Quote of the Day

“You can’t fight the tape.” — MGM Resorts International CEO James Murren, on the futility of reasoning with the stock market, at Global Gaming Expo last week.

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Florida: Bend over & grab; Slots on the loose in A.C.

Background investigations in Nevada — at least before the budgetary axe starting falling on the Nevada Gaming Control Board — were said to be an indescribably unpleasant experience. As award-winning local columnist Michael Green once pointed out, when Gary Loveman was a faculty member at Harvard University, he would have had to attend departmental meetings … and yet he still pronounced his Nevada suitability investigation to be the worst experience of his life.

Similar rectal probes will be part of the entry process to Florida‘s growing casino industry, as enabling legislation continues to take shape. Anything less than a rigorous regulatory framework would likely doom the bill. Perhaps Las Vegas Sands is beginning to realize it’s not driving the bus. In any event, it says it’s prepared to go along with a synthesis of Nevada and New Jersey‘s oversight regimes. Genting Berhad is still pining for the Sunshine State’s jerry-rigged status quo, which trifurcates gaming regulation amongst three state bodies. However, it’s grudgingly coming around to a more stringent model. Both it and Sands have Macao-related issues that could prove sticky, if they’re among the three lucky licensees, but Continue reading

Posted in Alex Yemenidjian, Atlantic City, Entertainment, Florida, Genting, Harrah's, Marketing, Regulation, Sheldon Adelson, Tropicana Entertainment | Comments Off on Florida: Bend over & grab; Slots on the loose in A.C.

Pat Quinn finally gets it

After four months of vacillation, Gov. Pat Quinn (D-IL) has gotten off the fence and announced his opposition to multiple racinos within Illinois (and to slot routes at airports). Noting that the state already subsidizes the sport of kings, he took a swipe at the anti-free market concept of using casinos to prop up the horsey set, what he called, “the very notion that we have to have seven more gambling locations to, quote, ‘save horseracing.'” Quinn’s counterproposal downsizes the Legislature’s planned mega-expansion of gambling from 14 new locations to five, but preserves the Chicago casino on city fathers have placed so much hope. And, in a move reminiscent of some of New Jersey‘s former excesses, he would ban casinos from donating to the campaign coffers of elected officials, an overreaching impediment to free speech.

If Quinn’s Expansion Lite plan effectively kills any sort of legislative action … Continue reading

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NIMBY time in Maine

Having gotten the nod from Maine legislators, a third casino could soon be heading the state’s way. Appropriately enough, it will appear on the ballot as Question Three. Opponent Jim Handy has his shorts in a wad over the location of a potential temporary casino … the same site where the permanent casino will be built. Chances are, it’s going to be there — whether sooner or later. This looks like a one-Handy campaign to make an issue out of nothing.

It’s arms race within Maine, with two racinos on the ballot and Penn National Gaming‘s racino, Hollywood Slots, petitioning for table games. But the war isn’t strictly intramural. Maine’s stocking up gambling positions like nuclear warheads just as casinos in Massachusetts have become a fait accompli and even long-resistant New Hampshire is having serious second thoughts.

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Quote of the Day

“The free market will work over an extended period of time. The question is how long do you let the pain and suffering go on?” — local economist John Restrepo, on the continued failure to address Las Vegas‘ greatest economic burden: its oversupply of useless, unwanted housing inventory.

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The King of Palm Beach

Florida‘s seven struggling, casino-enabled parimutuels could become eight, with the entry of a new player …

While the courts have now made it possible for Don King to make an end-run around Palm Beach County voters, if necessary, by taking his case to the Lege, lawmakers are in pursuit of much bigger, more lucrative quarry right now — and King is construing very broadly a ruling that pertained to Hialeah Racetrack. But if King is looking to Donald Trump to finance his casino dream, he’s Continue reading

Posted in Current, Economy, Florida, G2E, Harrah's, Isle of Capri, Politics, Racinos, Sheldon Adelson, Steve Wynn, The Strip, Tribal | 2 Comments

Quote of the Day

“You can’t legislate everything in life. People [from Massachusetts] are gaming in Connecticut, Rhode Island, Las Vegas and Atlantic City.” — state Rep. Paul K. Frost (R-Auburn), speaking in support of Massachusetts’ nascent casino industry.

