The Flim-Flam Man

Posted on April 20, 2011 by David McKee

If anything salutary emerges from Donald Trump‘s “cynical branding exercise,” it’s that it may finally expose an epic “scam” once and for all. I refer, of course, to the Trump-generated myth that he is a successful casino operator. True, he might have been — decades ago — although history suggests otherwise. While “thousandaire” Trump’s potential political rivals might not care how many times his gambling empire has gone into bankruptcy, the media is certain to have a jolly good time digging through the dustbin of history.
For instance, did you know that Trump was reduced at one point to sending casino boss Nick Ribis around to his siblings, rattling the tin cup to keep The Donald operational? Or that his net worth is routinely inflated by exponential amounts (as much as 63X)? Or that he diverted bank loans to his businesses into alimony payments? Or that his casinos bled red ink for at least Continue reading →

Posted in Atlantic City, California, Charity, Cretins, Current, Donald Trump, Economy, Election, Indiana, Marketing, TV, Wall Street | 6 Comments

Stop and smell the roses …

Posted on April 19, 2011 by David McKee

… and while you’re at it, pull the weeds growing around them. That’s been a big part of my week so far, as I try to catch up on a backlog of commissions, kick the tires on a possible new S&G spin-off and tidy up the lawns of our Las Vegas abode (with its front-porch view of the Strip, plus some really good plane-spotting), which now includes a rapidly budding rose tree out front. (Did you know that coffee grounds make good mulch?) Last year, I vanquished several armies of ants. This year, it’s me vs. the weeds but, to date, the weeds are winning. However, it’s a good, meditative form of exercise: Nothing solves writer’s block quite like some quality time spent digging crabgrass out of the cracks in your sidewalk.

Posted in Current | 1 Comment

Quote of the Day

Posted on April 17, 2011 by David McKee

Ladies and gentlemen, the musical stylings of Sharron Angle. Brain bleach may be advisable.

Posted in Current | 4 Comments

‘Pokergeddon’ as it happens

Posted on April 15, 2011 by David McKee

Today’s Department of Justice/FBI surprise attack on PokerStars, Absolute Poker and Full Tilt Poker is a story that’s moving so fast that there’s scarcely time to mull or comment upon it. Almost nobody saw this coming, although Nathan Vardi of Forbes was prescient. PokerStars’ Nevada lobbyist-in-chief, Richard Perkins, was a veritable virtuoso of spin doctoring. Queried by the Las Vegas Review-Journal he basically said, “See? This proves the need for an over federal solution!” Unfortunately, for the moment, the “federal solution” to online poker is a pair of handcuffs.

Perkins’ allies, such as Steve Wynn, however, may find themselves high and dry — or at least facing tough questions about how much due diligence they performed before hopping into bed with Internet casinos. Caesars Entertainment CEO Gary Loveman may look damn foolish, or at least politically tone deaf, for his insistence that federal-level legalization was just around the corner. But he was very smart to partner with a firm — 888.com — which has erected a ‘Chinese wall’ between its online-betting operation and U.S. customers.

Besides, Caesars Interactive Entertainment CEO Mitch Garber has had a scrape or two with the feds himself, so he presumably knows the value of circumspection. Bottom line: Continue reading →

Posted in Baseball, Current, Harrah's, International, Internet gambling, Politics, Regulation, Steve Wynn, The Strip, Wall Street | 3 Comments

Quote of the Day

Posted on April 15, 2011 by David McKee

“Online poker is toast.” — Hunter Hillegas, in a Tweet of enviable pithiness, summarizing today’s Department of Justice crackdown on Internet gambling firms Full Tilt Poker, scandal-prone Absolute Poker, and PokerStars. Full Tilt and PokerStars business partners Wynn Resorts and Fertitta Interactive are probably going into a full-speed backpedal at this very moment. More on ‘Pokergeddon‘ (™ Jinx) here.

Posted in Current, International, Internet gambling, Regulation, Station Casinos, Steve Wynn | 3 Comments

Fire sale in Vicksburg; Win or loss for Gettysburg?

Posted on April 15, 2011 by David McKee

Update: An earlier version contained a gross error/AARP moment on Yr. Humble Blogger’s part. I have amended the story so that it contains greater “factiness.” Also, fellow Canadian firm Gateway Casinos is the likely operator-to-be.

