Profile: Empire Resorts Inc (NYNY.OQ)
20 Dec 2013
Empire Resorts, Inc. (Empire) is a holding company for various subsidiaries engaged in the hospitality and gaming industries. Through its wholly owned subsidiary, Monticello Raceway Management, Inc. (MRMI), it owns and operates Monticello Casino and Raceway, a 45,000 square foot video gaming machine (VGM) and harness horseracing facility located in Monticello, New York. As of December 31, 2011, Monticello Casino and Raceway operated 1,110 VGMs, which includes 1,090 video lottery terminals (VLTs) and 20 electronic table game positions (ETGs) as an agent for the New York Lottery (NYL). VGMs are similar to slot machines, but they are connected to a central system and report financial information to the central system. The Company also generates racing revenues through pari-mutuel wagering on the running of live harness horse races, the import simulcasting of harness and thoroughbred horse races from racetracks across the country and internationally, and the export simulcasting of its races to offsite pari-mutuel wagering facilities.
Import and, particularly, export simulcasting is an important part of its business. Simulcasting is the process by which a live horse race held at one facility (the host track) is transmitted to another location that allows its patrons to wager on that race. Amounts wagered are then collected from each off-track betting location and combined into appropriate pools at the host track’s tote facility where the final odds and payouts are determined. With the exception of a few holidays, the Company offers year-round simulcast wagering from racetracks, including Aqueduct, Belmont, Meadowlands Racetrack, Penn National Race Course, Turfway Park, Santa Anita Racetrack, Gulfstream Park and Saratoga Racecourse. In addition, races of national interest, such as the Kentucky Derby, Preakness Stakes and Breeders’ Cup supplement regular simulcast programming. The Company also exports live broadcasts of its own races to race tracks, casinos and off-track betting facilities in the United States, Canada, Germany, Austria, Isle of Man, Mexico, South America and the United Kingdom.
The Company racing revenue is derived from pari-mutuel wagering at the track and government mandated revenue allocations from certain New York State off-track betting locations. In pari-mutuel wagering, patrons bet against each other rather than against the operator of the facility or with pre-set odds. The dollars wagered form a pool of funds from which winnings are paid based on odds determined by the wagering activity. The racetrack acts as a stakeholder for the wagering patrons and deducts from the amounts wagered a take-out or gross commission, from which the racetrack pays state and county taxes and racing purses. The Company's pari-mutuel commission rates are fixed as a percentage of the total handle or amounts wagered.
Empire Resorts Inc
c/o Monticello Casino and Racewa
, 204 State Route 17B,,
P.O. Box 5013
MONTICELLO NY 12701