrust,-
And all thy slumberers with the just,
Maryland! My Maryland!

'Maryland, My Maryland' by James Ryder Randall, April 1861

[Acertainsmile]

We knew it was coming, and will only get worse from here... We made the decision to stop training in Maryland last fall... luckily we have a farm, decent mares and access to money to buy and sell young horses. I feel bad for the trainers with no options but to stay in Maryland and suck it up.

[Frog]

I want so desperately to get slots here in Virginia, so Colonial Downs can open year-round. Unfortunately, someone somewhere said sometime that God thinks gambling is bad, and that's what it really boils down to.

Completely idiotic. I can't stand the government! Heaven forbid we allow people to spend money where they choose!

[Glimmerglass]

I want so desperately to get slots here in Virginia, so Colonial Downs can open year-round.

Not to argue, but actually Colonial Downs is doing rather well and is enjoying a niche (http://www.dailypress.com/sports/columnists/dp-now-fairbank.j12,0,5115560.column?coll=dp-sports-columnists) for being a solid turf facility vis-a-vis the Grand Slam program. Slot money could help but the absense of it doesn't seem to kill it either. I tend to fall in the group of folks that says one of the problems tracks have is in fact being open too long for a season. Saratoga, Keeneland, Del Mar for example do exceedingly well because they are in fact small, jam-packed meets.

Colonial Downs tried to get 'instant racing' [video wagering using a replay of old races already run but names, dates removed] terminals approved by so far the folks in Richmond have balked.

However Portland Meadows (OR) will get 150 of the things (http://www.wweek.com/editorial/3331/9102/) installed this week. Where as Ohio's legislature and Gov. Ted Strickland (http://www.ohio.com/mld/ohio/news/17362287.htm) just killed the request to introduce them at seven tracks in the State.

I have to still support instant terminals because there is still going to be determined outcome: a win, place, show finisher. So when you wager $1 or whatever relative to a field of 8 horses, given a reasonable amount of info, then you can still make the conservative bet payoff. No big prize but it sure beats pulling a slot machine lever and you having no input on the outcome.

The races are called "instant" as there is a feature whereby you can put in the money, make your picks, and skip directly from the opening of the gate on the video screen to the finish line. Hence the opposition folks to this feel that bettor could just pump money in semi-continually and either win or lose as quickly.

[Glimmerglass]

Tap .. tap.. tap

Those nails keep going in

TB Times 6-21-07 "Maryland commission decreases state-bred bonus" (http://www.thoroughbredtimes.com/national-news/2007/June/20/Maryland-commission-decreases-state-bred-bonus.aspx)

The Maryland-bred fund, which last year paid out approximately $4-million in incentive rewards, according to Cricket Goodall, executive director of the Maryland Horse Breeders’ Association, will have its bonuses cut from 13.5% to 10% to the breeder of an eligible race winner and 6.75% to 5% to the stallion owner. Payouts for winning owners will remain at 10%. The percentages are derived from the pari-mutuel betting pools of each race and paid out two weeks after a horse wins.

One good thing: Raffetto told the commission the experiment with twilight racing would resume during the ten-day mini-meet in August at Laurel Park, with 3:30 p.m. EDT post times on Wednesdays, Thursdays, and Fridays.

[Texarkana]

Well great... they already punished the owners and trainers by slashing purses. Now let's punish the remaining MD breeders because the state can't balance their budget. :sigh:

[Laurierace]

Well the good news is that two or three years from now the MD bred stakes are going to be really easy. Might even see a walkover or two, assuming there is still a track to walk them over upon.

[Glimmerglass]

MEC (Magna Entertainment Corp) for Aug 10th, 2007 (http://www.drf.com/news/article/87519.html): At the end of the second quarter, Magna had long-term debt and other long-term liabilities of $504 million. Interest expense in the quarter was $12.2 million, and the company had negative cash flow of $21.6 million.

Its losses over the past three years to approximately $325 million. Magna's auditing firm repeated in its analysis of the financial statements that Magna's ability to operate remains in doubt unless the company makes significant improvements to its results, a warning the company has made for the past three quarters.

With Magna now is some serious financial trouble it begs the question what underperforming tracks will they shed? The new tracks they were going to open are done - Dixon, CA and the one near Detroit - and with Pimlico being most unused but prime real estate ... well you have to think there is a chance it will be sold off.

If they did shed that track, although MDE owns the MD Jockey Club, no idea where the Preakness Stakes would then be held. If I was running another MidAtlantic track (Monmouth Park or Philadelphia Park, heck even Sulfolk Downs!) I'd certainly be looking into the idea of lobbying its relocation ...

[stfatpony]

Glimmerglass, is the MD Million Day still being run with all the usual races and purses?

[Glimmerglass]

Glimmerglass, is the MD Million Day still being run with all the usual races and purses?

Aug 9, 2007 "Laurel Park opens mini-meet as purses, races are cut" (http://www.gazette.net/stories/080907/laurspo172755_32363.shtml)

Purses on several stakes were reduced and 11 stakes races have been dropped altogether. Races on the Oct. 13 Maryland Million Day card were not impacted, but the purse for the Grade I Frank DeFrancis Memorial Dash on Nov. 24 was reduced from $300,000 to $250,000.

So in short - yes - on Million Day it is business as usual at Laurel Park.

Hopefully the Maryland plan of tinkering with the takeout [to lure more bettors] will pay off as it really does have an immediate benefit to those who want to wager.

the parimutuel takeout on wagers made at Laurel on the live races has been dropped from 18.75 percent to 10 percent, which will inflate payoffs on winning tickets and should increase overall wagering.

On average, payoffs on $2 wagers will jump 11 percent due to the reduced takeout and that, in turn, should lead to increased handle figures on subsequent races. Horses that would have paid $8 to win will now pay $9 and longshots that would have paid $81 will now pay $90. Payoffs on exotic wagers such as exactas and triples will see substantial leaps, from $108 to $120 and $1,080 to $1,200 on average.

I will give Maryland credit for doing something within their power to try and stimulate the game during all the woes.

[stfatpony]

Glad to see they are attempting! thanks for the article, Glimmerglass.

[Glimmerglass]

Sadly the best of intentions didn't pay off for Laurel, although as cited it was a poor time of the years to test the theory.

DRF Aug 29, 2007 "Takeout cut has little effect" (http://www.drf.com/news/article/88012.html)

An analysis of wagering totals during Laurel Park's 10-day meet did not produce any discernible impact from a cut in the takeout to 11.4 percent, and the track will not experiment with takeout cuts in the near future, Laurel's top official said Tuesday.

[further hurting Laurel is/was ..]

This year, the two account-wagering operations could not offer the Laurel signal due to a lack of agreement between the companies and a simulcast-marketing partnership formed by the MJC's parent company, Magna Entertainment Corp., and Churchill Downs Inc.

Raffetto said the track may have made a mistake cutting the takeout while horseplayers were focused on racing at Saratoga, which dominates the East Coast betting market in August. Raffetto also said he believed it was hard to attract big bettors because of the small size of Laurel's pools.

[Dreamboat Annie]

I've been reading your posts on the decline of Maryland racing, as a Marylander, and a follower of racing, I am so sad, I can't understand the politicians anymore. I know that breeder's here in my county are looking for property out of state for their broodmares. If slots would fix this, what are the politicians, thinking? So many jobs will be lost if this continues, so many farms will be turned into "housing developments" Slots will "add" jobs to Maryland, and improve it economically...*shaking head* I just don't understand their logic or lack of....:(

[Glimmerglass]

Who didn't expect this to happen?

Baltimore Sun drops print coverage of racing; migrates it to the internet (http://www.baltimoresun.com/news/opinion/ideas/bal-id.moore09sep09,0,7295448.column?coll=bal-home-he)

The Sun's decision last month to offer horse racing entries and results only online is, in my view, another matter. Many people interested in horse racing do not own or have access to a computer, and the newsprint savings are minimal.

William Crawford is one of dozens of readers and horse-racing fans who have complained. "I'm really saddened and disappointed by this," he wrote. I wonder what there is to stop The Sun from eventually doing the same thing with baseball box scores." Although the likelihood of this happening is remote, I can understand how he could envision this kind of scenario.

Lewis Rutterberg said: "And now - the unkindest cut of all. No entries, no results. The lifeblood of racing fans."

Well look it like this - when the last stable closes up shop and turns out the lights for good enroute for relocation to another State it won't be documented in the Baltimore Sun.

Oh sure they'll still do news stories and coverage of the Preakness (how much longer that may remain in MD who knows) but once you lose dedicated newspaper space it comes "out of sight, out of mind".

[Glimmerglass]

Here comes the developers ... and with them will go any chance of the tracks getting back on their feet. If condos went in on this land adjacent to Laurel, you can be certain every future homeowner will fight tooth and nail against extra racing dates and start to collectively work on restricting elements of the track: from the lights to traffic.

What I'd love to see is someone with the money buy Magna out of horse racing. Frank & Co. have been nothing but a destructive force on American horse racing albeit not intentionally.

Maryland PG Co. Gazette 9-20-07 "Laurel Park land goes up for sale; Magna Entertainment Corp. selling off 55 acres to help eliminate $600K debt" (http://www.gazette.net/stories/092007/laurnew161157_32356.shtml)

excerpt

The undeveloped parcel, which formerly housed a practice horse track, was rezoned late last year for mixed-used development.

‘‘You’re talking about a mixed-used shopping center and condominiums, that’s what I would expect to see,” said Councilman Jamie Benoit (D-Dist. 4) of Odenton.

... snip ...

Reyburn said he is not against the sale itself, but would prefer the buyer of the land, if it is to develop the property, to build a retail, not a residential project. The area needs more high-end shops and sit-down restaurants, he said, while more homes would further overwhelm crowded schools.

[Acertainsmile]

Interesting article... I have heard this was in the works, probably for over a year now... as far as I know, Laurel does not, or hasnt had a training track...havent been there in awhile... will have to check on it.

[WhiteCamry]

Interesting article... I have heard this was in the works, probably for over a year now... as far as I know, Laurel does not, or hasnt had a training track...havent been there in awhile... will have to check on it.

Laurel uses the old Bowie race track for training.

[Acertainsmile]

Bowie is a seperate training facility... horses are stabled there... the land that is for sale is adjacent to Laurel Park... several miles away from Bowie!

[Acertainsmile]

Glimmer, not sure if you have seen this one...

http://www.baltimoresun.com/news/local/politics/bal-te.md.breeding16sep16,0,5023562.story?page=1

[Glimmerglass]

Glimmer, not sure if you have seen this one...

http://www.baltimoresun.com/news/local/politics/bal-te.md.breeding16sep16,0,5023562.story?page=1

Yep and I'm still amzed by those who don't get the 'cause and effect' relationship. If racing is in time going to be effectively gone, there won't be any reason to breed in MD or be based in the State. Not every "horse farm" in the State is into racing, of course, but with having been such a core element a lot is depending on it. From the vets to the feed distributors, hauling companies, fence building/repairing, ferriers, et al. When you start to lose big chunks of active racing operations then a lot of those services will migrate away too. Which only means pushing up the costs for the pleasure horse crowd to obtain the same services.

Here is a warm fuzzy feeling story - not: The Canadian Press 9-24-07 "MEC to acquire rest of Maryland Jockey Club for US$18.3M" (http://canadianpress.google.com/article/ALeqM5jOUQKfVeZ3PUP3zyafncs8T6khSg)

Joseph De Francis, who has continued as CEO of the Maryland Jockey Club, and Karin De Francis, who has focused on the Preakness, "will be leaving MJC in the near future," Monday's statement said, although Joseph De Francis remains a director of Magna Entertainment.

.. and on a related news story, The White Star line has purchased new china and linen sets for use on the Titantic and it's maiden voyage ....

[Acertainsmile]

Dont even get me started on Joe DeFrancis, and what he has (not) done for Maryland racing...

I see it's a done deal...

http://sportsillustrated.cnn.com/2007/more/09/24/bc.rac.pimlico.magna.ap/

[Glimmerglass]

Baltimore Sun 9-25-07 "Era hits finish line" (http://www.baltimoresun.com/business/bal-sp.defrancis25sep25,0,2710094.story)

So passed the chief Maryland racing dynasty of the past 23 years.

