KEY POINTS:
New Zealand Racing Board chairman Warren Larsen is quitting after falling out of favour with the thoroughbred industry.
Racing Minister Winston Peters said in a statement yesterday that Larsen would not be reappointed to the board for a second term.
"Larsen has lost the support of the thoroughbred code and will not be continuing as chairman for a second term," Peters said.
Peters said the board had, under Larsen, made significant progress to improve the profitability of the racing industry, putting in place sustainable growth strategies.
In a statement Larsen said it remained too easy for many within the industry to focus only on their own needs.
"Racing could be a $2 billion industry for New Zealand but to reach that revenue target, leadership of the racing industry must have the ongoing support of all three codes," Larsen said.
"It is clear I no longer have the support of the thoroughbred code."
Larsen said that under his leadership the board's operating profit had increased from $75 million to $85.7 million in the past three years.
A further $10 million had been invested in industry growth initiatives in this period and balance sheet strength of the business maintained, he added.
Profit growth had again exceeded target levels in the current season.
Larsen said the bringing together of three highly competitive racing codes (thoroughbreds, harness and greyhounds) was always going to be a major challenge.
"And without the full support of all three, it's impossible to continue to deliver the changes needed to ensure that racing reaches anywhere near its potential contribution to the New Zealand economy.
"It is disappointing that I am departing at a time when an obviously successful strategy has only been partly implemented."
Larsen was appointed when the board was inaugurated in August 2003, taking over the functions of both the TAB and New Zealand Racing Industry Board.
- NZPA
