{"id":10041,"date":"2012-11-07T15:26:43","date_gmt":"2012-11-07T23:26:43","guid":{"rendered":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/?p=10041"},"modified":"2023-05-12T05:03:44","modified_gmt":"2023-05-12T13:03:44","slug":"election-wrap-up-winners-losers","status":"publish","type":"post","link":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/election-wrap-up-winners-losers\/","title":{"rendered":"Election wrap-up: Winners & losers"},"content":{"rendered":"

But first<\/strong>, because it will never, ever<\/em> get old …<\/p>\n

\"\"<\/p>\n

Also this, from @daveweigel<\/strong>: “[Florida<\/strong>] exit poll: Obama winning Jewish vote by 40 points. 40 points. Nice work, Sheldon Adelson<\/strong>.<\/em>” We’ll tap dance on Sheldon’s head some more further down, but let’s roll out the barrel for gaming’s winners last night. There were five ballot questions, from coast to coast, and here’s the quick rundown.<\/p>\n

\"\"Maryland<\/strong>: Voters approved Question 7<\/strong>, which lowers casino taxes to an average of 61%<\/a> — lower still if they buy their own slots and meet certain levels of reinvestment — adds table games (taxed at 20%), allows 24-hour gambling and adds a Prince George’s County<\/strong> casino license. The vote was close but, with 52% support<\/a>, Question 7 carried the day. SHFL Entertainment<\/strong>, known to you and me as Shufflemaster<\/strong>, is pegged by Wall Street<\/strong> as the most immediate beneficiary.<\/p>\n

Florida<\/strong>: The citizens of Palm Beach County<\/strong> approved slots for Palm Beach Kennel Club<\/strong>. Now the Lege has to find a way to rationalize why Palm Beach can’t have what Broward<\/strong> and Miami-Dade<\/strong> counties already do. The Seminole Tribe<\/strong>, Florida<\/strong>‘s biggest tax contributor in the gaming biz, however, is in position to play spoiler<\/a> in the upcoming session.<\/p>\n

\"\"Rhode Island<\/strong>: Bittersweet victory for gaming interests — they carried three of four plebiscites but only gained one casino expansion rather than the desired two<\/a>. Table games had been proposed for both Twin Rivers<\/strong> racino and the Newport Grand<\/strong> slot parlor. However, these had to be voted in at the state and local level alike. Twin River won by enormous margins<\/a> (71% in favor) and 67% of voters statewide gave Newport Grand a thumbs-up but 53% of Newport voters<\/a> said “nay.” (Misinterpreting data, Deutsche Bank<\/strong> erroneously reported victory.) Twin Rivers could have its tables in play by next summer. And, in two years, when Massachusetts<\/strong> casinos are close to fruition<\/a>, Newport will finally wake up and smell the coffee.<\/p>\n

\"\"Oregon<\/strong>: A non-event, private equity firm Clairvest<\/strong> having taken its ball and gone home weeks before the election, when it realized that a Portland<\/strong>-area casino, The Grange<\/strong> — known to its detractors as “The Grunge” — didn’t have a snowball’s chance in Hell. (It lost, 72% to 28%; a Wood Village<\/strong>-only ballot question suffered a narrower defeat, with 53% voting against.) Oregonians are happy with their tribal-only casino industry and likely to remain so for quite some time.<\/p>\n

