Is Atlantic City a Failed Experiment? By Ken Adams • August 27, 2014 In a recent conversation with Jeff Compton, he asked if I thought Atlantic City was a failure. It is not an uncommon question. If you Google “Atlantic City a failed experiment,” you get dozens of hits written over the last two years. The reason for the question is obvious; casinos are closing. Within a month, Revel, Showboat and Trump Plaza will be closed. Add to that list the Atlantic Club which … [Read more...]
INSIDE GAMING: Activist investors see real estate as key to Pinnacle, Boyd By Howard Stutz, Las Vegas Review-Journal • August 27, 2014 Activist investors believe the real estate underneath casinos owned by Pinnacle Entertainment and Boyd Gaming Corp. is key to unlocking hidden value within the Las Vegas-based regional gaming operators. Two New York-based hedge funds want Pinnacle and Boyd to spin off their casinos into real estate investment trusts, referred to as REITs. Company officials aren’t sold on the idea. Or, … [Read more...]
Poker Princess Writes Fishy Underground Tell-All By James McManus, Bloomberg View • August 26, 2014 In a summer filled with important new books on poker, Molly Bloom -- known to the tabloids as the "Poker Princess" -- has written something of a blockbuster. It's called "Molly's Game: From Hollywood's Elite to Wall Street's Billionaire Boys Club, My High-Stakes Adventure in the World of Underground Poker." And what a book it could've been, with A-list movie stars in weekly hand-to-hand combat … [Read more...]
Nevadan at Work: Manufacturing CEO credits mentors over 20 years By Howard Stutz, Las Vegas Review-Journal • August 25, 2014 Mike Dreitzer credits his success to the mentors he has had in 20 years as an attorney and gaming executive in Nevada. Folks such as former Nevada Assembly Speaker Barbara Buckley, ex-Gaming Control Board Chairman Bill Bible, former Gov. Mike O’Callaghan and gaming executive and gaming lawyer Shannon Bybee helped Dreitzer early in his career. So it was natural that Dreitzer had an interest … [Read more...]
Las Vegas PR, marketing firms use new technologies to deliver messages By Ann Friedman, Las Vegas Business Press • August 25, 2014 When it comes to building its client base, Anthem-based public relations and marketing firm Imagine Communications seeks to represent those who inspire, Partner and Creative Director Alex Raffi said. “That’s more important to us than anything,” he said. “I want my staff to be proud to be associated with a client.” When Raffi and Managing Partner Brian Rouff opened Imagine Communications 13 … [Read more...]
Borgata may gain from shrinking market By Howard Stutz, Las Vegas Business Press • August 25, 2014 Boyd Gaming Corp. told investors last month it planned to change out a few of the restaurants, nightlife spots and other nongaming attractions inside several of the company’s area casinos to boost overall revenue. This particular plan has been met with success along the Strip, but has been slow to be embraced by regional markets. Gaming revenue can’t always be counted on to boost a company’s … [Read more...]
INSIDE GAMING: Titus’ bill would repeal federal sports book handle tax By Howard Stutz, Las Vegas Review-Journal • August 24, 2014 CG Technology CEO Lee Amaitis wanted to know the whereabouts of about $9 million that Nevada sports book operators paid to the federal government last year through a tax on all sports wagers. It seemed like a simple question. Amaitis asked Rep Dina Titus, D-Nev., if she could find out. The Internal Revenue Service took several months to answer the query posed by Titus’ legislative … [Read more...]
Japan Plays Game of Growth Roulette With Casinos By William Pesek, Bloomberg View • August 21, 2014 More than humor is at stake, though. Japan is betting on getting help from Las Vegas to boost tourism, jobs and tax revenue. Why, then, is it thinking of letting MGM and Las Vegas Sands chief Sheldon Adelson build them in places that are doing just fine without baccarat tables and roulette wheels? Japan should be steering these gargantuan, multibillion-dollar projects to regions that really need … [Read more...]
INSIDE GAMING: Caesars works to upgrade balance sheet, but analysts unimpressed By Howard Stutz, Las Vegas Review-Journal • August 20, 2014 A leading gaming executive was asked on background a few months ago if he understood Caesars Entertainment Corp.’s financial maneuverings to restructure the casino company’s $24.2 billion in long-term debt. He just smiled. “Gary seems to understand what he’s doing.” For now, Caesars Entertainment Chairman Gary Loveman is an island unto himself. Earlier this month, in a lawsuit filed by … [Read more...]
