TIDMNYR
21 May 2012
NEWBURY RACECOURSE PLC
("the Racecourse" or "the Company")
AGM Statement
At the Annual General Meeting to be held in Newbury today, the Chairman,
Dominic Burke, will make the following statement:
"As you will have read in the 2011 Report and Accounts, 2011 was a year of well
attended high quality racing, despite the backdrop of an uncertain economic
environment that continued to hamper consumer spending. Nevertheless we
continued to demonstrate our commitment to the Racecourse's acclaimed race
programme and prize money, whilst developing our facilities and events for race
goers. At the same time we have made good progress with David Wilson Homes
regarding the redevelopment of the racecourse and we expect to be in a position
to make a further announcement regarding key developments in the coming weeks.
Current Trading
The trading environment during 2012 has remained challenging although we
continue to trade in line with the Board's expectations.
We continue to host first class racing including the Group 1 JLT Lockinge
Stakes with Frankel's continued form delighting race goers on Saturday. In 2012
we have increased our commitment to prize money, and, with support from our
sponsors, the Company staged Europe's richest handicap hurdle, the GBP152,500
Betfair Hurdle, and this summer we will stage the GBP250,000 Weatherbys Super
Sprint, amongst other highlights. We are pleased to be working with the
Horsemen's Group to deliver quality racing and enhance the experience for
racehorse owners, and remain a partner racecourse with that organisation.
We are also pleased to have agreed Heads of Terms, negotiated on our behalf by
Racecourse Media Group, with totepool and Betfred and we look forward to a
fruitful partnership with them for our on-course betting operations. This is
reflected in the new Betfred betting shop which forms part of the ongoing
refurbishment of the ground floor of the Berkshire stand. These works will
provide improved facilities for racegoers and will reflect the quality of the
New Champagne Hall and Wine Cellar. These investments have delivered
significant increases in demand for the hospitality and retail division
reflecting the improvement to the visitor experience.
Market conditions remain challenging for the conference and events business
with continued pressure on margins. Nevertheless, we now have the right
strategy to rebuild the revenues and profit contribution from this business
over the coming year by focusing on higher margin events.
We are focused on developing our successful live music events business that is
a key strategic initiative in widening the appeal of the racecourse. We are
pleased with the sales to date for the forthcoming Jessie J and Calvin Harris
concerts whom we look forward to welcoming over the coming months. We remain
selective regarding the acts we book to ensure these events drive both revenue
and profitability.
The redevelopment timetable for the racecourse has advanced well during the
period with negotiations with David Wilson Homes continuing at pace.
Preparatory works have begun on site with clearance work and the removal of
existing buildings. We expect to make a further announcement in the coming
weeks about the progress with the redevelopment of the racecourse.
I would like to take this opportunity to thank my fellow Board members for
their support. On behalf of the Board I would like to thank Sarah Hordern and
Stephen Higgins, together with all of the staff at the racecourse for their
hard work, which, in addition to the ongoing support from our sponsors, made
2011 a year of real progress for the the Company.
We continue to trade in line with the Board's expectations and remain on track,
to deliver our long term stated strategy of developing the racecourse as a
successful leading leisure, events and entertainment business with racing at
its core.
For further information, please contact:
Newbury Racecourse plc Tel: 01635 40015
Sarah Hordern
Joint Managing Director
Hudson Sandler Tel: 020 7796 4133
Charlie Jack/Katie Matthews
END
(END) Dow Jones Newswires
May 21, 2012 06:35 ET (10:35 GMT)