"On the one hand, I'm extremely proud of what we've accomplished," said Joe De Francis, who will continue as a Magna board member. "On the other end of the spectrum, to watch what has happened to the industry in the last eight or nine years, as we've watched slots become entrenched in neighboring states, has been a tremendously difficult and frustrating experience."

Not sure how anyone having held a position of power, watched the early warning of racing trouble loom on the horizon, see it hit and ravage the state's racing legacy, then walk away from MD racing with their head held high.

[Glimmerglass]

From the most current issue of the Thoroughbred Times (Sep 22, 2007) using the most current JC reported data, some select states to show breeding activity:

Live foals by stallions by state in 2007

State -- stallion count -- mares bred -- live foals -- %
Maryland: 67 stallions -- 1,637 mares -- 966 LF -- 59%
New York: 122 sts -- 2,327 mares -- 1,316 LF -- 57%
Rhode Island: 1 stallion - 2 mares - 2 LF - 100%
Vermont: 2 stallions -- 3 mares -- 3 LF - 100%
Virginia: 62 stallions -- 217 mares -- 110 LF - 51%
Penn: 120 stallions - 1,165 mares - 550 LF - 47%
Delaware: 1 stallion - 2 mares -- 2 LF - 100%
Massachusetts: 8 sts -- 28 mares -- 13 LF - 46%
New Hampshire/Alaska/Maine/Hawaii (none)
Kentucky: 372 stallions -- 21,455 mares -- 14,801 LF - 69%

[Acertainsmile]

Baltimore Sun 9-25-07 "Era hits finish line" (http://www.baltimoresun.com/business/bal-sp.defrancis25sep25,0,2710094.story)



Not sure how anyone having held a position of power, watched the early warning of racing trouble loom on the horizon, see it hit and ravage the state's racing legacy, then walk away from MD racing with their head held high.




I'm sure he had his hip boots on...

[Texarkana]

Joe DeFrancis leaving is probably the best thing that has happened to MD racing in recent years...

Too bad it didn't happen sooner... maybe we wouldn't be here now. :sigh:

But in all fairness to him, I sure wouldn't have wanted to be the one to "inherit" the state's racing industry...

Now the real mystery of the day-- why do so many foals die in PA? :lol:

[Acertainsmile]

I'm sure JD as he will now be reffered as... didnt mind inheriting anything.. that being said, he was a large part of the initial problems Md faced on the slot issue... Lots of underhanded happenings made many politicians leary of "doing business" with him in the early years of slot negotiations.

[M.K.Smith]

I caught a little bit of the sports news on 98 Rock this AM... missed the beginning part... they were reporting that it looks promising that we're going to get slots passed in MD soon... Do you guys think it really will happen this time? If we do get slots... I hope it's not too late to help...

It certainly sounds like MD racing is in bad shape and it's a shame...

I went to college at Iowa State and enjoyed going to watch the races at Prairie Meadows... they said that is used to be a real dump of a track and that slots really saved it and led it to thrive... heck... I never played the slots nor did I bet on the horses, but it certainly was fun to hang out with my horsey friends and watch the horses run.... they even had QH racing!

[Glimmerglass]

Can't have all the bad without some good on this thread, albeit a temporary benefit:

Oct 16, 2007 "Maryland Million brings in fans, dollars" (http://www.examiner.com/a-991685~Maryland_Million_brings_in_fans__dollars.ht ml)

The second-most important racing day in Maryland resulted in lots of firsts at Laurel Park on Saturday.

Featuring 12 races of horses sired by Maryland-based stallions, the Maryland Million Classic drew a record crowd of about 27,000 fans. The amount wagered on the live card was more than $5.98 million, smashing the previous mark of $5.04 million set in 2005.

“Anyone that was in attendance today at Laurel Park knows that [racing in Maryland is alive and well],” Lou Raffetto, Maryland Jockey Club president and chief operating officer said in a statement. “The Maryland Million is a small sample of what Maryland racing is capable of when given the financial resources to compete.”

But there was just as much action on the track as there was at the betting windows.

[Texarkana]

Can't have all the bad without some good on this thread, albeit a temporary benefit:

Oct 16, 2007 "Maryland Million brings in fans, dollars" (http://www.examiner.com/a-991685~Maryland_Million_brings_in_fans__dollars.ht ml)

That's good to hear. :)

[Glimmerglass]

Shrinking ....

DRF 10-23-07 "Laurel drops Sunday racing" (http://www.drf.com/news/article/89721.html)

Laurel Park intends to drop Sunday racing and race 15 fewer dates than usual at its winter meet.

[Glimmerglass]

As spied by the crafty Equidaily.com

Perhaps Frank can convert Pimlico or Laurel to the new bottling factory of his new energy drink because the world really needs another .. yea right after Redbull, Rockstar, Sobe, CinaMan, DMX, Wired, Hype, Enviga, Xtazy, Nitro2Go, XO, Roaring Lion, Fixx, Full Throttle, Pimpjuice, Havoc, and no less than 100 more which are on the market today :D

Frank's Energy Drink (http://franksenergydrink.com/) - seriously, you can't make this stuff up!

Frank's is named after Frank Stronach, who came from Austria to Canada with nothing more than a few hundred dollars and a dream to own his own business. Blessed with tremendous natural energy, Frank built his business from scratch, working seventeen hours a day, seven days a week.

That business is today one of the largest automotive manufacturers in the world, with sales of more than $25 billion per year and 85,000 employees. He is also the founder and Chairman of Magna Entertainment Corp., North America’s number one owner and operator of horse racetracks and one of the world’s leading simulcast providers of live thoroughbred racing.

I don't think they'll mention the dazzling amount of money MEC has lost or even the woes of Magna's automotive arm.

And, yes, the product tag line is: "Keeps you yodeling all night long!" Complete with the faux St. Pauli Girl type models.

[Texarkana]

I'm speechless. If it were the beginning of April, I would swear this was a joke.

Gene Simmons can't be that desperate for money...

[Acertainsmile]

I'm wondering if he will try making that a mandatory drink at the Md tracks?

He tried that with Strufex...

[LexInVA]

I'm speechless. If it were the beginning of April, I would swear this was a joke.

Gene Simmons can't be that desperate for money...

He's not desperate for money. He just loves it so much that he's willing to do ANYTHING to get it.

[Texarkana]

He's not desperate for money. He just loves it so much that he's willing to do ANYTHING to get it.

LOL! :lol:

[Laurierace]

Wow when I saw that this thread had been bumped I thought it was due to the recent shake ups in management. Three very high up people were escorted from the building. Unfortunately, the one person I wanted to see gone the most wasn't one of the three. But its ok, we now are headed by someone with ties to the NYRA and everyone knows that turned out ok......
BTW Frank's energy drink has been out for quite a while, at least a year I would guess. I am a devoted Lo Carb Monster fan myself so I haven't ever tried it.

[Glimmerglass]

Wow when I saw that this thread had been bumped I thought it was due to the recent shake ups in management. Three very high up people were escorted from the building.

Yep a bit of a management change up! Although only 1 person by name was cited in the racing press:

Lou Raffetto, the president and chief operating officer of Laurel Park and Pimlico Race Course, has left the Maryland Jockey Club, effective immediately, according to an announcement late Wednesday afternoon.

Use of that phrase tends to suggest "the escorting" from the grounds by the former employer

It also seems to be followed like a caboose on a train by the vastly over used phase of "to pursue other opportunities" and another business cliche of "wishing him/her the best in their endeavors", although the latter was absent in the press release ;)

The guy brought in appears to be someone rather familiar with Maryland racing (http://www.drf.com/news/article/90668.html):

Chris Dragone, who was most recently the executive director of the New York Thoroughbred Breeders Inc. and a former general manager of Great Lakes Downs and Portland Meadows. Dragone also served as the senior vice president and general manager of the two Maryland tracks, reporting to Raffetto, for a brief time in 2006.

Who knows, maybe Lou is going to the beverage division to sell Frank's

One truly hopes that company doesn't look to later make milkshakes under the Frank's name! :D

[Laurierace]

Here is the official release which includes the missing "wishing him well in his future endeavors!"

http://www.laurelpark.com/NewsEvents/FeatureStories/Details/Baltimore112807LR.htm

[Laurierace]

This is more in line with the rumors circulating the backside this morning.

http://www.baltimoresun.com/sports/horseracing/bal-sp.raffetto29nov29,0,5467491.story

[Glimmerglass]

The Thoroughbred Times appears to have more details on the "why" of the dismissal (http://www.thoroughbredtimes.com/national-news/2007/November/29/Finances-at-Maryland-tracks-led-to-Raffettos-replacement-Stronach-says.aspx) as well as the other action:

Also dismissed by Magna was Tony Cobuzzi, senior vice president of finance and development for the Maryland Jockey Club.

Amazingly Frank provided some comments:

“You look at their track record,” Franzone said of Magna. “Their racing is in turmoil.”

Stronach, 75, however, dismissed the criticism.

“One has different opinions and I respect opinions,” he said. “What difference does it make? What difference should it make? I’m committed to horse racing; everybody knows that. I think that’s an artificial kind of hysteria.”

Asked to comment on Franzone’s suggestion that Magna had hurt its chances of getting slots in Maryland, Stronach said, “If we don’t get it, we don’t get it. Everybody has been unhappy with the racetrack over the years.

[Acertainsmile]

Sounds like another nail in the coffin...

http://www.thoroughbredtimes.com/national-news/2007/November/28/Maryland-officials-react-unfavorably-to-Raffettos-dismissal.aspx

[Glimmerglass]

Andy Beyer takes the opportunity with this termination news to rip Magna for their lack of understanding of racing or at least lack of listening to fans and horsemen at their tracks ...

Washington Post 11-29-07 "With Raffetto Decision, Magna Misfires Again" (http://www.washingtonpost.com/wp-dyn/content/article/2007/11/29/AR2007112902073.html)

excerpt

The improved relationship between trainers and the Maryland Jockey Club may explain, in part, why stables haven't made a mass exodus to Pennsylvania and other states with slot machines. The racing product at Laurel and Pimlico has been as good as it could be under the circumstances. As a former racing secretary, Raffetto knows how to make the best possible use of a track's horse population. Like a good chef who can work wonders with modest ingredients, he did a remarkable job with limited resources.

It is hard to imagine that any company would want to fire such an executive. But Magna is a highly bureaucratic organization, with everybody ultimately answerable to the chairman, Stronach. He makes most of the big decisions in the company (such as the disastrous ones that ruined Gulfstream). People who are not team players -- i.e., those whose opinions differ from Stronach's -- have short professional lives, and the turnover in the organization is dizzying. The most recent chief executive lasted four months.

This financial action - cited in a prior posting on this thread - which ultimately flopped appears to be one of those straws that likely broke the camel's back :

De Francis and Raffetto didn't telephone vice presidents at Magna headquarters in Canada before they implemented decisions. This fall, when Raffetto decided to lower the takeout drastically for 10 days of racing at Laurel, he didn't ask anybody's permission.

The horse racing press generally thought the lowering concept was a good one but ill-timed as both DelMar and Saratoga racing were going on and most wagering money was funneled into racing there. So the takeout reduction didn't entice the bettors and hurt Magna.

[Glimmerglass]

Maybe not as per say a woe for racing but clearly another example of that slow road to eroding more of Maryland's protected farm and horse country. Ironic no less that it would be by someone who is a horse breeder/member of the JC (http://www.ntra.com/stats_bios.aspx?id=1974) and brother to Harry, who owned Spectacular Bid.

This isn't a simple art musuem but becomes an extension of the National Gallery of Art. (http://www.washingtonpost.com/wp-dyn/content/article/2008/03/04/AR2008030403191.html)

Baltimore Sun 3-4-08 "Art museum bill gets OK; Balto. County estate is to open to public after owner's death" (http://www.baltimoresun.com/news/local/baltimore_county/bal-md.co.arts04mar04,0,5512271.story)

The home - on the 250-acre Fitzhugh Farm on Blenheim Road near Loch Raven Reservoir (Phoenix, MD) - will be open to the public after Meyerhoff's death, according to one of his attorneys.

