Quote of the Day

Posted on August 28, 2013 by David McKee

“There seems to be some state officials who would like to dictate what kind of jobs are good for a particular area,” Cleveland County Chamber President Michael Chrisawn, responding to leading GOP legislators in North Carolina who are threatening to interdict a Catawba Indian Nation casino near historic Kings Mountain.

Posted in Economy, Tribal | Comments Off on Quote of the Day

Sands pays The Man; Brothel bargains; Caesars goes to Boston

Posted on August 28, 2013 by David McKee

Uncle Sam is $47 million richer today after collecting an eight-figure settlement from Las Vegas Sands. Seems the latter had been operating on the outer fringes of legality when handling large sums of moolah from Zhenli Ye Gon. The latter, presently under indictment in Mexico for drug smuggling, had $45 million transferred into his Sands account and Sheldon Adelson‘s minions didn’t report it, evidently. They apparently got dollar signs where their eyes should have been, never having seen so large a cash transaction before. So Sands forfeits the money, plus interest, and avoids further punishment — unless you count the $36.5 million in bad debt it had to eat. Considering the alternatives, I’d say they took the least-unpalatable option. Is it any surprise that Sands is seeking limited criminal immunity in Spain, in its preliminary negotiations there? The fine points of the U.S. deal also explain why Sands recently hired Jerry Markling, late of the Nevada Gaming Control Board to investigate itself.

Speaking of prostitution … You know times are tough when Nevada brothels report a calamitous decline in revenue, as the state continues to bring up the rear in national economic indicators. Besides, why drive out to Pahrump when you can get a long-distance version of the world’s old profession via your high-speed Internet connection. “I offer a lot more specials and discounts and incentives,” says terrestrial sex worker Brooke Taylor, conjuring up visions of brothel customers clipping coupons.

Dissonance in Boston: Beantown Mayor Thomas Menino and Caesars Entertainment CEO Gary Loveman need to coordinate their rhetoric. When touting the virtues of his new host-community agreement with Boston, Loveman huffed, “I think the difference is that our project is in Boston where you have the greatest capacity to deliver. The other is in Everett.” Ah, but Menino says Steve Wynn‘s rival project is (oh, so very slightly) in Boston, enabling him to block it. (He says.) These two need to get their story straight as they now proceed to woo the electorate.

Posted in Current, Economy, Entertainment, Harrah's, International, Massachusetts, Sheldon Adelson, Steve Wynn | Comments Off on Sands pays The Man; Brothel bargains; Caesars goes to Boston

Quote of the Day

Posted on August 27, 2013 by David McKee

“I believe if Dante were alive today and rewriting the ‘Inferno’ that the lowest places in hell would be reserved for those who commit cruelty to our animals and to our children.” — U.S. Attorney George Beck, announcing the arrest of 12 individuals and the rescue of 367 abused pit bulls, part of a crackdown on a dogfighting ring in Alabama and Georgia (and Mississippi). Mind you, casino gambling — even electronic bingo — is strongly forbidden in those two states. Blood sports between animals, however, appears to be A-OK with the citizenry. If these troglodytes want to secede from the Union, by all means let them go.

Posted in Alabama, Animals | 3 Comments

Suffolk Downs a near-done deal

Posted on August 27, 2013 by David McKee

Boston has reached an agreement with the owners of Suffolk Downs. It would be the most “george” deal in eastern Massachusetts. Where Foxwoods Massachusetts would pony up $18 million in advance, Caesars Entertainment and Richard Fields offer $33 million, along with $45 million in infrastructure improvements. Four thousand long-terms are promised, along with a 2,500-man construction force. Despite Suffolk Downs’ relative isolation, Gary Loveman and Fields promise $52 million in annual economic impact, part of a deal even richer than what Steve Wynn put on the table next door.