Back to Maryland<\/strong>. Gov. Martin O’Malley<\/strong> (D) gets a boost, having cobbled Question 7 together and pushed it over the electoral transom in but a few months. All existing casinos won, to some extent, thanks to the tax rollbacks and other goodies bundled into \"\"Question 7. MGM wins big-time<\/a>, now having the opportunity to build a $800 million casino that will sit on the doorstep of Washington, D.C.<\/strong>, with a short pipeline to the northern Virginia<\/strong> suburbs. Caesars Entertainment<\/strong>, whose Harrah’s Baltimore<\/strong> is projected to take a modest hit from new competition, won by bowing to the prevailing wind. Cordish Gaming<\/strong>‘s giant slot parlor in Arundel Mills<\/strong> stands to feel a much more severe blow when MGM opens, probably in 2016. But Cordish must have read the tea leaves especially well, wasting little or no money opposing Question 7, unlike mega-loser Penn National Gaming<\/strong>, the spoiled brat of the industry. It’s out $41 million, has a failing casino in Perryville<\/strong> and now, in a typical Penn temper tantrum, is saying it’ll see Prince George’s County in court, hinting darkly at voter challenges<\/a>. Although there was a slim chance that, if MGM faltered, Penn might still get a racino<\/a> at Rosecroft Raceway<\/strong>, CEO Peter Carlino<\/strong> just screwed that pooch. Congratulations also to MGM CEO Jim Murren<\/strong> (above) for behaving with the utmost dignity throughout the campaign. Meanwhile, Carlino went all Nellie Oleson<\/strong> on anyone who dared oppose him.<\/p>\n

According to election coverage by Howard Stutz<\/strong>, (justfiably) irritated shareholders might be the only force able to restrain Penn back from going postal. It’s bad enough that Penn’s Charles Town<\/strong> racino in West Virginia<\/strong> could be facing, according to Deutsche Bank analyst Carlo Santarelli<\/strong>, a $90 million-to-$100 million annual drop in revenue. J.P. Morgan<\/strong>‘s Joseph Greff<\/strong> projects 40% less cash flow at Charles Town. Carlino’s already out over $40 million. How much more is he going to blow, just for the sake of getting even?
\nIn a larger perspective<\/strong>, Penn still looks the picture of health, according to The Motley Fool<\/em>, largely because it kept its powder dry during the go-go years when MGM and Caesars were racking up debt. The latter, however, is given until 2015 before Chapter 11 strikes (“there’s no end in sight to the death spiral<\/a>“) … enough time to get Harrah’s Baltimore<\/strong> (right<\/em>) open, which might be the last victory lap Gary Loveman<\/strong> ever takes.<\/p>\n

Internet poker … ?<\/strong> Wherefrom cometh this “new revenue” to which thou dost refer<\/a>, Speaker Boehner?<\/p>\n

Marc Lasry<\/strong>. The lead investor in Trump Entertaiment Resorts<\/strong> and rainmaker for President Obama<\/a> will get to have a good, long gloat at the expense of his most famous and obstreperous employee (see below<\/em>).<\/p>\n

Tribal gaming<\/strong>. Four more years of a very tribal-friendly administration. ‘Nuff said.<\/p>\n

Other winners included<\/strong> marriage equality in Maine<\/strong>, Maryland and Minnesota<\/strong>, plus legalized loco weed in Colorado<\/strong> and Washington<\/strong> state. Las Vegas<\/strong> could be the Vatican City<\/strong> of gay marriage and Mary Jane is an out-of-control growth industry — literally — in this area. With gambling shrinking as a percentage of casino revenue (and thus, of Nevada<\/strong>‘s tax base), it’s high time, pardon the pun, that the Silver State rethought its opposition to unconventional revenue streams.<\/p>\n

\"\"Irony of the night<\/strong>. Voters in Foxborough<\/strong>, after backhanding Steve Wynn<\/strong> earlier this year, proceeded to go for his preferred candidate<\/a>, Mitt Romney<\/strong>. Memo to El Steve<\/em>: Next time, propose your casino to a “blue” township. Cities currently in the running for a Massachusetts casino license — especially Springfield<\/strong> — went heavily (and not coincidentally, IMO) for Obama. Wynn himself gets to spend four years kvetching into every open microphone thrust in his direction, which makes him a winner of sorts.<\/p>\n

