Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
What is the Virginia Farm Bureau?
 17 Private Profit and Non-profit corporations-501(c) 3
 Non-profit: Agriculture Advocacy & Education
 For-profit: Commodities Brokerage, Farm
Products, Rural Development, Insurance (Auto,
Home, Farm, Commercial, Life, & Health)
 Membership Organization-135,000 Members throughout
Virginia
 900 Employees
 200 Insurance Agents
 Operations over 80 Years
 Combined Revenues All Sources-$400 Million
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
What is the Meadow Event Park?
(the “Meadow”)
 331 Acre Entertainment District & Park-Doswell, Va.
 15 Miles North of Richmond on I-95
 Kings Dominion Exit
 Convention Center, Festival & Event Center,
Equestrian Center, Executive Business Center
 Historical site since early 1800’s
 Birthplace and training site of famous racehorses
 Riva Ridge (Kentucky Derby, Belmont Stakes)
 Secretariat (Triple Crown Winner)
 Home of the State Fair of Virginia since 2009
 Scenic destination event site attracting visitors from all
over the United States.
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
What is the State Fair of Virginia?
(the “Fair”)
 Annual state fair in the Richmond area for over 154 years
 Relocated from Richmond Raceway site in 2009
 Agriculture Exhibitions, Contests, & Shows
 Midway rides & food concessions
 Music and Various Entertainment Attractions
 Vendors
 In 2013
 Dates: September 27 through October 6
 Attendance: Over 160,000
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Recent Financial History
 Investment-$100 Million
 85,000 Sq. Ft Conference Center
 10,000 Sq. Ft Pavillion
 Meadow Manor
 Equine Center
 Parking Lots, Pedestrian Tunnels, Utilities, Paved
Parking & Road
 Significant Investment Portfolio Losses after 2008
 Bankruptcy filing late 2011, early 2012
 Bankruptcy Auction – May 2012
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Bankruptcy Auction
 Available For Auction
 Meadow Event Park Real Estate
 Land
 Buildings
 Real Estate Fixtures
 State Fair Of Virginia-Trademarks and Intellectual
Property Rights
 Rights to promote “State Fair of Virginia”
 Equipment
 Expected Bid Range-Over $10 Million
 Winning Bid-Mark Lovell (Universal Fairs; Memphis)
 Real Estate & State Fair Trademarks: $5.3 Million
 Equipment (partial) $240,000
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Virginia Farm Bureau Interest
 Prior to Auction: None
 Contacted by interested groups for contributions
 Post-Auction: Limited-but increasing
 50% Ownership Decision
 Rationale:
 Limited Investment-ROI important but not critical
 Protect Traditions of State Fair of Virginia
 Experienced Management of Universal Fairs
 Financial Considerations:
 Limited Cash Infusion by Virginia Farm Bureau
 Mortgage Financing on Meadow Event Park
 NIBIT more than capable of debt servicing
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Virginia Farm Bureau & Universal Fairs
( A Case Study)
 Commonwealth Fairs & Events (CF&E)
 Formed to Own Meadow & Fair-July 2012
 Jointly Operate State Fair & Other Events at the Meadow
 Partnership Arrangement
 Equal Ownership- 50% Farm Bureau; 50% Universal
Fairs
 Separate Financials
 Daily Management-Universal Fairs
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Virginia Farm Bureau & Universal Fairs
(A Case Study)
 Business Objectives & Missions
 Farm Bureau-Reasonable Returns, Reputation &
Altruistic Mission
 Universal Fairs-High Profits & Value Add
 Generally managed to be compatible
 Planning Horizon & Investment
 Farm Bureau: Long-term, reinvest profits for
reasonable ROI
 Universal Fairs: Immediate-term, invest for triple
digit ROI
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Virginia Farm Bureau & Universal Fairs
(A Case Study)
 Business Processes (Large Corporation/Entreprenuer)
 Design & Documentation
 Collaboration & Decision Making
 Internal Controls (What are those?)
 Don’t spend any money.
 Disbursement Authority & Budgeting
 Financial Reporting
 Monthly Reporting, Budgeting, Forecasting, Capital
Management
 Human Resource Management
 Policies & Procedures-None
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Virginia Farm Bureau-100% Ownership
 Partnership (CF&E): Congenial, but Challenged Culture
Mix
 Difficult to Grow Together; More Successful Separately
 Different Measures of Success
 Financial Versus Mission Objectives
 Farm Bureau Mission Realization
 Ultimate Comprehension of Mission Alignment
 Venue for Education & Promotion of Agriculture
 Preserve & Protect State Fair & Secretariat
Heritage
 Communicate of Agriculture Issues
 Farm Bureau Learning
 Understand the Event Industry Business Model
Virginia Farm Bureau
Meadow Event Park & State Fair of Virginia
Future of Meadow, Secretariat, & the Fair
 Strategic Value Development
 Leverage Meadow & Fair to fulfill the Farm Bureau
Mission
 Provide Partner Opportunities (Non-Ownership)
 Re-invest Profits into Infrastructure
 Expand Fair Size & Scale
 Double Attendance in Five Years
 New Major Events
 Music
 Shows & Exhibitions
 Equine Event Park
 Provide Stewardship
 Protect Secretariat Legacy for Public
 National Historic Designation
 Continue 150+ Tradition of State Fair