Category Archives: Wall Street

Black Tuesday: Station Casinos

Posted on February 4, 2009 by David McKee

Yesterday’s Chapter 11 proposal by Station Casinos was paradoxically both inevitable and premature. From the day Station drew on its revolving line of credit to fund operational expenses, the handwriting was on the wall. However, Station chose to precipitate a … Continue reading →

Posted in Colony Capital, Economy, Reno, Station Casinos, Tilman Fertitta, Wall Street | Comments Off on Black Tuesday: Station Casinos

Atlantic City: Two strikes, no balls

Posted on January 29, 2009 by David McKee

This was originally going to be “Death Watch VI” but three of those in a week is positively ghoulish. So, on to the latest disheartening developments from Atlantic City, the casino market that just can’t catch a break. Cease the … Continue reading →

Posted in Atlantic City, Columbia Sussex, Economy, Harrah's, Penn National, Pennsylvania, Pinnacle Entertainment, Regulation, Tropicana Entertainment, Wall Street | Comments Off on Atlantic City: Two strikes, no balls

Case Bets: CityCenter, Detroit, Boyd in Indiana

Posted on January 19, 2009 by David McKee

CityCenter: Cash cow or calf of gold? It’s received wisdom that, in its worship of the Golden Calf known as CityCenter, half-owner MGM Mirage is prepared to sacrifice some of its high-value properties, including MGM Grand Detroit, even in the … Continue reading →

Posted in Boyd Gaming, Economy, G2E, Indiana, Kansas, Macau, Marketing, MGM Mirage, Station Casinos, The Strip, Tribal, Wall Street | Comments Off on Case Bets: CityCenter, Detroit, Boyd in Indiana

Buyers' remorse

Posted on January 16, 2009 by David McKee

Even if hotelier and Westin Casuarina (above) owner Columbia Sussex succeeds in extricating itself from Tropicana Entertainment, it’s not out of the woods by a long chalk. It may have as little as nine months (or as many as 21) … Continue reading →

Posted in Columbia Sussex, Economy, International, MGM Mirage, Tropicana Entertainment, Wall Street | Comments Off on Buyers' remorse

$376 million for the Trop?

Posted on January 15, 2009 by David McKee

Secured creditors of Tropicana Entertainment are being asked to take haircuts of 14-27%, as details continue to emerge of the company's reorganization proposal. The bigger shave would go to debtors of the company's 10 non-Vegas properties, the value of whose … Continue reading →

Posted in Columbia Sussex, Economy, MGM Mirage, Tropicana Entertainment, Wall Street | Comments Off on $376 million for the Trop?

From A(ztar) to Z(ilch)

Posted on January 13, 2009 by David McKee

If Tropicana Entertainment management's bankruptcy plan is accepted by the courts (one bond analyst thinks otherwise), former CEO/sole owner William J. Yung III will be left with — what's the technical term? — diddly squat. (So will his unsecured creditors, … Continue reading →

Posted in Atlantic City, Columbia Sussex, Economy, Indiana, Lake Tahoe, Laughlin, Louisiana, Marketing, Mississippi, Penn National, Pinnacle Entertainment, Regulation, The Strip, Tropicana Entertainment, Wall Street | Comments Off on From A(ztar) to Z(ilch)

MGM CEO sez, "Make me an offer"

Posted on January 8, 2009 by David McKee

“We are certainly not looking to aggressively sell assets, but the point is that we do have assets that are attractive and we are going to be very responsive.” That's MGM Mirage CEO Jim Murren's way of saying that he's … Continue reading →

Posted in Boulder Strip, Cannery Casino Resorts, Cirque du Soleil, Economy, James Packer, MGM Mirage, Pennsylvania, The Strip, Wall Street | Comments Off on MGM CEO sez, "Make me an offer"

Happy New Year

Posted on January 2, 2009 by David McKee

Will it be a happy new year for the Strip? In terms of "supply shock," the timing could be a lot better, let's put it that way. Back on Aug. 14, JP Morgan issued an analyst report which showed 11,412 … Continue reading →

Posted in Cosmopolitan, Current, Economy, MGM Mirage, Sheldon Adelson, Station Casinos, Steve Wynn, The Strip, Wall Street | Comments Off on Happy New Year

21

Posted on December 31, 2008 by David McKee

That's the number of predictions for 2009 issued by Spectrum Gaming Group, an Atlantic City-based outfit. They are, in no particular order: • Advancements in technology that impact revenues and cut costs will continue to be attractive to operators even … Continue reading →

Posted in Boyd Gaming, Colony Capital, Columbia Sussex, Cosmopolitan, Current, Don Barden, Economy, Harrah's, Herbst Gaming, IGT, International, Internet gambling, Isle of Capri, Macau, Marketing, MGM Mirage, Morgans Hotel Group, Pinnacle Entertainment, Politics, Regulation, Sheldon Adelson, Station Casinos, Steve Wynn, Technology, Tribal, Wall Street | Comments Off on 21

More gems from Ruffin

Posted on December 29, 2008 by David McKee

During his days at the helm of the New Frontier, owner Phil Ruffin was pretty shy with media access. So when he talks, it behooves one to pay attention. To wit: • He says his deal with MGM Mirage has … Continue reading →

Posted in Columbia Sussex, Economy, MGM Mirage, Phil Ruffin, The Strip, Wall Street | Comments Off on More gems from Ruffin