Now for the losers …<\/strong><\/p>\n

Sheldon Adelson<\/strong>. He tried to laugh it off<\/a> but last night must have stung. S&G<\/em> has long since posited the Adelson Kiss of Death<\/strong>, a fatal liplock that has jinxed any number of candidacies. Now it’s claimed its biggest victim ever (Romney), along with George Allen<\/strong> and sundry other of Sheldon’s favorites<\/a>. However, at the cost of $14.46 per vote, the sulking sultan of Las Vegas Sands<\/strong> finally evened the score<\/a> with Rep. Shelley Berkley<\/strong> (D), one of many former Adelson executives who the emir has sought to destroy. Despite an avalanche of devastating PAC ads that made Berkley look like Fu Manchu<\/strong> in stiletto heels, Sen. Dean Heller<\/strong> (R) eked out but a 12,000-vote victory margin, giving him a near-death experience with Adelson’s smooch. Which brings us to …<\/p>\n

\"\"Las Vegas Review-Journal<\/em> polls<\/strong>. Even after partnering with KLAS-TV<\/strong>, the paper of record still can’t commission a poll that’s worth the (recycled) paper on which it’s printed. Blown calls this year included having Heller six points up going into Election Day and Rep.-elect Steven Horsford<\/strong> (Nevada’s first black congressman; congratulations, sir) five points down to serial loser Danny Tarkanian<\/strong> (pictured<\/em>). Horsford won by over 10 points<\/a>. Tarkanian, incidentally, is such a Vegas curiosity that he ought to be put on display in Lonnie Hammergren<\/strong>‘s mansion. Although he claims to excel as a businessman, every two years he runs for state or federal office instead. (He’s the guy who finished second to Sharron Angle<\/strong>.) And, every two years, he loses. He says he’s finally taken the hint from the electorate<\/a> but don’t count on it.<\/p>\n

\"\"Private equity<\/strong>. Showing the same degree of acuity that marked their 2007 plunge into the gambling business (and I do mean “plunge”), private equity funds bet heavily on Romney and crapped out<\/a>. Caesars co-owners Apollo Management<\/strong>, Texas Pacific Group<\/strong> and John Paulson<\/strong>, Stratosphere<\/strong> and bankrupt Las Vegas Hotel & Casino<\/strong> owner Goldman Sachs<\/strong>, along with the Mr. Magoo<\/strong> of the casino biz, Colony Capital<\/strong> CEO Tom Barrack<\/strong> showed the same numbers-reading perspicacity as when they deficit-spent Big Gaming right into the ditch. (These guys need to consult Nate Silver<\/strong>, the election’s biggest winner<\/a>.) At least they can revel in the memory of noshing on “brie-stuffed French toast.”<\/a> Vive le fromage, mes amis<\/em>!<\/p>\n

Donald Trump<\/strong>: After last night’s stream of lunacy<\/a> from his spokesmodel, there’s one way for \"\"Trump Entertainment Resorts CEO Robert Griffin<\/strong> to transform the Trump name from liability to asset and maybe improve Trump Plaza<\/strong> revenue simultaneously: Turn the showroom into a combination of padded cell and auditorium. People would gladly pay to watch The Donald rant extemporaneously on whatever toxic idea is bouncing around the cavernous void of his cranium at any given moment. (Incidentally, as one blogger pointed out, revolutions generally don’t end well for fatcats like Trump.)<\/p>\n

And, one more time … \"\"<\/p>\n","protected":false},"excerpt":{"rendered":"

But first, because it will never, ever get old … Also this, from @daveweigel: “[Florida] exit poll: Obama winning Jewish vote by 40 points. 40 points. Nice work, Sheldon Adelson.” We’ll tap dance on Sheldon’s head some more further down, … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[23,3,27,70,133,28,42,14,26,36,81,7,22,37,147,53,72,112,43,95,33,111,12,107,32,20,17,38,139],"tags":[],"_links":{"self":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts\/10041"}],"collection":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/comments?post=10041"}],"version-history":[{"count":8,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts\/10041\/revisions"}],"predecessor-version":[{"id":32623,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts\/10041\/revisions\/32623"}],"wp:attachment":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/media?parent=10041"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/categories?post=10041"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/tags?post=10041"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}