Gambling revenues inched upward in New Jersey, plus 1% statewide, mainly driven by Internet casinos (+9%). In Atlantic City, slot winnings rose 3.5% to ($159 million) on 4% more coin-in but tables slipped 4.5% to $54 million as wagering dipped 1%. The comp-sweating Golden Nugget tumbled 14% to $11 million, tightening its stranglehold on last place, well behind Bally’s Atlantic City ($12 million and an impressive +14%) and Resorts Atlantic City ($12.5 million, -2%). Borgata put even more distance between itself and the competition, up 9% to $57.5 million. Hard Rock Atlantic City was flat and way back at $37.5 million. Ocean Casino Resort slid 11.5% to $26 million. Does the Illitch Family still fantasize about having the top casino in A.C.? That leaves the Caesars Entertainment triumvirate, led by Harrah’s Resort‘s $21.5 million (+8%), lagged by Caesars Atlantic City ($19 million, +1.5%) and the Tropicana Atlantic City with $17 million, flat in February.
In sports betting, $800 million of handle yielded revenues of $54.5 million, with FanDuel‘s $29 million out front. Then came DraftKings at $12 million and BetMGM at $4 million. PointsBet notched $5 million, Barstool Sports made $2 million and Caesars Sportsbook barely registered. Bally’s Corp. likes to hype its Garden State market share but was down there amid “other.” Where i-casinos were concerned, it probably did better but still failed to register with J.P. Morgan analyst Joseph Greff, whose ranking was led by merged DraftKings/Golden Nugget Online with $50.5 million. BetMGM had to content itself with second place and $40.5 million, considerably better than FanDuel’s $14.5 million. Other participants of note were Caesars ($14 million), BetRivers ($7 million), PointsBet ($6 million), Barstool ($3.5 million) and WynnBet ($1 million).
Once brand-new Horseshoe Lake Charles is subtracted from the mix, casino winnings in Louisiana fell 6% last month, for $193 million. Customers visited 8% less and spent 9% less. Sports betting operators eked out $23 million in revenue on handle of $198 million. Since Horseshoe Lake Charles is sui generis, we’ll start with it. February was good for $8.5 million but not enough to get the ‘Shoe out of last place in the Lake Charles market, even far behind Delta Downs‘ $14 million (+4%). Despite a 7% drop, Golden Nugget won the monthly slugfest, narrowly besting L’Auberge du Lac (-10%), $25.5 million to $25 million. In Baton Rouge, it was a rough month for L’Auberge Baton Rouge, falling 12% to $15 million. Belle of Baton Rouge plunged 21% to $1 million while Hollywood Baton Rouge slipped 5% to $4 million.
If Harrah’s New Orleans is dominant now ($21.5 million, +7%), imagine how well it will do when expansion is finished and it obtains the Caesars moniker. Fair Grounds racino was up 4% to $4 million but everybody else suffered reverses. Boomtown New Orleans tumbled 13.5% to $10.5 million, Treasure Chest slumped 14% to $7 million, Amelia Belle sank 11.5% to $3 million and Evangeline Downs dipped 4% to $6 million. Other than Louisiana Downs, vaulting 93% to $3.5 million, all Shreveport/Bossier City operators were either flat or down. Even leader Margaritaville ($16.5 million) fell 11%. Horseshoe Bossier City collapsed 23% to $11 million, Bally’s Shreveport flattened at $9 million, while Boomtown Bossier was static at $4 million and Sam’s Town continues to seek bottom, slipping 8% to $3 million.
Illinois just reported January sports betting revenues, which were $96 million on unspecified handle. (Hold was 9%.) FanDuel romped with $51 million, distantly shadowed by DraftKings ($25.5 million). Still further back were BetRivers ($8.5 million), PointsBet ($5 million), Barstool ($4 million) and Caesars Sportsbook ($2.5 million). Which left nothing for anybody else.
