## Exchange: In a horse race, how will non-runners be treated?

I bet on a non-runner, what happens to my bet?

• Bets placed on Antepost markets will be settled as a losing bets.
• Bets places on Day of the Race markets will have their stakes returned once the non-runner is declared.

My bet was a winner, what are non-runner deductions?
For our horseracing markets we guard against possible non-runners with a system of reduction factors (similar to Rule 4 with traditional bookmakers).

Each horse is allocated a reduction factor, based on its likely chance of winning the race. Should a horse be declared a non-runner, the reduction factor will be applied to the prices of all matched bets, for both backers and layers. This is to ensure that layers are not unfairly treated and exposed to large liabilities when the chances of other horses winning have improved. The reduction factors are designed to be fair to both backers and layers.

How is the reduction factor applied?

When a bet is struck, the price that it was matched at will be recorded on the system. If there is a subsequent withdrawal (non-runner), we will reduce the matched price by the reduction factor of the withdrawn horse.

If you want to calculate the new price once a reduction factor has been applied, this is how:

(Decimal odds / 100) x reduction factor of non-runner =  amount to reduce original price by

Subtract this amount from the original price to calculate the new price.

• Example Backer:
- You matched a back bet on the horse 'Diamond Night' for £10 @ 8.6.
- A horse in the same race is now withdrawn with a reduction factor of 16.2%
(8.6 / 100 ) x 16.2 = 1.39 (this gives the amount to be reduced from the original price)
8.6 - 1.39 = 7.21 (this is the new price that you will be paid out if the horse wins.)

• Example Layer:
- You matched a lay bet on the horse 'Diamond Night' for £10 @ 8.6.
- A horse in the same race is now withdrawn with a reduction factor of 16.2%
(8.6 / 100 ) x 16.2 = 1.39 (this gives the amount to be reduced from the original price)
8.6 - 1.39 = 7.21 (this is the new price to calculate your liability.)
Your liability is reduced to £62.10 (instead of £76 originally).