Quote:
Originally Posted by ScottJ
Your thesis depends on the fact that decoupling does not come into reality. How did that work out in Florida?
For those who think I have this wrong, I understand. But answer just one question : name one racetrack acquisition by CDI which has been a long term success for racing.
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Kentucky is not Florida nor Illinois nor California.
There can be NO decoupling. I've lived her 21 years and understand how the politics of this state works. Both the house and senate are pro-racing and the laws enacted which allow for HHR do not have any wiggle room for decoupling, nor will they, dare I say ever.
CDI's acquisition of Turfway Park, and now Ellis Park, is based on the revenue derived from HHR, which they are expanding, and which is tied to racing. Although there's no room for more racing dates on the calendar because Kentucky has a strong year round circuit, there is room to grow purses, continue stable field sizes and attract handle year round with races bettors want to wager on. HHR is of course a way to increase shareholder value, but just like in Virginia, it is inextricably tied to racing so racing will succeed (notwithstanding any extrinsic factors) in both places to enhance shareholder value overall.