Speaking of Everett, Boston Mayor Thomas Menino still wants to be a Buttinski and prevent Wynn from even a being heard by the Massachusetts Gaming Commission. (Running scared, Your Honor?) However, he takes a considerably less liberal interpretation of the rules when it comes to Suffolk Downs. He wants only East Bostonians allowed to vote on the racino, while the rest of Boston can go jump in the Charles River. It’s an impressive pact but it would be borderline tragic if Wynn’s rival proposal were excluded from competition due to mayoral nitpicking.

Incidentally, if Boston-area resident Loveman were to have the winning bid, the company could save a lot of money by giving him a palatial office at Suffolk Downs and let him run the company from there. It would certainly would save a lot of wear and tear on the corporate jet.

Posted in Current, Foxwoods, Harrah's, Massachusetts, Regulation, Steve Wynn | Comments Off on Suffolk Downs a near-done deal

How much sin in Sin City is too much?; Woe and Ho

Posted on August 27, 2013 by David McKee

Wearing a strap-on dildo seems to be the outer limit of decency in Las Vegas. Any casino that hosts a nightclub is playing with fire to some extent but Las Vegas Sands well and truly burned its fingers with The Act. (And what “act” might that be, one asks?) So clueless was Sands that the Nevada Gaming Control Board and Las Vegas Metro had to ‘drop dime’ on the fleshpot.

“The undercover agents reported that performers would fling condoms into the crowd and simulate bestiality, urination and defecation on other performers… There was also simulated masturbation resulting in simulated ejaculation,” according to Sands’ ineffective head of security. Club lawyer Pat Lundvall is preparing a performance-art defense, arguing that “simulated” is the magic word and, since no actual sexytime was made onstage, nothing lewd occurred. (Lundvall has a pretty broad interpretation of “lewd,” I must say.) The Act’s activities do seem Continue reading →

Posted in Current, Harrah's, International, Macau, Ohio, Penn National, Planet Hollywood, Regulation, Sheldon Adelson, Stanley Ho, The Strip | 2 Comments

Case Bets: Seneca scandal; Atlantic City brings on the girls; Still no help for Mashpee

Posted on August 27, 2013 by David McKee

Well, that didn’t take long. Scarcely was the ink dry on New York Gov. Andrew Cuomo‘s deal with the state’s gaming-enabled tribes than the Seneca Indian Nation stepped right into a scandal. $5 million of an $8 million development deal would be in the form of ‘success fees’ to lobbyist David Flaum. The $5 Million Question is whether Flaum was acting on the Senecas’ behalf when the latter were lobbying the state. If he wants to clear his name, not acting guilty when reporters call would be a good start.

Trump Taj Mahal hopes to replace plummeting profits with plunging necklines (and that’s just the beginning). It’s adding the first strip club in Atlantic City‘s entire history of legal gambling. There’s plenty of skin being shown along the Boardwalk already but Scores ups the ante with some nearly bare titties for your titillation. But bring cash for there’s a 20% surcharge on credit card transactions. And, for the ultimate bummer, lap dances are verboten. To paraphrase The Associated Press, the quest isn’t why Scores is coming to A.C. but why somebody didn’t do this sooner? Scores is no ordinary titty bar but a labyrinthine collection of seven venues. What’s the over/under on how long it’ll be before some damn fool decides to “make it rain” and sets off trouble?

It’s been a good week for Mohegan Sun. First off, it received a three-year license renewal for Pocono Downs, ensuring that it will continue to be one of the dominant presences in Pennsylvania. It’s also scheduled to ink a host-community pact with Palmer later this week, putting it one step closer to a Massachusetts casino. However, in southeastern Massachusetts, things may not be looking up for the Mashpee Wampanoags. Tribes only have to demonstrate continuity back to 1934, which opens the door to gaming for a number of nations. But it’s not so good for Continue reading →

Posted in Atlantic City, Entertainment, Foxwoods, Massachusetts, Mohegan Sun, New York, Pennsylvania, Regulation, Sports, Steve Wynn, The Strip, Tribal, Trump Entertainment Resorts | Comments Off on Case Bets: Seneca scandal; Atlantic City brings on the girls; Still no help for Mashpee

Ditched, dumped, divorced, dud; Mob Attraction on the move?

