SVREL

The races that will be run on Saturday, July 25 and Sunday, July 26 respectively, are the first classics of the 2020 racing season and will showcase 3-year-old fillies for the 1000 Guineas and colts and geldings for the 2000 Guineas competing over 1600 metres.

The purse for each classic race stands at JMD $2.8 million with SVREL footing the entire bill.

 “Last year SVREL had fronted $2 million with sponsors providing $1.5 million,” said  SVREL General Manager Lorna Gooden. “However, due to the impact of COVID19, companies were reluctant to come on board as they tighten their belts to handle the financial fallout of the pandemic.”

This follows the cancellation of races on July 15 and 16, after the Patrick Smellie-led United Racehorse Trainers' Association of Jamaica (URTAJ) opted not to nominate as a show of their discontent to the promoting company’s offer of a $27-million purse increase.

Following a meeting on Monday, Smellie and a majority of his counterparts declared intentions to again withhold nominations, if SVREL doesn’t offer a more attractive purse increase, which all but signalled the possibility of another cancelled race day.

However, a meeting between representatives of the Howard Hamilton-led Thoroughbred Owners and Breeders Association (TOBA) and the promoting company, also held on Monday, seemingly broke the deadlock.

The owners' group during that meeting, recommended that SVREL’s overpayment of taxes on $6.2 billion in sales initially reported, amounting to what should be approximately $41.7 million in rebates, be put to purse money for 2023, along with the $18 million Quarterly Incentive payments to owners, trainers, jockeys and grooms.

Additionally, TOBA suggested that a three per cent commission earned from inter-tote wagering on local racing, could also be allotted to purses and they also required a full disclosure of SVREL’s arrangement with BetMakers as it relates to fixed-odds betting, with a view that a percentage of those profits should also put to purses going forward.

While SVREL chairman Solomon Sharpe and members of his team had requested time to take those recommendations into consideration, the nomination of horses to allow for this weekend's short programme, implies that some inroads have been made.

But Smellie when contacted, pointed out that he is not aware of any changes where their demands for a more substantial increase is concerned. As such, he expressed strong disappointment with his colleagues who nominated horses.

“I don't know what changed. Nothing has changed between us and Supreme Ventures Racing, so I'm very disappointed in about 50 per cent of the trainers that nominated horses, I don't think they know where we are going. We were fighting for something for the benefit of all grooms, trainers, owners, and horsemen at Caymanas Park,” a vexed Smellie said.

“Never in the history of Caymanas Park we had so much people together, but I understand that there was some rumours going around that Howard Hamilton had said on national radio that people must nominate. So somebody started that rumour and got some weak knee trainers jumping and I guess they started to nominate. So, to say disappointed is an understatement,” he added.

Still, the URTAJ president took heart from the fact that his group and those it represents, achieved its objective in making a statement.

“We have observed the myopic thinking of the promoters and some of these trainers. So we are here, we are going to gather again and have a meeting shortly and see where we move from here because if they want to race for 3.5 percent increase then they can do so.

“I thank all the trainers and owners that stood up and fight the cause because those other four races could have been filled if these guys didn't stand up and fight for what they believe in,” Smellie argued.

This, as United Racehorse Trainers' Association of Jamaica (URTAJ) president Patrick Smellie and his counterparts declared intentions to again withhold nominations, if SVREL doesn’t offer a more attractive purse increase instead of the $27 million that was already rejected and resulted in the cancellation of races on July 15 and 16.

“We the trainers have decided that we are still not accepting the $27 million increase in purse money from SVREL because there is an anomaly in the numbers based on why we signed for 49 per cent. So, we are still questioning why that has happened and the trainers have decided that they will not run races for $27 million and so no nomination tomorrow [Tuesday],” the URTAJ president declared.

Though Smellie and members of his group had discussions among themselves, their decision stems from a meeting between representatives of the promoting company, including chairman Solomon Sharpe, and Thoroughbred Owners and Breeders Association (TOBA) of Jamaica on Monday, where the horsemen maintained their stance against the inadequate amount.

In fact, TOBA, represented by directors Andrew Azar, Garwin Tulloch and vice-president Desmond Lewis, accompanied by Chief Executive Officer, Ainsley Walters, made a few recommendations, as they sought to have SVREL consider increasing its offer.

Despite the Betting, Gaming and Lotteries Commission (BGLC) confirming SVREL’s income as $5.3 billion and not the $6.2 billion which sparked the standoff, TOBA in a release on Monday, pointed out that it laid down a few terms as a possible way forward.

The owners group recommended that SVREL’s overpayment of taxes on $6.2 billion in sales initially reported, amounting to what should be approximately $41.7 million in rebates, be put to purse money for 2023, along with the $18 million Quarterly Incentive payments to owners, trainers, jockeys and grooms.

Additionally, TOBA believes a three per cent commission earned from inter-tote wagering on local racing, could also be allotted to purses and they also required a full disclosure of SVREL’s arrangement with BetMakers as it relates to fixed-odds betting, with a view that a percentage of those profits should also put to purses going forward.

