Queensland Racing Limited Annual Report09

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Queensland Racing Limited Annual Report09 QUEENSLAND RACING LIMITED ANNUAL REPORT09 QUEENSLAND RACING ANNUAL REPORT 2009 1 MISSION STATEMENT To further enhance the quality and integrity of thoroughbred racing in Queensland 2PHOTOSQUEENSLAND COURTESY RACING OF ROSS ANNUAL STEVENSON, REPORT 2009 NOEL PASCOE, NORTH WEST STAR, AND GYMPIE TIMES. CONTENTS Chairman’s Report 2 Queensland Racing Limited Board of Directors 4 Chief Operations Manager’s Report 6 Integrity 24 Corporate Governance 26 Financial Statements 28 FRONT COVER IMAGE: Jason Holder salutes aboard Phelan Ready after winning the 2009 $2 million Magic Millions 2YO Classic IMAGE THIS PAGE: Kerrin McEvoy rides Purple to victory in the Group 1 Queensland Oaks QUEENSLAND RACING ANNUAL REPORT 2009 1 CHAIRMAN’S REPORT BOB BENTLEY CHAIRMAN, QUEENSLAND RACING Much has been written about the vital place of the Bligh government with a grant of $4 racing occupies in Queensland’s cultural and million per track towards total costs. New community life. The racing industry produces lighting installations at both Corbould Park substantial employment and a significant and Clifford Park to service future twilight and contribution to GDP year in and year out and night racing have positioned Queensland to The racing industry produces real the size and importance of the industry to be included in international broadcasts into the employment and a significant Queensland’s economic well being needs to future. The approval of stable construction at contribution to GDP year in be recognised. It is a little known fact that more Caloundra will deliver 256 stables which are Queenslanders attend a race meeting annually due for completion in March next year, in time and year out and the size and than a game of rugby league. for the influx of horses from New Zealand and importance of the industry to southern states. This year, the three codes of racing received a Queensland’s economic well The 2008/09 financial year has been a difficult report by an independent research company, being needs to be recognised. IER Pty Ltd, into the size and scope of racing one for our industry recovering from the effects in Queensland. The report clearly illustrates of Equine Influenza (EI) and impacted by the the economic value of racing in Queensland, global financial crisis. However, QRL continued providing a detailed analysis of the expenditure to implement strategies to strengthen the generated by participants and customers, and industry to ensure a prosperous future. in particular highlights the taxation revenues The inaugural QTIS 600 sale was held in late generated and employment impacts in March at the Gold Coast and proved to be Queensland. Some of the key results of this an exceptional success. This initiative was report are reproduced below. Based on the introduced to assist the Queensland breeding clear importance of racing to Queensland and industry to compete with southern breeders Government to position the industry so as to not Queenslanders, we are in discussions with the and to promote racehorse ownership. The sale to be disadvantaged by these changes with the Queensland Government on a way forward to was recognised as achieving the best outcome introduction of race information legislation. While recognise and sustain the value contributed by for a sale of its type in Australia averaging similar legislation is being tested in the courts the industry. $18,424 per horse sold with a clearance rate and the final outcome is yet to be known, QRL of 81%. This high clearance rate coupled with has commenced collecting fees from corporate an unprecedented prizemoney bonus scheme bookmakers and betting exchanges. It is QUEENSLAND ECONOMIC IMPACT of over $16.754 million should translate into pleasing to note that at this point thoroughbred Full time jobs – 14,500 people increased participation and profitability in the racing in Queensland will in fact experience coming season. a positive funding impact under this scenario Direct economic spend – $855 million annually After the disastrous effects of EI the due to our position as a net exporter of racing For every $1 million of expenditure – 22 full Queensland Government contributed $546,000 product for wagering. time jobs are created to assist the racing industry to entice people 2009 saw the merging of the Brisbane Turf Club Over 50% of owners have increased their back to the track via a marketing campaign and (BTC) and Queensland Turf Club (QTC) into the investment in ownership compared to five so the ‘it’s actually more fun if you’re actually new Brisbane Racing Club (BRC), a merger years ago there’ campaign was born. The campaign that took place over three years and that had succeeded with significant increases in been talked about for nearly half a century. This attendance, bar sales, gate takings and on merger will have far reaching positive effects on However large and significant racing is, the course wagering. metropolitan racing and the BRC’s self funding industry faces many challenges and the road The reformatted Winter Carnival was heralded development is an extremely exciting