<body>
<p>This page uses frames, but your browser doesn't support them.</p>
</body>

General Assembly &

40th International Conference

"A REVOLUTIONARY
VISION FOR AUSTRALIAN..."

TVN AND THE AUSTRALIAN
INDUSTRY

THE AUSTRALIAN INDUSTRY

THE AUSTRALIAN INDUSTRY

THE AUSTRALIAN INDUSTRY

RACING BROADCAST HISTORY

RACING BROADCAST HISTORY

RACING BROADCAST HISTORY

RACING BROADCAST HISTORY

TVN HISTORY

TVN HISTORY

TVN HISTORY

TVN HISTORY

TVN HISTORY - 2005

TVN HISTORY - 2006

TVN VISION

TVN VISION

TVN TODAY

TVN TODAY

TVN TODAY

TVN TODAY

TVN TOMORROW

General
Assembly &

40th
International Conference

International Federation of Horseracing Authorities

Monday
October 2, 2006

End of slide show, click to exit.

General Assembly &

40th International Conference

International Federation of
Horseracing Authorities

Monday October 2, 2006

"A REVOLUTIONARY
VISION FOR AUSTRALIAN..."

A REVOLUTIONARY VISION FOR
AUSTRALIAN RACING

TVN Chief Executive Peter
Sweeney

TVN AND THE AUSTRALIAN
INDUSTRY

TVN is the World’s Newest
Thoroughbred Racing Dedicated Broadcaster

Revolutionising Australia’s
Vision of Racing

THE AUSTRALIAN INDUSTRY

THE AUSTRALIAN INDUSTRY

Thoroughbred Wagering - $11.7
Billion p.a.

75% TAB & 25%
Corporate/On-Course Bookmakers

Varying % of Revenue Returned
to Industry

THE AUSTRALIAN INDUSTRY

Prizemonies - $344 million p.a.
(3rd in world)

World’s second largest breeding
population

RACING BROADCAST HISTORY

1986 - SKY Channel established
by PBL (Kerry Packer)

SKY Channel delivers exclusive
broadcasts of Australian racing to hotels and betting agencies

RACING BROADCAST HISTORY

1995 - Murdoch’s NEWS CORP buys
50% stake in SKY Channel for $75 million

SKY Channel distributes racing
broadcasts to homes through Australia’s new cable TV network

RACING BROADCAST HISTORY

SKY Channel held rights
monopoly

Racing Clubs could not
collectively negotiate rights fees due to:

Administrative division/staggered
agreements

Government legislation
restricting collusive bargaining

1998 - TAB LIMITED purchases
100% of SKY Channel

RACING BROADCAST HISTORY

Rights fees driven down by SKY
Channel

Race Clubs paid for racing
broadcast production

Limited presentation of
thoroughbred racing due to shared air time with other codes

TVN HISTORY

TVN (ThoroughVision) founded in
2001

Established by Racing Victoria
to regain Victorian racing club control over exploitation of media rights

TVN HISTORY

Major Sydney metropolitan clubs
joined TVN in 2004 at expiration of SKY Channel contracts

Key impetus for change in
Australian broadcasting landscape

TVN HISTORY

Difficult road to regain
control over broadcasting

TVN efforts to joint develop
dedicated TV channel with TABCORP/SKY rejected in January 2005

TVN HISTORY

TVN establishes independent
television channel to broadcast Sydney, Melbourne & Victorian racing

First broadcasts in February
2005 through utilisation of government’s open access digital TV legislation

TVN HISTORY - 2005

Racing pictures split between
SKY and TVN throughout homes, hotels and betting agencies

No TVN access to some regional
areas due to SKY’s exclusive contracts with cable TV carrier Austar

TVN HISTORY - 2006

Results in declining wagering
revenue

Legal challenges/revenue
pressure result in TABCORP backdown and new shared broadcast arrangement with
TVN (currently under review by ACCC)

TVN VISION

Allow industry to control own
destiny through proper leveraging and exploitation of media rights

Re-invigorate industry by
providing a dedicated thoroughbred racing channel

TVN VISION

Create a vehicle for the
presentation of thoroughbred racing equal to any sports broadcaster in the
world

Converge and develop other
commercial aspects of thoroughbred racing (e.g. radio/data etc.)

TVN TODAY

Media network and production
facilities delivering content through TV, Internet and mobile devices

Live broadcast of Australia’s
and the world’s best racing

Broad variety of thoroughbred
programming presented by Australia’s leading racing commentators

TVN TODAY

Live and on demand racing
vision through Internet

Delivering race video replays
and finishes to mobile telephone users

Live racing to mobile
telephones currently in development

TVN TODAY

Domestic cable television
service - $1 per month subscription

Distributed to over 4500 hotels
and betting agencies

Agreement in principle to reach
1.6 million through cable television channel packaging

TVN TODAY

Exclusive broadcasting and
distribution agreements with Australia’s biggest racing clubs

Broadcast of race meetings
constituting over 40% of total Australian wagering turnover

Plan to secure rights to
expanded Australian racing as existing SKY/race club agreements expire in
other states

TVN TOMORROW

Enhanced delivery of world’s
best thoroughbred racing across new media platforms

Continued innovation in
thoroughbred racing broadcasting, programming and content

Positioned to exploit other
commercial assets to leverage true value of Australian thoroughbred racing

Good Morning,

I am delighted to
be here today to talk with you about TVN - the world’s newest
thoroughbred racing broadcaster – and to offer some insight
into the developments which have revolutionised the way Australians see our
sport.

Firstly, I’d
like to provide you with some brief background on the unique structure of the
Australian thoroughbred racing industry.

Racing in
Australia has a proud history of excellence and is an industry of long
standing cultural, sporting and economic significance. In a country
with a current population of around 20 million, over 20,000 races are staged
annually, giving Australia the highest ratio of races to population in the
world.

Racing enjoys a
strong base in each of Australia’s eight states and
territories, where major clubs stage meetings in cities and provincial
regions throughout the year. These clubs are overseen by controlling bodies
at state level and operate under government authority.

The operation of
wagering across the country is divided between several privatised TAB
monopolies, along with on-course bookmakers and a burgeoning crop of
corporate bookmakers.

Nearly $12
billion is generated per year in total thoroughbred racing wagering
turnover, with three-quarters of this amount flowing through the TABs.

A varying
percentage of TAB betting revenue is returned to the raceclubs and the racing
industry under government regulation.