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Breakthrough in Massachusetts

This just in … the Massachusetts state Senate voted 24-14 to send casino legalization on to a conference committee, where the House’s version — passed with a crushing majority — already reposes. Differences between the two versions, obviously, will have to be reconciled but analyst Joseph Greff characterizes those as a “small hurdle” to eventual passage, though an immigration-status provision could prove thorny … as might dipping a Puritan toe into Internet poker. Since the two bills were made in the likeness of Gov. Deval Patrick, so to speak, it looks like we have a done deal. Break out the champagne (One ambiguity in the Boston Globe‘s reporting and that of other sources, such as Greff and Carlo Santarelli, is whether the tax rate is on gross receipts or profits. The former is standard practice. Taxing profits is practically an invitation to cook the books, Continue reading

Posted in Bally Technologies, Current, Economy, Florida, Genting, Harrah's, Horseracing, IGT, Internet gambling, Movies, Penn National, Pennsylvania, Politics, Racinos, Regulation, Sheldon Adelson, Slot routes, Sports, Steve Wynn, Taxes, Tribal, Wall Street, WMS Industries | Comments Off on Breakthrough in Massachusetts

Quote of the Day

“You know, we don’t need a lot more anthropologists in the state. It’s a great degree if people want to get it, but we don’t need them here.” — Florida Gov. Rick Scott, whose daughter was — you guessed it — an anthropology major.

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More Trop troubles; Adelson’s wins & losses

Update: The Trop has been hit with yet another defection — and it’s a biggie.

A bit shy of two years into his tenure as president of the Tropicana Las Vegas, veteran executive Tom McCartney has given his notice. While it’s tempting to speculate that McCartney got the heave-ho after the meltdown of the Trop’s relationship with Nikki Beach, he’s being given until month’s end to clean out his desk. Had he been sacked, there’d be no multi-week grace period, simply a cold declaration that he’d left “to pursue other opportunities.” McCartney will land somewhere else and probably soon. Come to think of it, creditors suing for control of nearby Hooters Casino Hotel could use an experienced consultant, should the property fall into their hands, unlikely as that looks at the moment. (Better draw up a non-compete clause, Mr. Y.) McCartney’s brief tenure at Planet Hollywood shouldn’t be held against him, as he saw that its assimilation into the Caesars Entertainment matrix would make him redundant and prudently hopscotched to the Trop.

Win one, lose some. For a day or two, it looked like Sheldon Adelson had wriggled clear of unflattering litigation. Attorneys for ex-Las Vegas Sands chauffeur Kwame Luangisa blamed Adelson for allegedly bilking their client of wages due, in addition to other obstreperous conduct. Now, over the years, S&G has heard of Adelson delivering more than one “abusive tirade” to someone he perceived as beneath him. However, Sands’ attorneys had a strong case for why the CEO should be excluded from the lawsuit and the court agreed.

Sheldon might want to savor that victory because he’s not having too many in court these days. In related litigation, charges of racism are being flung back and forth (a PR nightmare, no matter how it’s spun). It’s hardly news around here that Adelson travels with a heavily armed goon squad personal security detail, so Sands looks silly trying to seal court documents containing information that’s plentifully available elsewhere. But it is credible that plaintiffs’ attorney Donald Campbelltried to throw books at Adelson during a deposition,” if only because there are so many other people in Las Vegas who would like to do the same thing. Besides, if anyone abducted Adelson, it would be O. Henry‘s The Ransom of Red Chief all over again. The kidnappers would pay to be rid of the old sourpuss.

