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Racing’s Lifeblood – The Future

Landscape for Wagering

Speaker:

David Attenborough

Managing Director and Chief Executive Officer, Tabcorp

RACING'S LIFEBLOOD –

THE FUTURE LANDSCAPE FOR WAGERING

Address By David Attenborough

Managing Director And Chief Executive Officer,

Tabcorp Holdings Limited

Plenary Session 1

Overview of the Australian Wagering Market

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10

15

20

FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13

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Australian Racing

Wagering Turnover

Tabcorp 45%

Tattsbet 16%

RWWA 9%

Corporate Bookmakers

25%

Other 5%

FY13 Share - Australian

Racing Wagering Turnover

Other includes ACTTAB and bookmakers licensed outside of NT. Excludes Betfair

Recent Trends in Australian Wagering

Digital Wagering

Share of Total Racing Market

Fixed Odds Wagering

Share of Total Racing Market

Cash/ Phone 68%

Cash/ Phone 58%

Digital 32% Digital

42%

FY10 FY13

Fixed Odds 29%

Fixed Odds 42%

Tote 71%

Tote 58%

FY10 FY13

The Competitive Environment

• UK/Irish owned bookmakers have increased their presence in Australia

William Hill, Paddy Power, Ladbrokes, Bet365 have entered market

• A 2012 Court judgment prohibited Sportsbet (owned by Paddy Power)

from operating branded, self-service Internet betting kiosks in the

Victorian retail environment

• Offering tote odds products has driven corporate bookmaker growth

Facilitated by lower payments to racing and taxes

The Uneven Playing Field

FY13 Returns to Racing Industry FY13 State/Territory Taxes Paid

A$657m

A$80m

Tabcorp Corporate Bookmakers(nationally)

A$225m

A$2.5m

Tabcorp (NSW, Victoriaonly)

Corporate Bookmakers(NT only)

Tabcorp’s Competitive Position

• A deep customer base, trusted brands and multi-channel, multi-product network

CUSTOMER

• Customer Relationship

Management

• Analytics

• TAB Rewards Loyalty

CHANNEL

• Digital leadership,

underpinned by exclusive

retail network

• Channels work together for

overall growth

PRODUCT

• Expanded fixed odds

• Expanded international

wagering

Thank you

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Racing’s Lifeblood – The Future

Landscape for Wagering

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Moderator:

Barrie Cassidy

Panelists:

Winfried Engelbrecht-Bresges, Jennifer Owen, Breon Corcoran,

Paul Bittar, Philippe Germond & David Attenborough

Racing’s Lifeblood – The Future

Landscape for Wagering

LOGO

Racing’s Lifeblood – The Future

Landscape for Wagering