Quote:
Originally Posted by Cannon Shell
CDI's interest in slots in KY isnt chiefly to enhance its Churchill downs racing program, it wants them to add to its bottom line period. What makes Churchill Downs (the track) different than virtually every other racetrack that might gets slots is they also have a wildly profitable property as well (Derby/Oaks weekend). While there is little doubt that CDI even remotely "cares" about its racetrack businesses as they have demonstrated, the facts are as Steve outlined, the casino companies and their lobbyists in surrounding states have KY's legislature in their pockets and CDI is obviously willing to maneuver to counter that in anyway possible with racing and its players an afterthought. I'm pretty sure that if Casino's were to be ok'ed in KY that CDI still has a large interest in Ellis's cut as part of the deal with Geary as well.
I read this weekend that because of the addition of the September meet and the avg on track handle dipping below 1.2 million not only can CD raise takeout but also now qualifies to pay a lower pari-mutual tax of 1.5% as opposed of the old rate of 3.5% on bets made in the state. So essentially it seems like they have raised rates while at the same time getting a 2% tax break.
They dont care about racing period. They have invested in racing properties only as a potential leading to racinos/casinos. I expect that once Duchossois passes and there isnt a change from the current chances for a casino in IL that AP will be on the market soon. If Calder isnt profitable from a casino standpoint, they will be on the block as well. If twinspires doesnt remain profitable enough they will dump that too though that is unlikely to happen.
Let's face it horsemen are higher on CDI's list than horse players simply because they are forced to be contractually and via the Wire act. But make no mistake they will throw us under the bus as quickly as they are able to. Like I've said before I dont blame anyone for not betting on their signal. Just don't kid yourself into believing it matters to them.
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It's been a nice equity to own and they have a responsibility to do what is fundamentally in the best interest of share holders. While a issue for race fans and gamblers and the the entirety of the sport, it means zero to the share holders. Doomed