The legislation, co-sponsored by six of the seven council members, allows museums on land designated for agriculture as long as the facility is open to the public and houses a collection worth $20 million or more. Several other restrictions, including a limit on capacity, were included in the measure, which was approved 6-1 by the council.

But some residents have told council members they don't want the extra traffic that the museum would bring or the precedent of permitting the land to be used for something other than farming.

Others said they are upset about the exception being made outside of the county's rezoning process.

[Laurierace]

Seeing this thread again made me curious so I checked the condition book. They are not running the Pimlico Special again this year. Oh well, that stinks.

[Glimmerglass]

BloodHorse 3-18-08 "Pimlico Sets Stakes; 'Special' Returns" (http://racing.bloodhorse.com/viewstory.asp?id=44130)

In a major change, the grade I Pimlico Special is back.

Back after a one-year absence is the grade I Pimlico Special, which will be run May 16 along with the grade II Black-Eyed Susan and four other stakes. The Special last year wasn’t run for financial reasons; this year, the purse will be cut in half.

“I think it is a very important part of Preakness weekend,” MJC president and general manager Chris Dragone said in a statement. “In a perfect world, we I would love for it to be a half-million dollar race as it was two years ago. But right now, we are in a position where we need to take small steps and play the hand we are dealt. That means a $250,000 purse.”

With the Pimlico Special returning to the stakes slate, racing officials have decided not to card the grade III William Donald Schaefer Handicap in 2008. The $100,000 test for older horses at 1 1/8 miles has been a staple on the Preakness undercard since 1991, but its conditions are too similar to the Pimlico Special this year.

Maybe just maybe Curlin will run in this - or perhaps $250k is too small ....

[Glimmerglass]

And the woes return for Maryland racing. Not only did Magna yet again report a big loss, but with it comes further punishment to the State's racing. It's pretty hard to "win" in Maryland at this point. My hats off to those operations still there and taking the blows out of some sort of tradition

DRF 8-6-08 "MJC suspends four stakes, including Dash" (http://drf.com/news/article/97064.html)

The Maryland Jockey Club will not card its only graded stakes during the 17-week Laurel Park meet that begins on Sept 3. and will also close Pimlico Race Course near Baltimore for training beginning at the end of August, the company announced on Wednesday.

The suspended stakes include the Grade 1 Frank J. De Francis Memorial Dash, one of only three Grade 1 races in Maryland. In addition, the Grade 3 Safely Kept Stakes has been suspended, along with the Laurel Futurity and Selima Stakes, the MJC said.

Officials of the MJC, a company that is owned by Magna Entertainment Corp., cited revenue shortfalls and a purse overpayment for the moves.

[Laurierace]

This is kind of like finding out you were fired via email. I don't know what I am going to do now.

[Glimmerglass]

Laurie if it's any help, per the article:

Pimlico is typically open for year-round training. After the track closes for training on Aug. 31, the MJC will ship the Pimlico horses to the backstretches of Laurel or the Bowie Training Center, which is also owned by the MJC. The MJC will pay for horses based at Bowie to ship in to races at Laurel, the company said.

[Laurierace]

No its not, its an hour and a half each way no matter where they send me. Thanks anyway though.

[Glimmerglass]

Fraankly I've been scared all along for the health of Maryland's racing - regardless of slots - since MEC has been loosing money in such staggering amounts. Now it looks like even the company can no longer deny they are on life support with the plug possibly pulled.

Canada's Report on Business Aug 6, 2008 "Magna Entertainment survival depends on refinancing" (http://www.reportonbusiness.com/servlet/story/RTGAM.20080806.wmagnaent0806/BNStory/Business/home?cid=al_gam_mostview)

Money-losing Magna Entertainment Corp. said its future is in “substantial doubt” unless it can restructure $229-million in debt that comes due in the next 12 months.

“If the company is unable to repay its obligations when due or satisfy required covenants in debt agreements, substantially all of the company's other long-term debt will also become due on demand,” the racetrack and casino operator said in a statement as it released its second-quarter results.

MEC has lost more than $500-million since 2003, and infusions of capital from controlling shareholder MI Developments have been keeping it alive while it struggles with a debt-elimination plan that has been hampered by a slumping real estate market in the United States, where many of its properties are located.

“Real estate and credit markets have continued to demonstrate weakness to date in 2008 and we do not expect that we will be able to complete asset sales at acceptable prices as quickly or for amounts as originally contemplated,” the company said.

MEC is considering a plan that would see MI Developments' 59-per-cent stake in the gaming company sold to Chief Executive Officer Frank Stronach. Two of the three largest shareholders of MI Developments have expressed opposition to the proposal. A meeting was set for July 24, but it was postponed indefinitely.

Even if Frank takes a large stake in the company it's not like he is sitting a multi-billion dollar fortune that can for fun absorb more losses like these. His fortunes too have shrunk. The whole Gulfstream purchase and reworked layout was a mistake from day one.

[Acertainsmile]

Just wanted to add or clarify, that the MJC currently does pay for horses shipped from Bowie to Laurel or Pimlico... so nothing new there. (There is also a free shuttle to Colonial Downs during the meet).

Laurie, I feel for everyone stabled at Pimlico... that really stinks.

[Laurierace]

Actually there was no free shuttle to Colonial this year. I know many people had to scratch because they couldn't get anyone to take their horse.

[Acertainsmile]

Actually there was no free shuttle to Colonial this year. I know many people had to scratch because they couldn't get anyone to take their horse.


Wow, I guess they really are cutting back....I wish I would have known that, our farm is right before the Nice Bridge, I could have hauled horses and even freshened up a few...

[Glimmerglass]

Just weird - "Paulick Report - "Minor Takes On Magna" Aug 25, 2008 (http://www.paulickreport.com/blog/minor-takes-on-magna/)

While CNET founder Halsey Minor continues his efforts to purchase Hialeah Park from current owner John Brunetti, he also has contacted financially troubled Magna Entertainment about the possible sale of ... the company’s two Maryland Jockey Club tracks, Pimlico and Laurel. But after speaking with Magna’s chief financial officer, Blake Tohana, Minor doesn’t think Magna is a serious seller.

“You can only buy (the Maryland tracks) if you have a gaming license. (Tohana) did not specify what that meant or why it was important. … This is despite the fact that Magna is not guaranteed any slot franchises in the current legislation, and they would need to post a $50-million bond which they don’t have to get one. At the very least if he had been on his toes he should have asked to borrow the money.

Once again proof Magna will be the ruin of Maryland racing.

To say the exchange from there (Minor and Magna's CFO) was contentious is an understatement.

[Glimmerglass]

The Wasington Post did a longer article with pictures on the "not-closing" technically but in reality yes closing of Pimlico ....

Washington Post Sep 14, 2008: "At Pimlico, a Storied Era Fades in the Backstretch" (http://www.washingtonpost.com/wp-dyn/content/article/2008/09/13/AR2008091302213.html?hpid=sec-metro)

Washington Post: photo sequence to accompany article (http://www.washingtonpost.com/wp-dyn/content/gallery/2008/05/16/GA2008051603393.html)

"It's the end of an era around here," said Gail Boozer, who has run a corner grocery across the street from the stables for 17 years. "It's so quiet. We used to hear the horses all day long."

"Miss Gail," as the Pimlico hands called her, would come out from behind her Plexiglas windows several times a day and cross Belvedere Avenue to sell cigarettes and sodas through the high chain-link fence separating the equestrian world from the city streets. She has already felt the drop-off in business, she said, and has decided to close on Sundays. "I feel so sorry for them. They treated those horses like they was their kids. Some of them are too old to do anything else."

As for the slots getting passed in Maryland, it looked promising but has faded as of late ...

Baltimore Sun Spe 14, 2008: "With public divided, campaign to pass slots measure heats up" (http://www.baltimoresun.com/news/local/politics/bal-md.slots14sep14,0,5407599.story)

Frederick S. Yang, who also works as O'Malley's pollster, found that while most voters still back slots - 58 percent in favor; 38 opposed - support dropped five percentage points in the past three months.

The "erosion," as Yang puts it, mirrors a five-point dip reported by nonpartisan pollster Patrick Gonzales between January and September.

The Gonzales poll had slots support at 49 percent, with 43 percent of likely voters opposed. The 6 percentage-point edge was down from 16 points in January.

Steve Kearney, a spokesman for the pro-slots group, said the dip was expected. Slots proponents said they anticipate the tightening race will energize activists and voters who might otherwise have been complacent about the issue.

[Acertainsmile]

It just gets crazier... now they are fighting to put in the word proposed... meaning a portion of slot revenue will go towards education... instead of the original wording on the bill (which stated that was what the money would be used for)... It may end up in court.. I wonder if that will hold up the date on the vote...

http://www.washingtontimes.com/news/2008/sep/13/womens-league-says-slots-argument-untrue/

[Laurierace]

Man that article was so depressing it made me want to bawl. Those pictures in the photo gallery attached to the article were all taken in or around my barn. If you look close at the shedrow shot you can see some of my pink stuff at the end of the row. I obviously know all those people, we worked together every single day for years. I am one of the lucky ones because I have a husband and a family. We have a beautiful house and plenty of food in the cupboard, but I sure have an empty spot in my heart that used to be filled by my other life at the track. I am a refugee in my own home to some extent.

[Acertainsmile]

It is very sad Laurie, I also remember those guys, although I havent been stabled at Pimlico since the late 80's...we did run there though... I was thinking about Reggie Gardner while I read the article, he worked for me yrs ago... he's also been around forever... it's just really a shame.

Just keep your chin up, maybe after November there will be some light at the end of the tunnel for Maryland racing.

[Flash44]

It's a sad, sorry shame. We really should have been the state to pioneer slot machines, like we pioneered the Maryland Million. Slots have been on the radar for almost 20 years now, and we are in a do or die situation at this point. Maryland is one of the few places where the horsemen could settle down and live year round and raise a family. My husband has been driving from DE to Laurel to Charlestown for about 6 months now and it's taken a huge personal toll on us. In the past, only the really good horses or the really cheap horses shipped out of town to run. The rest of them stayed in Md because that is where they could best make the most money. Now every trainer is reading 3-6 condition books for every horse in the barn and the van drivers are saddling horses. Training horses has gotten way more complicated and way less profitable.

[Glimmerglass]

I doubt anything will come of this but there is a glimmer of hope that Magna somehow might get wrestled from Frank Stronach and control taken by Halsey Minor. (see the Hialeah Park thread for more on him) I don't buy it myself as Magna is a massive operation with too many tracks and far too many jobs today at risk for him to learn that owning and running a track is hard work. Plus no one has seen his secret formula for turning around racing. Hopefully it isn't just about spending more money to spruce up the physical plant.

DRF 10-21-08 "Magna stock up after debt offer" (http://www.drf.com/news/article/99260.html)

Late on Friday, Minor released a letter he had sent to Magna reiterating that he intended to research the debt as part of a proposal to purchase the loans held by MI Developments.

Financial Post (Canada) 10-21-08 - "Horse lover targets Magna" (http://www.financialpost.com/story.html?id=895019)

Minor: "My goal is to essentially be able to take control of Magna, and to ensure that racing doesn't get shut down, that the tracks don't get shut down, and that the process of reinvestments back into the industry can begin."

If you're interested, see the Q&A with Minor from a couple weeks ago ...

Oct 2, 2008 "Talkin' Horses - Halsey Minor guest" (http://www.bloodhorse.com/TalkinHorses/HM100208.asp)

Leesburg, VA:
Thanks for taking time to answer questions. It's great to see someone with your energy and imagination willing to invest in the horse industry. Hialeah is a beautiful race track, but since you live in Virginia and Colonial Downs is for sale why wouldn't you buy Colonial Downs.

