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View Full Version : Stronach's Position?


Gallop58
01-25-2011, 11:05 AM
Has SA or Stronach ever waded into the recent takeout increase debate? Seems strange to me that I have heard little. It seems like the time is now for them to cut a deal with CA and the CHRB. I'm imagining they say, OK CHRB we, through takeout, contribute $Millions in 2011. Instead of a straight percentage, we'll give you the same $Million for 2012, but you only get a small % of anything above that. If CA's on the back foot, I don't understand why Stronach isn't going for the throat and getting an even better deal cut. That would then let them grow the game through lower takeout.
Also, Stronach likes to talk free market more than anyone and since he now owns all the old Magna tracks, you'd think he'd wade in and make some statements.
Stronach was on the back foot (a little) with Oak Tree etc., so maybe he's just lying low.
Did Stronach and SA go on the record as saying they thought the takeout hike was a good idea. Or are they careful not to step into the debate?
Maybe I missed all of the above. Can anyone point me to any of these issues discussed.

takeout
01-25-2011, 02:18 PM
Yeah, where is Mr. Chapter 11 anyway? He sure got HIS "takeout" lowered.

Gallop58
01-25-2011, 03:16 PM
That's one way to put it. Or you could say he's cashed out of Magna Automotive, and has traded his stake in Magna Developments in exchange for the tracks that are left. So when everything boils away, he owns a bunch of racetracks personally and an extra billion or so in net worth. Not so good if you're a shareholder or creditor, but not so bad if you're Herr Stronach.
My question is what will he do next. Seems to me he's well into the "legacy" period of his life, so it might not be so far fetched for him to do things that are "good for racing on the whole". Ya I know, I'm being naiive. Fair enough :) .
For example, who's he willing the tracks to? Maybe that's the person/group of long term interest? Again, Ya I know, I'm being naiive...

Mike_412
01-25-2011, 03:39 PM
One thing to possibly pay attention to is when Stronach meets with the Florida horsemen. They only have a deal until 2/28 and apparently Stronach has planned to meet with them in order to discuss various issues - one of which mentioned was takeout. Maybe that will give an idea how he feels about the subject? Granted, GP has slots and SA doesn't so I'm not sure if that affects his thinking. Either way, it'll be curious as I've never heard him mention anything about take.