Derby Dream Materializes

By Steve Sherack 

A racing stable and a horse with ties to New Mexico have made plenty of headlines around this time of year recently. But this isn’t another story about Mine That Bird’s shocking upset in the 2009 GI Kentucky Derby. 

The unbeaten 2015 GI Besilu Stables Florida Derby hero and ‘TDN Rising Star’ Materiality (Afleet Alex) will carry the colors of Alto Racing LLC–the nom-de-course of Eddie Harrell and Gil Moutray–as he heads into the starting gate with a perfect three-for-three record for Saturday’s “Run for the Roses.” 

“Alto is a little town five or so miles north of Ruidoso Downs in the mountains of New Mexico,” Harrell commented. “Gil Moutray and I both have second homes there and have known each other for quite a while and shared this interest. We named it for the community as much as anything.” 

Harrell founded Citation Oil & Gas Corp. in 1981. Headquartered in Houston, Texas, Citation (yes, it is named after the immortal 1948 Triple Crown winner) is one of the largest privately-held independent oil and gas acquisition, development and production companies in the United States. Citation has invested $1.7 billion in more than 80 oil and gas reserve acquisitions since 1985. Along with his wife Sandra and three adult sons Curtis, Forrest and Keith, Harrell Racing accounts for 75% of Alto Racing. 

“I grew up in Arkansas in a little town just south of Hot Springs,” the 80-year-old said. “As a 14- or 15-year-old teenager, I was sneaking into the racetrack. That’s as close to trouble as you could get back in those days. I had an innate interest in me and have carried it ever since. I introduced my three sons to horseracing in New Mexico and taught them how to read the Form when they were young, book their bets, etc. Horse racing is a family activity for us.” 

Harrell continued, “I’m in the oil business and not exactly risk-averse. You don’t own Thoroughbreds if you’re not an optimist. It kind of fits my personality pattern. I just love the excitement of it, the beauty of the animals–the whole picture. And the risk-reward. I like a high-risk game.” 

Harrell approached Moutray, a former New Mexico Racing Commissioner and friend of about 10-15 years, to help him launch a stable aimed at competing on the big stage. Moutray is president and chief executive officer of Seven Rivers, Inc., a private company in New Mexico that owns and operates pecan orchards, development and commercial real estate, cattle feeding businesses and oil and gas interests. The longtime owner/breeder–he won his first race back in 1969 in El Paso, Texas, with a horse he purchased for $500–liquidated his stable in the 1990s after becoming chairman of the New Mexico Racing Commission, but was game to join forces with the Harrell family after the lengthy hiatus. 

“Eddie wanted to form a partnership to get back in at a higher level and compete at Class A tracks and in Grade I stakes races,” Moutray, a 67-year-old native of Carlsbad, New Mexico, commented. “Eddie and his family have been so gracious and afforded my family the opportunity to own 25% of the company along with my two daughters [Dawn Moutray Clark and Kacy Ellis]. What I brought to the table was my previous experience in the horse racing industry. Eddie asked me to recommend and help build a business plan–bloodstock agent, trainer, where we race, etc. We did that together and agreed on what we wanted to do and what level we wanted to do it. Todd Pletcher, our Eclipse Award-winning trainer, has helped take us to this level.” 

He sure has. 

Alto Racing, consisting of about 15-20 head, hit the ground running seven years ago and quickly made some noise with 
graded winners Peace Preserver (War Front), Sweet Whiskey (Old Fashioned) and Winning Cause (Giant’s Causeway), as well as the highly touted 2012 Saratoga debut winner and ‘TDN Rising Star’ Archwarrior (Arch). Winning Cause, winner of the 2013 GIII Coolmore Lexington S. and 2014 GIII Cliff Hanger S., has bankrolled just a shade under $600,000. In addition to ‘TDN Rising Star’ Sweet Whiskey’s score in the 2014 GIII Old Hat S., she was also a close second in last year’s GI TVG Acorn S. on the GI Belmont S. undercard. Along with their aforementioned Kentucky Derby contender Materiality, Alto also currently campaigns fellow promising 3-year-olds Chipit (Tapit) and Tapkee (Tapit). 

“I’ve loved horse racing since I was a kid,” Harrell said. “In the past, [Gil Moutray] and I were both involved [as owners], but were doing it around the fringes and lower levels. When we decided to try it one more time, we decided that if we were going to do it, that we were going to compete at the top. It’s been a dream for us and our families.” 

Materiality has certainly been the star of those dreams so far. Bred in Kentucky by John D. Gunther, the flashy bay debuted with a runaway win going six furlongs in the Gulfstream slop Jan. 11 (video). The April foal successfully stretched to nine furlongs with another smart tally in Gulfstream’s Islamorada H. Mar. 6 (video). Materiality earned a 110 Beyer Speed Figure–the highest of any 3-year-old this season–when gamely fending off the talented New York-bred Upstart (Flatter) by 1 1/2 lengths in the Florida Derby just 22 days later (video). 

“When you win a race like the Florida Derby there are just no words to describe the chills that go down your back,” Moutray said. “It was like winning the Super Bowl.” 

Alto’s bloodstock agent Steve Young signed the slip on Materiality–already named at the time–for $400,000 at last year’s FTMMAY 2-year-old sale after covering an eighth in :10 2/5 at the breeze show. He previously brought $260,000 from Venture Six as a KEESEP yearling. Materiality’s half-sister and fellow ‘TDN Rising Star’ My Miss Sophia (Unbridled’s Song) was second in last year’s GI Kentucky Oaks and also won the GII Gazelle S. at Aqueduct. Materiality was produced by the Langfuhr mare Wildwood Flower, a stakes winner and multiple graded stakes placed runner of $109,916. After losing a Nathaniel (Ire) foal, she was bred back to Intello (Ger) in 2014. 

“We’re obviously very excited about him,” Harrell said of Materiality’s chances in the Derby. “He’s done everything we’ve asked him to do, including winning the Florida Derby. It’s any horse guy’s dream [to compete in the Derby], but you don’t really expect it to happen. At least I didn’t.” 

Unraced at two, Materiality’s toughest rival may be history. Apollo was the last to pull off the monumental feat way back in 1882 after failing to face the starter as a juvenile. 

“He didn’t have any real problems [as a 2-year-old] and he seems to be improving through these first three races, so that doesn’t bother us,” Harrell said of the curse of Apollo, before concluding with a slight laugh, “The field bothers us though, there are a lot of awfully good colts in the field.”