{{Short description|American gambling equipment and services company}} {{Infobox company | logo = United Tote logo.svg | type = Subsidiary | owner = {{ubl|Churchill Downs, Inc. (51%)|New York Racing Association (49%)}} | industry = Bookmaking }}
'''United Tote''' is an American company that provides totalizator equipment and services for parimutuel wagering at racetracks. It is owned by Churchill Downs, Inc. and the New York Racing Association.
==History== United Totalizator was founded in the 1950s by Lloyd and Jane Shelhamer.<ref name=berman>{{cite news|title=Home on the range|newspaper=Forbes|author=Phyllis Berman|date=November 9, 1992|url=http://business.highbeam.com/392705/article-1G1-12798157/home-range|archive-url=https://web.archive.org/web/20150402152030/http://business.highbeam.com/392705/article-1G1-12798157/home-range|url-status=dead|archive-date=April 2, 2015}}</ref><ref name=johnson>{{cite news|title=Gamble pays off|work=The Billings Gazette|date=October 28, 1984|author=Clair Johnson|url=https://www.newspapers.com/article/the-billings-gazette-gamble-pays-off/145730595/|via=Newspapers.com}}</ref> The Shelhamers owned Beaumont Race Track in Belgrade, Montana.<ref>{{cite news|title=New quarter-million dollar horse racing plant at Belgrade is holding opening Memorial Day|work=The Independent-Record|location=Helena, MT|date=May 23, 1954|url=https://www.newspapers.com/article/the-independent-record-new-quarter-milli/145730414/|via=Newspapers.com}}</ref> They could not find a totalizator company willing to service such a small facility, so they purchased obsolete wagering equipment to operate in-house, and soon branched out to service other racetracks in the region.<ref name=johnson />
In 1980, the company introduced the MicroTote 1000, a computerized tote system designed to be affordable for smaller tracks.<ref name=johnson />
The company changed its name to United Tote in 1984 and made its initial public offering, raising $7 million.<ref name=berman /><ref>{{cite news|title=Shepherd firm goes public|work=The Billings Gazette|date=July 26, 1984|url=https://www.newspapers.com/article/the-billings-gazette-shepherd-firm-goes/145730505/|via=Newspapers.com}}</ref><ref>{{cite news|title=Legal Notices: Foreign Amendment (classified ad)|work=Philadelphia Daily News|date=September 13, 1984|url=https://www.newspapers.com/article/philadelphia-daily-news-foreign-amendmen/145733518/}}</ref>
In 1986, United Tote bought Sunland Park Racetrack in New Mexico for $3.5 million.<ref>{{cite news|title=Sunland Park track sold for $3.5 million|newspaper=Dallas Morning News|date=November 10, 1986|url=http://docs.newsbank.com/openurl?ctx_ver=z39.88-2004&rft_id=info:sid/iw.newsbank.com:AWNB:DMNB&rft_val_format=info:ofi/fmt:kev:mtx:ctx&rft_dat=0ED3CEC5FA3002FA&svc_dat=InfoWeb:aggregated5&req_dat=1028A39C75C2B899|via=NewsBank}}</ref> By this time, United Tote had a 10 percent market share in North America, with contracts to service 85 tracks and jai alai frontons, making it the third largest tote company after AmTote and Autotote.<ref name=cole>{{cite news|title=Running against the odds|work=The Missoulian|location=Missoula, MT|author=Jeff Cole|date=May 25, 1986|url=https://www.newspapers.com/article/the-missoulian-running-against-the-odds/145801112/|via=Newspapers.com}} ([https://www.newspapers.com/article/the-missoulian-running-against-the-odds/145801190/ Part 2 of article])</ref> It continued to operate out of the Shelhamers' ranch house in Shepherd, Montana.<ref name=cole />