Minor:
I tried but the offering price is way too high for what you would get. They are holding out for slots. I said good luck. I would like to own a track in Virginia one day but I would put it in a different place and it would be a lot more elegant. Virginia is the birthplace of racing in America and we need a facility that reflects our importance and heritage.

If he doesn't like the A1 condition Colonial Downs and would prefer a more "beautiful" course can anyone think that buying Laurel or Pimlico is realistic? That could swallow a fortune to rebuild infrastructure. He's wealthy but in the $200M range wealthy (http://money.cnn.com/2008/08/11/technology/cnet_minor_bonnie.fortune/index.htm) which could be why he's balked at the rumoured $22M tag (http://news.bloodhorse.com/article/47641.htm) on Hialeah from Brunetti.

Perhaps foreshadowing of his MO of dealings from the Sep 2008 Fortune article...

Minor's other headline-making effort post-CNET also crashed and burned. Minor made a $25 million pledge to his alma mater to kick off an ambitious project that would integrate technology with study of the humanities. But Minor never signed a contract, and he was unhappy with how the project was proceeding. Ultimately, he says, UVA scrapped the whole idea. A UVA spokesperson concurs that the project was killed and says Minor's gift is only one of two in history in which no contract was signed. The school, Minor offers, is "run by a bunch of bow-tied Southerners."

[Glimmerglass]

And this position with slots in Maryland I think will get him tarred and feathered if he walks onto any track in the state:

Baltimore Sun - Associated Press, Oct 22, 2008: "Potential buyer of Pimlico, Laurel tracks opposes slots" (http://www.baltimoresun.com/sports/horseracing/bal-track1022,0,2462882.story)

[Drvmb1ggl3]

And this position with slots in Maryland I think will get him tarred and feathered if he walks onto any track in the state:

Baltimore Sun - Associated Press, Oct 22, 2008: "Potential buyer of Pimlico, Laurel tracks opposes slots" (http://www.baltimoresun.com/sports/horseracing/bal-track1022,0,2462882.story)

He's 1000% right.....

A technology entrepreneur who wants to acquire Pimlico Race Course and Laurel Park said today he believes slot machines are a "cancer" to thoroughbred horse racing, and he wouldn't implement them if he acquires ownership.

Minor said his plans to revive horse racing involve focusing on improving the track experience for fans.

"Slots do not belong in thoroughbred racing," Minor said.

Franchot, who has been an outspoken opponent of slot machines in Maryland, applauded Minor's efforts to acquire the tracks.

"Mr. Minor sees the potential of the horse racing industry here in Maryland and wants to rebuild it the right way: by focusing on the horses, the trainers, the jockeys -- the essence of racing, new potential customers," Franchot said.

[Glimmerglass]

File under: "I Owe You, Maryland", from "your friends" at Magna

DRF 2-3-09 "Magna did not pay fee in slots bid" (http://drf.com/news/article/101431.html)

[MEC] acknowledged late on Monday night that it did not pay a $28.5 million fee associated with its bid to operate 4,750 slot machines at Laurel.

It is unclear how the company's bid to operate the machines will be affected by its failure to pay the fee. Officials for the state commission that will evaluate the casino bids were not immediately available for comment on Tuesday morning.

Bids to contend for one of five licenses to operate slot machines in Maryland were due on Monday. The bidding process required companies to post a licensing fee of $3 million for every 500 slot machines the company wants to operate.

One time dot-com guru Halsey 'blowing with the wind' Minor who did a 180 on the topic of slots (finding jesus evidently and suddenly embraced the idea of slots supporting racing (http://www.hometownannapolis.com/cgi-bin/read/2009/01_18-58/TOP)) appears to have ultimately declined to submit a bid for the Anne Arundle Co. opportunity (Annapolis): Source - TB times Feb 3, 2009 (http://www.thoroughbredtimes.com/national-news/2009/February/03/Magna-among-companies-bidding-to-operate-Maryland-slots.aspx)

Technology entrepreneur Halsey Minor, who last year voiced an interest in buying Hialeah Park in Florida, had been expected to bid against Magna for the Anne Arundel license but ultimately declined.

Minor, who suggested previously that he wanted to use revenue from slots to build a new racetrack in Maryland, said bids that were submitted were relatively small because of the high tax rate.

“The offers the people have put in are not attractive,” he said. “They either didn’t put in any money, or a little money, or there were a lot of caveats. My bet is they are going to go back, clean it up, go back to the legislature, change the tax rate and re-bid again. It was three years [to complete the process] in Delaware and two months in Maryland.”

The brutal tax rate cited is that Maryland imposes a 67% tax on slots against the operators (http://www.baltimoresun.com/news/local/politics/bal-te.md.slots03feb03,0,5346670.story?page=2) which I don't think even the mob would've had the moxy to put in such an f.u. rate ;)

[Acertainsmile]

Thanks for the update Glimmer, I think...:(

[Glimmerglass]

Not sure if the news is good or not as per say. On one hand I'm happy that Magna is not getting their way although on the other it is obvious that racing is MD is sadly chained to that sinking ship.

As of tonight there is a decent chance that MEC will be disqualified from the process.

Update from DRF 2-3-09 (http://drf.com/news/article/101447.html)

Officials for the state commission evaluating the bids said Tuesday that the commission would consider disqualifying Magna's application next week, along with the application submitted by Empire Resorts for a 750-slots casino in Allegany County. Empire, which owns and operates Monticello Gaming and Raceway, also did not pay the licensing fee.

"It appears that these do not meet the basic requirements," said Donald Fry, chairman of the commission.

Charles Degliomini, senior vice president of government affairs for Empire Resorts, said Tuesday that Empire did not include the fee as a way to demonstrate that the company did not want to participate unless the tax structure for casinos was changed.

Maryland legislators had anticipated that at least a dozen companies would submit bids, but the worldwide economic downturn and the 67opercent tax rate on gross gambling receipts appeared to dampen interest.

[Anne Tucker]

For better or for worse, Magna has come up with the money.

[Glimmerglass]

For better or for worse, Magna has come up with the money.

Yep although with strings attached - (http://news.bloodhorse.com/article/49080.htm)

In a release, MEC said Laurel Racing, the bidder, has asked the state commission overseeing the bids to “undertake that it will utilize its discretionary authority to refund the initial license fee in the event Laurel Racing is granted a (slot machine) license but is unable to obtain all proper zoning and permits” necessary for operation.

So Magna claims that they didn't submit the money due to concerns if not ultimately able to be fully operational they expect to be refunded the $28.5 million. I don't know if that is as per say Maryland's problem to be concerned about nor was the intent to refund the 'licence application' fee if a bidder is rejected.

[Laurierace]

They announced today that no one can bring beverages of any kind into the infield at Preakness this year. Sure, take the ONE day per year you make money and screw it up. Heck I don't even drink beer and this bums me out big time.

[Glimmerglass]

Anything to make a buck, right?

Washington Post 2-5-09 "Carry-in Drinks Banned From Preakness Infield" (http://www.washingtonpost.com/wp-dyn/content/article/2009/02/05/AR2009020502140.html)

Preakness officials announced Thursday that fans will not be allowed to bring in beverages of any kind to the public infield at Pimlico Race Course on race day, May 16.

In the past, spectators were permitted to carry an unlimited number of coolers filled with cans of beer. The new policy forbids this practice, although the track will sell 16-ounce beers for $3.50.

One goal of track officials is to make the infield a more wholesome environment than in the past, when the free flow of beer often led to arguments, fights and long lines at the portable toilets.

[2LaZ2race]

Anything to make a buck, right?

Washington Post 2-5-09 "Carry-in Drinks Banned From Preakness Infield" (http://www.washingtonpost.com/wp-dyn/content/article/2009/02/05/AR2009020502140.html)

Although I always thought it was pretty trashy I can think of 20 people off the top of my head that went to the Preakness EVERY year for this reason and couldn't tell the front of the horse from the back (..even before drinking the beer!)

[Laurierace]

Although I always thought it was pretty trashy I can think of 20 people off the top of my head that went to the Preakness EVERY year for this reason and couldn't tell the front of the horse from the back (..even before drinking the beer!)

Twenty people? Try 100,000+ that wouldn't know a horse if it stepped on their foot. BUT they buy tickets and buy food and buy souvenirs and attempt to handicap and bet the races etc. How many of those people are going to bother coming now?

[Lori B]

The folks who run Pimlico couldn't make money running a house of ill repute on an ocean-going vessel. (think about it)

[Glimmerglass]

The folks who run Pimlico couldn't make money running a house of ill repute on an ocean-going vessel. (think about it)

:D

Reminds me of the congressional testimony yesterday in regards to how blind the SEC was to the Bernie Madoff house of cards: Harry Markopolos tried for 9 years to tell the SEC something was wrong (http://www.independent.co.uk/news/business/news/sec-chickens-humbled-by-madoff-whistleblower-1546545.html) even giving detailed reports:

"I gift-wrapped and delivered the largest Ponzi scheme to them," Mr Markopolos said yesterday, but SEC staff were "too slow, too young and too under-educated I gave them a road map and a flashlight, but they didn't go where I told them to go, they didn't look where I told them to look, they didn't call the people I told them to call."

Or his other more colorful remark during yesterday's Congressional hearing: (http://blogs.usatoday.com/oped/2009/02/food-for-though.html)

"As currently staffed, the SEC would have trouble finding first base at Fenway Park if seated in the Red Sox dugout and given an afternoon to find it"

So next year when MEC says ticket sales and total revenue from the Preakness is down at Pimlico they'll blame it on the economy and think "next year it will be better". Funny how MEC says they want to clean up the Peakness in field (just 160 disorderly charges yet 100k people) yet they're just fine with putting in slot machines. Note to MEC - don't get all high and moral on us ;)

[2LaZ2race]

Twenty people? Try 100,000+ that wouldn't know a horse if it stepped on their foot. BUT they buy tickets and buy food and buy souvenirs and attempt to handicap and bet the races etc. How many of those people are going to bother coming now?

I knoooow more than 20 people are in the infield but i'm saying I ALONE know 20 people that only go for that (and I mostly know HORSE people!).

[Acertainsmile]

I walked through the infield a few years ago and had a girl ask me where the horses were...

[2LaZ2race]

I walked through the infield a few years ago and had a girl ask me where the horses were...

"I lost my panties at Preakness" - a girl I was introduced to at a party based on "she likes horses.. she was a horse race once"

[Trevelyan96]

I swear to god, did Stronach just have something against Maryland racing? He seems to have single-handledly deliberately destroyed it.

[Glimmerglass]

It's just amazing that Maryland, once a leading center of racing (no slight to Kentucky), can suddenly be just the redheaded stepchild in the sport. While West Virginia and Delaware never seem to have such woes.

BloodHorse 2-6-09 "PNGI 'Not Enthused' About Maryland Slots" (http://news.bloodhorse.com/article/49095.htm?id=49095)

PNGI (Penn National Gaming Inc.) chairman and chief executive officer Peter M. Carlino

"We are not obviously enthused about Maryland,” Carlino said. “I don’t mind saying that publicly.”

Carlino criticized what he considers to be an excessive tax rate mandated by the state, but said the company is compelled to have a presence in Maryland. “We tried early to make the case, which a lot of politicians have yet to figure out, that if you tax something more, you get less,” he said. “Maryland has gone over that curve, of course, and with a 67% tax rate, there is nothing useful you can do.

”And by the way, we are there simply because we gotta be. It’s right next door (to Pennsylvania); we need to be anywhere where there is a reasonable gaming opportunity. The emphasis is always on return.”

Ah, one of Aesop's Fables (620–560 BC) of "killing the goose that laid the golden eggs" applies centuries later ...

[Glimmerglass]

This article from the Baltimore Sun points out the obvious which has been cited that everyone worked hard to get slots to save racing in Maryland but the twisted truth is that Magna might not even get to benefit from slots - and racing in Maryland is attached at the hip with Magna, sadly.

Worth also noting that the De Francis family which hasn't done any favors to Maryland horsemen either still gets a healthy meal out of this slots deal.

Baltimore Sun Feb 11, 2009 "Slots bid process wipes out hoped-for benefits" (http://www.baltimoresun.com/business/bal-bz.hancock11feb11,0,7610222.column)

Would you go into business with Stronach, the guy who doesn't even make money at tracks where he has slots?

