For nearly 90 minutes, Churchill Downs Inc. president and CEO Thomas Meeker played things pretty much by the book.
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Thomas Meeker leaves a reinvigorated Churchill
Downs after $121 million in improvements. |
In a question-and-answer session with reporters, he discussed everything from failed attempts to get casino gambling in Kentucky to the industry’s antiquated tote system to the merits of Polytrack, a new racing surface being tried at racetracks.
It was only late in the conversation that the hard-driving leader of the Louisville, Ky.-based thoroughbred-racing company addressed questions of a more personal nature — including his thoughts on the 132nd running of the Kentucky Derby being his last at the helm.
Earlier this year, Meeker announced that he would retire in spring 2007, and possibly sooner than that if the company found a suitable replacement.
Churchill has engaged Heidrick & Struggles International Inc., a London-based senior-level executive search firm, to help the company find a successor to Meeker, 62, who has directed the company since 1984. Meeker said the interview process is under way, but no clearly identified candidates have emerged at this point.
In the interview, Meeker described Derby Day as an exhausting one for him: 24 hours rife with worry and concern.
Will the weather hold? Is everybody safe? Have all of the last-minute tasks been accomplished?
“You’re at the lowest point when the horses are being loaded in the gate,” Churchill’s longtime leader said. “There, it’s a function of fear. I just want the horses to break right. The first time they pass us, I want to see them all out there — no problem. I want to see all of them pass the finish line.”
At that point, Meeker said, he can exhale, smile and return to the order of the day, which includes congratulating the victor’s connections in the winner’s circle and meeting and greeting the rich and powerful who travel to the city each year for its most famous moment.
Continuing his reflections on the Run for the Roses, Meeker pointed to several “vivid memories,” including Alysheba’s triumph in 1987, which gave veteran trainer Jack Van Berg his only Derby win, and legendary jockey Bill Shoemaker’s fourth and final Derby victory aboard Ferdinand in 1986.
“The Derby gives something to the right people at the right time,” Meeker said. “It has a unique quality about it. That’s what I’ll miss. Just being a part of that.”
In his time at Churchill, Meeker has guided the company through a period of unprecedented expansion and growth. Along the way, he has earned the reputation of being a tireless worker, who learned the racing industry while on the job. Outspoken at times, the Churchill CEO has been criticized for occasional arrogance while being lauded as an innovator.
He is known for having both a temper and a wry sense of humor.
On Meeker’s watch, Churchill spent millions of dollars acquiring racetracks and now owns six facilities in five states. The company’s properties are its namesake track in Louisville; Ellis Park in Henderson, Ky.; Hoosier Park in Anderson, Ind.; Arlington Park outside Chicago; Calder Race Course in Miami; and Fair Grounds Race Course in New Orleans.
Churchill invested heavily in its simulcast program and now broadcasts its races to an audience of bettors across the country.
It also completed a massive, $121 million overhaul of its flagship Louisville facility in 2005, a move that turned the aging but venerable racetrack into a more modern venue capable of generating revenue from sources such as convention and meeting space available for rental even on days when the track is dark.
Meeker said he has some say in who his successor will be but is not involved in the interview process. He added that the next CEO won’t necessarily come from the racing industry — after all, he didn’t — but will need to have an understanding of the global marketplace, which he sees as the new frontier for U.S. racing.
“In 1984 when I came here, we had a market that was 25 miles around the track,” he said. “Here we are a number of years later, and the world is round. We’ve got to figure out how to execute our various strategies that will allow us to deliver our products, primarily wagering products,” to the rest of the world.
As Churchill ponders its future under new leadership, are more racetracks part of its growth strategy?
Meeker would not answer that question directly, citing the company’s policy against commenting on business development opportunities. But Churchill is considered one of the industry players capable of making an investment in properties owned by the New York Racing Association, the financially troubled organization that operates three tracks — Aqueduct, Belmont and Saratoga — in that state.
Churchill will do “whatever it takes” to ensure the long-term future of New York racing, Meeker said.
“It is important for the industry that [New York racing] has a sense of longevity,” he said. “It is too large a market for the rest of the industry to let it go away.”
Looking at his 22-year tenure at Churchill, Meeker said he is most proud that the company — because of employees’ and board members’ diligence and willingness to accept change — has been able to raise its profile through its simulcast product and stable of racetracks to become a market leader.
“We took [it] from a small-market company, which was a B-class organization, to a leadership role in about six years,” he said.
His biggest disappointment with the company? Without a doubt, Meeker said, it’s the inability of the Kentucky General Assembly to pass legislation that would lead to alternative gaming in the state.
“It’s troublesome to me that we have 12 years at it, and we’ve gotten nowhere,” he said, frustration evident in his voice. “Here we have the mecca of horse racing, the mecca of the sports industry … and we can’t seem to get any traction.”
As for his own future, Meeker was noncommittal about his plans. He said he will spend about six months “decompressing” before deciding what he’ll do. He plans to stay in Louisville near family and probably won’t work in the horse racing industry again.
“Our plans are pretty ill-defined at this point,” he said. “What we’ve got to do now [at Churchill] is find the right leader to take this thing to its next level. It’s got terrific potential. I think we’ve left the company in a position where it’s poised for some significant growth.”
John R. Karman III writes for Business First in Louisville, an affiliated publication.