In a curt announcement, Tropicana Entertainment offloaded its Horizon Vicksburg riverboat for an undisclosed price. The buyer is little-known Canadian firm Tangent Gaming, although there may be a third hand at work behind the scenes, because Tangent’s track record is mainly that of a financier, not an operator — although it maintains a number of slot routes. The price is probably being kept quiet because former TropEnt parent company Columbia Sussex tried to sell the vessel to Nevada Gold three years ago for $35 million. Then-TropEnt CEO Scott Butera subsequently torpedoed the transaction.

If the parties keeping the sale price on the QT, it probably means TropEnt got even less for Horizon Vicksburg than ColSux’s William J. Yung did. A year ago, Bally Technologies was able to sell its Rainbow Casino in Vicksburg to Isle of Capri Casinos for $80 million (and Isle’s execs are some of the shrewdest in the biz) but Rainbow is a considerably larger facility and ColSux properties are notorious Continue reading →

Posted in Bally Technologies, Carl Icahn, Columbia Sussex, Current, history, Indiana, International, Isle of Capri, Massachusetts, Penn National, Pennsylvania, Racinos, Regulation, Slot routes, Tourism, Tribal, Tropicana Entertainment, TV, Wall Street | 5 Comments

Low-rolling at Aria; MGM ups China ante; That doggone Desert Xpress

Posted on April 14, 2011 by David McKee

A SoCal-based player kindly shared this image from the latest Aria/M life offer:

My friend ran an experienced eye over the chips on the rail and concluded that it “must be the lowest-minimum craps table Aria has ever seen,” as there’s an aggregate $60 in chips being played. Either that or these presumable mid-rollers have blown through their bankroll, accounting for the blonde’s look of anxiety, bordering on desperation.

Unintentionally amusing as this may be, at least it’s not promoting anything irresponsible. We’re worlds away from Cantor Gaming‘s scummy push (abetted by I’ll-do-anything Assm. William Horne [D]) to legalize wide-open use of its portable gambling modules — yes, even in your hotel room. Allow me to suggest a promotional pitch, should this affront be voted into law: “Why gamble away Little Jimmy’s college fund? With Cantor’s Wall Street technology, Junior can do it all by himself!”

A picture that’s worth a New Jersey casino license.

More MGM, less Pansy Ho. That’s the bottom line of the proposed MGM China IPO. Controversial casino heiress Pansy Ho would place some of her shares on the Hong Kong bourse, as well as buy $300 million in MGM Resorts International notes, convertible to stock. The company receives much-needed cash up front and Ms. Ho potentially gets to own a big Continue reading →

Posted in Atlantic City, California, Cantor Gaming, CityCenter, Current, Harry Reid, Lawrence Ho, Macau, Marketing, Melco Crown Entertainment, MGM Mirage, Movies, Pansy Ho, Problem gambling, Regulation, Stanley Ho, Technology, The Strip, Transportation, Wall Street | Comments Off on Low-rolling at Aria; MGM ups China ante; That doggone Desert Xpress

At the winner is … Isle of Capri; Big shakedown in Ohio

Posted on April 14, 2011 by David McKee

That ongoing Isle of Capri Casinos Comeback Tour comes to Nemacolin Woodlands Resort, which won Pennsylvania‘s final “resort casino” license earlier today. Situated in the greater Pittsburgh area, the rural getaway is owned by lumber tycoon (and “george” political donor) Joe Hardy. The vote wasn’t even close, as Hardy and Isle were handily granted the right to 600 slot machines and possibly 50 table games, too. Fernwood Resort up in the casino-saturated Poconos, and backed by Penn National Gaming, got one vote. Limited liquidity at Isle, while an issue, wasn’t an insuperable obstacle for Nemacolin’s bid.

Totally shut out were laughinstock applicant (see bottom of story) RV World in Mechanicsburg and the controversy-plagued Mason-Dixon Resort & Casino, outside Gettysburg. The latter’s location made a lot of sense from the standpoint of its proximity to Maryland, where the casino industry has had great difficulty getting its act together — partly due to unceasing machinations by Penn National — leaving a wide-open market for south Pennsylvania to tap.