Joe De Francis did, and he's probably still wondering why. He could have sold Pimlico and Laurel Park to Churchill Downs Inc., the profitable operator of the Kentucky Derby, but took a richer offer from Magna that both have probably been regretting ever since.

The $29 million that Magna paid De Francis and his sister, Karin, obscured fine print that showed De Francis and his partners would get 65 percent of any slots profits over the first five years of the operation, half for the next five years and 40 percent for another decade. (De Francis personally would get 11.74 percent for the first five years.)

Magna, which needs a bigger slots payoff to lift it from financial trouble, has been trying to renegotiate the terms at least since last year. Pro-slots legislators weren't especially happy either, since the deal allowed opponents to paint slots bills as De Francis welfare.

De Francis has been quoted as saying he would forgo slots profits if it helped get licenses for tracks and aided racing. "Sure, absolutely," he told The Washington Post in 2007.

But even if he meant it, his partners probably aren't so magnanimous. The Magna-linked slots pool, called Maryland Ventures, includes former owners of Laurel Park as well as Leucadia National, a New York conglomerate that would get the biggest rake-off besides Magna.

article continues ...

[charismaryllis]

re: no carry in for preakness infield

i realize i'm dating myself here, but--anyone else go to the first Lollapalooza at Lake Fairfax in VA? where they didn't allow people to bring in *any* liquids, including sealed bottles of water? it was a disaster. heat + sun + dehydrated people--it was unbelievable. and the park said "oh we'll have plenty of water for attendees." i was there. they didn't.

i wonder if pimilico has any idea what they're getting into?

[Laurierace]

They had plenty of beverages and food available for virgin fest so I don't think that will be a problem. I just don't think many people will go.

[Glimmerglass]

Well this will be interesting [not in a good way] as to what happens to Magna and also Maryland Racing .....

Washington Post Feb 12, 2009 "Two Md. Slots Proposals Rejected Over License Fee" (http://www.washingtonpost.com/wp-dyn/content/article/2009/02/12/AR2009021201934.html)

Magna and another bidder who refused to put up the cash upon submitting the bid have been dropped from the process.

The seven-member commission voted unanimously to accept a recommendation from its staff that both bids were "unacceptable" because they did not include a hefty required license fee this month. Representatives of the Maryland Jockey Club, which has been seeking the Laurel license, indicated they would protest the decision in court.

When bids for licenses were due Feb. 2, the Jockey Club submitted a bid, without public explanation, that did not include a required $28.5 million license fee.

Attorneys for the Jockey Club told Maryland officials this week that the state's bidding process was legally flawed and that the club's proposal should still be considered.

[Acertainsmile]

Well, at least there is a this... that is of course if Magna doesnt fold, and Laurel and Pimlico can find another owner...

Regardless of where machines are, Maryland's horse-racing industry and track owners stand to benefit. Seven percent of proceeds are earmarked to enhance racing purses and breeder operations. An additional 2.5 percent is set aside for "renewal" grants to private tracks.

[Laurierace]

This might have been the smartest way to handle the whole thing. That way they aren't saddled with the 67% tax to the state and the 65% of profits that have to go to DeFrancis for the first five years. This way what little money they do get will go directly to purses with no overhead.

[Acertainsmile]

And maybe that is the bright side Laurie (I'm really trying to find one, even if it's made up)... also, I'm thinking that the AM location just might draw more people... so maybe all isnt lost...I have to admit that I'm still pretty shocked over the whole deal gone bad though.

[Glimmerglass]

Twenty people? Try 100,000+ that wouldn't know a horse if it stepped on their foot. BUT they buy tickets and buy food and buy souvenirs and attempt to handicap and bet the races etc. How many of those people are going to bother coming now?

Laurie to your point the backlash is occuring ...

Towson University (MD) 'The Towerlight' Feb 11, 2009: Attendees outraged over new rule (http://media.www.thetowerlight.com/media/storage/paper957/news/2009/02/12/News/Attendees.Outraged.Over.New.Rule-3625334.shtml)

"When you get at least 80,000 people in the infield, they're not just drinking two or three beers… It's a lot of people in a small area, binge drinking. I don't know how they plan to take care of all those people with a couple bars in Pimlico."

The Facebook group Reverse the Beer Ban at The Preakness, A Billion Strong, has about 3,500 members as of Wednesday and is steadily growing.

Other groups not in favor of the new policy are calling for a boycott of the Preakness with online sentiments.

Penn State University Feb 12, 2009: "Without Booze Preakness looses its flair" (http://www.collegian.psu.edu/archive/2009/02/12/without_booze_preakness_loses.aspx)

Take a few dozen horses, toss in the lyrics of "Maryland, My Maryland," and sprinkle in more than 100,000 drunk, fiscally irresponsible spectators, and you've got a proven recipe for one heck of a party -- and a big chunk of profit.

Without the privilege of bringing an unlimited amount of beer, a lot of these "traditionalists" won't go. Instead of paying Preakness's high tabs for beer, it simply makes more sense to sit on your couch at home and drink from a $15 case of Miller Lite and watch the event on television.

This new policy will likely keep the countless beer cans off the infield grass, and most of the ambulances vacant. But the tradition, the one my father and thousands of others have come to love, the tradition of drinking, gambling, and enjoying a sunny summer day at the Preakness, will never be the same. And the margins of profit they bring in won't be nearly as much as it would be without this rule -- not by a longshot.

[Laurierace]

Laurie to your point the backlash is occuring ...

Towson University (MD) 'The Towerlight' Feb 11, 2009: Attendees outraged over new rule (http://media.www.thetowerlight.com/media/storage/paper957/news/2009/02/12/News/Attendees.Outraged.Over.New.Rule-3625334.shtml)



Penn State University Feb 12, 2009: "Without Booze Preakness looses its flair" (http://www.collegian.psu.edu/archive/2009/02/12/without_booze_preakness_loses.aspx)

Yeah that last guy was so upset he couldn't remember what month they ran the race in!

[Glimmerglass]

More negative comments on the Preakness change .... Magna unless they are dumb as they've proven to be thus far with any Maryland activity better recind this

Baltimore Sun - Letters to the Editor - Feb 14, 2009 (http://www.baltimoresun.com/news/opinion/letters/bal-ed.le.preaknessbooze14feb14,0,712088.story)

Readers speak out on ban on outside alcohol at preakness

If the Jockey Club expects people to pay $50 for admission to the Preakness and then pay $3.50 for a beer, it clearly does not know its audience.

Adding a women's beach volleyball tournament and a few bands isn't going to convince most people that the $50 price tag ($60 if you purchase a ticket the day of the event) is worth going if they can't bring their own drinks with them.

Banning people from bringing in alcohol won't curb rude, drunken behavior in the infield, especially if you still sell beer to those in attendance.

Plus, there is already a place at Pimlico for those who don't want to take part in the festivities; it's called the grandstand.

The question posed time and again by even the most non-horsey person who ever glanced at this whole subject: I cannot understand why the governor and the Jockey Club seem to have tried to do everything in their power to kill the racing industry in Maryland.

[Glimmerglass]

Now this could be interesting ... just think Churchill Downs Inc. (CDI) owning both Churchull and Pimlico. Two of the three Triple Crown stops ;)

I could easily see CDI buying up what they don't own of HRTV from Magna. Which is likely why they didn't snatch up TVG for the mere $50M final purchase price.

Louisville Courier-Journal March 1, 2009 "Racetrack owner Magna faces threat of bankruptcy" (http://www.courier-journal.com/article/20090301/SPORTS08/903010322)

excerpt

The ramifications of a bankruptcy for the industry could be huge, with Louisville's Churchill Downs Inc. as a potential buyer for pieces of Magna. Churchill is a partner with Magna in several ventures.

"Magna obviously has some extraordinarily important assets to the entire industry," said Turfway Park President Bob Elliston, who is executive chairman of the National Thoroughbred Racing Association.

Elliston declined to speculate or comment on what will happen, as did Churchill spokesman Kevin Flanery.

Flanery also declined to comment on how Churchill may react, citing a company policy not to discuss potential acquisitions.

Any interest by Churchill in Magna's major assets has likely waned considerably since the 1990s, when the two vied to acquire some of racing's premier venues.

Now the industry is abuzz over what may happen to Magna's tracks. They may be worth more as real estate than for racing, Capps said.

"There's absolutely no guarantee that those 10 tracks survive as racetracks," he said. "And that's a sobering thought for the whole industry, that some of those places could end up disappearing."

Capps questioned whether Churchill would buy any of them. "Churchill's the most obvious because Churchill's got the strongest balance sheet in the industry," he said.

Churchill Chief Executive Bob Evans, who has focused on getting more wagers through the Internet to the company's existing tracks, has said previously that he doesn't believe that the company needs more venues.

Magna's owned race tracks: Santa Anita Park, Arcadia, Calif.; Gulfstream Park Racing and Casino, Hallandale, Fla.; Golden Gate Fields, Albany, Calif.; Laurel Park, Laurel, Md.; Pimlico Race Course, Baltimore; Lone Star Park, Grand Prairie, Texas; Portland Meadows, Portland, Ore.; Remington Park, Oklahoma City, Okla.; Thistledown, North Randall, Ohio. And also Magna Racino, Ebreichsdorf, Austria

[grits]

From today's Washington Post (http://www.washingtonpost.com/wp-dyn/content/article/2009/03/21/AR2009032102089.html?hpid=moreheadlines).

Glimmerglass will be glad for the news about the infield . . . although I couldn't find the thread with those posts.

"The company that owns Baltimore's Pimlico Race Course has promised that the horses will run as usual May 16, that the champagne will flow in the elite boxes and that the beer will soak the rowdy infield for the 134th running of the yearly Preakness Stakes."

Or maybe word of the crackdown has yet to reach the legislature?

[Laurierace]

Yeah I figured the same thing. Beer might be flowing but not at anywhere near the level it would be normally. Especially when you figure there will most likely be about 50,000 less people there. In my mind I envision it like Belmont day in a year without a TC on the line.

[Glimmerglass]

I actually haven't read anywhere that MEC repealed its 2009 rules on beverages and the Preakness. Worth noting that Churchill Downs for the Derby have lifted their cooler ban (http://www.thoroughbredtimes.com/racing-news/2009/March/19/Churchill-lifts-cooler-ban-on-Kentucky-Oaks-Derby-day.aspx) for 2009 which came into play after Sep 11th and security risks.

The cynic in me would think that MEC purposely nixed the long standings B.Y.O.B policy for 2009 just to ensure that revenue for Pimlico will "suck" and thus give justification for a lowball bid vis-a-vis the stalking horse bid in July for the package of properties [GGF, Pimlico, etc].

To give folks an idea of profits: see this article from the Baltimore Sun (3/27) (http://www.baltimoresun.com/sports/horseracing/preakness/bal-bz.magna27mar27,0,3914129.story?track=rss)

[Creditor PIC bank] said Pimlico might fetch higher bids if it is sold before its highly profitable major race in May.

Using Pimlico and the Preakness as an example, the bank said selling those assets before the May race would "yield a significant higher purchase price than if the assets are offered for sale after the Preakness Race since the bulk of the revenues that Pimlico Race Course generates result from the Preakness Race itself."

Pimlico reported a 35 percent increase in profit to $1.8 million in 2007, compared with $1.36 million in 2006, according to the most recent financial reports submitted to the Maryland Racing Commission. Pimlico's net income, however, is almost entirely from the Preakness, the middle leg of racing's Triple Crown.

My guess is that with the beverage restriction on the infield for the Preakness that profit amount will drop like a rock. The ticket sales very likely will be down and while its assumed forced beverage sales will be boosted I doubt it will hit targets as expect.

[Laurierace]

I wondered the same thing. As an aside it will be interesting to see if there is anything for the fans to buy at Preakness since so many of their vendors have cut them off. I know there won't be any pepsi products unless they come up with a chunk of cash. Maybe I will put up a lemonade stand....

