Section 5Sec./Art. 5

The grantee shall publish and display prominently and in appropriate places the terms and conditions regarding the sale of betting tickets. The total wager funds or gross receipts from the sale of betting tickets at the race track for horse races conducted by the grantee under this franchise shall be apportioned as follows:

(a) Eighty-two percent (82%) shall be distributed in the form of dividends among the holders of winning tickets whether from pari mutuel, daily double, forecast, llave, quinella, trifecta, or any other manner of betting;

(b) Eight and one-half percent (8 1/2%) shall be retained by the grantee as its commission/fee for conducting the horse races;

(c) Eight and one-half percent (8 1/2%) shall be set aside for the payment of stakes or prizes of win, place and show horses and the authorized bonus for jockeys;

(d) One-half percent (1/2%) shall be set aside for use of the Philippine Racing Commission: Provided, That in the case of gross receipts derived from the total sale for parimutuel races, the one-half percent (1/2%) government share shall be set aside for use of the Games and Amusements Board; and

(e) One-half percent (1/2%) shall be set aside for the benefit of the jockeys and horse trainers' injury, disability and death compensation fund created under Republic Act Numbered Three hundred and nine, as amended.

The receipts from betting corresponding to the fractions of less than Ten centavos (P0.10) eliminated from the dividends paid to the winning tickets, commonly known as breakage, shall be set aside as follows: twenty-five percent (25%) to the provincial or city hospitals where the race track is located, twenty-five percent (25%) for the rehabilitation of drug addicts as provided in Republic Act No. 6425, and fifty percent (50%) for the benefit of the Philippine Racing Commission, subject to the condition that the funds shall be used exclusively for the payment of additional prizes for races sponsored by the Philippine Racing Commission and for the necessary capital outlays and other expenditures relative to horse breeding activities of the National Stud Farm.