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Saratoga Springs Announcement

Magna Entertainment Corp and Churchill Downs have announced that they are joining up to bid on New York’s racing franchise. The companies have worked together before, but have not previously mentioned whether or not they would be trying for the franchise. They remained quiet until the state announced its request for proposals on June 13, leaving all firms until August 29^th to submit their bids.

Magna is North American’s largest racetrack operator, and Churchill Downs hosts some of the sport’s most widely known races such as the Kentucky Derby, Arlington Million, and Kentucky Oats. “By working cooperatively we can improve and enhance customers' entertainment experiences at the three racetracks that make up the New York franchise,” said Robert L. Evans, Churchill's president and CEO.

This partnership will bring up lots of questions, especially since the two companies have already announced that they will be bringing in other companies to assist them. There was no comment on who would run the video lottery terminals at Aqueduct. The downstate track is scheduled to get 4,200 slot machine type terminals next year, with Belmont looking into the slot machines as well. Churchill was approved for 700 slot machines at the Fair Grounds racetrack in Louisiana, but with Hurricane Katrina they are now reconsidering putting in the slot machines at all. They have many other properties with slot machines, so they are experienced with the prospect.

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