[2LaZ2race]

I saw an ad for the Preakness on TV today, it was so cheesy! Who are they paying to do their commercials? :confused:

[Flash44]

My (normal adult) friends and I were going to go the infield this year since we would not have to fear for our lives, and we have money to spend on refreshments, as well as betting. It sounds like a lot of fun to me. But I'm 20 years out of college!

One more thing re slots: Any percent of ZERO is ZERO which is exactly what those greedy bass turds are going to get! Good lord, they were so worried about who was getting what that now no one gets anything.

[Glimmerglass]

Baltimore Sun 4-2-09 "Developer Cordish to bid on racetracks, Preakness" (http://www.baltimoresun.com/business/bal-te.bz.magna02apr02,0,1845372.story)

excerpt

Baltimore developer David S. Cordish (http://www.baltimoresun.com/news/bal-cordishphoto0314,1,2161546.photo) revealed Wednesday that his company will bid to buy Laurel Park, Pimlico Race Course and the Preakness Stakes, the second leg of horse racing's Triple Crown, which are up for sale by their bankrupt owner.

Cordish, whose Cordish Cos. (http://www.cordish.com/sub.cfm?section=news&type=article&newsid=171) bid against Magna for Anne Arundel County's sole license to operate slot machines, had previously signaled his interest in Laurel and Pimlico, telling The Baltimore Sun last month that the land around the two tracks presents prime redevelopment opportunities.

Will someone please turn out the lights when it's all over? Thanks.

[Glimmerglass]

And yet another roach comes out of the walls to bid on the Magna Maryland properties:

Baltimore Sun 4-3-09 "New bidder would raze Pimlico track; Verstandig says he would build shopping center" (http://www.baltimoresun.com/sports/horseracing/preakness/bal-te.bz.magna03apr03,0,3344981.story)

Pikesville developer Carl Verstandig, whose America's Realty LLC often invests in distressed urban retail projects, said Thursday that he will not bid on the Preakness Stakes, the storied racing event held at Pimlico and the second leg of the Triple Crown. He instead wants to buy Pimlico and Laurel Park in hopes of redeveloping there with new shopping centers. Verstandig said he can pay for the properties with cash.

The 116 acre Pimlico site and 236 acre Laurel site would be yet another Gap, McDonald's, and Land of Nod.

[Acertainsmile]

Oh crud...

[theblondejumper]

Holy cow I hope that NEVER happens. Already got plans to spend time at Pimilico this summer since I'm moving closer.

[CarolinaTbreds]

Holy cow I hope that NEVER happens. Already got plans to spend time at Pimilico this summer since I'm moving closer.


You'll be all alone in a bad neighborhood if you do that.

Pimlico's only 2009 meet ends right after the Preakness in mid-may and then racing moves to Laurel, and then to Colonial in Virginia for a short time, and then a few days at the state fair at Timonium and then back to Laurel for the rest of the year.

[Laurierace]

Holy cow I hope that NEVER happens. Already got plans to spend time at Pimilico this summer since I'm moving closer.

Pimlico meet ends in May. There will be training there through the first week in June then they kick us out again. It is true that there are some bad neighborhoods surrounding Pimlico to the west. There are some incredibly nice neighborhoods to the north, south and east so don't let the hype scare you off.

[Glimmerglass]

Well I won't hold my breath to see if this acquisition/take over by the Maryland Government works ... but at least there is an attempt to try:

Baltimore Sun Apr 8, 2009 "O'Malley to seek eminent domain over racetracks" (http://www.baltimoresun.com/news/local/bal-te.md.preakness08apr08,0,5344286.story)

Maryland has a law on the books giving it the right to purchase the Preakness if it is offered for sale, but bankruptcy experts have cast doubt on whether a federal judge would respect the so-called right of first refusal.

Bankruptcy also poses a formidable challenge to eminent domain, because the state's right to condemn assets in the name of public interest are automatically halted when a debtor has federal bankruptcy protection.

However those long-time Marylanders will recall how this attempt worked before:

On March 30, 1984, in a bid to prevent the Baltimore Colts football team from skipping town, the General Assembly gave the city the authority to take sports franchises by eminent domain.

The city immediately filed a petition to condemn the Colts - but it was rejected by a federal judge because the team and its property had absconded to Indianapolis the day before.

The grainy footage of the Colt's quipment being hauled off under cover of night in a moving truck still was shown on Baltimore tv stations into the 90's with anger ....

[Glimmerglass]

Previously cited roach ...err I mean developer, Carl Verstandig, who backed off after the firestorm to the original comment of razing Pimlico says he'll be using partners to make the bid: Baltimore Business Journal 4-8-09 (http://www.bizjournals.com/baltimore/stories/2009/04/06/daily28.html):

... said Wednesday he is pressing ahead with two West Coast-based bidders on plans to buy and revamp the facility despite Gov. Martin O’Malley’s move to have the state buy the track or seize it through eminent domain.

He is working with two West Coast-based bidders who would renovate and operate Pimlico and sell him excess land on which shops could be built, he said. The Preakness Stakes would stay at Pimlico, he added.

Verstandig declined to identify the bidders.

How about this: said West Coast bidders can stay there and further pave over paradise of they want to. Keep out of Maryland.

The last Maryland-bred horse to win the Preakness? Deputed Testimony in 1983 from Bonita Farm.

[babybedding]

The horse racing press generally thought the lowering concept was a good one but ill-timed as both DelMar and Saratoga racing were going on and most wagering money was funneled into racing there. So the takeout reduction didn't entice the bettors and hurt Magna.

[M.K.Smith]

Thumbs down to MD Senator Delores Kelley (D) Baltimore County-- watch the clip from Channel 11 news http://www.wbaltv.com/politics/19150681/detail.html "... in the middle of this recession to commit ourselves to something that's a dying industry." OUCH-- makes me glad I'm not from Baltimore County! Of course, if I were from Baltimore County, I might have an earfull for Ms. Delores Kelley.


Here's the text from the above link-

Preakness Bill Set For Passage
Bill Could Be Passed As Early As Saturday
POSTED: 4:48 pm EDT April 10, 2009
UPDATED: 6:38 pm EDT April 10, 2009


ANNAPOLIS, Md. -- Emergency legislation to save the Preakness Stakes met resistance in the House and Senate early Friday, but it currently appears set for passage.

Gov. Martin O'Malley's aides who are pushing for passage of an emergency bill to save the Preakness made themselves available for a House committee work group on Friday.

In the end, a majority agreed with the philosophy of Baltimore city Delegate Melvin Stukes, who said it's better to have the power and not need it than to need it and not have it.

One of the issues brought up throughout the day was that of eminent domain.

"We very much want to save the Preakness, but we have a competing philosophical problem with exercising the right of eminent domain for the public benefit instead of public use," said Delegate Tony O'Donnell, R-Calvert County.

Republicans said they were leery of the state confiscating private property, the state running a horse track without a business plan and at a potentially great expense to taxpayers. The bill authorizes the Maryland Economic Development Corp. to issue tax-free bonds to acquire the assets of Magna Entertainment, which recently filed for bankruptcy.

Magna, which owns Pimlico, Laurel Park and the Bowie Training Center, said it plans to auction off its assets to pay down its debt.

The O'Malley administration contended that eminent domain gives them the muscle to make sure the winning bidder will preserve the Preakness and horse racing. "We need to demonstrate a valid public purpose for intervening and exercising that authority. Our valid public purpose would not be that someone bid too low and the debtor didn't get enough money out of it."
- Joseph Bryce, aide to Gov. O'Malley

"At least on the issue of eminent domain, we need to demonstrate a valid public purpose for intervening and exercising that authority. Our valid public purpose would not be that someone bid too low and the debtor didn't get enough money out of it," said Joseph Bryce, the governor's chief legislative aide.

Eventually, the Senate pushed back amendments limiting the state's eminent domain authority, declaring the emergency bill void on June 30 and creating a commission to oversee assets acquired by the state.

The Senate did adopt amendments requiring MEDCO to consult with state leaders before disposing the acquired property. Another measure requires monthly status reports to be filed with the General Assembly.

The bill is inspired in part because Maryland's statute regarding the right of first refusal is being ignored by Magna in its court filings.

Federal bankruptcy guidelines aren't obligated to recognize state law; however, a majority of legislators agreed with the O'Malley administration in that the bill is a good negotiating tool.

A House committee is expected to send the emergency bill to the House floor on Saturday. The Senate will also meet on Saturday and could take a vote on final passage.

Here's Channel 13's piece http://wjz.com/local/preakness.2.982074.html

Senators Criticize, But Advance Preakness Bill Reporting
Kelly McPherson ANNAPOLIS, Md. (WJZ/AP) ―

It's down to the wire for legislation that would allow the state to take over the Preakness Stakes and Pimlico Race Course.

Kelly McPherson reports some lawmakers are questioning whether or not that's a good idea.

Governor Martin O'Malley's bill was introduced Wednesday, and there's a session Saturday and another Monday. In total that gives legislators a week to decide if the state deserves this new power to control horse racing.

Senators from both political parties expressed misgivings Friday about the bill that would strengthen the state's ability to acquire the Preakness Stakes horse race and the track where it is run.

"There should be serious concern," said Del. Pat McDonough. "This is a spending bill essentially we're talking about going into debt to buy a private facility. We're talking about personal property rights, eminent domain."

The measure would allow Maryland to use eminent domain law, if necessary, to acquire the second leg of the Triple Crown, plus Pimlico Race Course, Laurel Park racetrack and the Bowie Race Course Training Center.

Bankruptcy proceedings by current owner, Magna Entertainment Corp., have thrown the future of the race and the track into question.

Several senators worried the state could get a "white elephant" at a time when funds are tight and interest in horse racing is dying. The bill was introduced Wednesday, and is set for a final vote Saturday in the Senate.

Supporters admit the general assembly is undecided right now as they wait to see the final bill.

There's even talk that a special session may have to be called if enough issues are left unresolved.

Other bills still waiting for a vote include re-regulation of utility companies and Maryland licenses.

The Baltimore Sun's article http://www.baltimoresun.com/news/local/politics/bal-preakness0410,0,4872919.story

State Senate approves Preakness bill
Measure would empower Maryland to acquire tracks, historic race
By Gadi Dechter | gadi.dechter@baltsun.com
8:21 PM EDT, April 10, 2009
The Maryland Senate gave preliminary approval Friday to a bill that would authorize the state to acquire the Preakness, Pimlico Race Course and Laurel Park, either in a bankruptcy auction or by eminent domain.

Meanwhile, lawmakers in the House of Delegates continued to press aides to Gov. Martin O'Malley, who introduced the emergency legislation this week, on the viability of the proposal.

The governor and Democratic leaders in Annapolis say the state needs broad condemnation powers to ensure that the historic second jewel of the Triple Crown continues running at Pimlico. The track's owner, Magna Entertainment Corp., wants to sell its Maryland assets under federal bankruptcy proceedings.

State officials are contemplating acquiring Magna's assets, which include Laurel and a training track in Bowie, then selling them to a private entity that would commit to preserving Maryland's thoroughbred horse racing legacy, especially the Preakness.

Del. Brian J. Feldman, a Montgomery County Democrat, questioned whether the financing scheme envisioned in the bill is viable in light of tight credit markets. Under the legislation, money for the Preakness and any other Magna assets would be raised by selling revenue bonds issued by the Maryland Economic Development Corp.

Robert C. Brennan, the public corporation's executive director, acknowledged that raising millions of dollars during a recession for long-troubled horse racing assets "could be very difficult. ... Hopefully, there would be investors interested."

The state's claim to the race or tracks could also be voided by the federal court overseeing the bankruptcy. Despite concerns about the measure, it appears headed for speedy passage in both chambers -- underscoring the political and cultural potency of the Preakness for Maryland politicians.

[Glimmerglass]

Baltimore Sun/DRF 4-14-09 "Governor signs Pimlico legislation" (http://www.drf.com/news/article/102971.html)

Maryland Gov. Martin O'Malley on Tuesday signed legislation giving the state the authority to purchase the Preakness Stakes and other Maryland horse racing assets of its bankrupt owner - by eminent domain, if necessary.

