1. Ireland -A World Centre of Excellence- Brian Kavanagh, Chief Executive Horse Racing Ireland

2. 27 Irish Racecourses

3. Irish Racing Authorities Horse Racing Ireland Turf Club Association of Irish Racecourses

4. Irish Racing Key Headline Figures 2004  305 Fixtures  Prize money - €51.5m  Sponsorship - €7.1m  Attendances - 1,386,517  On-Course Betting €233m  Off-course betting €2.26m

5. Irish Racing Key Headline Figures 2004  6,004 horses in training  10,992 foals born  420 stallions at stud  1,000 New Owners

6. Horse Racing Ireland -Mission Statement- To develop and promote Ireland as a world centre of excellence for horse racing and breeding

7. % Black Type Races 2004

8. International Classifications 2004 Irish Horses rated in excess of 110 Two year olds20.4% Three year olds14.8% Four year olds 2.8% As a % of Flat runners 1.7%

9. YearRunsWinsPlacesPrize Money 20032063676€3.91m 20042133271€4.16m Overseas Runners in Ireland

10. YearRunsWinsPlacesPrize Money 200364554213€6.24m 200470961263€6.32m Irish Runners Overseas

11. Board of Horse Racing Ireland  Chairman Government Appointment  Turf Club / INHS Committee 5 nominees  Persons Employed in the Industry 2 nominees  The Industry in Northern Ireland 1 nominee  Thoroughbred Breeders 1 nominee  Authorised Racecourses 1 nominee  Authorised Bookmakers 1 nominee  Racehorse Trainers 1 nominee  Racehorse Owners 1 nominee

12. Government Support “ This transformation in the fortunes of Irish Horse Racing has come about through hard work, planning and a unified approach across the industry. With the establishment of Horse Racing Ireland in 2001 the Government had an effective vehicle to utilise the significant resources it was willing to commit, funded largely by the duty on off-course betting.” Bertie Ahern (Irish Prime Minister) 13 th June 2005

13. Horse Racing Ireland Business Structure Irish Thoroughbred Marketing Ltd Tote Ireland Ltd HRI Racecourses Ltd

14. HRI Strategic Plan 2002 – 2007 Performance Indicators  Annual racecourse attendances to increase by 200,000  Prize money to increase to €60m per annum  Sponsorship to increase by a minimum of 5% per annum  Investment of €100m in racecourse facilities  Funding of Northern Ireland racing to be harmonised  On-Course betting to increase by 50% to €300m  Tote dividend to racing to increase from €2m per annum to €6m

15. Foal Population by Country 2003

16. Foals Born 2001 - 2004

17. On-Course Betting 2004

18. On-Course Betting 2001 - 2004 Bookmakers SP Shop Tote TotalChange 2001 €172m€7m€36m€215m5% 2002 €162m€7m€39m€208m-3% 2003 €183m€10m€44m€237m14% 2004 €175m€11m€47m€233m-2%

19. Off-Course Betting 2001 - 2004 2001€1,359m 15% 2002€1,569m15.5% 2003€1,921m22.4% 2004€2,262m17.8%

20. Horses In Training 2001 – 2004

21. New Owners Registered 2001 – 2004

22. All FlatAll NHMixed Total Fixtures 20014192135268 200249115 279 200363127113303 200461136108305 Annual Fixtures by Racetype

23. Total Races 2001 - 2004

24. Number of Flat/NH Races 2001 - 2004

25. Prize Money Contributions 2001 - 2004 HRISponsorsOwnersTotal 2001 23.4m6.1m12.7m42.2m 2002 24.8m6.5m14.2m45.5m 2003 27.6m7.1m14.9m49.6m 2004 29.9m7.6m13.9m51.4m

26. Source of Prize Money 2004

27. Major Developments / Challenges in 2004  Renewal of Horse and Greyhound Racing Fund  Launch of Racecourse Capital Development Fund  Report by Indecon Economic Consultants  Satellite TV Channel - Attheraces  Expanding horse population  Betting Exchanges

28. Horse and Greyhound Racing Fund  Renewed September 2004  2% duty on turnover. Statutory basis  Limit on Fund increased to €550m  Funding secured until 2008  80% Horse Racing: 20% Greyhound Racing  Government initiated review in June  Examine merits of Gross Profits Tax basis

29. Racecourse Capital Development Fund  Launched November 2004  €200m Total Investment  Grant aid at 55% for approved projects  Curragh / Leopardstown to get grant of up to €35m each  All weather track at Dundalk grant of up to €10m  Extra income streams for racecourses

30. Racecourse Development – Curragh  Home of the Classics  Aga Khan donation  Last Major Development - 1960’s  €80m Project  New Stand  Planning Permission for Phase 1 sought  Relocate Roadway  Will Incorporate Hotel

31. Racecourse Development - Leopardstown  Motorway Development  Loss of Sprint Track  €80m Project  New Stands / Weighroom  Development of Golf Facilities  Phase 1 Commenced  New Access Roads / Car park

32. Racecourse Development - Dundalk  Greyhound stadium opened 2004  €30m investment overall  Polytrack surface likely  25 Fixtures:10 spring 10 autumn 5 Sundays  Legal structure being finalised  Target opening Spring 2007

33. Indecon Report  Commissioned by ITBA / EBF / HRI  Similar issues to Kentucky – KEEP  Assess economic impact of Industry  Used for Political Lobbying / PR  Independent Assessment

34. Indecon Key Findings  Employment in industry 16,500 persons  Gross contribution of breeding sector - €330m per annum  Tax paid annually - €37.5m  Value of stallion tax exemption - £3m per annum  Third largest thoroughbred producer in the world  Bloodstock = 4.4% of total agricultural output

35. Public Affairs Advertising

36. Satellite TV Channel  Launched June 11 th 2004  Deal concludes 2008  Minimum 250 days  Interactive Betting  Some initial impact on attendances

37. Expanding Horse Population  25% increase in the number of foals born between 2000 and 2004  25% increase in the number of horses in training 2000 – 2004  10,860 horses eliminated in 2004  Quality control measures introduced in 2005  Development of All- Weather track at Dundalk

38. Betting Exchanges  Operating on Irish Racing since 2003  No agreement on financial return  Integrity memorandum of understanding  Some decline in on-course turnover  Joint approach with UK authorities

39. Who goes racing? Gender of Race Goers

40. Irish Racing - Changing Market Profile 2003 -2005 Sample: All who went racing in the ‘past year’  Improved male / female balance  Significant shift to middle class  Decline in working class / farmers share  No significant age shift Gender2003 2005Social Class2003 2005 Male63%59%ABC136%56% Female37%41%CZPE45%34% F19%10%

41. Irish Racing - Changing Market Profile 2003 -2005 Sample: All who went racing in the ‘past year’  Significant shift in demand from East to West / N West of country  Urban / Rural share 50:50 Region 2003 2005Area 2003 2005 Dublin18%17% Urban54% 50% Rest of Leinster32% 23% Rural46% 50% Munster39% 34% Connaught Ulster11% 26%

42. Irish Racing - Changing Market Profile 2003 -2005 Sample: All who went racing in the ‘past year’ Attendance  Number of people racing has grown by over 11%  Frequency of attendance has declined from 3.86 to 2.99  Those attending ‘one raceday’ grew by 24%  Those attending ten or more racedays declined by 42%

43. Ireland -A World Centre of Excellence- Brian Kavanagh, Chief Executive Horse Racing Ireland