Whatever Adelsonian information is held by former Sands China CEO Steven Jacobs must be really touchy stuff. The company earned a judicial rebuke by Continue reading

Posted in Alex Yemenidjian, Culinary Union, Harrah's, history, International, Isle of Capri, Macau, Sheldon Adelson, The Strip | Comments Off on More Trop troubles; Adelson’s wins & losses

Quote of the Day


“Tourists come here and think Vegas is fantasy land; they don’t think of us as a working-class city, but we are. They just think we’re here to clean up their vomit after they leave.” — Sannette Gutierrez to a reporter covering yesterday’s “Occupy Las Vegas” march on the Strip.

Posted in Current, Economy, The Strip, Tourism | 4 Comments

Monopoly over Miami

A recent visitor to Las Vegas from the Pacific Rim told me that Sheldon Adelson has worn out his welcome in Macao (which is on pace to eclipse all other gaming markets combined) and is fast doing so in Singapore. Judging by his bludgeoning efforts to commandeer the Miami casino market, it’s easy to see why. His lese-majesté behavior could very blow up in his face. What you might call Sheldon’s “charmless offensive” has already failed to some extent. Two mayors he personally lobbied, Miami-Dade‘s Carlos Gimenez and Miami’s Tomas Regalado , have stated their preference for Genting Berhad‘s rival proposal.

In what sounds like a hastily hatched scheme, Adelson minion Andy Abboud is trying to pull together a land deal that would rival Resorts Worldsnearby beachhead. There’s no design, just a vaguely described concept “comparable to Genting,” according to one participant. Neither Adelson nor Abboud has signed on the dotted line just yet, unlike Genting, which plunked down $236 million for its site. (It shouldn’t take Genting long to amortize that with proceeds from its Resorts World New York casino, which already has the bluenoses getting sniffy.)

Instead, Adelson is threatening to take his ball and go home unless he is granted Continue reading

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G2E’s main man speaks

No Global Gaming Expo would be complete without the American Gaming Association‘s prexy making a pilgrimage to Jon Ralston‘s TV studio. So, whilst Yr. Humble Blogger digests a whole mess o’ analyst reports, enjoy the soothing sounds of Frank J. Fahrenkopf, the smoothest talker in the casino industry.

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Station’s next sorta-big thing

Last night, Station Casinos brass met with residents of Richfield Village, regarding the former’s proposed water park, at the nexus of I-15 and Desert Inn Road. Richfielders were told that Station wants to change the zoning on the parcel from “commercial” to “industrial” in order to be congruent with the prevalent zoning in the area. That explanation doesn’t quite allay the fears of those area residents who have visions dancing in their heads of Station flipping the acreage … finding themselves living on the north side of an industrial park. The matter heads to the Clark County Planning Commission on Armistice Day (Nov. 11), at which point the general public will become privy to what sort of aquatic wonders Station plans to build near where the Scandia Fun Center once stood.

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Quote of the Day

“Ferries don’t come to Macao during a typhoon but they don’t leave either.” — Deutsche Bank gaming analyst Carlo Santarelli, endeavoring to calm investor fears of “a broader slowdown in China” — anxieties that have driven MGM Resorts International, Las Vegas Sands, Wynn Resorts and Melco Crown Entertainment stocks down anywhere from 10% to 20%.

Posted in Economy, James Packer, Lawrence Ho, Melco Crown Entertainment, MGM Mirage, Sheldon Adelson, Steve Wynn, Wall Street | Comments Off on Quote of the Day

As the foreclosure turns …

Although its cash flow improved 47% this year to date, Hooters Casino Hotel continues to dribble red ink — losses incurred, in part, by its ongoing bankruptcy soap opera. And although it has close to $10 million in the till, according to principal guarantor Canpartners Realty, it isn’t paying down debts such as the $747,000 owed to International Game Technology. Instead, it appears to be blowing through cash on hand as quickly as possible, for instance, by hiring Innovation Capital to shop around the casino-hotel, on what are some pretty sweet terms for Innovation.

Despite having run up debt more than double the casino’s value, management essentially wants to chuck its obligations and Continue reading

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Welcome to G2E

Gaming’s biggest show starts today, so S&G would like to welcome conventioneers with this public service announcement from ABBA and vidder frapistat.

