PHUMELELA TURFFONTEIN RACECOURSE

OPERARTIONS

Horseracing & Tote Betting

Phumelela conducts horseracing and operates tote betting in four of South Africa's nine provinces - Gauteng, the hub of the country's horseracing industry, Free State, the Eastern Cape and the Northern Cape. Phumelela also operates tote betting in Mpumalanga, North West and Limpopo provinces, all of which have no racecourses.

Phumelela's five racecourses by province:

* Gauteng: Turffontein.
* Free State: Vaal
* Eastern Cape: Arlington and Fairview.
* Northern Cape: Flamingo Park.

Phumelela's revenue is principally derived from a commission on tote bets placed at its 5 racecourses, over 200 tote outlets and two telephone-betting centres. Phumelela also receives a percentage of the provincial taxation levied on bookmakers.

In Phumelela regions, prize money for races is governed by a stakes agreement between Phumelela and The Racing Association, in terms of which 6% of all tote bets on horseracing in Phumelela areas goes directly to the prize money.

South Africa through the use of overseas racing. In addition to local races, South African horseracing fans can now watch and bet on UK racing daily, as well as selected races from Dubai, France, Ireland, Hong Kong, Singapore, the USA, Kenya, Zimbabwe, Mauritius and other foreign venues.

It is intended to introduce more tote soccer bets, as well as tote bets on other sports. Such bets will boost tote betting turnover and provide the opportunity to migrate sports fans taking tote bets on their favourite sports to betting on horseracing.

Hospitality & Banqueting

Phumelela's hospitality and banqueting division is responsible for raceday hospitality at racecourses, charity racedays including banqueting and conferencing.

Turffontein Racecourse is not only a famous horseracing venue, but also one of the most popular banqueting venues in Johannesburg.

Race meetings at Phumelela racecourses offer exciting marketing opportunities for South African companies. The combination of a network of tote outlets, extensive media coverage (total annual value over R400 million) and horseracing fans that come from all walks of life enable Phumelela to provide exciting co-promotional opportunities to match virtually any company's target market.

Staff

Phumelela employs about 1 500 people, of whom nearly 80% are from previously disadvantaged backgrounds and enjoy significant representation in junior, middle and senior management.

CONTACT DETAILS:

Postal Address:
PO Box 82625
Southdale
2135

Physical Address:
14 Turf Club Street
Turffontein
2190
Gauteng
South Africa

Tel: +27(0)11 681-1500
Fax: +27(0)11 683-7116