High takeouts at Pennsylvania track hurts horseplayers

By Richard Eng Las Vegas Review-Journal

9 years ago

Jun 6, 2015; Elmont, NY, USA; Owner Ahmed Zayat, jockey Victor Espinoza and trainer Bob Baffert celebrate American Pharoah (5) won the 2015 Belmont Stakes and the Triple Crown at Belmont Park. Mandatory Credit: Brad Penner-USA TODAY Sports

Jun 5, 2015; Elmont, NY, USA; American Pharoah owner Ahmed Zayat during a television interview the day before the 2015 Belmont Stakes at Belmont Park. Mandatory Credit: Brad Penner-USA TODAY Sports – RTX1F9H4

When Pennsylvania approved casino gaming at its racetracks, it was as if printing money was now legal.

There was now lots of cash to go around. To the horsemen, to the racetracks, but unfortunately not the horseplayers.

Ahmed Zayat, owner of American Pharoah, said one of the reasons he didn’t race the Triple Crown champion in the $1 million Pennsylvania Derby at Parx was because of how the horseplayer was treated.

What he meant was the takeouts at Parx are among the highest in the country.

It’s an odd tactic because the formula for success is firmly in place at Parx, if only they would include the betting public.

For example, take Kentucky Downs. The track offers huge purses because of revenue from Instant Gaming machines. But it has included the horseplayers by offering some of the lowest takeouts in the sport.

In fact, HANA ranks Kentucky Downs as the best racetrack in America to bet on.

Regardless, Parx is running the Pennsylvania Derby and Cotillion on Saturday, and both are $1 million stakes.

Horses and horsemen have shown up in droves because they are getting paid.

The top two horses in the Derby are Frosted (5-2) and Upstart (9-2), who ran third and fourth in the Travers at Saratoga to Keen Ice and American Pharoah. If they run to Hoyle, it will be an ice cold quinella.

Gimme Da Lute (5-1) from trainer Bob Baffert is a real danger. He may not warm up stablemate American Pharoah, but he’s good enough, with a decent trip, to upset these.

In the Cotillion, I’m a Chatterbox (3-1) and Embellish the Lace (4-1) are favored. They are the top two finishers in the Alabama at Saratoga.

Take Charge Brandi (5-1) is an interesting filly from trainer D. Wayne Lukas. Expect Luis Saez to put her on the lead, and she might never look back.

SANTA ANITA STRAIGHT BETS — I had dinner with two Santa Anita executives this year. One of the topics discussed was takeout, and why it can’t be lower in our industry.

It’s a much more complex issue than one would believe.

For example, it’s not a simple relationship between the racetrack and the horseplayers. There are other parties involved, such as the horsemen, the state government and the bet takers in the simulcast market. Everyone needs to get paid.

Thus, I found it ironic that Santa Anita, in advance of opening day Sept. 26, promoted its 15.43 percent takeout on the 50-cent Pick 5 and win, place and show pools. Now, these takeouts were not lowered, nor are they germane to just Santa Anita.

But on the national landscape, they offer some of the best value in horse racing. What I would still like to see, even as a one-meet experiment, would be to lower the straight pools to 12 or even 10 percent.

My thoughts are it would greatly increase the churn in win, place and show pools, and make up for some of the lost revenue. In straight pools, horseplayers cash a lot more tickets, thus getting more money back from winning to re-bet is a good thing.

It is also a healthier way to get more newcomers interested in handicapping and betting than, say, the high takeout Pick 6. There the money goes from the hands of many into the pockets of few.

Richard Eng’s horse racing column is published Friday in the Las Vegas Review-Journal. He can be reached at rich_eng@hotmail.com. Follow him on Twitter: @richeng4propick.