MEC believes that this Chapter 11 restructuring will bring its level of debt in line with current economic realities and take pressure off its operations, which have historically been burdened with significant interest expense and financing fees. In today’s difficult economic environment, many companies are using a Chapter 11 filing to substantially reduce debt and position themselves for future growth.
In Maryland, live racing will continue at Laurel Park as scheduled on a Wednesday through Saturday schedule until April 11 with simulcasting at Laurel and its sister track, Pimlico Race Course on Sunday, Monday and Tuesday. Live racing will shift to Pimlico for the spring meeting after the Easter holiday, headlined by the 134th running of the $1 million Preakness® Stakes (Grade I), the middle jewel of racing’s Triple Crown.
“As far as are guests are concerned there will be no change to the operation,” said Maryland Jockey Club president and chief operating officer Tom Chuckas. “The employees will not have to worry about payroll and the horsemen’s purse account is protected. This is a tough time and very unnerving but at the end of the day it will create a more positive environment and a much stronger company.”