"Breeders Cup For Dummies"
 
 
by Jim Lambert
Founder Horse-Race-Handicapping.com
 
The Real Scoop On Breeders Cup

The easiest way to describe Breeders Cup is to picture a pyramid.  There are two organizations at the top of the Breeders Cup pyramid.  They are the NTRA (National Throroughbred Racing Association) and the Breeders Cup Limited (Ltd).  Breeders Cup Ltd oversees the Breeders Cup Foal and Stallions Nomination programs in conjunction with the Breeders Cup Stakes program which will include 125 stakes races in 2005 culminating in the Breeders Cup Championships October 29, 2005 at Belmont Park. Breeders Cup Ltd works closely with the NTRA to integrate Breeders Cup Purse and Award distributions into the Purse structures defined by the participating racetracks and their sponsors.  Together the NTRA and Breeders Cup Ltd are a formidable duo and seek to expand public awareness of the U.S. and Canadian thoroughbred racing industry.  They provide a forum in which the best assets of the sport are presented in all their glitter and glamour to adoring masses. 

The plan seems to be working.  In the year 2000 the adoring masses wagered over $108 million for the Breeders Cup Championships held at Churchill Downs in Louisville, Kentucky.  If you do the math, you see that about $20 million of that total went to purses, awards, and track operating expenses, it was a very good day indeed for the NTRA-Breeders Cup Ltd two-headed giant.  In 2002 at Arlington Park, $108.5 million was bet on the Breeders Cup Championship races, breaking the previous record.  A new record of $109.8 million was established in 2004 at Lone Star Park.

Back to the pyramid, so who is at the bottom?  That would be you and me and all our friends, in other words, the adoring masses.  The fans spend money either by betting on the races or by buying racing paraphernalia, or by purchasing the products advertised on television and the internet and printed matter by Breeders Cup sponsors.  We, the betting and buying public, are one of the the prime targets of this multi-million dollar annual championship series.  And boy do we respond, to the tune of about $100 million wagered on Breeders Cup Day alone.

In the center of the pyramid are the everyday horsemen.  These folks are the breeders, owners, trainers, hotwalkers, grooms, jockeys, racetrack administrators, and anyone else responsible for the day-to-day operations that keep the industry running smoothly.  They are the heart and soul, the backbone of the racing industry and nothing works without them.  The owners and breeders also provide the Stallion and Foal Breeders Cup Nomination fees which in large part fund the Breeders Cup Purse and Awards distribution programs.  And do not forget the Breeders Cup race entry Supplemental fees.

Together the top, middle, and bottom cross-sections of the Breeders Cup pyramid form a three-tiered partnership, and Breeders Cup Championship Day is the big party where all partners are invited.

So where does it all start?  That would be the breeding farm, of course.  It starts when a breeding farm forks over $500 to nominate a promising weanling for future Breeders Cup purse distributions.  For instance, the nomination deadline is October 15, 2005 for 2005 weanlings.  The Breeder will receive Breeders Cup Awards distributions every time the weanling finishes first, second, or third in future Breeders Cup Stakes races.  And the future owner will be eligible to receive Breeders Cup purse distributions as well.  In a typical Breeders Cup Stakes race (there are 125 to be run in the U.S. and Canada in 2005) about 2/3 of the purse money is put up by the racetrack and its sponsors and about 1/3 is put up by Breeders Cup Ltd.  If a Breeders Cup nominated horse wins then the connections get the winner's share of the entire purse. If a non-nominated horse wins the connections get the winner's share of only the racetrack sponsored portion of the purse.  This is a huge incentive for the breeders, owners, trainers, and riders to be caring for and nurturing Breeders Cup nominated horses.

Not just the weanling gets nominated, but the stallion gets nominated also.  In fact, a weanling cannot be nominated unless the stallion has also been nominated.  Of the over 3,000 stallions standing each year, some 1,200 are nominated annually.  Stallions must be nominated every year to maintain eligibility.  The Stallion annual nomination fee is equal to the going stud fee but not less than $1,000.  If his progeny finishes first, second, or third in Breeders Cup Stakes races, Breeders Cup awards distributions are presented to the nominating breeder for which the stallion stands, similar to the awards program for horses nominated as weanlings.

How do the dollars add up?

The Breeders Cup Ltd is funding about $7.3 million in 2005 for Breeders Cup Stakes races, an increase of over $205 thousand from 2004.  There are 15 new Breeders Cup Stakes races this year, bringing the total U.S. and Canadian eligible races to 125.  This does not include the eight races on Championship Day, October 25, 2005, for which Breeders Cup Ltd provides $14 million  in purses.  Total purses for the 125 pre-Championship Breeders Cup Stakes races are roughly $22 million.  Since 1984, Breeders Cup Ltd has distributed over $345 million in Purses and Awards.  That's quite a bit of cheese.

Of the 125 Breeders Cup Stakes races, 69 are Graded stakes run in the U.S. and 6 are Graded stakes run in Canada.  This leaves a balance of 50 non-Graded stakes races.

Beginning July 1, 2005, all Breeders Cup Grade I events will be run weight-for-age.  This is a victory for horsemen and for the horses themselves, as unruly Handidcap weight assignments are no longer allowed for these events.  This is also a victory for bettors, as weight-for-age is a more fair and thus more predictable circumstance for race handicapping. 

Finally, how does a horse qualify for the Breeders Cup Championship Day races?  A maximum of 14 starters are allowed in each Championship Day race.  If more then 14 horses are entered then the race is "oversubscribed."  This is where the Breeders Cup points system kicks in.  During the year, horses that finish first, second, or third in Graded stakes races earn points.  More points are earned in Grade 1 events than in Grade 2 events.  For example, a winner of a Grade 1 race earns ten points, while a winner of a Grade 2 race earns six points.  The number of points a horse has is critical when a race is oversubscribed.  The first seven positions in an oversubscribed field are ranked based on the point system.  These seven get to run based on their points.  The last seven positions are determined by a combination of points earned and the opinions of an expert panel.  This provides a "buffer zone" to allow late bloomers to get a chance to race against their peers.

That's Breeders Cup in a nutshell.  Horse-Race-Handicapping.Com is your first and last stop for Breeders Cup 2005 coverage.  Mark us on your Favorites and don't feel like a stranger.  You are always welcome at  Horse-Race-Handicapping.Com.

Jim Lambert
President
Horse-Race-Handicapping.Com

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