Quote of the Day

Posted on April 4, 2020 by David McKee

“One Georgia hospital has workers in a conference room cutting up surgical sheeting and sewing it onto N95 masks to make the masks last longer. (If N95 masks get soiled, they are supposed to be discarded. This way, the surgical sheeting covering it will get dirty and can be thrown away instead.)”—Boston Globe columnist Teresa Hanafin

Posted in Georgia, Health | 3 Comments

No recovery in Macao

Posted on April 3, 2020 by David McKee

Despite the lifting of a government quarantine, casino revenues in Macao did not bounce back last month, down 80% to $664 million. That’s worse than forecast (70%). Tourism restrictions prompted by a second boomlet of Covid-19 in Macao didn’t help. Only 230 tourists visited last Sunday. Macanese leadership is resisting pressure to close casinos again and is pressing Beijing for a lift on visa restrictions. Operators may have made a couple of critical mistakes: One was to shut hotel rooms to Coronavirus patients even though the Macanese government was willing to pay for their use, denying themselves room revenue. The other was to bank on Continue reading →

Posted in China, Economy, Health, International, Internet gambling, Macau, Marketing, PokerStars, Politics, Problem gambling, Regulation, Technology, Tourism | Comments Off on No recovery in Macao

Maryland craters; Penn takes Trop loss

Posted on April 3, 2020 by David McKee

Free State Gov. Larry Hogan (R) having closed casinos on March 16, revenue results were predictably dire, down 58%. That’s a measly $69 million gross. MGM National Harbor booked $26 million, a 58.5% slide, with slots down 62% and tables falling 55%. If it’s any consolation, MGM retained the most market share—38%—although Maryland Live is closing the gap with 36%. Horseshoe Baltimore was a distant third at 14.5%. The latter plunged 61% to $10 million while Maryland Live fell 55.5% to $25 million. Barely registering as blips on the radar were Hollywood Perryville with $3 million (-58%), Ocean Downs‘ $3 million (-59%) and Rocky Gap Resort‘s $2 million (-58%). West Virginia casinos enjoyed one more day of business and were only down 35% by comparison, partly because the reporting period is not exactly congruent Continue reading →

Posted in Caesars Entertainment, Churchill Downs, Cordish Co., Detroit, Donald Trump, Economy, Eldorado Resorts, GLPI, Golden Gaming, Health, Las Vegas Sands, Law enforcement, Maryland, Massachusetts, MGM Resorts International, Penn National, Politics, Real Estate, Sheldon Adelson, Sports betting, The Strip, Wall Street, West Virginia, Wynn Resorts | 3 Comments

Quote of the Day

Posted on April 3, 2020 by David McKee

“To be able to keep the business running, to keep our people employed, that’s great. To be able to help our front-line health care workers, our police officers and firefighters, to be able to give some people something to bring home that makes them feel a little safer, that means a lot to us.”—Peter Jilson, CEO of Silo distillery in Windsor, Vermont, which has switched to manufacturing and distributing hand sanitizer … for free.

Posted in Charity, Vermont | Comments Off on Quote of the Day

MGM: Just say no; NBA to Vegas?

Posted on April 2, 2020 by David McKee

Setting an admirable example, MGM Resorts International will be abstaining from any CARES Act bailout money. It will avail itself of the loan guarantees being extended by the federal government. As the company itself says, it needn’t play poor, not with $3.9 billion cash on hand. It advised investors “has since incurred substantial operating losses in March and the Company does not expect to see a material improvement” because we don’t have any light at the end of the Coronavirus tunnel yet. Those March losses reverse a $1.3 billion profit booked in January and February. MGM isn’t the only company showing fortitude: Continue reading →

Posted in Cordish Co., Economy, Internet gambling, Las Vegas Sands, MGM Resorts International, Pennsylvania, Regulation, Sports, Sports betting, Technology, The Strip | 2 Comments

Sanders enters casino fray; MGM execs play the market

Posted on April 2, 2020 by David McKee

Sen. Bernie Sanders (I), perhaps in a move to reinvigorate his comatose presidential campaign, has waded into the dispute between the Trump administration and the Mashpee Wampanoag. The origin of the tribe’s newly dissolved, 321-acre reservation is clouded by tribal recognition during the George W. Bush administration through the intervention of morally depraved lobbyist “Casino Jack” Abramoff and the cahoots of tribal chairman—and convicted felon—Glenn Marshall. The application for a reservation languished until late in the Barack Obama administration, which pushed it through, paving the way it seemed for First Light casino-resort. Not so fast. A legal challenge to the Obama land-into-trust process succeeded and current Secretary of the Interior David Bernhardt confiscated the rez last Friday.

