Penn powers Ohio; Emanuel’s big bet

Posted on June 8, 2015 by David McKee

May was another good month for the Ohio market, even if Dan Gilbert‘s two casinos continue to slump. Perhaps they are suffering the post-danielgilbertbankruptcy malaise that affects nearly all regional casinos managed by Caesars Entertainment. Hard to say. Horseshoe Cleveland was down 2% and only very narrowly beat out Hard Rock Rocksino (up 16.5%) for the top-grossing spot in the state. At that rate, you have to wonder if Gilbert is going to go through with the promised Phase II of the casino on the Cuyahoga River. Fast-fading Horseshoe Cincinnati ebbed 3%. Pinnacle Entertainment‘s Belterra Park continues to be the biggest disappointment in the state, grossing $6 million, even if its $151/slot/day was well over Deutsche Bank‘s expectations.

Penn National Gaming, meanwhile, goes from Continue reading →

Posted in Dan Gilbert, Economy, Hard Rock International, Harrah's, history, Illinois, Neil Bluhm, Ohio, Penn National, Pinnacle Entertainment, Racinos, Taxes, Wall Street | Comments Off on Penn powers Ohio; Emanuel’s big bet

Hard Rock, Resorts World put their chips on the table

Posted on June 8, 2015 by David McKee

While New Jersey politicians bicker over the timing of a constitutional referendum for adding northerly casinos, Hard Rock International Hard Rock International Press Conferenceunveiled a detailed picture of its plans for its desired Meadowlands casino (a site favored by 73% of voters polled, although the pro-expansion margin is much tighter: 53%). In some respects, it will resemble its Las Vegas progenitor: giant-guitar marquee, center bar, museum-like displays of rock souvenirs. But it will augment those with a New Jersey Music Hall of Fame, ranging from Sinatra to Springsteen. The project continues to gain supporters, including Speaker of the Assembly Vincent Prieto (D).

The revenue stream from Hard Rock Meadowlands is projected to dwarf Continue reading →

Posted in Architecture, Atlantic City, CityCenter, Economy, Election, Genting, Glenn Straub, Hard Rock Hotel, Hard Rock International, Horseracing, Macau, New York, Pennsylvania, Sheldon Adelson, Stanley Ho, Steve Wynn, The Strip, Tourism | Comments Off on Hard Rock, Resorts World put their chips on the table

Quote of the Day

Posted on June 8, 2015 by David McKee

horse“Saving the horse industry is just as important as saving Atlantic City. There was no way that horse racing could succeed in New York, or ultimately New Jersey, without it being subsidized by another form of gambling.” — Jeffrey Gural, owner of Meadowlands Racetrack, demonstrating yet again that the horsey set is a parasite on the casino industry.

Posted in Atlantic City, Horseracing, New York | Comments Off on Quote of the Day

Straub puts Revel back in play; Hard Rock heads for Meadowlands

Posted on June 5, 2015 by David McKee

Glenn Straub‘s helter-skelter regime at Revel will continue at least a while more. He’s talking about reopening the HQ nightclub in July and revel_0409evicting ACR Energy Partners from Revel’s power plant, getting one monkey off his back. He did and yet didn’t deny S&G‘s report that he’s selling the megaresort … not for less than $200 million anyway. But what “international people” in their right mind are going to pay 200 million clams for a casino Straub got for $82 million — a 150% markup? (Vincent Crandon, CEO of MidOil USA, has been tipped as a possible buyer.) He claimed to the Philadelphia Business Journal to have international parties on the hook but pardon us if we remain skeptical.

In the meantime, Straub is hinting at bringing in Continue reading →

Posted in Atlantic City, Glenn Straub, Hard Rock Hotel, Hard Rock International, Indiana, Internet gambling, Massachusetts, New York, Pennsylvania, Politics, Regulation, Revel, Tourism, Tribal, Warner Gaming | Comments Off on Straub puts Revel back in play; Hard Rock heads for Meadowlands

Sifting through the Caesars wreckage

Posted on June 5, 2015 by David McKee

“If this litigation continues, we will take a big step backward because parties won’t at all be incentivized to come together and negotiate.” So says Randall S. Eisenberg, the de facto chief restructuring officer for Caesars Entertainment, which is trying to quash a quartet of lawsuits that — it says — could wreak havoc with its bankruptcy process. Caesars’ argument is that the litigation could encumber $1.5 billion that the parent company has pledged to Caesars Entertainment Operating Co., aka “bad Caesars.”