Posted on August 26, 2013 by David McKee

Once again, the Las Vegas Hotel & Casino has been the place where shows go to die. Tedious demi-musical The D* Word is going dark for good on Sept. 1. You’d never guess this self-ripoff from the author of Menopause The Musical would be box office poison, based on the “You go, girl” hysteria that accompanied the premiere. Then again, the lower echelons of the Las Vegas media scene are notoriously easy to please. My spies tell me that the original cast has already skedaddled to Palm Beach, while Christine De Chavez, Jacquelyn Holland-Wright and the rest of the Vegas-residency cast have allegedly been promised a two-month run in Philadelphia instead (or so the scuttlebutt would have it). Rarely have I looked at the clock so often during a show as I did during The D* Word, which must stand for “dull.”

Also heard through the grapevine is that the Tropicana Las Vegas will soon be bereft of Continue reading →

Posted in Alex Yemenidjian, Current, Entertainment, The Mob, The Strip | 1 Comment

Revel: It had to happen; Hard Rock on a roll

Posted on August 26, 2013 by David McKee

Revel Resort‘s somewhat disingenuous “You Can’t Lose” promotion was bound to attract a lawsuit and so it has. A pair of players are suing and, though the odds seem against them, it’s worth recalling that Revel’s disclaimer language tap-danced around the edges of the law. If nothing else, we can look forward to a trial in which the point size of type is a major evidentiary issue, as Revel took fine print to new levels of miniaturization.

Resorts Atlantic City must have heard you. In a recent article, execs take pains to point out surviving vestiges of Chalfonte-Haddon Hall. They also pointed out — with pride, you might say Continue reading →

Posted in Architecture, Atlantic City, Dennis Gomes, Hard Rock International, Harrah's, Marketing, Massachusetts, Ohio, Revel | Comments Off on Revel: It had to happen; Hard Rock on a roll

Crazy from the heat

Posted on August 24, 2013 by David McKee


Nothing seems to bring the crazies out like living in Las Vegas, as these two domestic terrorists prove.

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Quote of the Day

Posted on August 24, 2013 by David McKee

“Hollywood has a way of glamorizing everything up to and including vampires. This is a movie that highlights a part of the Internet that has real downside unless governments act.” — MGM Resorts International spokesman Alan Feldman on the new Justin Timberlake vehicle Runner Runner, set in the demimonde of Internet gambling and not, alas, amongst vampires.

Posted in Internet gambling, MGM Mirage, Movies | Comments Off on Quote of the Day

Atlantic City: Half-full or half-empty?; Crosby tips his hand

Posted on August 23, 2013 by David McKee

It depends on which newspaper you read. The Press of Atlantic City took the half-full route, focusing on the profits made by eight of the city’s dozen casinos. The Associated Press pointed to the narrowing margin of aforesaid gross-operating profitability. No surprise, Borgata was the most profitable of the bunch and Revel Resort the least, the latter widening its 2Q13 losses from the year previous, which wasn’t so hot either. The Tropicana Atlantic City posted the most revenue growth (28%), besting Caesars Atlantic City by a hairsbreadth. Miraculously, both Trump Entertainment Resorts casinos finished in the black, although their profit margins cratered: -73% at Trump Taj Mahal and -98% at Trump Plaza.

Nobody’s losses were even remotely as great as Revel’s -($41 million in the quarter). The resort transferred the pain to its workforce, reneging on 401(k) contributions. Between this and the double talk of its “refunds” of player losses, Revel is the prohibitive frontrunner for Indian Giver of the Year. We understand that Revel is desperately trying to survive but revenue was up 33% last month and this hardly seems like the time to alienate one’s employees.

