Get well soon

A ferry ride from Macao to Hong Kong proved excessively eventful for Las Vegas Sands CEO Sheldon Adelson. He fell and cracked three ribs, causing him to miss the 10th anniversary of Venetian Macao. The plucky CEO promises to be back in Macao early next year. Said Sands China COO Wilfred Wong, “The good news is he is recovering very fast. The doctor said all he needs to do is to relax for a few days [and] let the injury heal.” S&G knows what it feels like to crack a rib and wishes Adelson the speedy recovery that Wong predicts.

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Caesars bets on Hoosier tracks; Trump precedent revisted

Centaur Gaming, benefactor of Mike Pence (not that it did them any good), is back in the news. Caesars Entertainment already owns the two most lucrative casinos in Indiana, is doubling down on its commitment to the Hoosier State. By acquiring Centaur’s two racinos, Caesars gains a mid-Indiana presence, one with room to grow. Before moving on to bigger things, Pence made it clear during the last round of gaming legislation that he didn’t want table games at the racinos. Should they become eligible for tables in 2021, Centaur’s revenue has room to grow. The company is paying $1.7 billion for the two tracks, a figure that denotes a great deal of optimism for their cash flow (as much as $25 million a year with table games added). The duo already banks $401 million a year in slot revenue.

Caesars is paying a sizeable premium for Centaur’s assets — over 10X cash flow, so CEO Mark Frissora may Continue reading

Posted in Atlantic City, CityCenter, Donald Trump, Economy, Harrah's, Indiana, Iowa, Nevada, Racinos, Regulation, Tourism, Transportation, Tribal, Wisconsin | 1 Comment

Quote of the Day

“Combined, the state’s legal online casinos now generate enough monthly gross revenue to rank as the fifth-largest casino in Atlantic City. Online gambling has accounted for nearly 10 percent of New Jersey‘s total casino revenue in 2017. And it appears legal online gambling will continue to climb.” — Zack Hall, on the record-setting performance of New Jersey’s Internet gambling.

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Quote of the Day

“The guys at Metal Casino told me that their brand was all about being true, relevant and dedicated to the customer and that really resonated with me. To me, that translated as keeping it real, keeping it original, and doing it all for your fans, and that’s all I’ve been trying to do my whole f_kin’ life.” — Ozzy Osbourne, signing on as ‘brand ambassador’ at new online-gambling portal Metal Casino.

Posted in Entertainment, Internet gambling | Comments Off on Quote of the Day

Next stop, Antrim?!?; Murren drops out of casino arms race

Ever heard of Antrim Township in Pennsylvania? Probably not. But state Rep. Paul Schemel thinks it’s a new gaming hot spot. One of his reasons for advocating Antrim is its proximity to Charles Town, West Virginia. Now this is precisely the kind of thing that is chapping Penn National Gaming‘s ass. Penn is heavily invested in Charles Town but can’t do anything to prevent a satellite from being sited in Antrim. It could bid for the satellite concession but that’s about the only way of protecting its Charles Town moneymaker. How much gaming are we talking about? Think 750 slots, 50 table games and an OTB parlor. (The new rules allow for a minimum of 300 slots but we think everyone is going to opt for the max.) “If they are right on the border, they would draw in Hagerstown, Charles Town, Frederick County, Winchester, in theory,” says Schemel.

Antrim officials would have until New Year’s Eve to nix the idea. As Schemel explains,  Continue reading

Posted in Japan, MGM Mirage, Penn National, Pennsylvania, Politics, Problem gambling, Slot routes, The Strip, West Virginia | 1 Comment

Swings and roundabouts in Louisiana; Sexual harassment in Las Vegas

Now that S&G has been informed that it’s Louisiana that is the Bayou State, let’s take a look at how its casinos did last month. Overall, they dropped 2% for a $198 million gross. The headline item has to be a shocking, 21% plunge in business at L’Auberge Lake Charles ($24 million) which used to own the Lake Charles market. As you might suspect, Golden Nugget (+25%, $23 million) is eating Pinnacle Entertainment‘s lunch. Also struggling was Isle of Capri Lake Charles, down 7% to $9 million. Boyd Gaming‘s Delta Downs was up 7.5% to $15 million. Is Pinnacle management so dazzled with the prospect of a Penn National Gaming merger that they’re taking their eyes off the Lake Charles ball?