Since the bankruptcy automatically puts litigation against CEOC in a Continue reading →

Posted in California, Harrah's, Kansas, New York, Oklahoma, Regulation, Steve Wynn, Tribal, Wall Street | 1 Comment

Smooth sailing in Illinois, Iowa; Bad legislative bet

Posted on June 5, 2015 by David McKee

Just when Illinois casinos are trying to stave off another expansion of gambling, May brought a most inconvenient uptick in gambling revenues, albeit only half a percentage point, which can presumably be Grand Victoria ILaccounted for by the fact that this May had one more weekend day than 2014’s did. Northern Illinois revenues were a mixed bag, with Harrah’s Joliet down 9% and Rivers Casino up 2%. Penn National Gaming saw Hollywood Aurora rise 1% and Empress Joliet gain 5%. In fact, it was a good month all around for Penn, which was up 2.5% at resurgent Continue reading →

Posted in Boyd Gaming, GLPI, Harrah's, Illinois, Internet gambling, Isle of Capri, MGM Mirage, Penn National, Pennsylvania, Pinnacle Entertainment, Politics, Sports, Taxes, Wall Street, Warner Gaming | Comments Off on Smooth sailing in Illinois, Iowa; Bad legislative bet

Quote of the Day

Posted on June 5, 2015 by David McKee

Freeman“The gaming industry is aware of no other industry in the country for which the IRS has issued regulations requiring the industry to deploy its customer loyalty program for federal tax-collection purposes.” — American Gaming Association President Geoff Freeman, on one of the more insidious aspects of the IRS’ proposal to lower the threshold on reporting casino jackpots as income.

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Kansas gets down to brass tacks; Lindsey Graham, man of mystery

Posted on June 2, 2015 by David McKee

After years of waiting, the fate of Kansas‘ seemingly unwanted fourth casino license, long in abeyance came down to three-and-a-half hours of ruffinpresentations by a trio of rival bidders. The Kansas Lottery Gaming Facilities Review Board will make its choice by June 30 and the Kansas Racing & Gaming Commission must sign off on the selection by July 10. That’s a fast track for a proceeding that has been stuck in bottom gear for as long as one can remember.

The heavy hitter was Phil Ruffin (above), whose $84 million Camptown Casino would be fully funded in Continue reading →

Posted in Internet gambling, Kansas, New York, Palms, Phil Ruffin, Politics, Regulation, Sheldon Adelson, Taxes, Tribal, World Series of Poker | Comments Off on Kansas gets down to brass tacks; Lindsey Graham, man of mystery

Christie vs. Sweeney; Straub out of A.C.?

Posted on June 2, 2015 by David McKee

A bill introduced in the New Jersey Legislature sets up a proxy fight between Gov. Chris Christie (R) and state Senate President Stephen christieSweeney (D) over the timing of when Garden State voters will be called upon to decide Atlantic City‘s fate. Sweeney wants to wait a year and Christie would prefer a November plebiscite. A bill — lacking important details like the tax rate — to authorize non-Boardwalk casinos has been put forward. The other potential loser in the bill, as presently written, would be Monmouth Park Racetrack, expressly ruled out as a casino site.

How you feel about the bill depends on Continue reading →

Posted in Atlantic City, Carl Icahn, Colony Capital, Dennis Gomes, Donald Trump, Election, Glenn Straub, Internet gambling, MGM Mirage, Pennsylvania, Politics, Revel, Steve Wynn, Taxes | Comments Off on Christie vs. Sweeney; Straub out of A.C.?

Quote of the Day

Posted on June 2, 2015 by David McKee

Stewie-stewie-griffin-684195_1024_768“I want to thank the people at Fox who years ago took a chance on a quirky, little animated show about a bumbling dad and his family — which I saw and then created ‘Family Guy,’ ” — Seth MacFarlane, upon receiving the Louis XIII Genius Award from the Critics Choice Television Awards.