The company partnered in 1988 with Wembley plc, a British operator of greyhound racing tracks, to form United Track Racing, a joint venture to acquire and operate tracks in the US.<ref name=holley>{{cite news|title=British firm buys stock in United Tote|work=The Billings Gazette|date=November 17, 1988|author=Paul J. Holley|url=https://www.newspapers.com/article/the-billings-gazette-british-firm-buys-s/145805522/|via=Newspapers.com}}</ref> United Tote would own 20 percent of the venture and would be responsible for managing the tracks.<ref name=holley /> United Track Racing acquired five greyhound tracks in South Dakota, Rhode Island, and Colorado the next year.<ref>{{cite news|title=United Tote joins venture|work=The Billings Gazette|date=December 27, 1989|author=Tom Howard|url=https://www.newspapers.com/article/the-billings-gazette-united-tote-joins-v/145806016/|via=Newspapers.com}}</ref>
In 1989, United Tote purchased its larger competitor, Autotote Systems, from Thomas H. Lee for $85 million.<ref name=berman /><ref>{{cite news|title=United Tote buys rival company|work=The Billings Gazette|date=December 12, 1989|url=https://www.newspapers.com/article/the-billings-gazette-united-tote-buys-ri/145803452/|via=Newspapers.com}}</ref> Before the two companies' operations could be integrated, the merger was challenged by federal antitrust regulators.<ref name=berman /><ref>{{cite news|title=Shepherd firm charged with fostering monopoly|work=The Billings Gazette|date=March 16, 1990|author=Tom Howard|url=https://www.newspapers.com/article/the-billings-gazette-shepherd-firm-charg/145803179/|via=Newspapers.com}}</ref> A 1991 court ruling forced the company to split back up, and the original United Tote business was divested to the Shelhamer family.<ref name=berman /><ref>{{cite court|litigants=U.S. v. United Tote, Inc.|vol=768|reporter=F.Supp.|opinion=1064|court=D. Del.|date=1991|url=http://www.leagle.com/decision/19911832768FSupp1064_11641.xml/U.S.%20v.%20UNITED%20TOTE,%20INC.|access-date=2015-03-11}}</ref><ref>{{cite news|title=Tote divestiture final|work=The Billings Gazette|date=November 2, 1991|author=Dennis Gaub|url=https://www.newspapers.com/article/the-billings-gazette-tote-divestiture-fi/145804608/|via=Newspapers.com}}</ref>
The company sold its stake in United Track Racing to Wembley plc in 1992.<ref>{{cite news|title=Tote sells interest in tracks|work=The Billings Gazette|date=August 12, 1992|author=Tom Howard|url=https://www.newspapers.com/article/the-billings-gazette-tote-sells-interest/145806194/|via=Newspapers.com}}</ref>
In 1994, the Shelhamer family sold United Tote to Video Lottery Technologies, Inc., a Montana-based maker of lottery equipment, for $20 million in cash plus $10 million in promissory notes and an earnout agreement worth up to $10 million.<ref>{{cite news|title=Company may buy United Tote|work=The Billings Gazette|date=March 1, 1994|author=Tom Howard|url=https://www.newspapers.com/article/the-billings-gazette-company-may-buy-uni/145799859/|via=Newspapers.com}} ([https://www.newspapers.com/article/the-billings-gazette-company-may-buy-uni/145799904/ Part 2 of article])</ref><ref>{{cite news|title=United Tote parent company sold|work=The Billings Gazette|author=Tom Howard|date=May 6, 1994|url=https://www.newspapers.com/article/the-billings-gazette-united-tote-parent/145799951/|via=Newspapers.com}}</ref> Video Lottery Technologies, later named Powerhouse Technologies,<ref>{{cite press release|title=Video Lottery Technologies, Inc. announces name change to Powerhouse Technologies, Inc., effective January 1, 1998|publisher=Video Lottery Technologies, Inc.