Turnaround story unfolds for MGM Resorts International By Howard Stutz, Las Vegas Business Press • August 18, 2014 A few years ago, when the recession had a firm chokehold on the casino industry, MGM Resorts International was a mess. CityCenter opened in December 2009 to cost overruns and a depressed consumer market. MGM Resorts’ stock price was trading in single digits, and the company was looking to unload several hotel-casinos to bolster its sagging balance sheet. MGM Resorts’ survival was actually in … [Read more...]
Atlantic City Mayor Don Guardian is a Leader in a Time of Need By Ken Adams • August 18, 2014 It has always been natural for me to compare Atlantic City and Reno. Maybe that’s because like most people in the casino industry in Reno, I have always been envious of the volume of business of the Boardwalk casinos. And Atlantic City did replace Reno in the number two spot on the casino revenue list, pushing us down the path to never again being near the top of the list. So when Atlantic City … [Read more...]
Before Hsieh, Binion defined downtown Las Vegas By John L. Smith, Las Vegas Review-Journal • August 17, 2014 The image of downtown Las Vegas has shifted so dramatically in recent months that it might be hard for newcomers to imagine a time before the spreading influence of Tony Hsieh and his friends. Before downtown became the canvas for Hsieh’s creative business marketing and real estate vision, Benny Binion defined the Fremont Street experience. Jackie Gaughan owned more casinos, and Steve Wynn used … [Read more...]
Strip land values react to deal for Frontier site By Howard Stutz, Las Vegas Review-Journal • August 17, 2014 Australian billionaire James Packer wasn’t openly seeking endorsements after acquiring controlling interest in a Strip parcel earlier this month. But he found support from a potential competitor. Packer, CEO of Melbourne-based Crown Resorts Ltd., is forming a company with ex-Wynn Las Vegas President Andrew Pascal and investment firm Oaktree Capital Management to construct a hotel-casino on … [Read more...]
The EDM Genre Continues To Win Big In Las Vegas By Christopher G. Axelrod • August 15, 2014 EDM is the acronym for Electronic Dance Music, the fastest-growing type of music in the nation. Michael Rapino, CEO of Live Nation, has called it the "new rock and roll genre”. Robert F. X. Sillerman, the SFX Entertainment founder, pledged a billion dollars of investments in EDM-related properties in 2012. Whatever your personal view about the longevity of this digital genre, it is now a … [Read more...]
Revel Casino’s Spectacular Demise Offers a Cautionary Tale: View By The Editors, Bloomberg • August 14, 2014 (Bloomberg View) -- From the day it opened in April 2012, Revel Casino Hotel in Atlantic City loomed as a shimmering $2.6 billion monument to misguided optimism. Now, deeply unprofitable, it plans to close. Its saga illuminates two misconceptions about the relationship between gambling and government. The first is that casinos will be a savior for state and local budgets. In the months before … [Read more...]
Revel Is a Monument of Broken Dreams By Ken Adams • August 13, 2014 It is official. Revel is closing September 10th. The Revel operating company says that even if a buyer is found, the property will still close as it is no longer able or willing to continue to finance the casino operations. A new buyer would have to be investigated and granted a casino license before Revel could reopen. The Associated Press reported that a number of potential buyers are in … [Read more...]
INSIDE GAMING: Recent mergers a relief to investors By Howard Stutz, Las Vegas Review-Journal • August 13, 2014 The combined $11.5 billion in lottery company-slot machine company mergers in the past few weeks has the investment community relieved. The gaming equipment sector, in the eyes of some analysts, has been bloated. A soft replacement market for new games left slot machine manufacturers with a backlog. In the past few years, many new products never made it from the Global Gaming Expo trade … [Read more...]
Is Macau party for Wynn, Adelson headed for trouble? By John L. Smith, Las Vegas Review-Journal • August 10, 2014 For casino titans Steve Wynn and Sheldon Adelson, the roaring Macau casino market has been a seemingly endless party of rapid expansion and record-setting profit. Stock in Wynn Resorts International and Las Vegas Sands Corp. has rocketed, and the personal wealth of the mercurial multibillionaire CEOs has climbed into the upper stratosphere. Wynn is enormously wealthy, and Adelson ranks as one … [Read more...]
