This listing of “Doing Business As” is from documents submitted as the WARN letter of mass layoffs from MGM. Most other casinos were under a single corporate title and then there is MGM which has become a mass of different LLCs. Can they sell off each separately now easier or is there some other purpose for this technique? Is it related to the fairground lawsuit? Or something else entirely in your opinion?
And your link to the new poll on Vegas dining experiences is at the bottom of the page.
First off, for those who might not be aware, the Worker Adjustment and Retraining Notification (WARN) Act requires employers to give their workers 60 days notice before a mass layoff. MGM had to issue a WARN letter, which went into effect on August 31.
As for its Doing Business As (DBA), actually, it’s fairly standard practice among the bigger casino companies. We count 41 DBA units within MGM Resorts International, which is pretty modest.
During the Caesars Entertainment bankruptcy, it was revealed that then-CEO Gary Loveman had splintered the company into more than 250 DBAs, to which creditors took vocal exception. They contended that Loveman was trying to hide assets.
Then there was Station Casinos, whose Chapter 11 proceedings revealed such a complicated morass of DBA sub-entities that even the attorneys handling the case were hard-pressed to understand the Station corporate structure.
So we don’t think MGM has any untoward motives toward the Mandalay Bay shooting lawsuit, which has long since been settled.
For an expert explanation, we turned to MGM Senior Advisor Alan Feldman, who writes, “Business entities are often set up before their operating names are known. For example, The Mirage was the Golden Nugget Strip Hotel when it was first created as a legal entity, funded and development began. It was many months before it became The Mirage.
"Sometimes, when partnerships are involved, the partners own shares or percentages of a company and then that partnership owns 100 percent of an operating entity. So in Massachusetts, MGM and Paul Picknelly own shares in Blue Tarp Development, which, in turn, owns 100 percent of MGM Springfield.
"I’m confident that some of the reasons relate to liability, while others relate to how shares can be held by partners.”
At any rate, MGM was clearly crossing all the t’s and dotting all the i’s when it sent out that WARN Act letter.
And here's your link to the new poll on the best dining experiences in Las Vegas.