In Pinnacle’s other big market, Baton Rouge, it was down 4% to $13 million at L’Auberge Baton Rouge, but the real beatdown happened Continue reading

Posted in Boyd Gaming, Churchill Downs, Harrah's, history, Isle of Capri, Louisiana, New York, Penn National, Pinnacle Entertainment, Racinos, Tilman Fertitta, Tropicana Entertainment, Westgate LV | Comments Off on Swings and roundabouts in Louisiana; Sexual harassment in Las Vegas

N.Y. struggles continue; Sweet deal for Mount Airy

For Rivers Casino & Resort in Schenectady, the good news is that it’s turned a derelict locomotive plant into a shiny, new, $330 million gambling hall and that it’s spurred development of the nearby Mohawk Harbor residential community. The bad news is, well, where to begin? Area merchants aren’t seeing any uptick in business, drunk-driving arrests are up a bit and casino grosses are a shadow of what Rush Street Gaming projected. Last month, Rivers made $11 million — the same amount that it did in three weeks in February, as the aggregate gross creeps past the $100 million mark. (Rivers’ own year-one projections were for $181 million to $222 million.)

This embarrassment highlights what City Councilman Vince Raggi calls Continue reading

Posted in Economy, history, Macau, Mississippi, Neil Bluhm, New York, Penn National, Pennsylvania, Politics, Tourism | 2 Comments

Stable in Atlantic City; Saturated in Pennsylvania

Casino business in Atlantic City was flat last month (not bad with one less weekend day), with the surviving casinos grossing $186 million. Internet revenue shot up 23.5% to $20.5 million. Slots were up 1% but tables, where wagering was down 4.5%, won 3.5% less, for a $48.5 million gross. Borgata made 9% less, for a total of $55 million. Of course, what constitutes a bad month for Borgata would considered cause for celebration anywhere on the Boardwalk. Despite a slight uptick in slot winnings, Borgata was punished at the tables, winning 28% less on 14% less wagering. Caesars Interactive has fallen into last place in terms of Web market share, still dominated by Golden Nugget (30%). Resorts Digital/PokerStars continues to climb into contention, nipping the Tropicana Atlantic City by a tenth of a percentage point. With two months to go in the year, ‘Net betting in New Jersey has reached its best-ever benchmark.

Except for Borgata and the Trop (down one measly percent) all A.C. casinos were Continue reading

Posted in Atlantic City, Dan Gilbert, Detroit, Eldorado Resorts, Glenn Straub, Greenwood Racing, Harrah's, Internet gambling, Massachusetts, MGM Mirage, Mohegan Sun, Neil Bluhm, Penn National, Pennsylvania, Pinnacle Entertainment, PokerStars, Racinos, Sheldon Adelson, Tilman Fertitta, Tropicana Entertainment | Comments Off on Stable in Atlantic City; Saturated in Pennsylvania

Solons press for Connecticut clarity; Macao mulls casino renewal

Today’s news takes us straight back to Washington, D.C., where Sens. Chris Murphy (D) and Richard Blumenthal (D) are demanding that the Bureau of Indian Affairs get off the fence and clarify its stance regarding the $300 million East Windsor satellite casino being developed by Mohegan Sun and Foxwoods Resort Casino. What the senators want to know is whether the existence of a satellite casino would breach the existing gaming compacts: you know, the ones that guarantee Connecticut a 25% annual cut of tribal slot revenue. Could the creation of the East Windsor casino be a clever tribal ploy to wriggle out of that obligation? Blumenthal and Murphy imply as much.

Over at the BIA, Acting Secretary Michael Black has made the unhelpful comment that Continue reading

Posted in Donald Trump, Economy, Election, Entertainment, Foxwoods, Macau, MGM Mirage, Mississippi, Mohegan Sun, Penn National, Pennsylvania, Politics, Regulation, Sociedade de Jogos de Macau, Tourism, Transportation, Tribal | Comments Off on Solons press for Connecticut clarity; Macao mulls casino renewal

Quote of the Day

“That is of absolutely no value to us at all. There is no win in that for us. Our business is built on healthy customers enjoying themselves, their ability to afford it and their ability to return.” — MGM Resorts International spokesman Alan Feldman on compulsive gamblers. MGM has just rolled out GameSense, an educational program to address disordered gambling at all 10 Las Vegas Strip casinos and at its regional properties.