Meanwhile, TOBA said it acknowledges SVREL’s request for time to analyze and consider the recommendations tabled.

“Though SVREL acknowledged TOBA’s recommendations, committing to re-engage the association, the promoting company cited circumstances beyond their control as external factors to be considered ahead of resuming discussions. TOBA awaits SVREL’s return to dialogue in order to hasten the resumption of local racing as the hub of the thoroughbred industry,” the release stated.

“SVREL added to the discourse by pointing to funds taken from the racing industry unclaimed winnings, which it believes should be returned to purses annually, suggesting TOBA could lead the lobby for racing’s monies to remain in the industry,” it noted, adding that owners were advised to continue paying the expenses for keep and care of horses.

In fact, Aiello, who will be making his debut at Caymanas Park on Saturday during the third running of the Supreme Ventures Limited (SVL)-sponsored Jamaica Cup, believes the potential for growth is very much on the cards, provided the promoters remains committed to their objectives.

SVREL took over promotion of racing in 2017 and has invested significantly as a means of driving the product forward. The broadcasting of their signal to overseas markets, the implementation of a solar power system, a partnership with New York-based Bridge99Fm, as well as the Australian-based BetMakers Technology group to offer Fix Odds betting, are among SVREL’s milestone achievements to date.

 “I am a huge fan of it. Since I have been here, I’ve kind of been picking everybody’s brain operationally speaking because that’s how my mind works, and everything just seems to be up. There are some really forward-thinking ideas, and one thing I like about it, it seems like it is more of a methodical approach where they are playing the long game,” Aiello assessed.

“It is not a scenario where somebody tries something, and it doesn’t work right away, and they give up on it. I think that is really important and I think it is something that the US racetracks are guilty of, they give up too soon. So, I really like the long-term projection, they are starting to see some positive results and I am happy to do what I can to make sure they continue on that positive, upward trend,” he told SportsMax.TV.

Aiello, a familiar voice in the world of horse racing, is associated with some of the most prestigious horse racing events in the 

United States. He expressed delight about bringing his expertise to one of Jamaica’s most highly anticipated race days.

The Jamaica Cup is the last significant event before the lucrative Mouttet Mile Invitational scheduled for December 2. In addition to the main event, the undercard will have eight high-stakes races contested by top horses, jockeys, and trainers.

“I have been a fan of Jamaican horse racing for probably two or three years now. Once Supreme Ventures made it available in the US, I caught on to it and really fell in love with it, so it is nice to actually be here,” Aiello said.

“I was looking back at the race card earlier and there are some really good races tomorrow. The Jamaica Cup is going to be exciting and “Spuddy” [Brian Rickman] and I have a nice surprise for everybody so make sure you tune in. But there is another race on the card that seems super exciting and that’s Desert of Malibu up against American Tap and Rani Bangala, that is a heck of a race, that is a championship quality race. So, the seventh and eighth races are what I am really excited about,” he added.

Regarding the Mouttet Mile, which will be streamed live in the United States on Fox 5, Aiello said it speaks volumes of the significant strides Jamaica’s racing has made.

“I think it is great, and I am hopeful that we can get some of the American influence behind it. I know Solomon Sharpe and the team are working to get as much influence as they can, but I think it’s a great thing and I am certainly willing to help as much as I can. The race will be shown on Fox 5 in the US this year which is great because that is the exposure that Jamaican racing needs,” Aiello noted.

“The purse is allegedly going up next year, so if the purse goes up, I think it is just going to be a situation where the horsemen and jockeys are going to have to take note of the state of the calendar and hopefully, we can get a worldwide experience, which would mean everybody wins,” he reasoned.

And with this being his first time in Jamaica, Aiello is relishing the experience.

“They are doing a great job of getting me to enjoy all these great Jamaican foods and I have to say I am going to be a bit disappointed that I won't be able to get a callaloo patty and some bammy when I get home," Aiello ended.

According to Solomon Sharpe SVREL Executive Chairman, the company’s unwavering vision is to make making the premier destination of racing and entertainment in the region.

“Over the past seven years we’ve consulted with our stakeholders and made significant investments into improving the overall racing product. We’re very proud of what we have achieved so far. Even with the success and the enduring popularity of Caymanas Park and horseracing in Jamaica, we know there’s still more work to be done. Understanding our customers is at the core of our strategy. With that as our mission, we’ve engaged Bluedot Insights to conduct a comprehensive island wide consumer survey on our behalf.

"This survey is aimed at providing us with verifiable data from sports bettors, racing stakeholders and the general public that will further guide our strategic decisions and investments that will bring us further towards our ultimate goal – to make Caymanas Park the premier destination of racing and entertainment in the Caribbean,” said Sharpe.

“Our vision for Caymanas Park and the horseracing industry in Jamaica is one of growth and innovation. We will continue to invest in the park, introducing new features and enhancements that elevate the experience for all our visitors. Our commitment to the community and the sport remains steadfast, and we are excited about the future,” he added.

It was disclosed that Bluedot will provide a comprehensive report presenting quantitative and qualitative findings that details consumer profiles highlighting demographic, psychographic, and behavioral characteristics. This will be done in three phases.