Wells Fargo gaming analyst Carlo Santarelli has run the numbers on Lady Luck Nemacolin and Continue reading →

Posted in Economy, Election, Harrah's, Isle of Capri, M Resort, Maryland, Ohio, Penn National, Pennsylvania, Politics, Racinos, Regulation, Taxes, TV, Wall Street, West Virginia | 6 Comments

Quote of the Day

Posted on April 12, 2011 by David McKee

“I’m really encouraged by the summer. Bookings are great. The big news is, we’re all working together.” — Don Marrandino, president of Caesars Entertainment‘s four Atlantic City casinos. Cooperation on the Boardwalk? Now there’s a new (and welcome) trend.

Posted in Atlantic City, Current, Harrah's, Tourism | Comments Off on Quote of the Day

Quote of the Day

Posted on April 11, 2011 by David McKee

“The purpose of the courts is to provide a forum for the orderly, just, and timely resolution of controversies and disputes. Plaintiff’s wishes to the contrary, the courts are not merely tools for encouraging and exacting settlements from defendants cowed by the potential costs of litigation and liability.” — Senior U.S. District Judge John L. Kane, on the shakedown-style tactics employed by Vegas-based Righthaven.

Posted in Current | 1 Comment

Blast from the past

Posted on April 11, 2011 by David McKee

Has Steve Wynn taken voice lessons? The unmistakable, mellifluous baritone that soothingly emanates from the mogul’s prerecorded messages to hotel guests and Web site visitors is a far cry from the high-pitched, nasal tones heard in this ancient TV interview. Wynn’s clearly worked to develop a more authoritative, CEO-like sound in the decades since. He’s also improved his media-relations skills beyond recognition. The Steve Wynn of today wouldn’t get so fidgety and flummoxed in front of the TV cameras.

Posted in Atlantic City, history, Steve Wynn, The Mob, The Strip, TV | Comments Off on Blast from the past

Why is this man smiling? (And other Case Bets)

Posted on April 11, 2011 by David McKee

Because Sen. Harry Reid‘s decision not to importune lenders on behalf of Fontainebleau (unlike CityCenter) means he steered clear of a widening circle of litigation and recrimination, that’s why. Among those in the hot seat are hapless James Packer and ousted F’blew boss Glenn Schaeffer (a once-brilliant career blown to smithereens) along with Chief Restructuring Officer Howard Karawan. (Remember him?) Scrutiny by the courts into F’blew may unravel some of the project’s lingering mysteries, such as why the “final” budget number kept ratcheting upward with no end in sight. For that matter, why have lenders tolerated a policy of ‘build first/design later’ which essentially guarantees cost overruns? Of all the ‘failsinos’ in Vegas history, F’blew — with its estimated completion cost of $4.4 billion — was the most out of control and remains the odds-on favorite to be the first Strip resort to be imploded without ever opening.

Pit bosses sacked … potentially. An edict mandating a 20:1 table-game-to-pit-boss ratio in Atlantic City casinos has been scrubbed from the books. Fewer suits peering over one’s shoulder is certainly to go over well with dealers, as former card-pitcher Continue reading →

Posted in Atlantic City, Boyd Gaming, Carl Icahn, Colony Capital, Current, Dennis Gomes, Donald Trump, Economy, Fontainebleau, Harrah's, Harry Reid, James Packer, Regulation, Sports, Tourism, Tropicana Entertainment | 6 Comments

Quote of the Day

Posted on April 9, 2011 by David McKee

“Trump … sounds very self-assured. This is because before he was a reality-show host, he was in the New York real estate business, a profession in which it is vital to be able to say imaginary things with total certainty.” — Gail Collins on Donald Trump‘s latest hissy fit (in which he manages to give himself several pats on the back, presumably without dislocating his arm). In Trump’s defense, if anyone in America knows the meaning of the word “scam,” we submit that it is The Donald.

Posted in Current, Donald Trump, New York, TV | 1 Comment

Marriott moots LV casino

Posted on April 8, 2011 by David McKee

Offering Sin City a slim reed of hope, Marriott International has let it be known — through “trailer station” operator United Coin — that it hopes to build a 3,500-room casino-hotel directly opposite the Las Vegas Convention Center. Considering the recent struggles of the nearby Las Vegas Hilton, this is a vote of confidence. Besides, most of the hotel product in the area runs toward the skanky. Construction wouldn’t start until the first quarter of 2013 or thereabouts.