O'Malley signed the bill one day after the state's house of delegates voted 93-43 to approve the legislation in the final day of the 2009 session. The state's senate had passed the bill on Saturday.

Officials from the governor's office and attorneys for the state have said the state may participate in a court-supervised bankruptcy auction that is anticipated this summer. The bill authorizes the Maryland Economic Development Corp. to finance a purchase by issuing bonds.

[theblondejumper]

Pimlico meet ends in May. There will be training there through the first week in June then they kick us out again. It is true that there are some bad neighborhoods surrounding Pimlico to the west. There are some incredibly nice neighborhoods to the north, south and east so don't let the hype scare you off.

Whoops goes to show how much I know about racing! Thanks for the heads up. Going to be in Mount Washington which is a nice area to me. Gonna be weird living in the "city".

[Laurierace]

Mount Washington is very nice. If you are around at Preakness time the Mount Washington Tavern is the place to be. Many of the trainers and jockeys go there throughout the week. I have never been but heard it is absolutely packed after the race.

[Calamber]

Selling bonds for a horse racing track in the middle of a depression is not likely going to excite many unemployed people. In case everyone is not aware of what has happened to the economy overall, Baltimore USED to be a port, that is, they had shipyards. I think there might be one left. All shipyards that build ships in the US, outside of the military, are not US owned. As well, look at the state of the steel industry (note I said steel, not steal). I am not referring to the racing industry, just that it is dependent upon a healthy agro industrial base, and that the current "moden" service economy is killing all of us. I wish that discussion were part of this by Mayor O'Malley.

Sentimentality and tradition aside, how is it going to be paid for by the state except by raising the taxes a la passing bond issues? It creeps me out that these guys may just get away with filing bankruptcy protection when Magna bought the properties at highly inflated prices. They just thought the real estate bubble was going to keep going up and up.
Real estate speculators....blech....fools and crooks. We do not have to continue to let them steal from us.

[Glimmerglass]

Associated Press 5-3-09 "Magna pulls Pimlico off the auction block" (http://www.kentucky.com/302/story/782954.html)

DOVER, Del. — Pimlico Race Course and Magna Entertainment Corp.'s other horse racing assets in Maryland are off the auction block, at least for now.

In a filing submitted late Friday in its bankruptcy case, the company said it has dropped Pimlico, home of the second jewel of the Triple Crown, along with Laurel Park and a training center in Bowie, from the list of assets subject to a proposed sale.

The company said, however, that it will continue to explore "all alternatives with respect to the remaining assets."

Maryland officials, who have promised to keep the Preakness and Pimlico in their state, greeted the news with cautious optimism.

"The governor sees it as a potentially positive sign in the process," Shaun Adamec, a spokesman for Maryland Gov. Martin O'Malley, said Saturday. "He's committed to ensuring that the Preakness remains in Maryland."

In addition to removing the Maryland tracks from the proposed sale, Ontario-based Magna also pulled a racetrack in Austria from the list of assets it proposes to sell.

The company did not give any reason in its court filing for changing the list of sale assets but indicated that it is proceeding with plans to sell Santa Anita Park, Remington Park, Thistledown and Portland Meadows.

The company proposed that expressions of interest in any of the racetracks be submitted by May 27, with definitive bids due by July 31. With court approval, an auction would be held in New York City on Sept. 8, followed by a court hearing in Delaware on Sept. 11 to approve the auction results.

In its filing, Magna said it had worked with financial advisers to explore alternatives to a sale, but that with $510 million in secured debt, a history of recurring net losses, and a lack of liquidity, an asset sale was the only option.

[Jessi P]

In a filing submitted late Friday in its bankruptcy case, the company said it has dropped Pimlico, home of the second jewel of the Triple Crown, along with Laurel Park and a training center in Bowie, from the list of assets subject to a proposed sale.


(sigh of relief)

[Laurierace]

Well you may be sighing Jessi but I am a little more cynical. More same old, same old isn't anything to get excited about. We are still getting thrown out of Pimlico again the first week in June.

[Jessi P]

One thing I have seen from your posts Laurie is that you are extremely cynical indeed. :lol: Still, I am hoping for the best for Pimlico''s sake.

[Glimmerglass]

While wagering is down on the Oaks and Derby they did see two very impressive numbers: 7th largest crowd ever for the Kentucky Derby despite the weather and the Oaks had the 4th largest crowd ever, also threatened by the weather. TV ratings? The Derby saw its best showing in 17 years on NBC.

So you'd think the Preakness should be able to do well with all that renewed interest - at least in terms of raw bodies instead of wagers. Well it doesn't appear the infield rules are helping sales:

Baltimore Sun 5-3-09 "Preakness sales slow out of the gate" (http://www.baltimoresun.com/sports/horseracing/bal-md.preakness03may03,0,4174007.story)

In addition to general economic woes, slow ticket sales may be related to a new rule banning outside alcoholic beverages from the general-attendance infield, which had become a booze-fueled bacchanal reminiscent of New Orleans' Mardi Gras.

Not everyone is reining in the partying, however. The Baltimore Area Convention and Visitors Association, which markets the city to convention planners and associations, is ramping up an infield tent party it hosts with Hilton, Renaissance, Marriott and other large hotels in the city.

To former Jockey Club owner Joseph DeFrancis, who said he had wrestled yearly with the infield alcohol policy, the big Preakness question this year is whether the prohibition on carrying in alcoholic beverages will turn away the crowds.

"We'll just have to wait and see," he said. "I think Tom [Chuckas] and the management team have done everything reasonable ... to ensure that infield-goers will have as good a time as possible. I would be hopeful that you wouldn't see too much of a decline."

[Laurierace]

You mean it does appear they aren't helping?

[Glimmerglass]

Blame youtube.com for part of the reason the Preakness infield booze fueled "experience" has been changed ;)

New York Times May 12, 2009 "Reining In the Revelry at the Preakness" (http://www.nytimes.com/2009/05/13/sports/othersports/13infield.html?ref=sports)

While these incidents made up a small percentage of the infield experience — there were 6 arrests and 126 ejections last year — YouTube made it hard to look away.

“I wouldn’t be telling the truth if I said those videos didn’t have some impact,” said Tom Chuckas, president and chief operating officer of the Maryland Jockey Club, which operates Pimlico. “But we believed it was time for a change and to provide entertainment and activities for our guests. And as a sidebar issue about safety, some of the shenanigans had to stop.”

“It used to kind of belong to Baltimore, and it was our thing,” Reiter said. “Now it has a more corporate feel to it. That doesn’t make sense.”

Then again, neither does running across the rooftops of portable toilets. But at the people’s party, there was always a sense that anything goes.

[Laurierace]

So you hire more security and throw more people out if necessary. You don't institute a policy that is going to make a huge percentage of the would be attendees stay home. Dumbasses.

[DickHertz]

When does Pimlico close for racing and then training? Are you allowed to work and go this week at Pimlico?

[Laurierace]

No training on Saturday and closes early on Friday but I can't remember exactly what time. You can work and go through Friday.

[Glimmerglass]

The 2009 Preakness numbers are in: (http://sportsillustrated.cnn.com/2009/more/05/16/preakness.scene.ap/index.html?eref=si_latest)

Attendance at Saturday's race was 77,850 -- down significantly from the 112,222 in 2008. Handle, however, rose approximately $13 million to $86,684,470.

"It needed to change," Tom Chuckas, chief operating officer of the Maryland Jockey Club, said early Saturday afternoon. "We tried to reduce some of the craziness, but tradition is very difficult to change and culture is difficult to change. It's going to take a couple of years to modify that."

Chuckas acknowledged that the change would cost Pimlico at the ticket and betting windows. But he insisted that the track will never again allow fans to bring in their own beer.

"Do I regret the decision? No. I think it's going to be a process, it's going to take two or three years," he said. "We'll probably lose some money at this, but sometimes short-term losses turn into a long-term gain. To be honest, we expected some decline. Maybe not to this level, but we still believe it's the right thing to do."

Not only was attendance down, but so was the fun for those who love to drink in excess.

[Acertainsmile]

I just read that the attendance at the Preakness was the lowest since 1983...good luck in reforming all those College kids around Baltimore and getting them thru the gates next year.

[Glimmerglass]

A harness track sale in the works: Bmore Sun June 24, 2009 "Former owner reaches tentative deal to buy back bankrupt Rosecroft Raceway" (http://www.baltimoresun.com/business/bal-bz.sp.rosecroft24jun24,0,7619654.story)

Greenbelt real estate developer Mark Vogel - who owned Rosecroft for four years before financial troubles forced him to file for bankruptcy protection in 1991 - said he's willing to again take on the risk of trying to make the Prince George's County track viable. His first task would be to bring back live racing, which was discontinued last June, Vogel said Tuesday.

"When I had Rosecroft in the '80s, we raced 150 nights a year. It was one of the premier tracks," he said, while not releasing the details of the deal.

[Glimmerglass]

Will a 55-page report from the "Maryland Horse Industry Board" have the answers to fix what's wrong both in the short term and long?

pdf report: http://www.mdhorseforum.com/2009ForumReport.pdf

The report suggests leaders in racing need to “enlist the assistance of Maryland government agencies and professional public relations firms to develop a unified, widespread, and effective marketing and promotional plan for Maryland racing, which must include the Maryland-bred program.”

It also states racetrack owners must reinvent their facilities and employ a “one-stop entertainment destination model” that uses the latest technology; educate spectators about equine health and welfare issues; and schedule a one-day forum to discuss issues because of the “diverse and unique challenges”

A release cites United States Department of Agriculture figures that show there are more than 87,000 horses in Maryland worth $680 million on 20,200 farms. Assets held by the horse industry are valued at $5.2 billion, with 40% of the horses used for racing.

[Acertainsmile]

I havent read the entire report, but what you have highlighted is something the Maryland horsemen have been saying for years...

[ivy62]

I hope Md can get this sorted out. I would hate to see it go away...Where do they go from here?

[Glimmerglass]

Baltimore Sun, Dec 14, 2009 "At the finish line? Lack of slots at Laurel could signal its demise ... (http://www.baltimoresun.com/news/opinion/oped/bal-op.horses14dec14,0,7019503.story)

excerpt

Been to Laurel Park Race Course lately? Or ever? For folks who travel often along the I-95 corridor between Washington and Wilmington, Del., it's worth making a stop at this horsy outdoor oasis a bit south of Baltimore. Odds are, the charming old oval won't be there much longer.

<snip>

Thing is, the recreational horse industry needs the racing folks. They share horses, trainers, vets, farriers, feed growers, hay suppliers, tack shops, arenas and eager enthusiasts. Lose racing, and the whole culture could come crashing down.

Maybe nobody cares about a two-bit race track that is all but empty even on glorious late fall days. But we all should. Laurel Park helps give this region its character, its history, its environment. Get out and root for your favorites before it's too late.

In terms of the auction for Pimlico and Laurel that the 2nd round of bids for the properties were due Dec 11th and the auction is scheduled for Jan. 8, 2010 (http://www.baltimoresun.com/business/bal-magna1214,0,7260442.story). Joseph A. De Francis, the former owner of Maryland's major thoroughbred racetracks, said on Friday that he had also put in a bid with his sister Karen De Francis, through their family company Gainesville Associates.

[TouchstoneAcres]

Jefferson County WV passed table games Dec. 5, to add to the slots at CT--just keep sending your $ here!

[Meredith Clark]

Baltimore Sun, Dec 14, 2009 "At the finish line? Lack of slots at Laurel could signal its demise ... (http://www.baltimoresun.com/news/opinion/oped/bal-op.horses14dec14,0,7019503.story)

excerpt



.

The article you posted... so true. I never thought in terms of loosing Vets and hay etc. Thankfully I live closer (extremely close) to Fair Hill and DE Park but it'd be sad to loose the MD tracks!

[Meredith Clark]

http://archive.constantcontact.com/fs059/1102609564515/archive/1102903017309.html

[Glimmerglass]

With the cited favorable zoning change vote - allowing for slots in the Arundel Mills mall - it means that slots at Laurel Park is dead save for a small, underfunded, non-politically connected group who is trying to fight the award of slots to Cordish. (That however would mean the State re-opens the award process which has about a 0.0001% chance of happening.)