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Tax change roils industry; Head rolls at Rivers Schenectady

Tax legislation currently before Congress has the gaming industry, well, not up in arms but decidedly concerned. The House of Representatives version would close some loopholes for deductibility of interest on growth investments. Rather than take up its argument with the lower house, the industry — via the American Gaming Associationis making its case to the Senate Finance Committee, submitting letters to Sens. Orrin Hatch (R) and Ron Wyden (D). “In addition to having a negative impact on economic growth, limits to interest deductibility amount to a harmful new tax on businesses that borrow to invest and grow,” read the letter in part.

Although the American Gaming Association is a prominent member of the  Continue reading

Posted in Charity, Genting, Geoff Freeman, Neil Bluhm, New York, Politics, Taxes | Comments Off on Tax change roils industry; Head rolls at Rivers Schenectady

Quote of the Day

“Except in extreme situations, where other states were endangered, there simply was no reason, let alone power, for the federal government to get involved. Think fire departments – we don’t want Congress to be in charge of fighting fires.” — gaming-law expert I. Nelson Rose, going out on a limb to predict a 9-0 Supreme Court ruling in favor of New Jersey in the small matter of sports betting, which has huge ramifications.

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Penn regroups, Sands expands; Beware the Yakuza

Santa Claus has come early, in the guise of hardworking Deutsche Bank analyst Carlo Santarelli. He’s been so busy profiling gaming’s top companies we wonder when he finds time for sleep. His recent visits have included one to Penn National Gaming, a bunch of unhappy campers since Pennsylvania legalized satellite casinos. Of course Penn National could go out and compete for its own clutch of satellites but management is currently undecided, preferring to sulk like Achilles in his tent. At least the company’s eponymous racino appears safe, Lancaster County having opted out of the satellite-casino running.

Despite “headwinds” at Charles Town Races, Penn is optimistic the one-year anniversary of Continue reading

Posted in Ameristar, Dining, Environment, Harrah's, Illinois, Indiana, Japan, Macau, Majestic Star, Maryland, Massachusetts, MGM Mirage, Ohio, Penn National, Pennsylvania, Pinnacle Entertainment, Regulation, Sheldon Adelson, Singapore, Steve Wynn, Taxes, The Mob, The Strip, Wall Street, West Virginia | Comments Off on Penn regroups, Sands expands; Beware the Yakuza

Bullish Boyd; Inside Station’s crystal ball

Deutsche Bank analyst Carlo Santarelli met with Boyd Gaming‘s brain trust and liked what he heard, but I’ll let him tell it in his own words: “Within Las Vegas, management is encouraged by
unrated play, particularly in the Downtown segment, where unrated play growth is outpacing that of rated play. Similar to comments we heard from other LV operators, BYD believes they have pricing power around peak periods/major events in LV and management is comfortable pushing [room rates] around those periods. At the California [Hotel], BYD is enjoying a 10-15% ADR increase on renovated rooms and customer feedback has been very positive.”

Boyd also told Santarelli it was testing new managerial technology “in order to rationalize promotional spend,” the better to Continue reading

Posted in Boyd Gaming, Downtown, Economy, Florida, IGT, Internet gambling, Marketing, Palms, Reno, Seminole Tribe, Sports, Station Casinos, Taxes, Technology, Tribal, Wall Street | Comments Off on Bullish Boyd; Inside Station’s crystal ball

Bumpy ride in Missouri; Scott vaporized in Maine

Missouri casinos dipped 3% last month (4% in the St. Louis area), a figure that seems bigger than the “unfavorable calendar” excuse covers. Pinnacle Entertainment took a 7.5% haircut at River City ($18 million) while its Ameristar St. Charles was off 2% (to $21 million). Neighbor Hollywood St. Louis fell 8%, to $18 million. Tropicana Entertainment defied the odds at Lumiere Place (pictured), up 6% to $11 million. Over in Kansas City, Pinnacle had the worst of it, with Ameristar Kansas City down 6.5%, to $18 million, while Isle of Capri Kansas City stumbled 5% to $6 million. Argosy Riverside was up 2.5% to $13 million, while Harrah’s North Kansas City rose 4% to $14.5 million.