Still, Marriott’s project would be a tall order — literally. The lot in question is one puny acre, which would mean that the casino (and everything else) would have to be “stacked” like crazy. It also doesn’t have the greatest karma in the world, having been the site of a string of failed ventures dating back to the Sports of Kings, an erstwhile casino that had the rare and unenviable distinction of being shut down by Nevada regulators. Marriott might want to bring in some Buddhist monks or Native American shamans to cleanse the parcel of unclean spirits before it breaks ground.

Stick a fork in it. The last nail was pounded into the coffin of Caesars Entertainment‘s $700 million Continue reading →

Posted in Colony Capital, Current, Florida, Harrah's, history, LVCVA, Mississippi, Politics, Racinos, Regulation, Taxes, The Strip, Tribal | 5 Comments

Let’s do the Time Warp

Posted on April 8, 2011 by David McKee

Hallucinations are not considered a symptom of fibromyalgia but I sure thought I was seeing things yesterday when noon-hour TV newscasts led with Union Village. Somebody obviously thinks it’s still 2007, as they’re proposing a $1.5 billion, 171-acre hospital-cum-retirement-community complex for Henderson. It doesn’t include a casino (yet) but there will be condos, an “all-suite hotel” outdoor cafés, a cineplex, restaurants, two museums, a merry-go-round … and a Ferris wheel. (Has Gary Loveman been told about this?) Developer Juliet Cos. was even able to enlist Gov. Brian Sandoval to pimp  this vaporware. City officials are understandably desperate for job creation but, as TV reports pointed out, the question of how all this will be financed was simply begged. Channeling Fox Mulder, Henderson Mayor Andy Hafen declared, “I do believe the funding is out there. I just believe America is looking for something to invest in,” although that “something” probably ought to be Wynn Resorts stock.


Forgive my skepticism but projects like this were a dime a dozen during the 2005-07 bubble years. And, watching Union Village‘s video pitch, it looked exactly like umpteen other Vegas-area “new urbanism” projects that are either scrapped, incomplete, insolvent or simply dying a slow death — like Lake Las Vegas or The District, which sits ghost town-like at the doorstep of bustling Green Valley Ranch casino. Five bucks says this never gets off the drawing board.

Posted in Boulder Strip, Current, Economy, Harrah's, Lake Tahoe, Station Casinos, Steve Wynn, Tourism, TV, Wall Street | 1 Comment

As Steve Wynn said …

Posted on April 8, 2011 by David McKee

… you have to admire Donald Trump because it’s not easy to go bankrupt when you own three casinos. The years! The billions! The hairdos! His current ego-gratification tour is taking him to Arizona. I dare him to come on up to Las Vegas and brag about his business acumen beneath the porte-cochere of glittering failure Trump International (or maybe on the site of never-to-be-built Tower 2). C’mon! Who wouldn’t want Trump to do for our country what he did for Trump World’s Fair? Remember that? Bueller … Bueller … ?

Posted in Atlantic City, Current, Donald Trump, Economy, Election, Steve Wynn, The Strip, Wall Street | 3 Comments

Quote of the Day

Posted on April 6, 2011 by David McKee

“Weather at our destination is 50 degrees with some broken clouds, but we’ll try to have them fixed before we arrive. Thank you, and remember, nobody loves you, or your money, more than Kulula Airlines.” — cheeky in-flight announcement, characteristic of the Johannesburg-based carrier, sort of the Southwest Airlines of the African continent.

Posted in International, Tourism, Transportation | Comments Off on Quote of the Day

Cantor’s new brand: Slots for tots

Posted on April 6, 2011 by David McKee

Other than as a medium for sports betting, mobile-gambling devices have resolutely failed to catch on in Las Vegas casinos. Provider/operator Cantor Gaming has made a few inroads but mostly at one-off properties like M Resort and the Hard Rock Hotel & Casino. By law, mobile gizmos like Cantor’s can only be used in public areas (i.e., where their use would be subject to Nevada Gaming Control Board scrutiny).

