Maddox gets ants in his pants; Sports start to stir

As part of the Business Roundtable at the White House, CEO Matt Maddox got to stump for Wynn Resorts‘ mid-pandemic reopening protocol. Maddox said that (amazingly) University Medical Center facilities “don’t have enough people to test. So I’ve signed a deal with them to allow all Wynn employees to get tests, anytime for free, and they’re going to set up on-site testing … So we’re ready and I’m encouraging our state that we need to begin a phased approach and get back to business.” Maddox has been busy in his unwonted spare time and has his own ideas about how Nevada should resume activity (which are rather antsier than Gov. Steve Sisolak‘s). First, reopen small restaurants, retailers, and golf and tennis courts this week, and use those as guinea pigs for whether Covid-19 cases increase. “If we’re inside those benchmarks in three weeks, then on Memorial Day I would hope that we’re open.” (The Culinary Union isn’t ready to sign on with Maddox’s plan.) The hotel industry is bleeding $2.4 billion/week in salaries and occupancy is running at 20% but Wynn stock is doing just fine, trading at $89/share.

While the Sahara has yet to say when and how it will be reopening (sacking your workforce will do that to you), Alex Meruelo‘s other resort, the Grand Sierra has published its new cleanliness regimen. Basically it’s a soft-focus version of what Wynncore and Venelazzo are already doing (although masks will only be on a by-request basis), lacking a great deal in specifics. The most interesting changes are in the restaurants, where plastic utensils and condiment packets, and disposable menus will now be the rule. Thanks to the faithful reader who clued us into this.

* Did you know … that average daily hotel rates in Las Vegas rose 10% to $158/night even as occupancy fell to 40% (a 52% declivity) and visitation spiraled 58.5% downward? Convention attendance was off 55% and revenue per available room a sickly $62/night. Currently, 148,202 hotel rooms stand empty.

* Some REITs are cruising for the moment. Gaming & Leisure Properties posted $186.5 million in 1Q20 revenue, up 9%. Vici Properties, so dependent on Caesars Entertainment, took a big hit, its $88 million operating income almost negated by $76 million in interest payments. Income was 56.5% down from last year.

* Take heart, sports bettors. NASCAR resumes (minus fans) on May 17 at Darlington Raceway and nine days before that the NBA reopens training facilities. The NFL, meanwhile, is huddling up on whether and when to hold workouts. MLB is all at sixes and sevens but there will soon be Taiwanese and South Korean professional baseball to bet upon. Need we mention that those two countries were outstanding in their Coronavirus response? Hardly a coincidence, we think. First out of the gate, however, is the UFC, which resumes head-butting on May 3. Having decided that The Red Rifle is out of ammunition, the woebegone Cincinnati Bengals have released QB Andy Dalton. Your move, Las Vegas Raiders.

* First the good news. Experimental drug Remdesivir is showing promise at speeding one’s recovery from Coronavirus. (Even Dr. Anthony Fauci likes it.) Now the bad news: You have to have Covid-19 already to benefit from Remdesivir. We can’t win for losing.