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Mohegans, Foxwoods get go-ahead; More trouble for Caesars

Posted on June 1, 2015 by David McKee

Driven by apocalyptic job-loss projections by Foxwoods Casino Resort and Mohegan Sun, the House of Representatives of Connecticut passed a casino bill to Gov. Dannel Malloy (D) for his Foxwoodssignature. The bill doesn’t authorize a casino per se but rather allows MoFox to cut a host-community agreement, then bring that to the Lege and the U.S. government for approval. A MoFox consultant predicted that 9,000 direct and indirect jobs could be lost if Connecticut doesn’t retaliate against casino openings in Massachusetts. That argument swayed Continue reading →

Posted in Atlantic City, Economy, Foxwoods, Glenn Straub, Harrah's, International, Internet gambling, Lake Tahoe, Massachusetts, MGM Mirage, Mohegan Sun, Penn National, Steve Wynn, Technology, The Strip, Trump Entertainment Resorts, Warner Gaming | Comments Off on Mohegans, Foxwoods get go-ahead; More trouble for Caesars

May in Macao: Hey, it could be worse; Wynn in Boston: Why not?

Posted on June 1, 2015 by David McKee

That’s Wall Street‘s spin on a 37% decline in May gambling revenues. Writes Carlo Santarelli of Deutsche Bank, “We view the tightening with forecasts … as a modest positive for the group and an indication of Sands-Macaoa forming bottom.” In other words, the sub hasn’t stopped sinking but it’s starting to strike silt. One Macanese operator, Sociedade de Jogos de Macau CEO Ambrose So doesn’t see full recovery for two years: “In the long run, with the Hong Kong–Zhuhai–Macao Bridge in use in 2017, business would be back to normal. When the roads are open, money will come in.”

To those like Union Gaming, who deplore Continue reading →

Posted in Japan, Massachusetts, Penn National, Regulation, Sam Nazarian, Sheldon Adelson, Stanley Ho, Steve Wynn, Tourism, Transportation, Wall Street | Comments Off on May in Macao: Hey, it could be worse; Wynn in Boston: Why not?

Christie’s change of mind; Caesars creditors thwarted

Posted on May 29, 2015 by David McKee

New Jersey Gov. Chris Christie (R) is already throwing in the towel on his five-year plan for Atlantic City. If lawmakers want to put a statewide expansion of casino gambling on this fall’s ballot, Christie would “have absolutely no problem with that question going on the ballot right away … The competition’s only going to grow, in New York [where Saratoga Casino & Raceway is adding a hotel and electronic table games] in particular. And so if we could plant our flag firmly in the ground, I think it would make the project even more successful.”

This doesn’t make a referendum a done deal. The Legislature has Continue reading →

Posted in Atlantic City, Election, Hard Rock International, Harrah's, Horseracing, Massachusetts, New York, Racinos, Regulation, Steve Wynn, Taxes | Comments Off on Christie’s change of mind; Caesars creditors thwarted

Quote of the Day

Posted on May 29, 2015 by David McKee

Internet casino“The biggest challenge of Internet gambling in the U.S. is that this is an industry still looked at as having been born out of sin. The new world of Internet gambling is clearly regulated and regulatable.” — 888 Holdings attorney Gil White, during an address to the East Coast Gaming Congress.

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

Gaming on the boil in Pennsylvania, less so in Illinois, Alabama

Posted on May 29, 2015 by David McKee

Gaming expansion is being introduced in the Illinois Legislature again and it has a pretty familiar look: a city-owned casino (the only one) in IllinoisChicago, four casinos scattered around the state, including one in Rockford, plus a pair of smaller (600-slot) satellite casinos, one in Decatur and the other potentially as far south as Cairo. Racinos, however, are out of the picture. The Chicago casino would get to keep all its revenue for seven years, as a means of satisfying growing pension obligations. However, lawmakers don’t have much time to get this done, since they adjourn on Sunday.