While we’re on the subject of the Land of Lincoln, Chicago mayoral candidates Paul Vallas (R) and Brandon Johnson (D) both support bringing slot routes to the Windy City. Judging by their pestilential effect on casinos elsewhere in the state, this could have the effect of kneecapping Bally’s Chicago even before it’s built. Opposing slot routes was about the only thing outgoing Mayor Lori Lightfoot (D) got right. Vallas’ stance earned him a George campaign contribution from Neil Bluhm‘s son Andrew, a longtime slot proponent, unlike Dear Old Dad. Bally’s, possibly thunderstruck, had no comment on all this.
Speaking of slot routes, the Kentucky Lege has done the right thing and banned black-market slots in the Bluegrass State. The so-called “skill” games are neither regulated nor taxed, yet continue to flourish across wide swaths of the U.S. As American Gaming Association President Bill Miller wrote, upon hearing the news, “This win is a testament to what we can accomplish when we unite as an industry behind a common cause—and the American Gaming Association will use it as a springboard to pursue similar success in states throughout the country.”
After 26 years and the amputation of a foot (which didn’t crimp his style), Unite-Here Local 54 prexy Bob McDevitt is calling it quits. He’ll be succeeded by Donna DeCaprio, effective May 1. McDevitt made some good calls—like driving Carl Icahn off the Boardwalk—and some very bad ones—like supporting smoking in casinos—but his heart was usually in the right place … when his good foot wasn’t up some casino boss’ backside. Quicker to go on strike than Las Vegas‘ dominant Culinary Union, Local 54 flexed its muscle repeatedly during McDevitt’s tenure. Still, despite his tense negotiating style, he endeared himself to at least one exec, former Hard Rock Atlantic City boss Joe Lupo. He said of the union leader, “I always enjoyed working with Bob, as he was very cooperative, direct, never minced words, but with a great sense of humor. More importantly, he was very passionate and genuinely cares for each member, always prioritizing their future and welfare first.” McDevitt’s favorite casino executive remains Hard Rock International CEO Jim Allen. His least favorite? Not Icahn but the pinchpenny William J. Yung III of Columbia Sussex, which Unite-Here helped run out of town, to no one’s regret.
Communist dupe Steve Wynn must be dancing a merry jig this week. Why? Because Chinese expat Guo Wengui, against whom Wynn staked what was left of his political capital, may have a date with Club Feb. Guo has been indicted on charges of felony fraud, 12 counts in all. Although Guo had been in the states since 2014, Wynn made a cause celebre of him during the waning years of the Trump administration, becoming a White House nuisance in his quest to have “Miles Guo” extradited to his native land. However, since Guo was a card-carrying member of Mar-a-Lago and friend of Steve Bannon, the Trump White House turned a deaf ear to Wynn’s browbeating. Expressed mathematically, Bannon > Wynn.
Guo, who was responsible for dumping the contents of Hunter Biden‘s infamous laptop onto the Web, is also a CPAC sugar daddy. According to Vox, his downfall involves “an elaborate effort to defraud his online supporters in his campaign against the Chinese government of over $1 billion. He allegedly did this through falsely soliciting them to invest in his businesses and then misappropriating the funds for personal use.”
If you invested in cryptocurrency Himalaya Exchange or held a “private … membership” in G/CLUBS, congratulations, you’ve probably been swindled by Guo. You may also have helped pay for “a mansion, Ferrari and Bugatti sports cars, and two $36,000 mattresses in addition to … upkeep on his yacht, which is worth $37 million.” (Our friend Mattress Mack could have gotten him a better deal on bedroom furniture.) Since he’s looking 20 years in the slammer plus massive asset forfeiture, we won’t be surprised if Guo pleads out. If not, he’ll get a fair trial and, at worst, a cushy jail cell. That’s far better than the fate that would have awaited him back in China, had Wynn gotten his way. Guo should count himself lucky.
Finally, MGM Resorts International is hewing to a Vegas-centric strategy, underpinned by convention business. The meeting trade is still only at 80%-85% of pre-Covid levels, while international travel is also lagging, although Europe is pulling more of its weight than Asia is. “Booking windows are resembling 2019 levels, though at much higher room rates,” reported Greff. Ouch.