The sad side of Atlantic City. In a tragic Boardwalk saga, the New York Times has discovered a doleful aspect of Atlantic City‘s casino commuter subculture. Many are Asian immigrants who ride the buses to and from the shore. Some come for the free play but others go for dining coupons that they resell on the black market. Others simply stack some Zs at the slot machines. Still others just go back and forth for something to do. Nor is it only Atlantic City. Sands Bethlehem is a favored destination, daring the wrath of Sheldon Adelson, as are Connecticut‘s tribal casinos. In an inexpressibly sad statement, bus rider Chun-Hae Young said, “The casino is a kind of place that can bleed you dry of everything. It can also save your life when you have nothing.

Play nice, boys. In a possible hint of where he’s leaning, Massachusetts Gaming Commission Chairman Stephen Crosby asked Steve Wynn and Boston Mayor Thomas Menino whether we can’t all get along. From where I sit, Wynn Resorts has conducted itself with dignity while Menino has done everything possible to kneecap its Everett project. Said Crosby, “When you have two parties spatting in public, it makes everything look disorganized or suspect or political.” The man’s right.

[your name here] Don’t get used to that cheesy “Vegas High Roller” name. Penurious Caesars Entertainment is putting naming rights to its Ferris wheel on the block. Look on the bright side: They could always sell them to Joe Francis and call it the “Girls Gone Wild Whirl.” However, given the amount of money Caesars has extracted from the wallet of hapless high rollerTerrance K. Watanabe, “Watanabe’s Wheel” has a nice ring to it.

Unfortunate sentence of the week: “Crown’s Sydney casino project, at the Barangaroo development west of the city’s main business district, was last month moved to the third stage of a state government approval process, beating off competition from an Echo proposal to expand its Star site.” –Now, now, lads. I’m sure we can settle this without resorting to self-abuse.

Posted in Boyd Gaming, Donald Trump, Economy, Foxwoods, Harrah's, International, James Packer, Massachusetts, Mohegan Sun, Pennsylvania, Problem gambling, Regulation, Revel, Sheldon Adelson, Steve Wynn, The Strip | 1 Comment

Quote of the Day

Posted on August 23, 2013 by David McKee

“Bill Harrah absolutely wanted to have the best and nicest facilities. Harrah’s Lake Tahoe was a five-star hotel when I worked for them. The facilities had to be spotless, they had to be clean … and the service had to be impeccable.” — former Harrah’s Entertainment executive Pat Crofts, describing the 1976-1983 era at Harrah’s. It certainly doesn’t sound anything like the experience of staying at a Caesars Entertainment property in the Gary Loveman regime.

Posted in Harrah's, history | Comments Off on Quote of the Day

Wackiest casino promotion ever

Posted on August 22, 2013 by David McKee

This Muscogee Creek Casino spot speaks for itself, although I have to say it’s a lot more fun than the casino commercials that are run in Las Vegas (“Table games! Rewards!” Zzzzzzzzz …)

Posted in Marketing, Oklahoma, Tribal, TV | Comments Off on Wackiest casino promotion ever

Troubling trend in Mississippi; Caesars pleads poverty

Posted on August 22, 2013 by David McKee

Evidence of casino saturation in the U.S. (and economic malaise) continues to mount. Following a 6% dropoff in Mississippi casino revenues for July, the Biloxi Sun-Herald‘s Mary Perez was moved to examine a larger trend. Here’s what she found in terms of July winnings at the Bayou State’s Gulf Coast casinos:

2008: $249 million

2009: $225 million

2010: $224 million

2011: $211 million

2012: $205 million

2013: $192 million

That’s a 22% fall if Continue reading →

Posted in Current, Economy, Harrah's, Louisiana, Mississippi, Reno | 1 Comment

Wynn hearts Atlantic City; A pointless election

Posted on August 22, 2013 by David McKee

Update: Penn National Gaming has been tipped as a potential buyer for disqualified Plainridge Racecourse. The city has already scheduled a Sept. 10 vote on a slot parlor, so Penn would have less than three weeks to negotiate the essential host-community agreement. As town administrator Joseph Fernandes says, “It has been a pretty intense roller coaster.”