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Siegfried & Roy’s House of Horrors

Today is the eighth anniversary of that fateful night when a tiger named Montecore went postal on illusionist Roy Uwe Ludwig Horn, dropping a permanent curtain to the performing entity known as Siegfried & Roy™. Unwitting premonitions of Horn’s career-ending mishap are scattered through Siegfried & Roy: The Magic Box, an IMAX film that was dusted off and given a top-hush screening at The Mirage last night, in celebration of Horn’s 67th birthday.

Shot in IMAX 3-D between 1996 and 1999, The Magic Box never played in Las Vegas because Mirage Resorts had no theaters in which to show it. (An anachronism in the final credits lists Steve Wynn as Mirage chairman, which gives you an idea of just how dusty this relic is.) It grossed $5 million in its first year of release and hasn’t been heard from since.

Despite the fawning applause of an exceptionally ass-kissy audience — two young men behind us were in a state of nonstop rapture — the movie is indescribably bad although it would give a Freudian analyst a field day. For instance, young Siegfried (played by a waxen child “actor”) strays into a magic shop, represented as a long, womb-like tunnel at the end of which is a forbidding hag. Over this, old Siegfried is heard to say, “The world of magic is not easy to enter.” At another point, during a transatlantic cruise, young Siegfried looks deeply into the eyes of young Roy and says, “In magic, anything is possible.” The Magic Box plays like a 50-minute “coming out” video. The gay isn’t just in the house, it is the house — especially listening to Roy reminisce in Tallulah Bankheadlike tones on the soundtrack. Snippets from Sig ‘n Roy’s old stage show are lent allegorical meaning: World War II is symbolized by empty suits of armor marching in unison (being on the losing end of WW II seems to have weighed rather heavily on the Fischbacher and Roy households). The duo is depicted suffering oppression at the hands of Continue reading

Posted in Current, Entertainment, history, MGM Mirage, Movies, Steve Wynn, The Strip | 1 Comment

Quote of the Day

“What is this ‘Million Dollar Piano’? It’s your basic Yamaha grand fancified with 68 LED screens that run the horizontal length of the piano and display images and patterns to compliment the digital screen behind [Elton] John and band. He’s named it Blossom. Truth be told, it seems more like a tarted-up $100,000 piano; for a million bucks, it should get at least a little airborne.” — Randall Roberts, reviewing Sir Elton’s new Caesars Palace extravaganza for the Los Angeles Times.

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Shakedown at G2E; Riviera quits Colorado, Trump quits humanity

Our beloved casino industry runneth over with individuals, companies and even sovereign nations that have a vested interest in the legalization of Internet poker … and more. Rep. Joe Barton (R-TX, left) knows this, which is why he’s coming to Global Gaming Expo to peddle his influence on Capitol Hill, such as it might be. For “suggested contributions” of $1,000 a head, G2E attendees will get to rub elbows with Christian Coalition darling (91% approval rating) Barton at a pre-G2E audience, held at Palazzo. Lobbyist Nicole Porter Sarouphim (daughter of oily Nevada politician-turned-lobbyist Jon Porter) made the mistake of sending an invitation to the Barton meet-and-greet to I. Nelson Rose, who promptly blew the whistle on Barton’s soirée. Porter Group has made almost $94,000 from gaming interests this year alone (mainly from the Poker Players Alliance). In other words, the casino industry — and related parties — could be a fecund source of campaign lucre for Barton and he’s coming to Vegas to cash in. No dummy, he.

After scrutinizing the track record of the current Congress, Rose has concluded that there is zero chance of Internet-poker legalization until long after the 2012 election and Barton is Continue reading

Posted in Atlantic City, Colorado, Current, Dennis Gomes, Donald Trump, Economy, Election, G2E, Internet gambling, Marketing, Politics, Regulation, Reno, Riviera, Sheldon Adelson, Steve Wynn, The Strip | Comments Off on Shakedown at G2E; Riviera quits Colorado, Trump quits humanity