Sanders swung into action, writing that “I stand with the Mashpee Wampanoag tribe in their fight to restore lands that belong to them, and I oppose the disgraceful decision by the Trump Administration to Continue reading →

Posted in Donald Trump, Economy, Election, Genting, Health, history, Horseracing, Illinois, Indiana, International, Jim Murren, Massachusetts, MGM Resorts International, Michigan, Ohio, Penn National, Politics, Sports, Sports betting, Tribal, Twin River, Wall Street | 1 Comment

Pandemic … of black-market slots; Jobs market reels

Posted on April 2, 2020 by David McKee

Why didn’t social distancing in casinos work? Reports Frank Legato, “the Centers for Disease Control revealed that the Covid-19 virus can survive up to two or three days on stainless steel, plastic and other nonporous surfaces—like gaming machines. An industry shutdown was unavoidable.” While that may have deterred the traditional casino industry, black-market slot routes in Pennsylvania, Missouri and other states are carrying on business as usual. Pandemic? What pandemic? There’s money to be made, public health be damned! According to Legato, “One photo shows a man playing a slot-like device with his daughter, a toddler, in his lap, wearing pajamas.”

Attempts have been made in Pennsylvania to push back against this, but law enforcement currently has Continue reading →

Posted in Caesars Entertainment, Economy, Health, Illinois, International, Law enforcement, Missouri, Pennsylvania, Problem gambling, Regulation, Slot routes, Transportation, Wall Street | Comments Off on Pandemic … of black-market slots; Jobs market reels

Las Vegas closed through April 30

Posted on April 2, 2020 by David McKee

Jottings: Nevada Gov. Steve Sisolak (D) is asking Donald Trump to declare the Silver State a ‘major disaster’ area. We agree, but Trump is being punitive toward ‘blue’ states so we doubt Sisolak will get his wish. The governor extended his shelter-in-place order, meaning casinos will be unable to reopen before May 1. Sisolak also activated the National Guard … “Spare a thought in these troubling times for the Mafia,” reports Casino.org, “whose traditional Continue reading →

Posted in Donald Trump, Downtown, Eldorado Resorts, Entertainment, Health, Nevada, Terry Caudill, The Mob, The Strip, Wynn Resorts | 1 Comment

Quote of the Day

Posted on April 1, 2020 by David McKee

Posted in TV | Comments Off on Quote of the Day

It’s better than it looks

Posted on April 1, 2020 by David McKee

Charlton Heston in The Omega Man would feel right at home in contemporary Las Vegas. The lights are on but literally no one’s home. Or rather, everyone’s at home, sheltering in place—except that one guy seen getting busted by Las Vegas Metro. News reports take on hints of the post-apocalyptic, whether it’s coyotes roaming the streets of San Francisco or rats swarming the pool area at Trump Plaza (well, that place was always dystopian).

Writes one Denver resident, “I never thought I would see a global pandemic in my lifetime. It’s so eerie to see my home city empty, so many people are scared. Anxiety is Continue reading →

Posted in Current, Downtown, Health, Law enforcement, Massachusetts, The Strip | 1 Comment

Harbingers of hope

Posted on April 1, 2020 by David McKee

Tonight, in a gesture of defiance toward Coronavirus, a parade of vehicles will be held up the otherwise-deserted Las Vegas Strip. Led by mobile billboard Balanceville Art Car, “Light Up Las Vegas” will begin from McCarran Sunset Business Park, immediately south of the airport, and proceed single-file to Fremont Street. Organizers are offering copious media coverage, understandable since the event will be held (in a surreal touch) in the complete absence of spectators.

