Racehorse TALK

Agreement reached on Victorian Thoroughbred Racing Industry Review  

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21 Jun 2007
Racing Victoria

Racing Victoria Limited (RVL) has advised the Victorian Racing Minister, the Hon Rob Hulls MP, that agreement has been reached with its shareholders in relation to the outcomes of the Victorian Thoroughbred Racing Industry Review.

The Victoria Racing Club (VRC), Melbourne Racing Club (MRC), Moonee Valley Racing Club (MVRC) and Country Racing Victoria (CRV) have signed letters of agreement in support of the five decisions made by the RVL Board on 7 June 2007 in relation to the Crawford Report recommendations (concerning RVL’s governance structure, voting entitlements and receipt of funds from the Tabcorp Joint Venture) and the development of a business plan for growth opportunities that could be derived from the aggregation of
wagering, media and sponsorship rights.

The clubs and CRV have also agreed to the proposed Members’ Protections provisions in relation to Joint Venture income up to and including the 2011/2012 racing season; the consequent termination of the Members’ Agreement; and the establishment of a new agreement containing those protections.

RVL Chief Executive Officer Stephen Allanson said that this is a watershed moment for the Victorian thoroughbred racing industry.

“The letter of agreement signed by each of the metropolitan clubs and CRV is the result of an extensive process of analysis and consultation. Ultimately, what we have achieved through this agreement establishes a new platform for RVL, the clubs and CRV to more effectively tackle the future challenges and opportunities as a united and cohesive industry.”

“The prime focus of the Industry Review has been to improve RVL’s governance and operating structures to ensure that we are best positioned to take advantage of opportunities to further grow the industry and as a consequence, increase returns to owners and participants into the future,” Allanson said.

Victoria Racing Club CEO Dale Monteith said: “The agreement reached represents a major milestone. The VRC looks forward to working with RVL on a co-operative approach to addressing these important matters for the industry.”

Country Racing Victoria CEO Scott Whiteman said: “The agreement with the clubs on governance, joint venture funds and the development of a business plan provides RVL with the ability to start directing much needed additional funds to all areas of country racing.”

Melbourne Racing Club CEO Warran Brown said: “We have been able to work through our differences to achieve an outcome that provides both reasonable protections and a positive way forward.”

Moonee Valley Racing Club CEO John Cameron said: “The agreement provides the platform for a more equitable governance structure and an effective future operating environment.”

The review process has also involved extensive consultation with the Industry’s ten stakeholder groups.

Commenting on the stakeholder responses, Mr Allanson said: “I am pleased to report that the RVL position has received support from the trainers, jockeys, breeders, jumps racing and bookmaker stakeholders. The four industry unions have also indicated their in-principle support.”

“The Thoroughbred Racehorse Owners Association (TROA) is the only stakeholder that has expressed a total objection to the review decisions and has lodged a lengthy submission criticising most of the outcomes agreed to by shareholders and stakeholders”.

The outcome of the review is now a matter for the Minister’s determination.