|date=December 22, 1997|url=http://www.prnewswire.com/news-releases/video-lottery-technologies-inc-announces-name-change-to-powerhouse-technologies-inc-effective-january-1-1998-77947137.html|via=PR Newswire|access-date=2015-03-14}}</ref> was acquired in 1999 by Anchor Gaming,<ref>{{cite news|title=LV firm completes Powerhouse merger|newspaper=Las Vegas Sun|date=June 30, 1999|url=http://docs.newsbank.com/openurl?ctx_ver=z39.88-2004&rft_id=info:sid/iw.newsbank.com:AWNB:LVS1&rft_val_format=info:ofi/fmt:kev:mtx:ctx&rft_dat=1326F77C712F1850&svc_dat=InfoWeb:aggregated5&req_dat=1028A39C75C2B899|via=NewsBank}}</ref> which was then purchased in 2001 by International Game Technology (IGT).<ref>{{cite news|title=Casinos expect more guests, but less money, on New Year's weekend|newspaper=The Press of Atlantic City|date=December 30, 2001|author=Jeff Simpson|url=http://docs.newsbank.com/openurl?ctx_ver=z39.88-2004&rft_id=info:sid/iw.newsbank.com:AWNB:PACB&rft_val_format=info:ofi/fmt:kev:mtx:ctx&rft_dat=0F0CFF72063311C2&svc_dat=InfoWeb:aggregated5&req_dat=1028A39C75C2B899|via=NewsBank}}</ref> United Tote became part of IGT's newly formed lottery division.<ref>{{cite news|title=Reno-based company forms lottery division|newspaper=Las Vegas Sun|date=March 19, 2002|url=http://www.lasvegassun.com/news/2002/mar/19/reno-based-company-forms-lottery-division/|access-date=2015-03-14}}</ref>
IGT sold United Tote in 2003 for $12.3 million.<ref>{{cite report|title=Form 10-K: Annual Report|publisher=International Game Technology|date=December 10, 2003|page=3|url=https://www.sec.gov/Archives/edgar/data/353944/000035394403000040/k10igt2003.htm|via=EDGAR}}</ref>
In 2006, Youbet.com purchased United Tote for $31.9 million plus $14.7 million in assumed debt.<ref>{{cite press release|title=Youbet.com completes United Tote acquisition following adjustment of purchase price and payment terms|publisher=Youbet.com|date=February 13, 2006|url=http://docs.newsbank.com/openurl?ctx_ver=z39.88-2004&rft_id=info:sid/iw.newsbank.com:AWNB:BIZWIRE&rft_val_format=info:ofi/fmt:kev:mtx:ctx&rft_dat=10FC2C10E335DAE0&svc_dat=InfoWeb:aggregated5&req_dat=1028A39C75C2B899|via=NewsBank}}</ref><ref>{{cite news|title=Youbet.com agrees to buy United Tote for $49 million|date=December 1, 2005|newspaper=Daily Racing Form|author=Matt Hegarty|url=https://www.drf.com/news/youbetcom-agrees-buy-united-tote-49-million|access-date=2015-03-14}}</ref>
United Tote became part of Churchill Downs, Inc. in 2010, when that company acquired Youbet.com.<ref>{{cite news|title=Churchill Downs completes Youbet.com purchase|newspaper=Daily Racing Form|author=Matt Hegarty|date=June 3, 2010|url=https://www.drf.com/news/churchill-downs-completes-youbetcom-purchase|access-date=2015-03-14}}</ref>
In 2024, Churchill Downs sold a 49 percent stake in the company to the New York Racing Association.<ref>{{cite news|title=CDI completes United Tote stake sale to NYRA|work=iGaming Business|date=April 9, 2024|author=Robert Fletcher|url=https://igamingbusiness.com/strategy/ma/cdi-completes-united-tote-stake-sale-to-nyra/|access-date=2024-04-20}}</ref> The two organizations said they would develop a system under United Tote to expedite the addition of horse racing to sports betting platforms.<ref>{{cite press release|title=NYRA entity buys 49 percent stake in United Tote from Churchill Downs|date=August 11, 2022|publisher=United Tote|url=https://paulickreport.com/news/the-biz/nyra-entity-buys-49-percent-stake-in-united-tote-from-churchill-downs|via=Paulick Report|access-date=2024-04-20}}</ref>
==References== {{reflist}}
==External links== * {{official website|http://www.unitedtote.com/|United Tote}}
Category:Churchill Downs Incorporated Category:Horse racing companies Category:Gambling companies of the United States