Horse Racing and Gaming Leader Churchill Downs Incorporated Selects Percussion Software's Rhythmyx 5 Enterprise Content Management Solution

WOBURN, MA - August 16, 2004 - Percussion Software, a leading developer of practical software solutions enabling customers to maximize the value and quality of enterprise content, today announced that horse racing industry leader Churchill Downs Incorporated (CDI; Nasdaq: CHDN) has selected the company’s Rhythmyx™ 5 Enterprise Content Management (ECM) solution. CDI’s flagship racetrack, Churchill Downs, is home to America ’s longest continuously held sporting event, the Kentucky Derby. Rhythmyx 5 will enhance CDI’s global online communications by making it easier for non-technical staff to create and share ideas and information, as well as manage and access text, data, images, audio, video and other valuable content assets for CDI’s extensive Web presence. Rhythmyx 5 was selected as the best content management solution for CDI in a competitive evaluation of 32 vendors’ systems.

Founded in 1874, CDI has evolved from a single racetrack in Louisville , KY., to a large sports, gaming and entertainment company with racetrack and off-track betting locations in five states as well as interests in telecommunications and racing services companies. CDI has led its industry in consolidating and developing major aspects of the horse racing and gaming business, including media and broadcast rights and merchandising.

CDI is now executing an aggressive IT campaign intended to maximize the quality of interactions with its customers, partners, and investors. At the core of this campaign is an overhaul of CDI’s e-commerce platform, including state-of-the-art Customer Relationship Management (CRM) and ECM solutions to make the Web presence more customer-focused. As a key element in the project, Rhythmyx 5 will allow business users at CDI’s many racetracks and other locations to effectively and securely manage online content to meet corporate standards for accuracy and timeliness, while technical administration of the Web presence is handled centrally by IT. Rhythmyx 5 will enable CDI to better understand and leverage its information assets and maximize relationships by delivering valuable information to customers.

Atique Shah, CDI’s vice president of customer relationship management and technology solutions, explained, “We’re rolling out an integrated CRM/ECM solution that allows us to deliver content seamlessly in our multi-site environment. Rhythmyx 5 is a strategic weapon that puts control of content into the hands of our business users, who will author content, run it through workflow approval and put it on the appropriate sites – with more frequent updates to keep the Web presence fresh. This will keep our customers coming back, to examine new, exciting information such as updates about their favorite horses and jockeys, races and tracks. By enhancing user control and customer access, Rhythmyx 5 will help us to achieve the potential of our Web presence.”

Shah added, “We chose Rhythmyx 5 because of its easy integration with our existing systems, including UNIX and NT servers, the E.piphany CRM suite and our Internet portal, as well as its support for industry standards such as XML and Java. Rhythmyx 5 also features a De-Coupled Delivery Architecture, which will enable us to expand content management easily, as we build our systems over time – and do so with cost-effective scaling that delivers the best value for our multi-channel environment.”

Barry Reynolds, president and CEO of Percussion Software, noted, “CDI is an important player, one of only three major consolidators in the $30B horse racing and gaming industry. Its operations have an international reach, and to really serve its customers, it must provide the best experience in a demanding online environment. Our Rhythmyx 5 Enterprise Content Management solution provides a powerful platform for giving CDI’s business users control of content, in order to improve the customer’s experience. We’re proud that CDI selected Rhythmyx 5 as a key strategic element in its customer-focused initiative.”

About Churchill Downs Incorporated
Churchill Downs Incorporated (CDI), headquartered in Louisville , KY., owns and operates world-renowned horse racing venues throughout the United States . The Company’s racetracks in California , Florida , Illinois , Indiana and Kentucky host 114 graded-stakes events and many of North America ’s most prestigious races, including the Kentucky Derby and Kentucky Oaks, Hollywood Gold Cup and Arlington Million. CDI racetracks have hosted nine Breeders’ Cup World Thoroughbred Championships – more than any other North American racing company. CDI also owns off-track betting facilities and a television production company, and has interests in telecommunications and racing services companies that support CDI’s network of simulcasting and racing operations. CDI trades on the Nasdaq National Market under the symbol CHDN and can be found on the Internet at www.churchilldownsincorporated.com.