* Boyd Gaming has informed players that members of loyalty programs will “receive adjustments during our closure to assist you in keeping your Tier Levels, and your spendable points will not Continue reading →

Posted in Boyd Gaming, California, Charity, Detroit, Downtown, Health, Japan, Marketing, Penn National, Resorts World LV, Sports, The Strip | Comments Off on Harbingers of hope

Boyd opens its wallet, stringency at Scientific, improvidence at MGM

Posted on March 31, 2020 by David McKee

Boyd Gaming, which had previously been reported to be giving two weeks pay (misreported as one week by the Las Vegas Review-Journal) to employees idled in Las Vegas by the one-month casino shutdown, has gotten “george” and extended the hardship pay through April 10. Ditto health benefits. Cautioned CEO Keith Smith, This is a highly fluid situation, and it is too early to determine at what point we may be able to resume operations at each property.” Workers will still have to cannibalize paid time off to scrape by the week between the cutoff of severance pay and the April 17 scheduled resumption of business, but this is a praiseworthy move nevertheless, as is Boyd’s suspension of dividend payments.

It’s certainly a more time-sensitive one that the recommendation of MGM China to—Ka-ching!—pay out $41 million in dividends. Hello? Heard of Coronavirus? The thing that shut your casinos down for 15 days and has caused business to become Continue reading →

Posted in Arizona, Boyd Gaming, Caesars Entertainment, China, Churchill Downs, Economy, Health, Illinois, Japan, Jim Murren, Kentucky, Las Vegas Sands, Macau, MGM Resorts International, Neil Bluhm, Nevada, New York, Oklahoma, Scientific Games, Sheldon Adelson, Tribal, Wall Street, Wynn Resorts | 2 Comments

Hard times for Atlantic City; Murren’s big payday

Posted on March 30, 2020 by David McKee

Atlantic City casinos have pink-slipped 6,000 workers as a gaming shutdown goes on indefinitely. Said Ocean Casino Resort CEO Terry Glebocki, “This is truly an unprecedented time not only for Ocean, but for everyone.” Unemployment claims in the Garden State jumped sixfold, to 155,000. Severance pay and health benefits for idled casino workers are set to expire today. In a “george” move, Eldorado Resorts extended unemployment compensation at Tropicana Atlantic City by a further fortnight. Borgata was the speediest to lay off workers, notifying them on March 17. Resorts Atlantic City followed last Tuesday, Hard Rock Atlantic City on Wednesday, while Ocean and the Caesars Entertainment trio brought up the rear on Thursday. Hard Rock may be able to avoid unemployment claims until May by giving employees two weeks of Continue reading →

Posted in Atlantic City, Boyd Gaming, Caesars Entertainment, Economy, Eldorado Resorts, Hard Rock International, Health, Illinois, Indiana, Louisiana, Macau, MGM Resorts International, Morris Bailey, Ocean Resort, Penn National, Pennsylvania, Real Estate, Regulation, Sports betting, Tribal, Wall Street, Washington State | 1 Comment

Case Bets & Mega-Jottings

Posted on March 30, 2020 by David McKee

Former casino operator and regulator Richard Schuetz has some very stern words for his former colleagues and their (slow) response to Coronavirus. Sample: “The point is, in many of our gaming states, there was little concern about the employees of the casinos. No one had their backs. Not the politicians, not the regulators, not the gaming academics, and certainly not the newspapers.” No they didn’t.

One of the companies Schuetz lauds for a proactive stance is Wynn Resorts, which is launching major anti-viral measures in Las Vegas and more modest ones in Boston. In Sin City, Wynncore donated “240,000 N95-equivalent CDC-approved respirator masks, 600,000 surgical masks, 500,000 pairs of medical gloves, and thousands of medical gowns to … area hospitals.” Law enforcement and nursing homes are also beneficiaries of Wynn largesse, as are myriad Vegas-area nonprofits. Wynn employees have reached into their pockets to donate Continue reading →

Posted in California, Charity, Donald Trump, e-sports, Economy, Health, International, Internet gambling, Las Vegas Sands, Macau, Massachusetts, Nevada, Penn National, Real Estate, Regulation, Tribal, Wynn Resorts | Comments Off on Case Bets & Mega-Jottings

Vegas in the time of Coronavirus; Trump squelches tribe

Posted on March 30, 2020 by David McKee

Las Vegas on lockdown is pretty spooky. It’s like a neutron bomb fell on the Strip, wiping out all the people and leaving the casinos intact. However, there may be a glimmer at the end of the April 17 tunnel. JP Morgan analyst Joseph Greff has been looking at Las Vegas Strip room rates for the week of April 19-25 and they’re not as depressed as we were expecting. True, 46% down isn’t great but it could be so much worse. Weekend rates suffer the most (-57%) with average room rates hovering at $101. Wynncore suffers the least, down -4% on weekdays and -14% on the weekend. The splits for the other majors are MGM Resorts International -39%/-58%, Caesars Entertainment -48%/-68% and Las Vegas Sands -47%/-63%. Bargain hunters, take heed!

