Slow Out Of The Gate: Kentucky Derby Feeling Economic Pinch

The current economic climate is "creating opportunities for people who typically find themselves squeezed out" of attending the Kentucky Derby, according to Jessie Halladay of the Louisville COURIER-JOURNAL. Tickets "can still be obtained" for both Saturday's Derby and Friday's Kentucky Oaks, and Louisville Convention & Visitors Bureau President Jim Wood said that hotel rooms overall will "see a vacancy rate of [15-20%] this weekend." Hotels in typical years "reach nearly 100[%] capacity." Wood said that the Derby traditionally "gives the Louisville economy a boost of [$118-120M] in revenue." But officials indicated that number this year will be closer to $100M. Wood noted that there also are companies "that have decided not to host clients during the festivities." PNC Bank and National City spokesperson Fred Solomon said that the recently merged company will "continue to host clients at the Derby, recognizing the importance of supporting the local economy and building business relationships." However, he added that things "were scaled back." Halladay reports betting also "could be hurt by [the] economy." Churchill Downs Inc. (CDI) Senior VP/Communications & National Public Affairs Kevin Flanery said that the betting handle "has been down" across the U.S. during the past year. But he added that CDI officials are "focused on putting together a good program for the Oaks and Derby that will entice bettors" (Louisville COURIER-JOURNAL, 4/29).

STATE-WIDE EFFECTS: In Lexington, Todd Vancampen noted parties around the Derby are "taking a hit." Organizers earlier this year "citing the economy ... canceled the Lexington Derby Ball, which raised money for the Lexington Cancer Foundation." While the Makenna Foundation's Evening of Champions party on Friday is proceeding, with "between 450 and 500 tickets already sold for the party," the Makenna Foundation "opted not to raise ticket prices -- $225 per person." Makenna Foundation Exec Dir Sheila David said the organization "felt this was not the year to do so," and the foundation's live auction was also cut. Meanwhile, Lexington's Griffin Gate Marriott Resort & Spa is "typically sold out of rooms six to nine months before Derby Day," but it has around 25% of rooms still available for the weekend (LEXINGTON HERALD-LEADER, 4/26).

SOME PEOPLE STILL WANT TO PARTY: In Louisville, Katya Cengel reports Patriots QB Tom Brady, WR Randy Moss and LB Tedy Bruschi, Giants QB Eli Manning and Gs Chris Snee and David Diehl, Chiefs QB Matt Cassel and LB Mike Vrabel, Packers QB Aaron Rodgers and IRL driver Danica Patrick are expected to attend Friday night's Barnstable Brown Gala at the Kentucky Derby (Louisville COURIER-JOURNAL, 4/29).

JettStream Productions Develops Official Art Program Of Kentucky Derby

GET YOUR MERCHANDISE: The BUSINESS FIRST OF LOUISVILLE's Ben Adkins reports every year the variety of Kentucky Derby-related products "grows, as do the number of companies making them." However, a "mainstay among local merchandisers" is JettStream Productions, which has been "responsible for developing the official art program" for the Kentucky Derby and Kentucky Oaks since '01. When JettStream originally began creating "posters and postcards bearing images that were adapted to tickets," and that has grown into an "evolving range of products that ... includes wine glasses, mugs, coasters and fashion accessories." CDI Senior Dir of Marketing & Licensing Casey Cook said that JettStream President & CEO Clare Jett "knows what fashion consumers want and balances that with a knowledge of fine art" (BUSINESS FIRST OF LOUISVILLE, 4/24 issue).

INSIDE LOOK: NBC's "Today" is airing segments each day this week on something related to the Kentucky Derby to promote Saturday's telecast. This morning’s segment on featured chef Tyler Florence creating a “classic Kentucky Derby spread.” Florence said “fried chicken” is the classic dish for the Derby and “it’s the art of fried chicken.” Florence also demonstrated the proper method for making a Mint Julep (“Today,” NBC, 4/29). Meanwhile, NBC's Hoda Kotb and Kathie Lee Gifford yesterday discussed the fashionable cocktails to have at the race with author Bethenny Frankel ("Today," NBC, 4/28).