Be a Part of the Excitement! Welcome to MEC

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Be a Part of the Excitement! Welcome to MEC MEC Marketing and Partnership Program Be A Part Of The Excitement! Welcome to MEC... Dear Potential Partner, When we established Magna Entertainment Corp. (MEC), we saw a unique opportunity to improve the way racetracks are run and to bring the excitement of live racing and pari-mutuel wagering, via emerging technology, into the living-rooms of our customers and into sports bars and other entertainment venues around the world. Today, MEC is North America’s number one owner and operator of horse racetracks, based on revenues, and one of the world’s leading suppliers of live horse racing to the international simulcast market. And with that enviable market position, we have a large and loyal following of enthusiastic customers. Customers that love the excitement of live horse racing. Customers that you can now have access to. Frank Stronach Chairman of the Board I strongly believe that we can offer you a unique and cost-effective venue for Magna Entertainment Corp. your valuable marketing dollar, and I invite you to explore the many options we offer. Sincerely, Frank Stronach The World of MEC... Magna Entertainment Corp. (MEC) is North America’s number one owner and operator of horse racetracks, based on revenues, and one of the world’s leading suppliers, via simulcasting, of live racing content to the growing inter-track, off-track and account wagering markets. MEC owns, operates or manages 17 tracks, including some of the most prestigious properties in North America such as Santa Anita Park near Los Angeles, Gulfstream Park in Miami, Lone Star Park at Grand Prairie near Dallas, Texas (home of the 2004 Breeders’ Cup) and Pimlico Race Course (home of the Preakness Stakes®), as well as the newly opened Magna Racino™ near Vienna, Austria. MEC operates a growing off-track betting (OTB) network in several states and a national account wagering business, XpressBet™, which permits customers to wager on races by telephone and over the Internet, subject to legal restrictions. MEC also owns and operates HorseRacing TV™, a 24-hour television network that provides live horse racing action from six to ten racetracks daily, including exclusive action from MEC racetracks. We’re a mass marketer – with racing content 363 days a year – over several time zones around the world. Nearly 30 million customers experience MEC racing annually – at the track, on an MEC simulcast at home, or by phone or Internet through XpressBet™. We distribute our live racing content to more than 1,000 off-track and inter-track venues around the world. Ten of MEC’s tracks are located in the top 25 media markets in the United States. As a television broadcaster and one of the leading simulcast suppliers of live horse racing, MEC reaches 23 of the top 25 markets. We’re also taking the lead by creating new racing entertainment action for our customers. The Sunshine Millions™ is the first of many MEC exclusively-branded annual racing events. The Sunshine Millions™ pits California-breds against Florida-breds in an eight race head-to-head, coast-to-coast showdown held at Santa Anita Park and Gulfstream Park. In 2004, the two hour program carried live on NBC Sports had an overnight rating of 1.7. The Preakness Stakes® in 2004, held at Pimlico Race Course in Baltimore drew a crowd of over 112,000 people. Race fans across the country bet over $87,000,000 on the Preakness Stakes® through the pari- mutuel windows, setting both attendance and handle records. NBC Sports announced that its coverage of Preakness delivered a Nielsen rating of 7.7/19, up 35% from the year before. We’ve also launched a new wagering experience called Magna 5™. For a minimum wager of $2.00 with a guaranteed pool of $500,000, customers can wager on up to 5 races each Saturday. We’re creating new products – and expanding our existing markets. Across America, MEC is transforming the exciting sport of horse racing into one of the most dynamic, multimedia entertainment businesses in the world. A world that you can now be part of. MEC MEC at a Glance Racetrack Multnomah Greyhound Park and OTB Portland Portland Meadows ONTARIO Locations OREGON 8 18 Flamboro Downs Hamilton MICHIGAN Great Lakes Downs PENNSYLVANIA Golden Gate Fields Cleveland 4 Thistledown Pittsburgh Pimlico San Francisco OHIO Baltimore The Meadows Bowie Training Center Bay Meadows 1 Laurel Park MARYLAND CALIFORNIA 2 VIRGINIA Colonial Downs* New Kent 5 Santa Anita Park Remington Park Los Angeles Oklahoma City San Luis Rey Downs OKLAHOMA 6 Lone Star Park Dallas MEC Racetrack at Grand Prairie MEC Training Facility TEXAS Number of MEC Affiliated Off-Track Betting (OTB) Locations FLORIDA * Colonial Downs is managed by MEC through Palm Meadows a management contract with The Maryland Jockey Club Gulfstream Park Miami NOTE: Map does not show Magna Racino, Austria – which is