Looking ahead through the end of June, Greff predicts Caesars will Continue reading →

Posted in AGA, Donald Trump, Economy, GLPI, Health, history, Massachusetts, Penn National, Politics, Tribal, Trump Entertainment Resorts, Twin River, Wall Street, Wynn Resorts | 1 Comment

Quote of the Day

Posted on March 30, 2020 by David McKee

“I wish there was a stronger word for disappointed. I’m calling on them to do better.”—Sean Durbin, public health emergency preparedness coordinator for Decatur County in Indiana, after receiving only 77 N95 masks and 24 face shields from the federal government.

Posted in Health, Indiana | Comments Off on Quote of the Day

Trop sale: More fizzle than sizzle

Posted on March 28, 2020 by David McKee

Remember how Penn National Gaming tantalized us with its sale process for the Tropicana Las Vegas, hinting at a bidding war and outright predicting a massive cash haul for the company? Well, Penn was evidently so bereft of suitors that yesterday it vended the Trop to its REIT, Gaming & Leisure Properties Inc. Penn CEO Jay Snowden spun it as a desperation move brought on by the Covid-19 outbreak. Whatever the case, Shaft’s Big Score turned out to be Continue reading →

Posted in GLPI, Maryland, Penn National, Pennsylvania, The Strip | 2 Comments

Quote of the Day

Posted on March 28, 2020 by David McKee

“It is reasonable to believe that God is judging America via consequential wrath, but for the aforesaid reasons, there does not exist a biblical basis to conclude that any nation today, including America, is experiencing forsaking wrath. … “—White House advisor Ralph Drollinger blaming us for Coronavirus.

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Casinos in survival mode; Sports betting in Cali in peril

Posted on March 27, 2020 by David McKee

After this week’s stimulus vote in the U.S. Congress, the casino industry would seem to have ducked a bullet. But, depending on how much financial aid it can draw down, the question lingers over whether any operators will have to file Chapter 11. A five-month closure seems improbable at this point but Macquarie Research says that’s how long most of the industry has before running out of cash. That figure is predicated on Penn National Gaming, spending $6.5 million a day just to shelter in place. MGM Resorts International ($14.5 million/day) has nine months, as does Boyd Gaming ($3 million/day). Obviously, those companies that are spending the least per day have the best survival odds, including Full House Resorts (14 months), Station Casinos (ditto) and $1 million/day Golden Entertainment (10.5 months).

“The casino industry was way over-leveraged, so the virus is attacking like a person who was compromised even before Continue reading →

Posted in Boyd Gaming, Caesars Entertainment, California, Charity, Colorado, Economy, Election, Foxwoods, Full House Resorts, Golden Gaming, Health, Horseracing, Indiana, International, Internet gambling, Las Vegas Sands, Louisiana, MGM Resorts International, Mohegan Sun, Nevada, Oklahoma, Penn National, Problem gambling, Regulation, Sports betting, Station Casinos, Tourism, Transportation, Tribal, Wall Street, Wynn Resorts | 1 Comment

Hiccup at Resorts World LV; Coping with a crisis

Posted on March 27, 2020 by David McKee

In case you’ve been wondering, yes, construction is continuing at Resorts World Las Vegas. There will be a partial abatement after a worker tested positive for Coronavirus. As a consequence, work on an unspecified part of the metaresort will be halted until April 1 as the area is sanitized. Classified an essential business by Gov. Steve Sisolak (D), Resorts World LV is still shooting for a summer 2021 opening. As the budget continues to escalate, $3 million will be spent on a Crystal Bar, connected with the preannounced Crystal Pool. (By contrast, new Poker Deli will cost a modest $48K.) Reports Eater Vegas, “A 220,000-square-foot outdoor complex is planned, featuring seven separate water attractions, including three villa pools and an 1,800-square-foot infinity pool ‘with spectacular views of the Las Vegas Strip.'”

* At the risk of fear mongering, here’s a report Continue reading →

Posted in Economy, Health, International, Resorts World LV, Sports betting, Technology, The Strip, Vermont | Comments Off on Hiccup at Resorts World LV; Coping with a crisis