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Investor Presentaiton

Capital Management Capital management philosophy based on creating long-term shareholder value Maintain broad and expedient access to the capital markets ■ Ideal target is 3.0x-4.0x net leverage - willing to go higher for a strategic investment Engage in open and active dialogue with rating agencies and institutional investors Investments focused on creating long-term shareholder value ■ Invest in organic investments to expand offerings in high growth areas with returns above cost of capital ■ Pursue strategic acquisitions ■ Dividends are considered annually by the Board of Directors based on the health of the Company ■ Opportunistic share repurchases dependent upon free cash flow generation, leverage levels and other investment opportunities to grow the business 59 CHURCHILL DOWNS INCORPORATED
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