Author: David Mckee

Well, it didn’t take Nevada Gaming Control Board member George Assad long to stick his foot in it. No sooner had we prophetically called him a regulatory “doofus” than news surfaced of some most-unbecoming conduct during an NGCB hearing. Specifically, he whined at length about how his MGM Resorts International stock had supposedly suffered under the regimes of Jim Murren and Bill Hornbuckle. “[Terrence] Lanni had it up from $7 all the way to $96.40 and then Mr. Murren comes in, the stock price drops into the low teens,” Assad whinged. Why the financial performance of a company’s stock became the NGCB’s ostensible purview is anybody’s guess. Steve Wynn, many years back, opined that regulators should look harder at the financial probity of transactions and companies they approve—and we agree. It would have spared us fiascos like the Caesars Entertainment LBO and the Station Casinos bankruptcy, among many others.

Continue reading Control Board buffoonery; Super-Mega-Jottings

Caesars Entertainment CEO Tom Reeg and Senior Vice President of Corporate Finance Brian Agnew just sat down with Deutsche Bank analyst Carlo Santarelli, who came away sufficiently impressed with the Roman Empire to maintain a “Buy” rating on CZR. Santarelli found the execs “largely balanced and consistent,” their top priority being to reduce debt at the company, which definitely should be Job One. Other leading concerns are “operational prudence” and online execution. The analyst was pleased with “stable operations, underpinned by continued strength in Las Vegas,” as well as by continued traction towards profitability and growth in the Digital business.”

Continue reading Caesars meets The Street; NYC shuffle; Shreveport switcheroo

Ohio casino tallies jumped 10% last month, hitting $197 million. It was a decisive win for MGM Northfield Park, which outstripped the competition by grossing $25.5 million, an impressive feat for a casino with *no* table games. Jack Cleveland continues to surge, hitting $23 million (+13%) and surpassing the two Penn Entertainment casinos, so dominant for so long. Hollywood Columbus climbed 16% to reach $21.5 million and Hollywood Toledo nudged up 2.5% to gross $18.5 million. The last of the non-racino properties, Hard Rock Cincinnati, was up 6.5% to $20 million. The heat-up of Jack Cleveland didn’t hurt Jack Thistledown‘s cause, as the racino hopped 8% to $15.5 million. Scioto Downs grossed $20 million, an 11% leap, while Miami Valley Gaming delivered $20 million for co-owner Churchill Downs, a 14% vault. Belterra Park hung in there with $7 million (+2.5%), whilst Hollywood Dayton was up 8.5% to $13 million and perennial overachiever Hollywood Mahoning Valley netted $13.5 million in an 8% hop. As you’ve undoubtedly noticed, no one was revenue-negative, praise be.

Continue reading MGM owns Ohio; NY Lege owns sports books; Texas jolt

Yes, they even read S&G in Atlantic City … Thanks to everyone who keeps us in business. Hey, it’s a slow news day.

Gambling grosses were ultra-boffo on the Las Vegas Strip last month, up 19% over the year previous and leaving 2019 in the dust, +25%. Locals casinos didn’t fare too badly, either if not as spectacularly as their Strip brethren: up 4.5%. Strip casinos went “Kaboom!” with $712.5 million in the bank. Strip slots were tight, as 11% more coin-in yielded 16% greater casino win, for $390.5 million. Table game players also played poorly, luck being with the house to the tune of $223 million, an 11% improvement on flat wagering. Baccarat was back with a vengeance, as 20% more was played and the house took whales to the cleaners, to the tune of a 59.5% improvement in win, despite looser-than-usual hold.

Continue reading Big month for Strip; Miller’s rapid response; Titus time