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BY JULIAN RICHARDSON Assistant Business Co-ordinator
Wednesday, December 02, 2009
CAYMANAS Track Limited (CTL) is estimated to have racked up some $3 million in losses from the first ever Sunday race day meet at Caymanas Park. But CTL director Chris Armond said that the performance wasn't bad considering that critical elements needed to maximise revenues - Off Track Betting Parlours (OTBs) and sufficient on track betting machines -- were missing on the day.
"I haven't gotten the exact figure yet, but it's a loss," said Armond. "After the day, we estimated it at around $3 million."
An estimated 17,000 persons turned out last Sunday for the historic introduction of thoroughbred racing on that day of the week in Jamaica. And Armond said that the overwhelming support for the eight-race programme was proof that Sunday horse racing can be a resounding success.
"The turnout shows us that people are willing to support Sunday racing in Jamaica," he said.
The handle, or the total amount of money bet, on the day totalled $17.9 million. As anticipated, sales were suppressed because there were no contributions from the company's 60-plus OTBs, which were ordered closed by Government last week -- OTBs contribute approximately 70 per cent of the company's overall revenue in-take during a race day. What made it worse was that Caymanas Park lacked the number of betting machines needed to support the level of turnout.
"We tried as best as we could to accommodate the crowd that was on hand, but we just didn't have enough betting machines to service the number of people that were there," said Armond. "So we did not get all the money through the tote that we would have wanted to go through the tote because on many occasions, numerous people were unable to get their bet."
Armond said that while taking into account that some of the customers who went to Caymanas Park on Sunday were probably OTB regulars, CTL estimates that the OTBs, if they were open, would have had up to 60 per cent more in betting sales than the track did on the day.
"We have done a conservative estimate that their contributions would have exceeded what we did on the track by between 55 and 60 per cent," said Armond. "If that is so, we are talking about a handle, at 55 per cent, of $45 million and a handle, at 60 per cent, of about $46 million."
"That would have been exceptional for eight races only," he noted.
CTL's decision to introduce Sunday horse racing has been met with staunch criticism from the local church body, which argues that it's unholy to gamble on the worship day of many Christians. Government initially permitted OTBs to open on the two Sunday horse racing trial days it announced in September, but backed out at the eleventh hour.
"There was dialogue between the Government and the (CTL) Board with regard to them allowing us to open the OTBs," said Armond. "Up until Monday of last week we had thought that we would be able to do so, but after a Cabinet meeting on Monday, we were advised that we would not be able to."
Armond said CTL will continue its lobbying efforts to make Sunday horse racing a permanent reality.
"Bear in mind that the place is owned by the Government, so we cannot, as a Government-owned body, be taking instructions from Government and want to fight Government," he said. "But we will continue to present our case that this is the best thing to improve the revenues of the horse racing industry."
Wednesday, December 02, 2009
CAYMANAS Track Limited (CTL) is estimated to have racked up some $3 million in losses from the first ever Sunday race day meet at Caymanas Park. But CTL director Chris Armond said that the performance wasn't bad considering that critical elements needed to maximise revenues - Off Track Betting Parlours (OTBs) and sufficient on track betting machines -- were missing on the day.
"I haven't gotten the exact figure yet, but it's a loss," said Armond. "After the day, we estimated it at around $3 million."
An estimated 17,000 persons turned out last Sunday for the historic introduction of thoroughbred racing on that day of the week in Jamaica. And Armond said that the overwhelming support for the eight-race programme was proof that Sunday horse racing can be a resounding success.
"The turnout shows us that people are willing to support Sunday racing in Jamaica," he said.
The handle, or the total amount of money bet, on the day totalled $17.9 million. As anticipated, sales were suppressed because there were no contributions from the company's 60-plus OTBs, which were ordered closed by Government last week -- OTBs contribute approximately 70 per cent of the company's overall revenue in-take during a race day. What made it worse was that Caymanas Park lacked the number of betting machines needed to support the level of turnout.
"We tried as best as we could to accommodate the crowd that was on hand, but we just didn't have enough betting machines to service the number of people that were there," said Armond. "So we did not get all the money through the tote that we would have wanted to go through the tote because on many occasions, numerous people were unable to get their bet."
Armond said that while taking into account that some of the customers who went to Caymanas Park on Sunday were probably OTB regulars, CTL estimates that the OTBs, if they were open, would have had up to 60 per cent more in betting sales than the track did on the day.
"We have done a conservative estimate that their contributions would have exceeded what we did on the track by between 55 and 60 per cent," said Armond. "If that is so, we are talking about a handle, at 55 per cent, of $45 million and a handle, at 60 per cent, of about $46 million."
"That would have been exceptional for eight races only," he noted.
CTL's decision to introduce Sunday horse racing has been met with staunch criticism from the local church body, which argues that it's unholy to gamble on the worship day of many Christians. Government initially permitted OTBs to open on the two Sunday horse racing trial days it announced in September, but backed out at the eleventh hour.
"There was dialogue between the Government and the (CTL) Board with regard to them allowing us to open the OTBs," said Armond. "Up until Monday of last week we had thought that we would be able to do so, but after a Cabinet meeting on Monday, we were advised that we would not be able to."
Armond said CTL will continue its lobbying efforts to make Sunday horse racing a permanent reality.
"Bear in mind that the place is owned by the Government, so we cannot, as a Government-owned body, be taking instructions from Government and want to fight Government," he said. "But we will continue to present our case that this is the best thing to improve the revenues of the horse racing industry."
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