Steve Wynn just can’t get over Atlantic City. He’s been in (Golden Nugget), out, in again (the abortive Le Jardin), out again and even made a courtesy call a few years ago, presumably sussing out properties in A.C. Now he wants a New Jersey online-gaming license, which necessitates one of two things. Either he partners with an existing casino or he buys one. The down-at-heels Atlantic Club (the former Golden Nugget) is on the market and who knows how Revel Resort would respond to a purchase offer … although it would seem a little rich for Wynn’s blood, especially when he’s committing close to a billion dollars to the Philadelphia market. No, more likely is that Wynn Interactive simply partners with one of the two, although Revel would be an affiliation more in keeping with the Wynn brand.

Cordish Cos. came a step closer to having a slot parlor in Leominster, Massachusetts. It was cleared for a special zoning permit, which paves the way for a Sept. 24 up-or-down vote on the casino. The $200 million project is banking on its distance from the state’s three other casino regions to put its proposal over the top with the Massachusetts Gaming Commission. The latter finds itself in a pickle regarding Tewskbury. Voters there rejected the zoning change requested by Penn National Gaming, 39% to 61% … but still may have to vote on the casino itself next Sept. 21.

Trouble is, nobody foresaw this scenario to the extent of writing into state law how a special election should be canceled. Penn, quickly striking its tent, supports scrapping the plebiscite and the MGC would like to do it, too. For now, it looks as though Tewksbury burghers will have to go through with an utterly meaningless vote. And if Penn turns its sites toward southeastern Massachusetts, it has until Sept. 30 to strike a host-community agreement, will be able to build a much bigger facility and faces no competition worth mentioning. It sure beats trying to hammer out a new slot-parlor HCA in a new town inside of week.

After dithering for years, the legislature in Florida finally got around to outlawing Internet cafe-casinos. Now, unfortunately, the gray market that sprung up prior to the state’s action may have precedents that open a loophole and further sap the viability of brick-and-mortar casinos in the Sunshine State.

Posted in Atlantic City, Colony Capital, Cordish Co., Current, Election, Florida, Internet gambling, Massachusetts, Penn National, Pennsylvania, Regulation, Revel, Steve Wynn | 2 Comments

Better late than never in A.C.

Posted on August 21, 2013 by David McKee

Under the leadership of the Atlantic City Alliance, the Boardwalk is finally getting its act together. (Makes you feel like a proud papa, doesn’t it?) Now through 2016, the ACA will offer $1 million in annual subsidies to conventions. The convos have to be first-timers in Atlantic City and must put at least 1,000 bodies in hotel beds. It’s a big step in the right direction for a city that used to prize gamblers over conventioneers. Considering the capacity of properties like Borgata and Revel Resort, it’s high time A.C. capitalized upon it. Kudos also to the Casino Reinvestment Development Agency for earmarking 300 thousand clams to support relocation of the Garden State Film Festival. Associated for a decade with Asbury Park, the fest found itself homeless. Enter the CRDA. It also extended a small subsidy to the Downbeach Film Festival. Feeling generous, the CRDA also allocated $130K to bring back the Atlantic City Ballet, which hasn’t been based in A.C. in 15 years. Good moves all around, guys. Bravo.

Who won and who lost in 2Q13? Rick Velotta has the answers in an excellent wrap-up. He covers every major player on the field and provides a handy layman’s guide of the importance of Macao to the health of Las Vegas. This is highly recommended reading. To the southeast, Florida punters are making Hiahleah Park Casino a speedy hit.

Posted in Atlantic City, Boyd Gaming, Current, Economy, Florida, Macau, Racinos, Revel, Tourism | 1 Comment

Another reason to hate Allegiant; Fertitta gets an “F”

Posted on August 21, 2013 by David McKee

That airline that charges you for checking bags, then floated the idea of charging you for not checking bags has found yet another way to screw its customers, as a planeload of them discovered last weekend in Las Vegas. Yes, it’s Allegiant, the carrier where the passenger is just a dollar sign.

