Sportsbet Pty Ltd (Sportsbet.com.au) is pleased to announce it has reached a formal settlement with Racing Victoria Limited, settling all previous matters and agreeing on a gross profit product fee structure to assist in funding the Victorian thoroughbred racing industry both retrospectively and for the next two years.
For the period 1 August 2010 to 15 August 2012, Sportsbet.com.au will pay Racing Victoria 10% of gross revenue on Victorian thoroughbred racing, rising to a Spring Racing Carnival premium of 15% of gross revenue during October and November each year.
The agreement also sees Sportsbet.com.au making a significant contribution in funding to the Victorian thoroughbred racing industry for the period 1 September 2006 to 31 July 2010.
Sportsbet.com.au Chief Executive Matthew Tripp said the settlement of litigation against Racing Victoria provided certainty over the future Victorian thoroughbred racing product fee structure which was great news for the Victorian racing industry.
“This agreement is a win for the Victorian thoroughbred racing industry and I call upon all other controlling bodies around Australia to adopt this landmark product fee structure,” said Tripp.
“We have always said we are happy to pay our way to racing authorities and we’re delighted to agree with RVL on a fair and reasonable structure.
“We want to play a part in Victorian racing and our financial contribution shows how committed we are in assuring that Victoria remains Australia’s strongest thoroughbred racing state.”
The agreement sees Sportsbet.com.au withdrawing all Federal Court proceedings against Racing Victoria and the State of Victoria. Sportsbet.com.au has received full approval under Victorian legislation for the period specified above and will have use and publication rights of race field information pursuant to Racing Victoria’s existing race fields policies.
This agreement will have no material impact on Sportsbet.com.au’s financial position as at 30 June 2010 as previously reported.