Brilliant moves by Churchill

[Sightseek]

Ron Turcotte's experience:

http://foxhillfarmstable.com/2014/04...end-of-racing/

[Pants II]

Originally Posted by Sightseek

Ron Turcotte's experience:

http://foxhillfarmstable.com/2014/04...end-of-racing/

Need NBA commish to force CDI to sell all of their tracks.

I'm not joking. They are scum of the earth.

[philcski]

I think what everyone is learning here is why profit-maximizing corporations are not necessarily good for America in general. Churchill is doing what "is best for their shareholders" because that's what they HAVE to do. It's the whole 99%'er argument all over again.

I have a lot more compassion for Ron Turcotte than Porter- a true legend of the game, who literally gave everything he had to it, and Churchill should have shown him the respect he deserves with at least a ticket and a parking spot.

[robfla]

Originally Posted by philcski

I have a lot more compassion for Ron Turcotte than Porter- a true legend of the game, who literally gave everything he had to it, and Churchill should have shown him the respect he deserves with at least a ticket and a parking spot.

I totally agree about Turcotte. Porter should pay his way.

[GenuineRisk]

Originally Posted by philcski

I think what everyone is learning here is why profit-maximizing corporations are not necessarily good for America in general

This this this a thousand times this.

[Cannon Shell]

Originally Posted by philcski

I think what everyone is learning here is why profit-maximizing corporations are not necessarily good for America in general. Churchill is doing what "is best for their shareholders" because that's what they HAVE to do. It's the whole 99%'er argument all over again.

I have a lot more compassion for Ron Turcotte than Porter- a true legend of the game, who literally gave everything he had to it, and Churchill should have shown him the respect he deserves with at least a ticket and a parking spot.

Phil you know this sentence is not exactly true.

CDI conveniently trots this out whenever they do something that will piss people off like their hands are tied because of shareholders. While Fiduciary responsibility is a part of every publicly traded companies accountability, the idea that free programs for the backside or a few hundred comped seats on a day when 150k people will be there has zero to do with shareholders. Management has a lot of leeway on day to day business decisions and pricing. This has far more to do with intentionally alienating the racing industry to the point where the backlash allows them to feel free to slash racing to the absolute bare minimum and eventually sell off or eliminate it completely. Except of course the Derby/Oaks weekend.

People mistakenly believe that because of the name "Churchill Downs" the company is a racing company. They might as well be named Acme Gaming. They have decided that instead of trying to grow the racing product, they will just squeeze it for every drop of blood and then dump it when the politicians are desperate.

[GenuineRisk]

Originally Posted by Cannon Shell

People mistakenly believe that because of the name "Churchill Downs" the company is a racing company. They might as well be named Acme Gaming. They have decided that instead of trying to grow the racing product, they will just squeeze it for every drop of blood and then dump it when the politicians are desperate.

In other words, they are acting like every other large corporation, with the possible exception of Costco.

[Cannon Shell]

Originally Posted by GenuineRisk

In other words, they are acting like every other large corporation, with the possible exception of Costco.

No I'm just saying that they aren't what they were even 7-8 years ago. They didnt just go public.

[GenuineRisk]

Originally Posted by Cannon Shell

No I'm just saying that they aren't what they were even 7-8 years ago. They didnt just go public.

I'm saying that like every other large corporation they are maximizing short term profit at the expense of long term growth. I find it hard to believe they have a coherent long term plan to alienate the racing industry because most corporations aren't capable of thinking past the next quarter.

[philcski]

Originally Posted by Cannon Shell

Phil you know this sentence is not exactly true.

CDI conveniently trots this out whenever they do something that will piss people off like their hands are tied because of shareholders. While Fiduciary responsibility is a part of every publicly traded companies accountability, the idea that free programs for the backside or a few hundred comped seats on a day when 150k people will be there has zero to do with shareholders. Management has a lot of leeway on day to day business decisions and pricing. This has far more to do with intentionally alienating the racing industry to the point where the backlash allows them to feel free to slash racing to the absolute bare minimum and eventually sell off or eliminate it completely. Except of course the Derby/Oaks weekend.

People mistakenly believe that because of the name "Churchill Downs" the company is a racing company. They might as well be named Acme Gaming. They have decided that instead of trying to grow the racing product, they will just squeeze it for every drop of blood and then dump it when the politicians are desperate.

Let's say they hold back 1,000 seats for owners and trainers on Derby Weekend. Got to be clubhouse 300's at minimum, as though not to offend a guy like Porter, right? Those seats are almost $1,000 for the two days. That's a million bucks of lost revenue. You know what a million bucks is to CD's CEO? 2% of Net Income in 2013. Let's just say that correlated 1:1 to the stock (which it's often magnified, but for argument's sake)... 2% is a difference of $30 million to the market cap.

I've said it before and I'll say it again... they don't have people who understand racing and gaming in place, they have knucklehead MBA's who see everything as an asset or liability on the balance sheet and P&L on the income statement. Not saying it's right, but that's what they're doing.

