T.A.B. profit $15M

Press, 31 October 1981, Page 21

T.A.B. profit $15M

PA Wellington The T.A.B. has reported a profit of almost $l5 million for the 1980-81 racing season but called the result “unsatisfactory.” The chairman, Mr J. A. L. Bennett, said that profit of $14,815,740 for the year to July 31 was below last year’s $15,132,000 and because of a higher turnover of $385.6 million ($366.3 million last year) the rate of profit was down — from 4.13 per cent to 3.84 per cent.

Mr Bennett said inflationcaused rising costs should be cut in the next year by automation of offices still using manual systems and that 0.25 per cent in the rate of commission on turnover, effective November, 1980,

had reduced the impact of cost increases.

“But long term, our turnover must keep pace with inflation, and to ensure this, we will be looking to introducing new bet types as soon as the computer system development will permit.” Mr Bennett blamed some of the T.A.B.’s betting problems on illegal punting with bookmakers and said the time for more severe penalties and a more positive campaign against bookmaking was long overdue.

He said the unsatisfactory rate of growth* of T.A.B. betting could also be attributed to the ever-increasing number of $5, $lO and $2O lotteries authorised by the Government.

Such lotteries took large amounts of money out of

circulation for several weeks and contrasted this with the T.A.B.’s redistribution on an almost daily basis. “While the T.A.B. pays dividends of reasonable dimensions to a relatively large number of its customers, and so, the money keeps going around, lotteries endow a few lucky people with large sums which, in the main don’t go back into betting.” Mr Bennett said week-day betting in the season just ended accounted for 52 per cent of all turnover (54 per cent last year) and noted that average turnover for such meetings was 3.2 per cent higher in 1979-80. Saturday's average turnover per meeting was 2.8 per cent lower in 1980-81 than the previous season.