"Mr. Bemsel has not given up stooping. After a loop through the racino, he has enough cash to hit the betting window in the track and then scour the floor and trash for winning tickets. Slipping deftly through crowds of cheering and swearing horseplayers, he can read slips on the ground and tell immediately if they are winners. For face-down slips, he has developed a nimble, soccer-style flip move using both feet — so he barely has to stoop at all."

"Racetracks that received subsidies from slot machines in 2010 generated on average only two-fifths of the betting that non-subsidized tracks generated even though they distributed nearly equivalent levels of average daily purses, according to unofficial statistics assembled by DRF."

"This is the thing that makes the most sense. It gives the players what they have been looking for."

"Handle through two of the three leading national account-wagering platforms in the United States declined in the first quarter of 2011 compared with the first quarter of 2010, according to the platform operators and regulators in Oregon, where the platforms have betting hubs. The decline signals a contraction in the account-wagering market for perhaps the first time. Combined with a slight increase for the third large account-wagering operator the overall 7.9 percent decline is the first significant quarter-to-quarter drop for the leading operators in the account-wagering sector, which has been the only growing component of the national wagering market over the past several years. The decline far exceeded a 1.8 percent contraction in race days during the quarter and was a significant component in an 8.5 percent decline in total wagering on U.S. races for the first three months of the year."

"Global pool betting on last Saturday's Dubai World Cup meeting reached record levels, with Hong Kong leading the way, despite the first of six races on which bets were taken, the Godolphin Mile, not going off until 9.50pm local time."

"Some forms of microbets are more attractive than others, and I believe the worst of them is Gulfstream's Rainbow Six. Though it has proved popular since it was introduced here this winter, it is, in my view, a sucker bet."

"The windfall for Hong Kong is threatened by a rise in unauthorized Internet betting sites, which avoid paying gambling taxes or royalties to the track, enabling them to offer more attractive odds, said Engelbrecht."

"The new rebate shop, Player Management Group (PMG), will cater to high-end horseplayers when it opens for operations. The Oregon Racing Commission will serve as the website’s hub, which will include wagering through phone accounts and an Internet platform. XpressBet Inc. President Ron Luniewski said the website will cater to bettors who wager more than $1-million a year. Rebate shops typically reduce the percentage of takeout (the amount of money retained for the ADW website, tracks, horsemen, and taxes) by 10% to 15%."

"Ideally, everybody would play against the same takeout, and it would be much, much lower than today's takes."

"The California takeout increase was touted as a way to increase the money from handle that went to purses, but all of the increase only goes to purses when the money is wagered in California. As Scott Daruty said at the California Horse Racing Board meeting on January 20, some outlets (e.g. TwinSpires) accepting wagers from outside California are paying as little as 50% of the increase to California purses. If those outlets (e.g. TwinSpires) are keeping the balance of the increase, then they very easily could pass that savings on to its biggest bettors in the form of a rebate."

"If we were at the tracks taking customers away, I could see why tracks would have a problem with it. It makes no sense they'd want to eliminate us. On top of that, as opposed to the TVGs and Youbets of the world, we pay a premium for the signal. I think we have the support of the big players in the industry. The ones signing contracts with us must see a benefit to it." See also, Barry Schwartz quote: "I don't think rebate shops are the problem. The problem is our structure -- what we're charging for signals, and the takeout. If takeout rates were more reasonable, places wouldn't need rebates." [From 2004]

Bill Christine tells a story: "Milt's total bets, every time he goes racing, are conservatively three times the average daily per capita at this track. Milt bets with both hands, and on occasion I've seen him shovel in a bet or two with his feet. But if the track knows this, they've never given him a pass for free admission. The general manager of the track barely knows him; he says hello to him some of the time, other times acts like he's never seen him. Milt pays to get through the turnstiles every time, but lately he hasn't been going as much as he used to. He's been making more trips to Las Vegas, where he can bet a lot of other things besides horses and where they keep track of his play and throw hotel rooms and meals and drinks at him with endless abandon."

"Pick five pools have ranged from $55,000 on opening day to $306,000 last Saturday when there was a $53,000 carryover. There have already been winning pick five payoffs of $37,499 and $22,832 during the first two weeks of the meet. Interest in the pick six has grown from the $7,457 wagered opening day to the $70,723 added on Saturday. Consolation payoffs, based on 10-cent bets, have ranged from $284.33 to the $14,158 paid out to two winning ticketholders on Sunday."

"It's all a numbers game, and Santa Anita management doesn't agree with the handle figures being floated around the Internet concerning the first 12 days of the track's winter-spring meet. While cold, hard figures show Santa Anita's overall handle was down 17 percent through Thursday, track officials contended Saturday their handle was down only 8 percent if you use 'comparable days' rather than 'calendar days.'"

"Hey, I'm not saying the owners don't risk a lot of money and I'm not blind to the fact it costs a lot of dough to keep a horse in training, but last time I checked it took two to tango, and while the sport would not exist without owners, it also wouldn't be around without the bettors, either."