Business has been booming at the Golden Nugget this week. During a brief visit, I saw heavy (in number, regardless of dollar amount) table game play, as the Nugget was awash in a sea of customers. Back when Landry’s Restaurants was a publicly traded company, Tilman Ferititta drew a disproportionate amount of his revenue from the Vegas and Laughlin Nuggets. Now that he’s in Atlantic City and Biloxi that can only be more so. His marketing secrets would be the envy of some of the long-suffering casinos on the Strip. The pool area, however, was a real scuzzbucket, one of the skankiest in town, Indeed, I have never seen so many tattoos in one place as at the Nugget. (Is it a prerequisite for admission?) And Continue reading →

Posted in Atlantic City, Downtown, Laughlin, Mississippi, Tilman Fertitta, Tourism, Transportation | 4 Comments

Penn loses yet again; Weirdest story of the year

Posted on August 21, 2013 by David McKee

In a stunning setback, voters in Tewksbury, Massachusetts, have decided they don’t want any part of a Penn National Gaming slot parlor. By a very wide margin, they nixed the project, thereby reducing the field of competitors to three: Raynham Park, Cordish Gaming and Rush Street Gaming. It’s not been a good year for Penn, if we go back to its electoral defeat in Maryland last November. It’s subsequently had its Sioux City license taken away (or not renewed, more precisely) and been passed over for the Springfield, Mass., casino contract that went to MGM Resorts International. Penn says it will abide by the will of the Tewksbury electorate, which is mighty big of them: It’s not like CEO Peter Carlino (left) has much choice in the matter. The people have spoken and Carlino lost. If he can find another host community by Sept. 1, Penn could still get into Massachusetts, but the prospect is looking bleak, unless … he makes a play for the southeastern region, where no operator of consequence has bid.

Can you believe that a construction executive based in Boston would be unaware his company did work for Foxwoods Resort Casino and Mohegan Sun. That’s the fish story an anti-casino Beantown mayoral candidate would have you swallow. Suffolk Downs workers accuse Peter Walczak of wanting to have it both ways and it doesn’t look like he’s got a leg to stand on, despite his protestations to the contrary.

Here’s a howdy-do, as they say in the collected works of Gilbert & Sullivan. A new, anti-gambling movie, Continue reading →

Posted in Animals, Current, Election, Foxwoods, Internet gambling, Massachusetts, MGM Mirage, Mohegan Sun, Movies, Penn National, Politics | 1 Comment

Case Bets: Walker’s wager; “e” on the QT; Blue no more

Posted on August 20, 2013 by David McKee

One of the nation’s largest tribal casinos, Potowatomi Bingo, in Milwaukee, has been caught by the economic malaise that is dogging so many of the nation’s casinos. Although Potowatomi defied the Great Recession, peaking in 2009 and rebounding after a 2010 dip, its FY13 revenues are down again. It also has to worry about prospective competition from Kenosha, Beloit and Lafayette County. The administration of Gov. Scott Walker (R, right) has an interesting — if disingenuous — policy toward tribal-casino expansion. Walker retains veto power over any off-reservation agreements with the Bureau of Indian Affairs. However, all 11 gaming-enabled tribes in Wisconsin also have to sign off on them. What, I ask you, is the likelihood that 11 tribes are going to say, “Sure, bring on some new competition, man”? Not bloody likely. That way, Walker keeps his hands clean and lets the tribes do the dirty work for him. It’s almost fiendishly clever.

Discourage alcohol sales in the vicinity of the Fremont Street Experience? If the FSE were denuded of drunkards, would Continue reading →

Posted in Boulder Strip, Cosmopolitan, Dining, Downtown, Economy, North Las Vegas, Politics, The Strip, Tribal | 2 Comments

Quote of the Day

Posted on August 20, 2013 by David McKee

“You still have a consumer that is very careful about their spending. Many markets are seeing a point of saturation. Some new casinos are not growing the market — they’re just cannibalizing the existing market.” — Fitch Ratings analyst Michael Paladino on flat-to-downward trends in the non-Vegas casino industry.

Posted in Economy | Comments Off on Quote of the Day