project. ahead will not be easy. The industry is coming a success with two Super Saturdays’ being to grips with one of its biggest challenges, With all these achievements firmly in mind I run. Further testimony of the success was the that of poor facilities and tracks that have am pleased to present the Queensland Racing interstate and New Zealand participation rates long passed their use by date. This issue is Limited annual report for 2009. both up strongly over the previous year and critical, both in terms of safety and integrity, and I would like to thank my fellow directors for of particular note the fact that all eight Winter because the quality and presentation of our their continued commitment and professional Carnival Group 1 races were won by visiting racetracks is crucial to the maintenance of our contribution to Queensland’s thoroughbred trainers. Attendance figures were heartening revenue streams. racing industry and I acknowledge and look particularly the two secondary status TAB forward to the coming year’s challenges. On Queensland Racing Limited (QRL) has been meetings held at Rockhampton and Townsville behalf of the board I extend my thanks to proactive in addressing urgent infrastructure with crowd numbers of 4,172 and 11,858 Malcolm Tuttle, his management team, and shortcomings in a number of areas, but with respectively, an outstanding result for the clubs. every QRL staff member for another solid the state’s industry so geographically spread The industry will face many challenges in the performance. and the pressing need to keep prizemoney at future, with one of the key ones being the future competitive levels, we have only scratched the funding model. Developing technology and surface on renewing our infrastructure. the rapid adoption and worldwide reach of the In the last two years the industry has seen the internet has led to a significant change in the installation of new Cushion Tracks at Corbould wagering landscape and the traditional funding Park, Caloundra and Clifford Park, Toowoomba. model is under stress and challenge. QRL This has been made possible with the support has worked side by side with the Queensland Robert Bentley 2 QUEENSLAND RACING ANNUAL REPORT 2009 Face of the 2009 Magic Millions Carnival, gold medal Olympic triathlete Emma Snowsill QUEENSLAND RACING ANNUAL REPORT 2009 3 BOARD OF DIRECTORS BOB BENTLEY TONY HANMER MICHAEL LAMBERT CHAIRMAN Mr Bentley offers Queensland Racing Mr Hanmer has more than 27 years’ Mr Lambert is a consultant with RBS Australia, valuable experience and expertise with a leadership experience and a track record of a global bank. He was former head of the comprehensive racing experience which company management, building professional NSW Treasury. His substantial involvement spans administration, breeding and racing, organisations in the United Kingdom, Asia in the racing industry includes advising the being appointed chairman of the inaugural and Australia. He was senior vice-president Queensland Government on strategic options Queensland Thoroughbred Racing Board in of McCann-Erickson Worldwide and regional for TABQ and the Queensland racing industry April 2002. He is a non-executive director of director of Asia South Pacific, working and on the reform and sale of the TABQ. UNiTAB, chairman/director of the Australian internationally with global companies. He He is a director of Energy Australia, State Racing Board, chairman/director of Sunshine holds a number of directorships in the public, Super, the Sax Institute and was Queensland Coast Racing Pty Ltd, and is also vice- private and not for profit sector. Mr Hanmer was Racing’s representative on the board of Racing president of the Asian Racing Federation. appointed to the inaugural Queensland Racing Information Services Australia (RISA). Mr Mr Bentley was previously chairman of the Board in April 2002. Lambert also chairs the Audit Committee and Queensland Principal Club, the Three Codes was appointed to the inaugural Queensland Racing Industry Coordinating Committee, and Racing Board in April 2002. the Ipswich Turf Club. 4 QUEENSLAND RACING ANNUAL REPORT 2009 QUEENSLAND RACING IS THE CONTROL BODY FOR THOROUGHBRED RACING IN QUEENSLAND. It coordinates, manages, and regulates the industry by: administering the Rules of Racing implementing sound policies enforcing standards of safety and integrity licensing industry participants BILL ANDREWS BILL LUDWIG licensing race clubs and monitoring their activities and performance monitoring the condition of racecourses and working with racing clubs to ensure Mr Andrews is a director of Trilby Misso Lawyers Mr Ludwig is the national president and courses are developed to a suitable based in Brisbane. Mr Andrews brings extensive Queensland secretary of the Australian Workers standard and valuable legal experience to the board. Mr Union. Mr Ludwig is a horse breeder and owner Andrews owns and breeds thoroughbred horses who has considerable experience in country commissioning and undertaking research and is an active member of both the Owners’ racing, having spent the majority of his working and promotional activities and Breeders Associations.
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