In obvious desperation, Cantor CEO Lee Amatis is now pimping a bill that would lift all restrictions on where said devices could be played with. His company has long been running TV ads depicting this very thing, so you can be sure this isn’t a sudden surge of inspiration on Amatis’ part. Of course, it’d canter a cart and horses through the state’s ability to keep “pocket casinos” out of the palms of underage patrons.

That may not be Amatis’ objective but he clearly doesn’t mind if it happens. It’s kind of refreshing to encounter such breezy amorality in a public forum. NGCB Chairman Mark Lipparelli muttered a few pro forma qualms but no one actually had the balls Continue reading →

Posted in Cantor Gaming, Cirque du Soleil, Cosmopolitan, Cretins, Current, Economy, Entertainment, Hard Rock Hotel, Harrah's, Internet gambling, M Resort, Midnight Jim Gibbons, Politics, Problem gambling, Regulation, Reno, Sheldon Adelson, Station Casinos, Technology, The Strip | 2 Comments

Goodman and Station win Round One; MGM’s Free(dom) Ride

Posted on April 6, 2011 by David McKee

The Las Vegas electorate had a lovely parting gift for Victor Chaltiel and Sheldon Adelson.

Which is to say that Carolyn Goodman didn’t win the Las Vegas mayoralty outright yesterday but is a relatively low hurdle away from inheriting husband Oscar Goodman‘s throne. Basically if she picks up the conservative vote — and avoids further rookie mistakes — she cruises to victory in June. With most the major locals-casino operators — led by Station Casinos — in Mrs. Goodman’s corner and County Commissioner Chris Giunchigliani banking on heavy union support, the runoff is shaping up as a proxy fight between management and labor. (After going into hiding for the duration of the primary season, the Las Vegas Review-Journal editorial page timidly stuck its head over the parapet this morning to give Carolyn Goodman a damn-with-faint-praise quasi-endorsement.)

Starting from a distant third in the polls, Giunchigliani’s door-to-door retail campaigning enabled her to nip colleague Larry Brown by a mere 15 votes when the balloting was done. Brown now has the rest of his life to wonder if he might have had 16 votes more if only Continue reading →

Posted in Current, Downtown, Election, Entertainment, Harrah's, history, Marketing, MGM Mirage, Midnight Jim Gibbons, Oscar Goodman, Sheldon Adelson, Station Casinos, The Mob, The Strip, TV | 1 Comment

Station hearts Goodman … Carolyn, that is

Posted on April 4, 2011 by David McKee

In what may be a historic first, Frank Fertitta III, Lorenzo Fertitta and their rival Texas cousin Tilman Fertitta all agree upon something: Carolyn Goodman‘s mayoral candidacy. As in, they’re for it. Once you lump together Zuffa (parent of the UFC), a Station Casinos holding company, Station Casinos proper, Palace Station, Red Rock Resort, Santa Fe Station, Fertitta in-law Blake Sartini (CEO of Golden Gaming), ex-exec Scott Nielson, plus newly acquired sidekicks Tim Poster and Tom Breitling, the Vegas Fertittas have marshaled a veritable army behind Mrs. Oscar Goodman, plus a $60,000 purse … undoubtedly far exceeding whatever Sheldon Adelson has mustered on behalf of old buddy Victor Chaltiel.

Actually, the Goodman money train has been hopped by every major casino player who’s within Las Vegas‘ city limits — and a few who aren’t. Tilman’s Golden Nugget is on the passenger manifest, as is another major Downtown investor, Boyd Gaming. A notorious non-investor in the area, Tamares Barrick, has managed to find some spare change on the carpet to spend on Carolyn Goodman, if not on its tumbleweed casinos. The El Cortez chipped in, as did Michael Gaughan‘s South Point, even though it sits miles and miles outside of city lines. With the exception of Continue reading →

Posted in Atlantic City, Boyd Gaming, Current, Don Barden, Donald Trump, Downtown, Election, Florida, Golden Gaming, history, International, Jack Binion, Michael Gaughan, Oscar Goodman, Sheldon Adelson, Sports, Station Casinos, Tamares Group, The Strip, Tilman Fertitta | 2 Comments