Out in the boonies Isle of Capri Boonsville dropped 6% to $6 million and Affinity Gaming‘s Mark Twain casino fell Continue reading

Posted in Affinity Gaming, Ameristar, Eldorado Resorts, Election, Harrah's, International, Isle of Capri, Maine, Missouri, Penn National, Pinnacle Entertainment, Politics, Regulation, Sam Nazarian, SLS Las Vegas, Tribal, Tropicana Entertainment, Vietnam | Comments Off on Bumpy ride in Missouri; Scott vaporized in Maine

Quote of the Day

“If you want to sit in your ivory tower and pontificate about the integrity of your beloved game, why would you put one of your franchises within walking distance of several sports books?” — retired ESPN sportscaster Brent Musberger on the NFL and NHL‘s opposition to sports betting. In further evidence of tectonic shifting on the issue, Texas Attorney General Ken Paxton has come out against the Bradley Act.

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MGM rebounds; Harvey victims have mystery casino benefactor

Commercials practically begging people to patronize the Las Vegas Strip after the Mandalay Bay massacre turn out to have been needless. The company most affected, MGM Resorts International, reports that hotel bookings are “almost back to normal.” “I’m happy to say that these cancellations progressively subsided by mid-October and our booking pace returned — remarkably returned to normalized levels almost immediately thereafter,” said CEO Jim Murren, announcing profits of 26 cents a share.

What revenue loss there will be is attributable to Continue reading

Posted in Baseball, Charity, Cordish Co., Cosmopolitan, Galaxy Entertainment, Greenwood Racing, Harrah's, Macau, Mandalay Bay Massacre, MGM Mirage, Neil Bluhm, Penn National, Pennsylvania, Politics, Steve Wynn, Texas, The Strip, Wall Street | Comments Off on MGM rebounds; Harvey victims have mystery casino benefactor

Green Valley Ranch unionizes; Downtown shuttle dinged

Properties in the Station Casinos empire continue to topple like dominoes before Unite-Here. Yesterday Green Valley Ranch became the fourth Station-owned or -managed casino to vote for unionization, with a 78% mandate. “Over the course of organizing, I’ve picketed, protested, and even fasted for seven days,” said bartender Michael Wagner, expressing his gratification. Added Gladis Sosa de Fuñes, “Everyone knows the Culinary Health Plan is the best health insurance in Las Vegas, and we want our families to have it.” In the course of taking a victory lap, the union couldn’t resist one dig at ownership. Buried in a paragraph of boilerplate praising the quality of Station’s resorts is this disclosure: “The company is controlled by Frank and Lorenzo Fertitta, who own 10-to-1 super-voting Class B shares of Red Rock Resorts.” So even though the company is now publicly ‘owned,’ never forget who’s really pulling the strings.

* New Jersey Gov.-elect Phil Murphy (D) was quick to disappoint those who naively thought he might Continue reading

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Quote of the Day

“The Tribe is not like a corporation in that it can pick up and move to another county, another state. The Tribe is very anchored here, and it’s a very important part of their values to give back to the community and invest in the community.” — San Manuel Band of Mission Indians CEO Jerry Paresa on reinvestment in California‘s Inland Empire.

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Ohio defies the calendar; Pennsylvania vote pricks Adelson’s balloon

Ohio gaming revenues powered up 5.5% last month despite a supposedly “unfavorable” calendar (one less weekend day).  Except for a flat outcome at Thistledown Racino ($9.5 million), everyone was revenue positive for the month. Even Jack Cleveland snapped out of its funk to deliver a 10% improvement, to $17 million. Jack Cincinnati was up 9.5% for a $16 million outcome. Eldorado ResortsScioto Downs was up 7% to $13 million while struggling Belterra Park rose 6% to $7 million. Independent Miami Valley Gaming was up 2% to $12 million and slots-only Hard Rock Rocksino remained the dominant property in the Buckeye State, ascending 5% to $19.5 million.

The Penn National Gaming portfolio performed well, to varying Continue reading

Posted in Dan Gilbert, Eldorado Resorts, Genting, Hard Rock International, Internet gambling, Japan, Ohio, Penn National, Pennsylvania, Pinnacle Entertainment, Politics, Racinos, Sheldon Adelson, Singapore, South Korea, Tourism | Comments Off on Ohio defies the calendar; Pennsylvania vote pricks Adelson’s balloon