UNITAB Result Great News For Racing Industry
Published Friday, 06 February, 2004 at 12:00 AM
Premier & Trade
The Honourable Peter Beattie
Mr Beattie said the industry could take heart from the prediction by UNiTAB Managing Director and CEO Dick McIlwain that record results are sustainable.
"The $56.5 million half-year payment to the racing industry is a fantastic result," Mr Beattie said.
"The racing reforms introduced by the Government and implemented by Queensland Racing have boosted the quality of thoroughbred racing across Queensland.
"A better product has pushed up turnover and, consequently, vastly improved the cash returns to the three racing codes.
"UNiTAB is on track for another record full year and a record return to the industry.
"Queensland Racing Board Chairman Bob Bentley advised that the payment will produce even more benefits for the industry. "Queensland Racing has already announced a $10 million prizemoney boost from January 1, achieved through cost-cutting and higher returns from UNiTAB.
"On current trends, the industry can expect further injections of prizemoney later this year."
Mr McIlwain said in his half-yearly report that UNiTAB's Queensland race wagering business was 'particularly strong'.
"He said Queensland Racing's clever restructuring of the state-wide racing program contributed to the additional sales," Mr Beattie said.
Mr Beattie said the UNiTAB result proved the Beattie Government's privatisation deal was good business for Queensland, the racing industry and shareholders.
"UNiTAB continues to grow into one of Queensland's largest businesses with its share price reflecting the confidence of the market," he said.
"Since the sale of the Queensland TAB in November 1999, the commercial deal with the Queensland racing industry has delivered record product payments each year.
"This is rolled-gold proof that those who said the deal offered by my Government was not good enough, were wrong, wrong, wrong!
"The structure of the Labor Government's commercial deal means the racing industry gains the full benefits of the growth in wagering - not half as proposed by the Borbidge Government."
Mr Beattie said his Government had supported the Queensland industry during a difficult time of reform but the rewards of those changes were now evident.
"All three codes of the industry have announced prize money boosts recently, including Queensland Racing's $10 million to thoroughbred racing," he said.
"Growth in betting on Queensland racing is at a massive 9.6%, far outstripping New South Wales and Victoria.
"Queenslanders voted with their dollars with Queenslanders purchasing a record $11 million worth of yearlings at the Magic Millions Sales - up from $8 million the pervious year.
"That's a huge vote of confidence in the Queensland industry."
Mr Beattie said the growth in the industry was not restricted to the south-east corner with Queensland Racing's focus on Rockhampton, Mackay and Townsville as major provincial TAB racing centres proving very successful.
"While we recognise there has been some pain in this reform process there is nobody who honestly didn't believe it needed to happen," he said.
"There is absolutely no reason any club cannot hold their important community event with the Government's Queensland Community Racing Scheme offering sponsorship to help put on a race meeting.
"There has been a surge in interest in the community racing scheme with communities such as Eromanga, Talwood and Morven all looking to hold meetings."
Media contact: 3224 4500 February 6, 2004