HARNESS TRACKS OF AMERICA Executive Newsletter

HARNESS TRACKS OF AMERICAExecutive NewsletterA daily fax and e-mail report on racing and gaming developments in North America and beyondStanley F. Bergstein, EditorThursday, Sept. 16, 2010SHORTER MEET AT M’LANDS?New Jersey gubernatorial adviser JonHanson, the architect of the “close theMeadowlands” furor, has been quotedin an article by writer John Brennan inNorthJersey.com as saying a short meetat the Meadowlands with higher purses,based on the Monmouth Park experimentof this summer, was “a possibility.”Brennan quoted Hanson as saying greatlyreducing the number of harness racingdates in 2011 -- resulting in increases indaily purses -- could lead to larger fieldsand increased betting. Brennan also quotedCarl Goldberg, chairman of the NewJersey Sports and Exposition Authority,that “Monmouth Park is still going tolose money,” despite triple-digit increasesin betting and double-digit growth inweekend attendance. Goldberg said theexperiment “mitigated the loss.” DennisRobinson, president of the Authority, saidincomplete numbers indicated the NJSEAwould “save numerous millions of dollarsto our bottom line.” Robinson told Brennanthat “with Internet betting growing atdouble-digit rates” and a goal of openingmore off-track sites...we’re hopeful thatwe’ll be able to maintain a sustainablemodel.” That was one of the challengesthrown at racing by Gov. Chris Christieand Jon Hanson in the latter’s report,which made it clear that subsidy paymentsfrom Atlantic City and slots atthe Meadowlands were unlikely forthe present.Last Friday’s “racing summit” at theMeadowlands brought sharp questions ofwhy only 3 of 15 authorized off-track bettingsites have been built. Goldberg saidthe Authority needed to be sure enoughsimulcasts were available to justify thekind of money needed. The state-ownedfacility in Woodbridge is the highest volumeOTW facility in the country, handling$90 million in bets a year, but itand track-owned sites at Toms River andVineland are the only three of the fifteenauthorized that are operating. State assemblymanJohn Burzichelli, a Democratfrom Gloucester in the western part ofthe state, has introduced a bill in the Assemblythat would require OTW licensesalready issued be used or put up for bidding.“BIG TWO” WIN IN ILLINOISThe Northstar Lottery Group consortiumof Scientific Games and GTECH, alongwith Chicago’s BBDO advertising agency,have won a 10-year contract to serve asthe first private operators of the Illinoislottery. The partnership will receive $15million a year in management payments,and is expected to increase revenue by$4.8 billion over the first five years, whichwould be a projected $1.1 billion morethan the state would have produced.Camelot, the losing bidder that operatesthe national lottery in Great Britain,protested the “perpetuation of the statusquo.” The selection process has receivedmedia and public criticism.