"Overall, daily average total handle at NYRA in December was down 8.1 percent compared with 2009, though daily average attendance was up 39.4 percent, most of that coming following the Dec. 8 closure of OTB."

"Obviously, we are losing bettors to other forms of gambling. We are in the midst of an unmanaged, market-driven contraction touching most aspects of the racing business."

"The declines underscored the fragile state of racing as the sport continues to struggle with declines in market share and the aftereffects from both the recession and a spectacular bust in the bloodstock market. Wagering and purses have dropped precipitously for the past three years, despite ever-increasing amounts of subsidies from other types of gambling, while race days have only recently begun to contract significantly due to the pressures facing the sport."

"The most novel innovation is a 10-cent Pick 6. Steve Calabro, who has added oversight of racing to his duties in charge of slots, sees this an extension of what is happening in the casino. Slots with a penny base are among the most popular but almost all players bet multiple combinations. Likewise, no one is expected to attempt to pick the winners of the last six races with a single dime bet. But instead of multiple combinations running into thousands of dollars with a $2 minimum, a player could spread out for $20-$30."

"Q: As you said, the mandate was initially put in place under the premise that the synthetic tracks would be safer. Is there a concern that fatalities will be under a microscope this meet, and how is the CHRB addressing the shift to ensure that the surface is safe? A: I think we’re doing a lot of different things. One of the things we did, part of the waiver of the mandate, was to require additional veterinarian coverage at the expense of Santa Anita, and that’s been done. So I think there’s a greater degree of pre-race inspecting we are going to do."

"State officials say they do not have numbers yet on how many NYCOTB ADW customers have closed their accounts, but sources say the accounts have been sharply draining down 48 hours now since the OTB closed its doors. They say even if the NYCOTB were to come back to life, it would be difficult to get those bettors back."

"In an emergency meeting, the board approved streamlining the process for New York City OTB bettors to quickly sign up for Internet betting on state-regulated sites. The board also authorized several betting entities to start the process immediately, which would dramatically reduce delays for bettors to sign up."

"Meanwhile, the foothold in the US also allows the company greater access to coding talent. The company already has development office in San Francisco and they are looking to hire about twenty more people -- particularly mobile app designers. Betfair is one of the first online betting exchanges to have an iPad and iPhone app. You can’t actually use it in this country, but you can use in the UK."

"I think we can show regulators why regulation works and why a better regulated business is better for consumers. What they need to do is put in a sensible framework and then customers will use the licensed operators and the operators will pay tax."

"The more liquidity you get, the more attractive the markets become, and you have this snowball effect," Burn said. "We can build the exchange for all of America and operate it from California."

"The more liquidity you get, the more attractive the markets become, and you have this snowball effect," Burn said. "We can build the exchange for all of America and operate it from California."

"Betfair handled $25-million on Breeders’ Cup races through its exchange last year and only $741,000 through the common pool.... Hong Kong is taking six Breeders’ Cup races this year on Saturday, November 6, which is early Sunday morning, November 7, for Hong Kong residents. Hong Kong handled $2.9-million on four Breeders’ Cup races last year."

"Executives from the Del Mar Thoroughbred Club, Keeneland Association, New York Racing Association, and Oak Tree Racing Association met in late September in Lexington to discuss the launch of an advance-deposit wagering (ADW) site. The initial concept is the site would return a higher percentage of money from handle to tracks and horsemen, in the form of purses; and possibly to players, in the form of rebates; by eliminating the percentage of handle that other ADWs currently retain."

"Racing is at a crossroads. One road gives up on racing and stakes the industry’s future on casino games. Many industry leaders are walking down this road. Is it the right road? That depends. If the goal is revenue in the short term, VLTs do the job. But if the goal is making new racing fans, this road leads to extinction. Betting horses and playing casino machines are unrelated activities. VLTs mean empty grandstands."

"According to some in the betting world, illegal exchange betting on Hong Kong racing, through Singapore-financed sites and even some across the mainland border, has become significant. The internet platform allows a very wide reach and this phenomenon might be the first hint of the power of mainland race betting, if it is unleashed."

Zenyatta 4-1 Classic, Blind Luck 2-1 Distaff, Uncle Mo 5-4 Juvenile.

"The consumers are the ordinary folks who used to watch and play the races -- you know, the ones who’ve been impoverished by the cockamamie economic policies of the last 30 years. The economy of the thoroughbred industry is in the same demand trough as the larger economy and for the same reasons. It’s about unemployment, declining real wages, and diminished expectations. No matter how rich the rich are, it makes no sense to invest in thoroughbred production during a time when the ordinary people who would otherwise comprise effective demand for the product -- as an object of beauty, grace, and wager -- are losing their homes and livelihoods."

