Chairman Executive Director John D. Sabini Ronald G. Ochrym Members STATE OF NEW YORK Secretary to the Board Daniel D. Hogan RACING AND WAGERING BOARD Gail Proati Charles J. Diamond November 24, 2010 Mr, Gregory Rayburn President New York City Off-Track Betting Corporation 1501 Broadway New York, NY 10036-5572 Dear Mr. Rayburn: ‘The monthly financial report New York City Off-Track Betting Corporation (NYCOTB) filed with the Racing and Wagering Board (Board) on November 22, 2010 has been reviewed by stafE. The cash flow projections included with the filing indicates that NYCOTB will run out of available cash for operating expenses sometime in December, 2010, Given the current desperate financial position of NYCOTB it is imperative that ‘NYCOTB notify the Board how it plans to meet its statutory obligations and the date it will cease operations prior to running out of available funds', Please provide a response no later than November 29, 2010 along with the complete plan of closure including time frames and relevant contact information. In addition be sure to describe ‘what operations, if any, will continue and for how long. Very Truly Yours, oy Le "Thomas V. ta, CPA, Director of Audits and Investigations " Available funds are unrestricted cash accounts and do not include the various restricted accounts identified in ‘NYCOTB’s financial flings. 1 Broadway Center, Suite 600, Schenectady, NY 12305-2553 ‘Telephone (518) 395-5400 FAX: (518) 347-1250 “hitp:/ wow racing state.ny.us