Dispatch from Louisiana; Generosity at Wynncore

Second-strongest market in the state was Shreveport/Bossier City, where Margaritaville ($15 million) continues to haul Horseshoe Bossier City ($12 million) off to the woodshed. The former was 6% up, the latter 19.5% down. At $5.5 million, Eldorado Shreveport took a 43.5% thwacking, while Boomtown Bossier was down 6% to $4 million. That leaves Sam’s Town and its $4.5 million (-32%) and Harrah’s Louisiana Downs, which grossed $4 million for flat finish with last year. Out in the sticks, Evangeline Downs pulled in $6 million for a 12% setback.

In a “george” move, Wynn Resorts is offering (some) employees WYNN shares to stay with the company, 176,247 shares worth. CEO Matt Maddox led by example, renouncing 140,000 in order to incentivize 240 key employees. “I want you to be an owner in the company,” Maddox wrote of the grant, which vests in one year’s time. He said that “unprecedented … really does not describe the situation at all: this year is treacherous … But this is what I do know: it will end, and when it does, I believe we will be booking conventions, filling our nightclubs and theaters, and will return to high occupancy in the back half of next year.” You heard the man: He’s not predicting recovery until next July at the earliest. There’s a realist for you. He admitted to investors that Wynncore is running at 30% occupancy midweek and half-full on weekends. What a way to launch your new convention center.

In an SEC filing, the company explained, “Mr. Maddox’s original incentive grant contained certain performance metrics that are no longer relevant in light of the extremely challenging conditions stemming from the COVID-19 pandemic. Mr. Maddox asked the Compensation Committee instead to recognize the efforts of top leadership during an extraordinarily difficult time through the retention award.” Observed Las Vegas chronicler Scott Roeben, “Interesting a company would have to do anything to retain employees right now.”