Math was always my worst subject, so it’s a good thing I’ve got sharp-eyed readers who keep me honest. One of them asks how MGM Mirage<\/b> is going to save $75 million<\/b> (later restated by the company as $200 million<\/b>) by showing 400-plus managerial employees the heave-ho. “What,” the reader asks, “is the annual salary of the 400 managers? [$]75,000,000\/40 = $187,500 […] pretty good gig for middle management!” (Can’t argue with that last point, for sure.)<\/p>\n
To be fair, let’s re-divide by 440 (the precise number of mid-level people MGM has said it let go), which gives us $170,454.54. But I’m still foxed for an answer — unless the value of employee benefits, like health insurance (possibly including dependents) is being factored into MGM’s equation. Asks the reader, “is somebody fudging some numbers?”<\/p>\n
Well, considering that those numbers increased by $125 million<\/b> in the space of a day, I’d conjecture that despite “months of research” MGM is itself unsure as to what they are. Maybe it just threw a ballpark figure out there and then, when Wall Street reacted with a sell-off, tossed out a bigger one. But that’s 101% speculation.<\/p>\n
Speaking of MGM Mirage<\/b>, it must be feeling pretty confident that server-based gambling in Nevada is a “go” because it’s inked a memo of understanding<\/a> with IGT<\/b> for the latter to set up a all-server-based casino at CityCenter<\/b>. (Yes, even table games)<\/p>\n Although, as the Las Vegas Review-Journa<\/i>l’s Howard Stutz once observed, server-based gaming is forever ‘a year away,’ it makes more sense to put the infrastructure in beforehand than to retrofit. Plus, with CityCenter’s opening night a year and two-thirds away, Nevada has plenty of time to sign off on the technology. It also provides a distinctive selling point for a casino that’s been overshadowed by all other aspects of CityCenter so far.<\/p>\n Unfortunately for IGT, the good news was upstaged by 2Q08 results<\/a> that came in 35% lower than expected. The recession also cast a pall<\/a> over the outlook for the rest of the year. Here’s the full report<\/a>.<\/p>\n There’s got to be some good news, right?<\/b> Indeed. Tourists visiting Macao<\/b> are spending 15% more than last year. I wish they were spending it in the good old U.S. of A. But at least they’re still spending.<\/p>\n Oh, and CotaiNews.com<\/b> has launched an offshoot, devoted to worldwide casino developments. The lead story? Myriad Botanical Resort<\/b>\u00a0(above) — what else? According to the blog, Myriad’s snow park is still part of the plan. Wacky! Like I said, it’s the Dixie Dubai.<\/p>\n Is Eisenhower still president<\/b>? That’s how I felt last night after a BoSox\/Yankees<\/b> game that ran a mind-numbing 4.25 hours and ended with a football score (9-15) … which didn’t preclude Joe Girardi<\/b> from having Mariano Rivera<\/b> warm up to protect a six-run lead (had it been a mere five runs, I’m sure panic would have run rampant). The Yankees are aging better than the BoSox, who look ancient and cement-footed, but it took them a week to steal their first base, so don’t expect much excitement out of either team. Just mediocre pitching vs. worse pitching, while they take turns clubbing each other into submission.<\/p>\n","protected":false},"excerpt":{"rendered":" Math was always my worst subject, so it’s a good thing I’ve got sharp-eyed readers who keep me honest. One of them asks how MGM Mirage is going to save $75 million (later restated by the company as $200 million) … Continue reading