[freddymo]

Originally Posted by philcski

Let's say they hold back 1,000 seats for owners and trainers on Derby Weekend. Got to be clubhouse 300's at minimum, as though not to offend a guy like Porter, right? Those seats are almost $1,000 for the two days. That's a million bucks of lost revenue. You know what a million bucks is to CD's CEO? 2% of Net Income in 2013. Let's just say that correlated 1:1 to the stock (which it's often magnified, but for argument's sake)... 2% is a difference of $30 million to the market cap.

I've said it before and I'll say it again... they don't have people who understand racing and gaming in place, they have knucklehead MBA's who see everything as an asset or liability on the balance sheet and P&L on the income statement. Not saying it's right, but that's what they're doing.

Phil he is thinking like a horseman not a business owner.

facts are simple your horse wins the KD and is worth 8 figs plus save the BS for Rick Porter

[Cannon Shell]

Originally Posted by freddymo

Phil he is thinking like a horseman not a business owner.

facts are simple your horse wins the KD and is worth 8 figs plus save the BS for Rick Porter

No actually I am thinking like an informed person who has been speaking out against the actions of CDI for years on this board.

The idea that if CDI comps undercard owners some seats that they will be failing shareholders in laughable. Bob Evans corporate internet porn account subtracts more from the bottom line than those seats.

[Cannon Shell]

Originally Posted by philcski

Let's say they hold back 1,000 seats for owners and trainers on Derby Weekend. Got to be clubhouse 300's at minimum, as though not to offend a guy like Porter, right? Those seats are almost $1,000 for the two days. That's a million bucks of lost revenue. You know what a million bucks is to CD's CEO? 2% of Net Income in 2013. Let's just say that correlated 1:1 to the stock (which it's often magnified, but for argument's sake)... 2% is a difference of $30 million to the market cap.

I've said it before and I'll say it again... they don't have people who understand racing and gaming in place, they have knucklehead MBA's who see everything as an asset or liability on the balance sheet and P&L on the income statement. Not saying it's right, but that's what they're doing.

1000 is a way high number Phil and thy never gave away premium seats to anyone but Derby/Oaks horses. My point is that they have changed policy and while the beancounters might not be racing savvy they are smart enough to realize what changing policy is going to do. Sure they want more revenue but believe me they know exactly what the fall out will be. They have cut out or cut back on a lot of petty things like programs for the trainers that cost virtually nothing because they are printing them themselves. The KTA had to sponsor racing programs and it only cost something like $20 a day. That's less than $100 a week. They use shareholder responsibility as a cover regardless

[philcski]

Originally Posted by Cannon Shell

1000 is a way high number Phil and thy never gave away premium seats to anyone but Derby/Oaks horses. My point is that they have changed policy and while the beancounters might not be racing savvy they are smart enough to realize what changing policy is going to do. Sure they want more revenue but believe me they know exactly what the fall out will be. They have cut out or cut back on a lot of petty things like programs for the trainers that cost virtually nothing because they are printing them themselves. The KTA had to sponsor racing programs and it only cost something like $20 a day. That's less than $100 a week. They use shareholder responsibility as a cover regardless

I'm not sure they do understand the consequences of their actions. That's what I'm saying about the MBA types (or Bobs, if you're a fan of Office Space.) hey, you told me many years ago that CD management was bad news and they really didn't care about the racing aspect of the business, which made the move for you even easier. I'm definitely in agreement on that sentiment but just trying to offer their thought process and corporate reasoning. These guys are not horsemen. They are strictly businessmen and bottom line sensitive.

[freddymo]

Originally Posted by Cannon Shell

Phil you know this sentence is not exactly true.

CDI conveniently trots this out whenever they do something that will piss people off like their hands are tied because of shareholders. While Fiduciary responsibility is a part of every publicly traded companies accountability, the idea that free programs for the backside or a few hundred comped seats on a day when 150k people will be there has zero to do with shareholders. Management has a lot of leeway on day to day business decisions and pricing. This has far more to do with intentionally alienating the racing industry to the point where the backlash allows them to feel free to slash racing to the absolute bare minimum and eventually sell off or eliminate it completely. Except of course the Derby/Oaks weekend.

People mistakenly believe that because of the name "Churchill Downs" the company is a racing company. They might as well be named Acme Gaming. They have decided that instead of trying to grow the racing product, they will just squeeze it for every drop of blood and then dump it when the politicians are desperate.

Acme Gaming makes money and shareholders like profit CD horse racing is a huge LOSER...move forward sir you are wasting your time. Racing is not a business model to bank on

[Cannon Shell]

Originally Posted by freddymo

Acme Gaming makes money and shareholders like profit CD horse racing is a huge LOSER...move forward sir you are wasting your time. Racing is not a business model to bank on

Which is fine and they should lease the racing facilities to parties interested in trying like they are doing in FL.

[casp0555]

Originally Posted by Sightseek

Ron Turcotte's experience:

http://foxhillfarmstable.com/2014/04...end-of-racing/

This is sad...and shows how disengaged CDI is with the "sport". Porter should pay but to offer this type of treatment to one it's historical stars and HOF members is "below the line". Shame on you CDI.