Customers

Valued Customer:

As one of our valued customers, I wanted to personally update you on recent actions taken by the New York City Off-Track Betting Corporation (“NYC OTB”) to help improve our business and the quality of service we provide to you and thousands of other customers.

On December 3, 2009, NYC OTB filed for protection under chapter 9 of the bankruptcy code. The chapter 9 reorganization and adjustment of debts is expected to help restore the financial stability of NYC OTB going forward and is expected to result in an improved wagering experience for customers.

I would like to make it absolutely clear that this does not mean NYC OTB is going out of business. We are proud to bring the race to you and we’re working hard to keep doing so uninterrupted during our Chapter 9 case.

Furthermore, I would like to personally assure you that every one of your dollars on account with us is safe, secure and accessible, as always. Your funds have been moved into a separate, segregated bank account and their availability to you is not affected in any way by our reorganization plans. You’ll continue to be able to bet, deposit funds with us and withdraw funds from us in the same manner as before, and view the same races from the same tracks as prior to the filing of the chapter 9 case.

The purpose of this reorganization is to create a stronger, better NYC OTB for the future. The changes we will implement as a result of this process are expected to help sustain the viability of NYC OTB going forward and result in an improved wagering experience for you and all our customers.

Upon emergence from Chapter 9 and after further development and implementation of NYC OTB’s new business plan, you can expect NYC OTB to focus on enhanced technology, improved customer service, revitalized facilities and exciting places to wager. NYC OTB hopes to be a more modern and, even more exciting, entertainment source—a new NYC OTB.

To help keep you updated during this process, we have created a special website dedicated entirely to the Chapter 9 case and the reorganization process, which you can access at www.nycotbfacts.com. Additionally, should you have any questions and would like to speak to a customer service representative, please call us at (212) 221-5200 Ext. 5620.

As always, we thank you for your loyal support of NYC OTB and look forward to continuing to bring the race to you!

Sincerely yours,

Ray Casey
President and CEO