TOC Board Endorses THG Negotiating Model
Inglewood, CA (June 17, 2008) – At its June meeting, the Board of Directors for the Thoroughbred Owners of California (TOC) voted unanimously to endorse the negotiating model created by the Thoroughbred Horsemen’s Group (THG), and to authorize THG to represent TOC in future simulcast negotiations, including in Advanced Deposit Wagering negotiations.
Already a “founding member” of THG, TOC – whose President, Drew J. Couto, currently serves as the Vice-President of THG – elected to emphasize its support of the new organization, and of its efforts to ensure an efficient and professional means of negotiating simulcast contracts on behalf of horsemen across the country. As structured, THG acts as a broker for member organizations, leaving to each individual organization the right to accept or reject simulcast arrangements negotiated with sending and receiving sites, including ADW providers and others.
TOC Vice-President Mace Siegel said: “Owners, and all other horsemen for that matter, have been at a disadvantage for years in terms of the negotiation of simulcast and ADW contracts. We have been intentionally excluded from the process by the vast majority of racetracks and ADW providers, and it shows. Simulcast revenue allocations are still founded on an outdated financial model, which disproportionately benefits those who do not contribute as much to the industry as do horsemen.”
“Let’s face it, racing is an interstate business, and becomes more so every day. To succeed and prosper, the industry must accept that reality, and manage the business as such,” offered TOC Chair Marsha Naify. “THG is the ideal vehicle to efficiently negotiate and manage the horsemen’s side of the simulcast business, and could certainly do so for track partners were they inclined to objectively and honestly look at what it is THG proposes and stands for.”
Last October, TOC and the California Horse Racing Board encouraged California licensed ADW providers and tracks to conduct an “ADW experiment” that permitted all ADW companies access to Thoroughbred race signals.
“The experiment was widely seen as a positive development for players, the ADW companies, and for the industry in general. As a result, TOC has indicated to track partners its support for continuation of the experiment through the 2008 Oak Tree meet, which would allow us to properly evaluate the experiment’s impact on all California Thoroughbred meets, through one full-year,” noted TOC President Drew J. Couto. “In the absence of an agreement to extend the experiment, the TOC Board has authorized THG to immediately begin negotiating alternative arrangements with ADW companies, beginning with the Del Mar meet.”