ADW situation - Lets see if I understand correctly

[Scav]

In this article in regards to the Bealuh situation, the below quote...

http://news.bloodhorse.com/article/47901.htm

On Nov. 4, Weiss said he determined that in 2007, Churchill Downs Inc.-owned TwinSpires.com handled $2.7 and provided $277,000—10%--to purses from a combination of host and source-market fees. The information about TwinSpires.com and possible closure of the barn area were noted on the Beulah Park overnight for Nov. 7.

Horsemen in Ohio and other states have been negotiating for a larger share of ADW revenue for horsemen and racetracks. They generally advocate a one-third split among horsemen, tracks, and ADW providers—about 7% each based on a blended takeout rate of 21% per dollar wagered.

Would it be correct to say that the horseman are trying to get the below

2.7 million handled by TS.com
900k to purses
900k to track
900k to ADW

Or do I have this all wrong?

[mes5107]

2.7 million handled x 21% average blended takeout is $567,000, of which:
$189k to purses
$189k to track
$189k to ADW

[Antitrust32]

Originally Posted by Scav

In this article in regards to the Bealuh situation, the below quote...

http://news.bloodhorse.com/article/47901.htm



Would it be correct to say that the horseman are trying to get the below

2.7 million handled by TS.com
900k to purses
900k to track
900k to ADW

Or do I have this all wrong?

ya gotta pay the bettors too.

[Scav]

Originally Posted by Antitrust32

ya gotta pay the bettors too.

yeah I know, forgot about that

Honestly, in looking at it, I really side with the horseman and the tracks(I am sure they are glad to know this).

Why should TS keep $320k when all they do is process the damn wager, I see how they have to get their piece and be profitable, but almost 53% of the takeout is ridiculous

[GBBob]

Originally Posted by Scav

yeah I know, forgot about that

Honestly, in looking at it, I really side with the horseman and the tracks(I am sure they are glad to know this).

Why should TS keep $320k when all they do is process the damn wager, I see how they have to get their piece and be profitable, but almost 53% of the takeout is ridiculous

Where are you getting this 53% figure?

[mes5107]

I think that most ADW's cannot sustain a 40-50% cut in revenues either. I can see from both sides, and I'm afraid there isn't one side that is right and one side that is wrong. I do agree that the ADW's are getting too much of a share right now.

Speaking about getting too much of a share, how about offshore books? Is there any possibility we could have them commingle their money into the US and Canadian pools?

[Scav]

Originally Posted by GBBob

Where are you getting this 53% figure?

They said they paid 277k, so if you take the 567k figure that Mes posted.

I have it as them paying 49% of the take back to the purses, so they are keeping 51% of it.

So 53% was incorrect, I am just trying to understand it, so I can figure out a solution, and then make a bunch of money on the solution

[Scav]

Originally Posted by mes5107

I think that most ADW's cannot sustain a 40-50% cut in revenues either. I can see from both sides, and I'm afraid there isn't one side that is right and one side that is wrong. I do agree that the ADW's are getting too much of a share right now.

Speaking about getting too much of a share, how about offshore books? Is there any possibility we could have them commingle their money into the US and Canada pools?

No, they are not legally taking bets, unless the USA approved offshore gambling

[SniperSB23]

Originally Posted by Scav

They said they paid 277k, so if you take the 567k figure that Mes posted.

I have it as them paying 49% of the take back to the purses, so they are keeping 51% of it.

So 53% was incorrect, I am just trying to understand it, so I can figure out a solution, and then make a bunch of money on the solution

Yes, cause clearly the logical solution is that the money needs to be split up among more entities.

[mes5107]

Originally Posted by Scav

They said they paid 277k, so if you take the 567k figure that Mes posted.

I have it as them paying 49% of the take back to the purses, so they are keeping 51% of it.

So 53% was incorrect, I am just trying to understand it, so I can figure out a solution, and then make a bunch of money on the solution

That 277k was paid for purses, however part of that time, what is now twinspires was still americatab, which was under Beulah for some of that time, skewing the numbers.

[rkinnin]

Meanwhile the following tracks are "dark" to ADW:

In CA:
Hollywood
Golden Gate

In TX:
Retama Park
Sam Houston
Lone Star

In OK
Remington Park

In OH:
Beluah
Thistledown

In PA:
Presque Isle Downs

In Fl:
Calder

In KY:
Churchhill Downs

Have I forgotten any? Whose next Bob???

[onebadbeast]

Its Time To Sh#t Or Get Off The Pot!
We Will All Take Our $$$ To Australia............

[rkinnin]

What are some of the ADW's that are "offshore" that are good?

[jwkniska]

Originally Posted by rkinnin

What are some of the ADW's that are "offshore" that are good?

unfortunately, if you're in the US, the offshore ones are now all illegal and banks will not take any checks from them (or their holding companies, or their std bank accounts). I used one, pinnacle, right before the gov't made them illegal, was located in Antigua, but checks came from Montreal (won an account with them thru an online contest).

gov't made them all illegal, as none of them take out the taxes on a good hit, like you'd see at the track.

[Scav]

Originally Posted by jwkniska

unfortunately, if you're in the US, the offshore ones are now all illegal and banks will not take any checks from them (or their holding companies, or their std bank accounts). I used one, pinnacle, right before the gov't made them illegal, was located in Antigua, but checks came from Montreal (won an account with them thru an online contest).

gov't made them all illegal, as none of them take out the taxes on a good hit, like you'd see at the track.

While I see what you are saying, the bold isn't true. I have a friend that just got a 4k check from The Greek and it cleared with flying colors.