Churchill broadens focus with new subsidiary

http://www.bizjournals.com/cincinnati/stories/2009/01/19/daily16.html

Churchill Downs Inc. is restructuring its operations to broaden its focus from horse racing tracks to casino gambling, online betting and concerts.

Louisville-based Churchill Downs (NASDAQ: CHDN) announced Monday that it has created a subsidiary that will be led by current Churchill Downs racetrack president Steven Sexton, who will serve as president and CEO.

Churchill has begun a search to find someone to replace Sexton as president of the Louisville track, Churchill Downs said in a news release.

Sexton joined Churchill Downs Inc. in 2001 as president of Arlington Park Racecourse. He has been president of Churchill Downs racetrack since 2002 and has been a vice president of the parent company since 2006.

Churchill Downs officials could not immediately be reached for comment.

“The racing, gaming and entertainment we provide customers are very interdependent, regardless of whether they are delivered on-site at our tracks, casinos and OTBs, or online via TwinSpires.com or other online sites,” Churchill Downs Inc. president and CEO Robert Evans said in the release. “In the currently tough economic environment, many companies are announcing reorganizations and layoffs intended to reduce costs. Our changes here, however, are about aligning the right leaders at CDI with the strategic growth opportunities we believe exist.”

Churchill also has promoted William Carstanjen to chief operating officer, responsible for on-site operations, including racing and gambling, at Arlington Park, Calder Race Course, Churchill Downs and Fair Grounds Race Course and Slots. He also will oversee operations at all of the company’s off-track betting sites.

Carstanjen joined Churchill Downs Inc. in 2005 as executive vice president and chief development officer. In early 2008, he assumed operations responsibility for Fair Grounds and Calder.

James “Ted” Gay will replace Carstanjen as senior vice president overseeing business development. He has been with Churchill Downs Inc. since 2003.