"But it seems clear to me that Racing’s failure to understand much about anything, as underlined by the release put out yesterday in connection with the Betfair float, lies deep within its psyche. Any political observer with the smallest modicum of observation or nous will tell you that any leadership, of any organisation, that genuinely believes today that it is about to secure a big boost to its revenues prompted by government, in the context of a national economy which is suffering cuts at every level, is simply deluded about itself, its industry, and the wider world."

"Whether intended or not, it has certainly disrupted British Racing’s finances, and has created severe consequences. It has indeed, for its customers, eliminated the need for a traditional bookmaker, and markets itself as cutting out the middle man. At the same time, Betfair has argued it should be treated as a traditional bookmaker for the purposes of its contribution to our sport. Betfair cannot have it both ways."

"Betfair, a UK-based company coining money in a business the US is too morally schizophrenic to allow, is going public." Includes info from the company on structure, projections. Founders expect stake to equal 225 million pounds: http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8017064/Betfair-founders-stakes-to-be-worth-225m-when-betting-exchange-floats.html

"Betfair said it will continue to pursue growth internationally, where its market presence is currently lower than in Britain, Reuters reported. It highlighted Europe and Australia as key future growth markets, with development opportunities in the longer term seen in markets such as the United States, India and China."

"Johnson said if the industry agreed to lower the average pari-mutuel takeout rate from 20.5% to 10%, all bettors would benefit because it would put more money into the pools and perhaps grow handle, which is down several billion dollars [sic] from last year. Current margins for rebates would be eliminated."

"A Magna official speaking on condition of anonymity said the California Horse Racing Board has been pushing Oak Tree to move out of Santa Anita as punishment for Magna's opposition to a bill in the state Legislature that would legalize exchange betting."

"On the surface we are very much a betting company, but what I see is a technology business. When I think about the business we wouldn't be here today if it weren't for the technology platform." US market is "interesting ... as it develops."

"Twenty minutes later, the serious handicapping began, but distractions arose: A rescue mission developed when track announcer Dave Rodman called, trapped inside the balky Pimlico elevator. Then, J.R. and Brandon briefly adjourned to satisfy their interest in the first race at Mountaineer Park." John Scheinman on oddsmaker Frank Carulli.

More good news, despite Derby day problems: "Churchill reported a 7.8% increase in all-sources wagering handle on the Derby race itself to $112.7-million and a 4.3% wagering increase on the 13-race Derby card to $162.7-million."

"The track was there before OTB, it’ll be there after."

Eskendereya at 2-1 or less.

"Speaking on condition of anonymity, highly placed industry sources are telling HRI there is no way Monmouth Park can reasonably expect to double its handle, something it would need to do to remain viable, given a purse structure that will distribute an average $1-million daily." As long as New Jersey is experimenting, why not court bettors as aggressively as connections? Slash takeout, offer free data, target whales.

Hm ... "Zayat freely acknowledges that he is a big bettor, but he says that the $605,000 is not owed to him from wagering. He said he had lent money to the Jelinksys because he had known their father."

Article from 2000 about bettor Bill Benter, an early adopter of computer wagering. "If we do make money, the money has to come from somewhere. Well, yes, the general public loses a somewhat higher ratio." (See also: 2003 Wired piece on Hong Kong computer teams. "Working from mathematical models that are calculated to deliver a 24 percent return on investments, Hong Kong's most sophisticated computer-assisted bettors operate with long-term certainty of what their profits should be." http://www.wired.com/wired/archive/10.03/betting_pr.html)

"Once the overseas betting turnover of his 24-hour, seven-day operation is taken into account, his total annual betting spend globally is believed to be well over $1 billion." More: "Advantages like the sophisticated information and rebates stack the deck in favour of professionals like Mr Ranogajec and other internationally renowned punters like American Bill Benter, over average punters." (See: http://www.heraldsun.com.au/news/taking-a-gamble-just-a-numbers-game/story-e6frf7jo-1225829865406)

"Now the mere fact that an idea is embraced beyond its boundaries does not guarantee the slightest profit to the horseracing parish. But the reception of the story implied that it had been broadcast on a fresh wavelength."

"An estimated $1.5 billion in computer-generated wagers -- a number that is disputed by some racing officials -- is being bet by six or seven teams of mathematicians and programmers that benefit from some of the most lucrative rebates in the industry." This story raises so many questions.

Betfair's smart approach to the US market: "The technical team he is building in Silicon Valley is therefore taking a very modular approach to what its building online so that various components of online gambling can be turned on and off depending on the laws in individual states (or even countries). So that might mean poker and horseracing in one state, and sports betting in another."

"Racing isn't dying. Far from it. Follow the money, and you'll find the game."

How to turn $4300 into $3.1 million at the racetrack

Wagering Transmission Protocol status update

Wagering Transmission Protocol PDF

"[Ernie Dahlman] is one of the biggest horseplayers in the United States. Just how big is anyone's guess. In a busy year, Dahlman might bet as much as $18 million." (NYT article from 2001.)