Category Archives: Economy

Casino apocalypse

Posted on March 19, 2009 by David McKee

I'm deeply imbedded in other projects today. In the meantime, by way of In Business Las Vegas and GamingFloor.com (source of yesterday's Harrah's Entertainment time warp, too) here's the answer to the question, "How many casino failures can you pack … Continue reading →

Posted in Boyd Gaming, Cannery Casino Resorts, Colony Capital, Cosmopolitan, Current, Economy, Harrah's, Herbst Gaming, James Packer, MGM Mirage, Sheldon Adelson, Station Casinos, Steve Wynn, The Strip, Wall Street | Comments Off on Casino apocalypse

Death, taxes and Station Casinos

Posted on March 18, 2009 by David McKee

It’s all but certain that the unenviable steeplechase to be the first major gaming company to declare bankruptcy in 2009 will be won by … Station Casinos!* (On Tax Day, no less.) None of the company’s three rescue scenarios does … Continue reading →

Posted in Boyd Gaming, Donald Trump, Economy, MGM Mirage, Sheldon Adelson, Station Casinos, Steve Wynn, Taxes, Wall Street | Comments Off on Death, taxes and Station Casinos

Case Bets: MGM Mirage, Harrah's, Wynn, Shuffle Master, Taxes

Posted on March 17, 2009 by David McKee

As we wait for the MGM Mirage earnings report, signs of desperation mount. If the company is willing to cast away a pearl like new, costly and high-yielding MGM Grand Detroit, what isn’t sacred? Not even the corporate jet, provided … Continue reading →

Posted in Columbia Sussex, Current, Detroit, Economy, Goldman Sachs, Harrah's, Labor, Lake Tahoe, Louisiana, MGM Mirage, Mississippi, Pinnacle Entertainment, Shuffle Master, Steve Wynn, Taxes, Technology, Wall Street | Comments Off on Case Bets: MGM Mirage, Harrah's, Wynn, Shuffle Master, Taxes

Nationalize the casinos?

Posted on March 12, 2009 by David McKee

Some news stories are too far-out crazy to ignore. This week, it’s XinhauNet‘s prognostication that Uncle Sam will go into the casino business any day now. Or, as the over-imaginative reporter puts it, “some people are talking about the possibility … Continue reading →

Posted in Architecture, Economy, MGM Mirage, Sheldon Adelson, The Strip | Comments Off on Nationalize the casinos?

Nevada Lege sticks it to you

Posted on March 10, 2009 by David McKee

Although a few Democrats in the state Senate toyed with the idea of growing a spine and opposing raising the hotel-room tax, all of them — plus several Republicans — did the easy thing and opted for Plan A: Soak … Continue reading →

Posted in Cannery Casino Resorts, Economy, M Resort, Politics, Station Casinos, Taxes | Comments Off on Nevada Lege sticks it to you

Casino commercial of the year

Posted on March 4, 2009 by David McKee

Although Sheldon Adelson‘s taunting of the president may have seemed very clever at the time, the joke might be on the mogul. Check out this inspired TV spot, dreamt up for the grand opening of the permanent racino at Indiana … Continue reading →

Posted in Atlantic City, Columbia Sussex, Economy, Indiana, Marketing, Sheldon Adelson | Comments Off on Casino commercial of the year

Station vs. Boyd III: This time it's personal

Posted on March 4, 2009 by David McKee

You really have to hand it to Station Casinos CEO Frank Fertitta III. This dude has more lives than a cat. Every time you think his luck has run out, he slips the noose yet again. So it was Tuesday. … Continue reading →

Posted in Boulder Strip, Boyd Gaming, Colony Capital, Current, Economy, Station Casinos, The Strip, Wall Street | Comments Off on Station vs. Boyd III: This time it's personal

This is your industry on crack

Posted on March 3, 2009 by David McKee

Finally, someone (in this case, Liz Benston) has written the definitive user-friendly analysis of how the casino industry crashed and burned. To try and quote the salient points would require little short of reprinting the entire article (to say nothing … Continue reading →

Posted in Boyd Gaming, Colony Capital, Downtown, Economy, Harrah's, Herbst Gaming, Isle of Capri, Louisiana, MGM Mirage, Missouri, Station Casinos, The Strip, Wall Street | Comments Off on This is your industry on crack

Harrah's enjoys bailout

Posted on March 3, 2009 by David McKee

“Critics argue that the tax-law change rewards companies that took on too much leverage during the credit bubble, such as those that were bought by private-equity firms.” Sound like anybody we know? How about Harrah’s Entertainment, which played Russian roulette … Continue reading →

Posted in Colony Capital, Economy, Harrah's, James Packer, Macau, Melco Crown Entertainment, MGM Mirage, Politics, Sheldon Adelson, Station Casinos, Taxes, Wall Street | Comments Off on Harrah's enjoys bailout

Comp cutbacks in Atlantic City

Posted on March 3, 2009 by David McKee

Last week, the Press of Atlantic City reported a 5% drop in comping along the Boardwalk and Marina District. However, the story played it as merely a reflection of decreased business in Atlantic City. Yesterday, however, The Associated Press weighed … Continue reading →