Baltimore Sun Dec 22, 2009 "Cordish moves forward with slots plans" (http://www.baltimoresun.com/news/maryland/politics/bal-md.slots23dec23,0,6527513.story)

He said he filed paperwork Tuesday to begin the permitting process for the 4,750-machine facility and plans to start construction by the fall with the hope of opening a year later.

"Now we go to work," Cordish said, speaking from his office at Baltimore's Power Plant, one of his company's projects. Cordish also expressed confidence in his bid to buy two Maryland horse racing tracks and said he would work to reinvigorate that flagging industry, in part with profits from his Arundel Mills casino.

At this point - because Cordish owns the slots and not the track - it would only make sense if Cordish wins the auction for the tracks as well or else put a folk in horse racing there and call it a day.

Several bidders for Magna's assets - other than Cordish - also have vowed to fight to bring slots to Laurel Park, a prospect that dims as Cordish moves forward because only one slots license can be awarded in the county. In fact, the county zoning approval could prompt several bidders to drop out of the running, said the Jockey Club's president, Tom Chuckas.

Cordish said his bid for Magna's holdings reflects his desire to keep the tracks intact. If he wins the auction, Cordish said, he will oversee a "renaissance" of horse racing, financed by state slots profits and his own money. He called Magna's reign over the industry "degrading."

Mentioned before was the potential for Maryland's government to invoke eminent domain over the Preakness from being moved out of state. The legality of such a move is highly questionable. There is more on matching-bid move the State could try:

Per the Baltimore Sun (Dec 29, 2009) talks of such a right continue (http://www.baltimoresun.com/news/maryland/politics/bal-md.briefs292dec29,0,7984144.story), but a deadline passed:

... the state has the right to match any bid for the race to ensure it remains in Maryland.

Monday [Dec 28th] marked a deadline with regard to the state's "right of first refusal," but Gov. Martin O'Malley's spokesman Rick Abbruzzese said officials are not prepared to waive that right and that talks continue to ensure there are "adequate protections" for the Preakness. A hearing is scheduled next week.

[Glimmerglass]

Auction has been postponed by a Delaware bankruptcy judge.

Baltimore Sun Jan 5, 2010 "Sale of Laurel Park, Pimlico postponed, Magna bankruptcy judge rules against former owners (http://www.baltimoresun.com/business/sns-ap-us-magna-entertainment-bankruptcy,0,1974733.story)

Magna attorney Brian Rosen told Judge Mary Walrath that an auction of the assets of the Maryland Jockey Club, including Laurel Park and Pimlico Race Course, was being postponed from Friday to Jan. 21.

The postponement came after attorneys for Maryland argued in a court filing Monday that Magna has not complied with an agreement promising that all bidders for the Maryland assets would be required to keep the Preakness race at Pimlico, the second horse race in the Triple Crown, in Maryland.

Attorneys for the state, which has asserted a right of first refusal in any sale of MJC assets, described the covenant to keep the Preakness in Maryland as "illusory."

Also the former owners De Francis got their trump card ripped up when they tried to introduce a 2002 agreement that gave them and Laurel Park exclusive non-race gambling.

On Tuesday, Walrath rejected arguments by attorneys for De Francis and other former owners of the Magna tracks that they have exclusive rights to slot machine gambling at Laurel Park under a 2002 agreement in which Magna gained its initial interests in Laurel Park and Pimlico.

Magna attorney Russell Silberglied argued that the so-called alternative gaming rights granted to a limited liability company that was set up as part of the 2002 agreement don't exist because Magna does not have a slots license.

Silberglied rejected arguments by attorneys for De Francis that the former owners have a vested property right that would prevent any buyer of Laurel Park from operating slot machines there.

Walrath ruled that attorneys for De Francis were interpreting the 2002 agreement so broadly that they could conceivably claim title to both Laurel Park and Pimlico as well as ownership in all of Magna's assets.

[Erin Pittman]

This will be a big topic of discussion at the Maryland Horse Council's Quarterly Meeting this Thursday at the Maryland Horse World Expo. PLEASE COME!
When? Thursday, January 21st, 2010
6:00 pm Reception; 7:00 pm Meeting
Where? Vista Room (2nd floor of the State Fairgrounds Admin Building), Maryland State Fairgrounds, Timonium, Maryland
Directions - (scroll down past the hotel info) http://www.horseworldexpo.com/MDdirections.htm

Here's the info on the meeting:
This meeting takes place on the day of the bankruptcy auction in which six partnerships are vying for ownership of Laurel Park, Pimlico, Bowie Training Center, and the Preakness.

Come to the meeting to hear about phone-in reports from some of the bidders, an explanation of the process from a bankruptcy lawyer, and an analysis by industry leaders of where we stand in our Save Maryland Racing efforts.

Can the horse industry unite behind a strategy? Is there a message we need to take to Annapolis? What do we want to tell the new owners? Should we support the petition drive to overturn zoning for slots at Arundel Mills?

---------------------------


The meeting is open to everyone, but Members of the Board of Directors must attend in order to vote. That includes both elected members and the representative from each Association Member.

Also on the agenda...

* Bills that will be introduced in the 2010 Legislative Session: the helmet bill, MDA's bill regarding funding for stable license inspections, an animal cruelty bill, and others. What positions should MHC take?

* Plans for our county by county Save The Horse Farms campaign

* Status of the new MHC Business Network, and how you can join

* The federal GAO study on how states are being affected by the closure of slaughter plants in the US

And pick up your MHC member lapel sticker to wear at Expo. Many vendors are offering special discounts to everyone wearing our special sticker. Shop 'till you drop!If you plan to come, please RSVP - they bring refreshments for the Meet & Greet, so need an estimate of how much to bring:
RSVP HERE (http://rs6.net/tn.jsp?et=1102949628374&s=719&e=001jErtuHIONVWJnb4gIevRCwclAjubtDJZQFCqlPZzylbOA VH0GdSV7jIHl34WsI36XicDR_Z-ySEjCZpXI2-pVqsyvc48Nttes79YchfPFeTzvu4Kpw6wvZ8uoYrk9_IY)

[Glimmerglass]

A quick Q&A for the leading bidder (and slots winner) for the Maryland tracks ... from the BloodHorse Jan 18, 2010 "Five Questions: David Cordish (http://www.bloodhorse.com/horse-racing/articles/54866/five-questions-david-cordish)

“Arundel Mills is not only the best gaming entertainment site in Anne Arundel County and the state of Maryland, but probably the best gaming location in the entire United States. Arundel Mills is an existing regional destination that already attracts more than 14 million people per year. The project includes an existing 1.3 million square feet of retail, dining, and entertainment attractions like Bass Pro Shops, Neiman Marcus Last Call, Saks Off 5th, Nike, and one of the top grossing movie theaters in the country, plus 1,200 hotel rooms and direct access from major highways and arteries."

Because people who go to Neiman Marcus are really deep down the perfect slots-feeding kind of consumer? Really?

Q: What is your favorite Preakness memory?

A: “Partying in the infield was an annual ritual and watching Spectacular Bid in 1979 was truly spectacular.”

Hard to complain about that one.

[Laurierace]

This will be a big topic of discussion at the Maryland Horse Council's Quarterly Meeting this Thursday at the Maryland Horse World Expo. PLEASE COME!
When? Thursday, January 21st, 2010
6:00 pm Reception; 7:00 pm Meeting
Where? Vista Room (2nd floor of the State Fairgrounds Admin Building), Maryland State Fairgrounds, Timonium, Maryland
Directions - (scroll down past the hotel info) http://www.horseworldexpo.com/MDdirections.htm

Here's the info on the meeting:
If you plan to come, please RSVP - they bring refreshments for the Meet & Greet, so need an estimate of how much to bring:
RSVP HERE (http://rs6.net/tn.jsp?et=1102949628374&s=719&e=001jErtuHIONVWJnb4gIevRCwclAjubtDJZQFCqlPZzylbOA VH0GdSV7jIHl34WsI36XicDR_Z-ySEjCZpXI2-pVqsyvc48Nttes79YchfPFeTzvu4Kpw6wvZ8uoYrk9_IY)

Does any of this change based upon the auction being postponed to February 10Th or is it still on?

[Erin Pittman]

Laurierace - Yes it's still on. Tom Chuckas (MJC pres), Joe Weinberg (pres of Cordish co) and possibly other bidders will be there!

[Glimmerglass]

Looks like plenty o' people signed against the "slots in the mall" approval. Good!

Baltimore Sun Feb 5, 2010 "Petition filed for vote on slots site" (http://www.baltimoresun.com/news/maryland/anne-arundel/bal-md.ar.slots05feb05,0,6826392.story)

A coalition has submitted nearly 24,000 signatures supporting a referendum on Anne Arundel County's fall ballot that could overturn a decision allowing the state's largest slots casino at a mall.

[snip]

Stop Slots at Arundel Mills, a citizens group, and the Maryland Jockey Club have coordinated the referendum effort, which began in late December. The signatures submitted exceed the interim requirement of 9,395 signatures needed by Feb. 5 and also surpass the 18,790 total required to place the referendum on the November ballot. The groups have 45 days from the time the zoning for the casino was signed into law to submit the needed signatures.

Baltimore developer David Cordish's 4,750-machine slots facility, planned for a parking lot near the food court at Arundel Mills, was approved Dec. 21 by the County Council.

[Glimmerglass]

Ah, Pimlico's roll in this blizzard: storage of snow

Baltimore Sun Feb 10, 2010 (http://www.baltimoresun.com/news/maryland/bal-md.removal10feb10,0,3387341.story)

Mayor Stephanie C. Rawlings-Blake said Tuesday that Pimlico Race Course has been generous in accepting snow on its property, ..

B'more's leaders will still hate the track despite the goodwill gesture.

[Glimmerglass]

On the positive side it was amazing to see that after all that snow Laurel Park still was able to race today (2/13) and most appropriate was one of the winner - by daylight no less - Baltimore Raven (MD), a 5-yr old gelding in the 4th :)

[Laurierace]

Racing today was quite a feat when you consider the receiving barn collapsed yesterday. They had advance notice so all the people and horses were relocated. Since then it has been a madhouse to find empty stalls for shippers.

[Acertainsmile]

Really Laurie? Like collapsed totally?

[Laurierace]

No not totally but a big chunk of the roof caved in. It was over one of the shedrows so the stalls and tackrooms should be pretty much undamaged. They got all the people and horses out but there was still plenty of tack and equipment left behind. A friend of mine sent me a picture on his phone but its hard to really make any details out. It just looks like a pile of snow indoors.

[Grandysgirl]

I need to state that I am a supporter of Maryland racing. I grew up in NY where at the age of 3 I dimed out my Grandfather when I asked if we could go to church to see the horses (hey, I was 3 and he said that OTB was church....)

Having written to The Post and most of my elected officials, in support of Maryland racing, I am going to take a small moment and provide some non-native Marylander views of Maryland racing.

-Maryland does nothing to advertise to "real world" people. It is exceptionally insulated. While I am not saying that we need to get all "CHHARRRRRLES TOWN Races and Slots" (repeat the song after me), but we really do need to do more to advertise ourselves to the outside world. Billboards? Online? TV?

-The condition of the Laurel track is, in a word, abysmal. When the public comes and they see peeling paint, falling off letters, etc, it doesn't exactly scream "come spend more time here".

-Perhaps it is time for some good press for Maryland racing. How about some positive PR and promote all of the good things that Maryland racing does? (Green space b/c of farms, the retirement program and placement programs, all of the jobs, small businesses, etc)

Loosing racing will mean loosing a piece of our identity.

[Glimmerglass]

A couple of grade 2 races - a bit of a rarity for Laurel - here on President's Day but man the weather is just, once again, poor. It's a shame as I'd love to see Ah Day, Digger, and the rest of the field in the General George on nice clear track. They'll still run but it would be nice to see the video feed clearly :)