"Bluedot aims to use our skills and expertise to provide SVREL with comprehensive insights that will be pivotal in allowing SVREL to refine their marketing strategies, customize their offerings to align with consumer preferences, and nurture stakeholder relationships essential for advancing the horse racing business," stated Bluedot CEO Larren Peart.

SVREL's investments in Caymanas Park have spanned various areas, from infrastructure upgrades like the installation of the largest digital tote board in the Caribbean and implementation of AmTote totalizer system, improved product offerings such as the new bet type options like Reggae-6 and Ketch-9 as well as fixed odds betting, to the integration of cutting-edge technology like the recently launched GMax digital timing system.

The announcement was made during a press conference to launch the 46th running of the 1000 and 2000 Guineas on Monday.

SVREL General Manager Lorna Gooden said the agreement allows SVREL to recover $13 million incurred in May.

“The MOU stated that if racing resumed on June 1, SVREL would recover the sum of $13 million which represented expenses incurred during May and would be collected through equal instalments to the end of the year,” Gooden said.

“If racing resumed on July 1, the amount would be $26 million representing the expenses incurred in May & June and collected through equal instalments to December 31.”

She explained that since racing resumed on June 20th, SVREL prorated the amounts for the actual race days and applied costs of $611,111.11 for each of the two race days in June.

“We also advised the stakeholders that a monthly recoverable of a little over $3.4 million will be applied for the remainder of the year,” she said.

The MOU, including the financial arrangements, was posted on the Caymanas Track website for public viewing.

SVREL had made several operational changes to ensure that racing could resume safely and without incident, under the guidance of a consultant engaged by the Betting Gaming and Lotteries Commission and the Jamaica Racing Commission.

The consultant assisted in the development of protocols that cover the entire operations of the track including entrances, the saddling barn and ring, the jockey room, stable areas and stands. Gooden said the implementation of a ticketing system is also part of crowd-control efforts to ensure that the track’s 1200 capacity is not exceeded on race days.

Smellie believes the move allegedly by SVREL to place two trucks across the track was their way of showing their discontent after stakeholders in the local horse racing sector rejected a $27-million purse increase offered on Tuesday.

By virtue of that rejection, owners, breeders, jockeys, trainers, and grooms withheld nomination of their horses for racing which resulted in the planned Saturday-Sunday race meets being cancelled.

"That (blocking the track) was totally unreasonable, unconscionable and possibly illegal. We had a meeting this morning while we were here and they came and removed the trucks and are now wetting the surface again which is a good sign that there is a possibility that we may be able to meet at the table again,” Smellie said.

Still, he pointed out that missing exercise could have an effect on the horses.

“It can affect the horse badly because this is not best practices for the animals anywhere in the world and we have spoken with our veterinarians here and they have agreed with us in total that this is not best practice at all. But we are glad that good sense has prevailed, they have removed the truck, and they are wetting and raking the track, so I assume the track will be reopened for exercise tomorrow (Thursday),” Smellie shared.

Smellie and other stakeholders based their rejection of the $27 million purse increase as unacceptable, arguing that SVREL has seen profits of $6.2 billion, but only want to distribute $5.3 billion.

According to Smellie, based on a deed signed by horsemen with SVREL from last year, they are supposed to receive 49 per cent of Gross Gaming Revenue (GGR). This means that after sales and payout, horsemen are entitled to 49 per cent of what is left and SVREL would keep 51 per cent.

As such, he explained that of the $6.2 billion SVREL makes in sales, according to the regulatory agency, the Betting Gaming and Lotteries Commission (BGLC), horsemen’s percentage would work out to $168 million and not the $27 million being offered.

On that note, the URTAJ president is awaiting word from the promoting company, inviting stakeholders back into negotiations to rectify the issue.

“They are supposed to call us today (Wednesday) or tomorrow (Thursday). Everybody knows we don't agree with their $5.3 billion because we are sticking to the $6.2 billion that the Betting Gaming and Lotteries Commission have gotten paid from them on their taxes.

“We are open to having dialogue, but our trainers will not be relenting. We are tired of this now, and when you see 120 trainers say no more, along with owners and grooms, then you know that everybody is united to the cause,” Smellie reasoned.

Meanwhile, SVREL in a release on Wednesday, said it is open for dialogue and stands ready to work with owners to have the earliest resumption of live racing.

“Since assuming oversight of Caymanas Park, SVREL, has made significant investments and undertaken extensive measures to improve the racing product and to develop a sustainable industry. Last year, in one such effort to improve the sustainability and stability of the industry, SVREL and key industry owners and trainers arrived at a milestone agreement whereby purses will be 49% of gross game revenue (GGR) on live racing,” the release explained.

“SVREL’s hope was, and still remains, that this GGR agreement will bring a measure of stability to the industry and so it is reiterating its readiness to continue discussions with the owners and trainers and other relevant stakeholders with a view to resolve the issue expeditiously. The company is steadfast in its commitment to horseracing and will continue to invest in the future of the industry,” it stated.