Posted in Atlantic City, Colony Capital, Donald Trump, Economy, Harrah's | Comments Off on Comp cutbacks in Atlantic City

MGM Mirage: Uh-oh; "Off the box"

Posted on February 27, 2009 by David McKee

Following in the footsteps of Station Casinos and Harrah's Entertainment, now MGM Mirage is drawing its revolver, so to speak, to fund operating expenses. This is never a good sign. Earlier this week we learnt that all of Kirk Kerkorian's … Continue reading →

Posted in Cirque du Soleil, Donald Trump, Economy, Fontainebleau, Harrah's, MGM Mirage, Station Casinos, Wall Street | Comments Off on MGM Mirage: Uh-oh; "Off the box"

Boyd vs. Station II

Posted on February 26, 2009 by David McKee

Well, that was a waste of a good hour. Boyd Gaming teased its Thursday morning conference call with intimations that All (or at least Some) Would Be Revealed about its surprise bid for most of the assets of Station Casinos. … Continue reading →

Posted in Atlantic City, Boulder Strip, Boyd Gaming, Downtown, Economy, Florida, Harrah's, Indiana, Louisiana, Station Casinos, The Strip, Tribal, Wall Street | Comments Off on Boyd vs. Station II

Earth to Colony Capital

Posted on February 23, 2009 by David McKee

"If I had a crystal ball two years ago, I would never have taken on that debt. Never, ever. But looking back, we saw growth. That's why we put up that beautiful new tower, with a plan to do extensive … Continue reading →

Posted in Atlantic City, Colony Capital, Economy, Pennsylvania | Comments Off on Earth to Colony Capital

Gibbons retreats, sorta

Posted on February 23, 2009 by David McKee

Gov. Jim Gibbons has scuttled away from one of his several proposals to jack up taxes on the only segment of Nevada that's carrying its own weight — the casino bidness. He's retreating from a demand that casinos pay taxes … Continue reading →

Posted in Atlantic City, Boulder Strip, Boyd Gaming, Colony Capital, Columbia Sussex, Donald Trump, Downtown, Economy, M Resort, Marketing, Mesquite, Movies, Politics, Station Casinos, Taxes, TV, Wall Street | Comments Off on Gibbons retreats, sorta

Trump: The end

Posted on February 21, 2009 by David McKee

So Trump Entertainment Resorts has such little worth that it’s facing delisting, having become quite literally a penny stock. In a move described as “petulant,” not only is Donald Trump taking his ball and going home, he wants the name … Continue reading →

Posted in Atlantic City, Don Barden, Donald Trump, Economy, Pennsylvania, Tribal, TV, Wall Street | Comments Off on Trump: The end

In defense of Reid's largesse; Cosmo craziness

Posted on February 20, 2009 by David McKee

My take on Sen. Harry Reid (D-NV) and his "casino bailout," as one reader has described it, drew the following response from MGM Mirage spokesman Alan Feldman, which is reprinted below with his kind permission. I note only that my … Continue reading →

Posted in Cosmopolitan, Economy, MGM Mirage, Politics | Comments Off on In defense of Reid's largesse; Cosmo craziness

Joint 2.0

Posted on February 20, 2009 by David McKee

Yesterday, a large gaggle of local media traipsed through the Hard Rock Hotel & Casino's in-progress new version of The Joint (or Joint 2.0, if you will). Those on hand included Mike Weatherford and Jason Bracelin from the Las Vegas … Continue reading →

Posted in Architecture, Boyd Gaming, Current, Economy, Entertainment, Morgans Hotel Group, Technology | Comments Off on Joint 2.0

Sludge Report

Posted on February 18, 2009 by David McKee

Kudos to the Las Vegas Review-Journal‘s Howard Stutz for keeping an eye on an especially skanky provision of the economic-stimulus package, a sweetheart provision engineered by Sen. Harry Reid (D-NV). It awards companies — like vocal supporter MGM Mirage — … Continue reading →

Posted in California, Economy, Harrah's, MGM Mirage, Politics, Sheldon Adelson, Station Casinos | Comments Off on Sludge Report

Looking for good news in Vegas

Posted on February 12, 2009 by David McKee

If I wanted to drive myself to strong drink, I could write about depressing, atrocious numbers coming out of Nevada casinos in December. But as that great philosopher, Linus in Peanuts, would remind me, it's better to light a single … Continue reading →

Posted in Atlantic City, Boulder Strip, Boyd Gaming, Downtown, Economy, Gary Goett, George Maloof, Harrah's, Laughlin, MGM Mirage, Michael Gaughan, Morgans Hotel Group, Station Casinos, Tamares Group, Texas, The Strip, Tilman Fertitta, Tribal, Wall Street | Comments Off on Looking for good news in Vegas

Boardwalk bummer

Posted on February 10, 2009 by David McKee

In short, January's Atlantic City revenue numbers are -9% at the tables and -10% in slots. The glass-half-empty spin is that this is the third straight year of decline. The glass-half-full perspective would be, yes, but it's -9% the fifth-highest … Continue reading →

Posted in Atlantic City, Boyd Gaming, Colony Capital, Donald Trump, Economy, Harrah's, Tropicana Entertainment | Comments Off on Boardwalk bummer