Luckily for existing operators, Continue reading →

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Good April for Vegas; Frankie the Fish and Sister Sandra

Posted on May 29, 2015 by David McKee

Baccarat play on the Las Vegas Strip improved by double-digit numbers for the second month in a row, up 14% in April, contributing to montecarlo1an 8% upward surge on the Strip. Baccarat revenues rose 5%, while all other table games improved 4% despite a smaller increase in action, and slot revenue shot up 11% although coin-in only grew very modestly. “Overall, we continue to think that LV Strip can generate low to mid-single [room revenue] and visitation growth, though the market will/should continue to experience volatility in baccarat play given a likely slowdown in Chinese players,” wrote J.P. Morgan analyst Joseph Greff.

Downtown Vegas enjoyed Continue reading →

Posted in Australia, Boyd Gaming, Donald Trump, Downtown, Economy, Lake Tahoe, Laughlin, Macau, Marketing, Mississippi, North Las Vegas, Philippines, Politics, Regulation, Reno, Sheldon Adelson, Station Casinos, The Strip, Vietnam | Comments Off on Good April for Vegas; Frankie the Fish and Sister Sandra

Caesars pays some, denies others; Adelson’s blunderbuss bill

Posted on May 27, 2015 by David McKee

Who knew that Gary Loveman was a creditor of Caesars Entertainment? His compensation package has been identified as Loveman tiredamong those adversely affected by Caesars Entertainment Operating Co.’s bankruptcy. The Chapter 11 proceeding has impacted five deferred-compensation plans, two of which will resume payouts since they overlap between Caesars and CEOC. “Based on a review of plans and related documents, we determined Caesars Entertainment is likely to be jointly liable with CEOC for certain deferred compensation liabilities. As a result, we recorded and disclosed the liability and resumed the related payments that had been discontinued,” said Teneo Strategy‘s Steven Cohen.

The Nevada Gaming Control Board had made the well-intentioned but Continue reading →

Posted in Cantor Gaming, GLPI, Harrah's, Illinois, International, Politics, Racinos, Regulation, Sheldon Adelson, Technology | Comments Off on Caesars pays some, denies others; Adelson’s blunderbuss bill

Straub faces reality; Chinese players prefer Vegas

Posted on May 27, 2015 by David McKee

Reality continues to sink in at Revel, where Glenn Straub has thrown in the towel on reopening this summer — raising the prospect of a grand-revel_0323reopening in the cold-weather months. Not very auspicious, that. Labor Day is the target date for getting the amenities back online and even that is a tentative date. Unable to get electrical power from other sources, Straub will continue his shotgun wedding with ACR Energy Partners for the foreseeable future. “They’re putting roadblocks up,” he complained.

Meanwhile, Straub finds himself in the middle of a legal wrangle between Continue reading →

Posted in Atlantic City, Genting, Glenn Straub, Hard Rock International, Harrah's, Macau, MGM Mirage, Revel, Taxes, The Strip, Tourism, Trump Entertainment Resorts, Wall Street | Comments Off on Straub faces reality; Chinese players prefer Vegas

Quote of the Day

Posted on May 27, 2015 by David McKee

galaxyworldMacaoRendering“I will never say there are too many tables.” — Galaxy Entertainment Vice Chairman Francis Lui, asked whether the 150-table government allocation for Galaxy Macau Phase Two was sufficient. The casino has the capacity for 500 tables.

Posted in Macau, Regulation | Comments Off on Quote of the Day

Phua case collapses; Bwin wooed ardently

Posted on May 27, 2015 by David McKee

Well, that’s it. With the exclusion of evidence gathered from all three Caesars Palace VIP villas used by Paul Phua, the federal government’s Caesars-restartscase against the poker pro collapses ignominiously. U.S. District Judge Andrew Gordon had already tossed all the goodies that the FBI had scooped up from Phua’s main villa, allegedly the nerve center of a renegade sports book operation. Now he has also excluded what was found in two ancillary villas, including “an array of computers and television monitors set up to handle the action.”

David Chesnoff and fellow Phua attorneys argued successfully Continue reading →

Posted in Bally Technologies, Harrah's, International, Internet gambling, Massachusetts, Penn National, Problem gambling, Racinos, Regulation, Scientific Games, Shuffle Master, Sports, Uncategorized, WMS Industries | Comments Off on Phua case collapses; Bwin wooed ardently