Right from the beginning

Posted on December 17, 2008 by David McKee

Time Magazine, no less, has designated the LBO of Harrah’s Entertainment by Texas Pacific Group and Apollo (Mis)Management the third-worst business deal of 2008. Harrah’s CEO Gary Loveman sought out this deal — and these particular buyers — out at … Continue reading →

Posted in Cirque du Soleil, Harrah's, International, Macau, MGM Mirage, Wall Street | Comments Off on Right from the beginning

Isle of Capri Biloxi previewed

Posted on December 15, 2008 by David McKee

Ironically, now that Isle of Capri has put its Biloxi plans on hold, we finally get a look at what the revamped Isle (minus the “of Capri” and the parrot) would look like. It’s not beauty-contest winner but, if it … Continue reading →

Posted in Architecture, Isle of Capri, Mississippi, Wall Street | Comments Off on Isle of Capri Biloxi previewed

Case Bets: Stanley Ho in Vegas?, HRH grows but Morgans shrinks

Posted on December 11, 2008 by David McKee

A local columnist raises the spectre of Stanley Ho getting back-door access into Las Vegas via James Packer‘s acquisition of Cannery Resorts. This isn’t the first time I’ve heard this question raised and, call me complacent, but I believe it … Continue reading →

Posted in Boyd Gaming, Cannery Casino Resorts, Colony Capital, Columbia Sussex, Cosmopolitan, Economy, Harrah's, Herbst Gaming, Isle of Capri, James Packer, Macau, MGM Mirage, Morgans Hotel Group, Stanley Ho, Station Casinos, The Strip, Tropicana Entertainment, Wall Street | Comments Off on Case Bets: Stanley Ho in Vegas?, HRH grows but Morgans shrinks

Quote of the Day

Posted on December 10, 2008 by David McKee

"They’re taking a real gamble. It’s like playing poker with the capital markets." — KDP Investment Advisors bond analyst Barbara Cappaert, regarding a rejected Station Casinos debt swap that would have covered the butts of Station insiders and Colony Capital … Continue reading →

Posted in Colony Capital, Economy, Station Casinos, Wall Street | Comments Off on Quote of the Day

Where do we go from here?

Posted on November 18, 2008 by David McKee

Let's say, for purposes of argument, that the casino industry has supped full on meta-megaresort development and needs several years to digest the feast. What then? The answer, to judge by yesterday's G2E panel of design, construction and development experts, … Continue reading →

Posted in Architecture, Atlantic City, Economy, G2E, Harrah's, MGM Mirage, Wall Street | Comments Off on Where do we go from here?

Winners! We've got winners!

Posted on November 6, 2008 by David McKee

Yesterday’s Columbia Sussex contest produced an unprecedented flurry of responses — and I learned a lot about the bond market, too. Our S&G readership is a veritable V-8 engine of knowledge. As you’ll recall, the question concerned the “defeasance” of … Continue reading →

Posted in Columbia Sussex, Movies, Wall Street | Comments Off on Winners! We've got winners!

Winners & Losers

Posted on November 5, 2008 by David McKee

And now the obligatory post-Election, What’s-it-all-about-Alfie roundup … Culinary Union 1, Casino CEOs O: True, the Culinary tripped all over its own feet in the early going, leading to Democratic caucuses that weren’t so much “Barackular” as “debacular.” But D. … Continue reading →

Posted in Alaska, Ameristar, Atlantic City, California, Colorado, Current, Donald Trump, Economy, Election, Florida, Gary Goett, Harrah's, IGT, Internet gambling, MGM Mirage, Mississippi, Missouri, Pinnacle Entertainment, Politics, Sheldon Adelson, Steve Wynn, Taxes, The Strip, Tribal, Wall Street | Comments Off on Winners & Losers

Missouri amendment to pass: JP Morgan

Posted on November 3, 2008 by David McKee

Analysts at JP Morgan like the chances for a Missouri constitutional amendment largely bankrolled by Ameristar Casinos and Pinnacle Entertainment. While Ameristar stands to benefit in tangible ways, JP Morgan focuses on what it could for Pinnacle: a 15% increase … Continue reading →

Posted in Ameristar, Atlantic City, Indiana, Louisiana, Missouri, Penn National, Pinnacle Entertainment, Wall Street | Comments Off on Missouri amendment to pass: JP Morgan

Wisdom from Wall Street

Posted on October 30, 2008 by David McKee

"Any gaming operator that postpones spending and preserves capital in this environment should be rewarded, in our view." — Stifel Nicolaus & Co. analyst Steven Wieczynski, reacting to news that MGM Mirage had put its Atlantic City and north-Strip projects … Continue reading →

Posted in Atlantic City, Boyd Gaming, MGM Mirage, Movies, Pennsylvania, Sheldon Adelson, The Strip, Wall Street | Comments Off on Wisdom from Wall Street

Case Bets: Sands bankruptcy?; California spite, Ted Binion still dead, etc.

Posted on October 24, 2008 by David McKee

The ‘B’ word. Yup, somebody finally said it. Stifel Nicolaus & Co. analyst Steven Wieczynski blames The Big Sands Sell-off on fears that “Las Vegas Sands is in jeopardy of running out of cash and going bankrupt.” Sands stock closed … Continue reading →

Posted in Animals, California, Election, Harrah's, Marketing, MGM Mirage, Politics, Sheldon Adelson, The Strip, Tribal, TV, Wall Street | Comments Off on Case Bets: Sands bankruptcy?; California spite, Ted Binion still dead, etc.