NYRA releases 2004 financial statements

On Tuesday, the New York Racing Association (NYRA) took the unprecedented

step of publicly releasing its financial statements for the year ended December

31, 2004. The 2004 financial statement and a restated 2003 financial statement

were independently audited by Deloitte & Touche and have been filed with the New

York State Racing and Wagering Board.

NYRA reported a net loss of $15.98 million for the year ended 2004 compared

to a restated net loss of $22.13 million for the year ended 2003, a decrease in

net loss of $6.15 million. The previously reported net loss for 2003 was $19.85

million.

Total revenues for the year ended 2004 increased by $4 million, from $283.53

million in 2003 (restated) to $287.53 million in 2004. Net revenues were up

$1.19 million, from $151.75 million in 2003 (restated) to $152.94 million in

2004.

Total expenses for the year ended 2004 decreased by $4.96 million compared to

2003. Total expenses for 2004 were $168.93 million compared to $173.89 million

in 2003 (restated). The decrease in expenses is principally due to cost-cutting

measures throughout NYRA's overall operation.

Despite on-track handle declines, NYRA accrued $3.23 million more in purses

during 2004 than it did in 2003.

In addition, NYRA implemented several changes this year to ensure greater

integrity and transparency. On January 29, NYRA terminated its simulcast

agreements with 10 unregulated offshore and Indian reservation-based rebate

shops. And on May 4, it instituted race day security barns, becoming the first

Thoroughbred track in North America to take that measure.

In the words of NYRA's federal monitor, Getnick & Getnick, "Simply put, NYRA

has unequivocally said yes to racing integrity and just as resoundingly said no

to horse drugging, computer batch betting, tax evasion and money laundering. NYRA has an unmatched record of achievement in taking on these issues."