Churchill Downs Incorporated Withdraws From Empire Racing Associates' Bid for New York Racing Franchise

Churchill Downs Incorporated (NASDAQ: CHDN) (“Company”) today announced that it is withdrawing from Empire Racing Associates’ (“Empire Racing”) bid to operate the New York racing franchise.

Churchill Downs Incorporated was one of several business entities that joined in Empire Racing’s bid to operate the three New York Thoroughbred racetracks. Empire Racing responded to the formal request for proposal (“RFP”) issued by the State of New York seeking outside parties to bid on the New York franchise.

“When our Company took a position in Empire Racing in August 2006, we were joining a very diverse, accomplished, resourceful and highly motivated group of business partners, including New York horsemen, whose common goal was creating a framework that would ensure the success of New York horse racing,” said Robert L. Evans, president and chief executive officer of Churchill Downs Incorporated. “Since that time, the make-up of Empire Racing has changed significantly, and the bidding and selection process is now undefined. We continue to believe that Thoroughbred racing’s success in the United States requires that New York racing be economically viable. Churchill Downs Incorporated simply wants what’s best for New York horse racing, regardless of whether our Company plays a role in the ultimate solution. Remaining part of Empire Racing is not serving that goal, so we’ve ended our participation in Empire Racing.”

Churchill Downs Incorporated (“Churchill Downs”), headquartered in Louisville, Ky., owns and operates world-renowned horse racing venues throughout the United States. Churchill Downs’ four racetracks in Florida, Illinois, Kentucky and Louisiana host many of North America’s most prestigious races, including the Kentucky Derby and Kentucky Oaks, Arlington Million, Princess Rooney Handicap and Louisiana Derby. Churchill Downs racetracks have hosted seven Breeders’ Cup World Championships. Churchill Downs also owns off-track betting facilities and has interests in various advance-deposit wagering, television production, telecommunications and racing services companies, including a 50-percent interest in the national cable and satellite network HorseRacing TV™, that support the Company’s network of simulcasting and racing operations. Churchill Downs trades on the NASDAQ Global Select Market under the symbol CHDN and can be found on the Internet at www.churchilldownsincorporated.com.