scheduled to open in 2004 Racetrack Market Rank TV Households Population % of U.S. Population Santa Anita Park – California 2 5,303,490 16,260,400 5.030 Television Bay Meadows/Golden Gate Fields – California 5 2,426,010 6,749,300 2.301 Lone Star Park at Grand Prairie – Texas 7 2,201,170 5,800,200 2.066 DMA Pimlico Race Course – Maryland 8 2,128,430 5,667,800 2.019 (Washington) Laurel Park – Maryland 24 1,023,530 2,559,825 0.971 (Baltimore) Markets 3,151,960 8,226,625 2.99 (combined) Gulfstream Park – Florida 15 1,549,680 3,874,200 1.470 and Thistledown – Ohio 17 1,513,130 3,782,825 1.435 The Meadows – Pennsylvania 21 1,146,340 2,870,850 1.089 Rankings Portland Meadows/Multnomah Greyhound Park – Oregon 23 1,069,260 2,673,150 1.014 Great Lakes Downs – Michigan 38 702,210 1,755,525 0.666 Remington Park – Oklahoma 45 623,760 1,559,400 0.592 Flamboro Downs – Ontario 1 2,377,000 12,067,000 19.7 Total % of U.S. Population: 18.653 Total % of Canadian Population: 19.7 Source: SRDS January February March April May June July August September October November December Bay Meadows MEC 2004 Flamboro Downs Racing Golden Gate Fields Calendar Great Lakes Downs Gulfstream Park Laurel Park Lone Star Park Magna Racino Multnomah Pimlico Portland Meadows Remington Park Santa Anita Park* The Meadows Thistledown * Includes The Oak Tree Meet, September 29 to October 31, which is operated by the Oak Tree Racing Association, at Santa Anita Park. Race Carrier Race Carrier The Preakness® Stakes – Pimlico Race Course Golden Gate Handicap – Bay Meadows MEC Major The Sunshine Millions™ – Gulfstream/Santa Anita Lone Star Derby – Lone Star Park at Grand Prairie Races and El Camino Real Derby – Golden Gate Fields Texas Mile – Lone Star Park at Grand Prairie Dallas Turf Cup – Lone Star Park at Grand Prairie Florida Derby – Gulfstream Park Network Gulfstream Park Handicap – Gulfstream Park NTRA All-Star Jockey Championship – Lone Star Park Carriers Malibu Stakes – Santa Anita Park Lone Star Million Day – Lone Star Park at Grand Prairie Santa Anita Derby – Santa Anita Park Pimlico Special – Pimlico Race Course Ohio Derby – Thistledown Dixie Handicap – Pimlico Race Course Best of Ohio Day – Thistledown Black-Eyed Susan Stakes – Pimlico Race Course Oklahoma Derby – Remington Park Gallorette Handicap – Pimlico Race Course Fountain of Youth Stakes – Gulfstream Park Sprintfest – Laurel Park Bay Meadows Handicap – Bay Meadows Maryland Million Classic – Laurel Park California Derby – Golden Gate Fields MEC’s Commitment to Technology MEC is utilizing technology to expand its customer base and deliver major league racing action and wagering opportunities to customers in more time zones and countries around the world. XpressBet™ – MEC’s wagering system over the Internet and by telephone, and HorseRacing TV™ – MEC’s Television Network are two powerful examples of how MEC is bringing horse racing to more people in more places, more often. MEC is developing innovative new wagering terminals that combine the excitement of horse racing with the fun and simplicity of slot machines. MEC plans to introduce the new terminals at one or more of its tracks over the next year. MEC is also launching new, customer-friendly handheld wireless wagering devices with touch-activated screens. These convenient portable devices provide racetrack and OTB customers with enhanced service. Setting up for another busy day at Sirona’s™ Restaurant and bar at Santa Anita. MEC’s Commitment to Entertainment MEC is providing its customers with enhanced entertainment experiences at all of its locations: racetracks, simulcast pavilions and off-track betting facilities. MEC continues to introduce a diverse mix of entertainment experiences at its racetracks, such as live concerts, exciting race day events, including everything from skydivers and tropical beach parties to calypso bands and samba dancers, as well as national contests, prizes and give-aways. A key part of MEC’s focus on the total customer experience involves offering quality hospitality services at all of its venues. MEC provides customers with a wide range of delicious, quality food and beverage choices – everything from gourmet dining at a racetrack restaurant to grandstand concessions. Alternative gaming, particularly in the form of slots and video lottery terminals (VLTs), is increasingly becoming part of the competitive landscape in the racing industry. MEC is well positioned to add slots and VLTs at its racetrack facilities in a number of key states where legislators are considering their introduction. Concert at Gulfstream Park. Join us, as we create “The New World of Horse Racing”. Another key pillar in MEC’s strategy for expanding racing and wagering distribution is XpressBet™, MEC’s online and telephone account wagering service. Following a successful launch in California in January 2002, XpressBet™ now has approximately 45,000 active customers.
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