1. SOUTH AFRICA RACING INTO THE FUTURE Cindy:

2. SOUTH AFRICA

3. First Race Meeting held 1804 Jockey Club Founded in Port Elizabeth in 1882 Jockey Club moved to Johannesburg in 1904 THE NHA : Racing

4. THE NHA : Structure of Board 7 Directors elected regionally by members 4 Directors appointed by - Gold Circle - Phumelela - Breeders - Owners Chief Executive 2 Co-opted to achieve transformation

5. THE NHA : Regulatory System the maintenance and operation of the General Stud Book; the licensing and/or registration of all relevant participants in the sport; the formulation and revision of the rules of the sport and of breeding; the monitoring of training and the regulation of racing;

6. THE NHA : Regulatory System (Continued) the operation of a laboratory to discourage the use of prohibited substances; the operation of an effective disciplinary and appeals system; the recording and publication of all relevant data on the sport; the handicapping of horses.

7. Racing Operators : Racecourses Phumelela - Turffontein - Newmarket - Vaal - Bloemfontein - Kimberley - Arlington - Fairview Gold Circle - Greyville - Clairwood - Scottsville - Kenilworth - Durbanville

8. CONSOLIDATION Racing division Betting division Management Racing division Betting division Management Tellytrack International Saftote Publishing TRAINING CENTRES 13 RACE CLUBS 7 TOTES BROADCASTING TRANSPORT CONSOLIDATION

9. SOUTH AFRICAN PROVINCES

10. NEW BUSINESS MODEL INCOME Stabilised Growth COST Restructured / reduced Sustainable profitability

11. Increased interest in racing Increased turnover Continuity Reduced risk Better asset utilisation Benefits of imported simulcast IMPORTATION OF NEW PRODUCTS MAURITIUS ZIMBABWE UK DUBAI USA HONG KONG FRANCE KENYA

12. EXPORT OF SA RACING USA UK ASIA EUROPE Income Larger pools Development of expertise and experience Benefits of exported simulcast of South African racing

13. UK RACETRACKS (Super Tracks in bold/gold) 4 27 31 2 5 6 1 8 10 13 11 16 26 12 14 20 21 3 9 15 17 18 23 29 19 30 22 28 25 24

14. INTERNATIONAL SIMULCAST International Broadcasting USA, UK, Russia, Belgium, France, Kenya, Ghana, Italy, Spain, Germany, Tasmania, Austria, Mauritius and Zimbabwe

15. DUBAI

16. INTERNATIONAL SIMULCASTING CHALLENGES Total service provision Commingling Regulatory / tax issues Risk assessment Exchange control risks Piracy / betting exchanges

17. GLOBALISATION OF RACING Where do you stand?

18. RACING STATISTICS Season Ended 31 July 2004 12 Racecourses 436 Race Meetings 3 965 Races 176 Trainers 125 Jockeys 6 190 Horses in Training 41 840 Starters R179 088 335 Stakes Paid

19. RACING STATISTICS Betting Turnover 30 April 2005-R6,610 Bn 30 April 2004-R5,739 Bn 30 April 2003-R5,619 Bn 30 April 2002-R4,926 Bn

20. BREEDING STATISTICS Season Ended 31 July 2004 491 Breeders 106 Stallions 4 272 Broodmares 2 950 Foals (Estimated)

21. National Yearling Sales 200320042005 Lots Sold428457477 Aggregate Value63 835 000 89 745 00 40,58% 105 140 000 17,15% Average Price149 147 196 379 31,67% 220 419 12,24% Highest Price1 700 000 2 000 000 17,64% 3 300 000 65%