INSIDE GAMING: Alamo brings fresh approach to Nevada Gaming Commission By Howard Stutz, Las Vegas Review-Journal • August 10, 2014 In his first meeting as chairman of the Nevada Gaming Commission, Tony Alamo Jr. turned the Sawyer Building conference room into a doctor’s office. Alamo, a specialist in internal medicine, is the first nonattorney to head the part-time regulatory panel. Using a bedside manner similar to how he would address a patient, Alamo attempted to calm the jittery emotions of a restricted gaming … [Read more...]
Atlantic City’s best days are not behind it By Aaron Stanley • August 6, 2014 Despite the flurry of recent media reports proclaiming the downfall of the East Coast’s sin city, Atlantic City is taking the right steps to reinvent itself as a diversified resort destination. The problem is that the process to build a new economy not wholly dependent on casino gaming should have started 30 years ago. With gaming revenues steadily declining since 2006, the city has commendably … [Read more...]
A Different Sort of Player Reward By Bob Dancer • August 6, 2014 (Note: in this article, a “local” casino is one whose customer base lives relatively nearby.) The success of local casinos frequently depends on several visits per player per month. Typically these casinos “bribe” players to come in regularly. The bribery might be free play in 10 doses over a month --- where each time the player must visit on one or two specific days or the free play is … [Read more...]
Reno’s Kings Inn Sells after 35 Years of Being Deserted and Abandoned By Ken Adams • August 6, 2014 Forty years ago, Reno was in the midst of a casino boom. Within a few years, the MGM Grand opened along with the Comstock Hotel, Riverboat, Sahara Reno, Sundowner, Virginian, Peppermill, Atlantis, Silver Legacy, Circus Circus and Kings Inn. Sadly, there were not enough local customers or tourists for all of those new casinos. The situation became worse as gaming spread all over the West Coast and … [Read more...]
Isaacs goes from unemployed to gaming CEO By Howard Stutz, Las Vegas Review-Journal • August 6, 2014 Less than 10 months ago, Gavin Isaacs was jobless. By early next year, Isaacs expects to be CEO of a company that controls two of the world’s top three slot machine manufacturers, the casino industry’s largest supplier of table games and casino management products, and the biggest U.S.-based provider of lottery systems. Last week’s surprising announcement that lottery giant Scientific Games … [Read more...]
AGA + KidsandCars.org = a Good Thing! By Jeffrey Compton • August 5, 2014 One day when I was three years old, I was wandering around our front yard while my father was gardening. To amuse myself I climbed into the front seat of our car and began playing. Getting bored with the steering wheel, I decided to play with the big stick on the right side. Suddenly the car rolled backward down the driveway across the street, stopping on the grass medium strip separating the two … [Read more...]
Strip parcel has new owner, but future hazy By Howard Stutz, Las Vegas Review-Journal • August 5, 2014 The empty Strip land parcel that once housed the New Frontier has a new lease on life, but its future is still unclear. Australian billionaire James Packer said he acquired controlling interest in the nearly 35-acre site and will form a yet-to-be-named company to build a hotel-casino on the land in partnership with former Wynn Las Vegas President Andrew Pascal and investment firm Oaktree … [Read more...]
Veni, Vidi, Empti in Las Vegas By Christopher G. Axelrod • August 3, 2014 “I came, I saw, I purchased in Las Vegas.” That’s increasingly true as additional shopping opportunities are added to the Las Vegas tourist experience. Mirroring the concepts of its larger production shows, Las Vegas strives to have its shopping experience exceed what tourists can experience in their own home retail community. “Only in Las Vegas” is the goal. Shopping must be exemplary in … [Read more...]
INSIDE GAMING: Aussie outfit Aristocrat makes U.S. inroads By Howard Stutz, Las Vegas Review-Journal • August 3, 2014 While a photographer adjusted lighting equipment, Aristocrat Leisure Ltd. CEO Jamie Odell relaxed in the Australian gaming equipment manufacturer’s south Las Vegas showroom and played a few free spins on a “Batman” slot machine. Dressed casually in jeans, a dress shirt minus the tie and a sports coat, Odell, 55, was anticipating a 14-hour plane flight that evening. He was returning to Sydney … [Read more...]
The Donald and the Dame By Ken Adams • August 1, 2014 Donald Trump has always been great at grabbing headlines. Wherever he goes he creates a flurry of media excitement and wherever he goes he makes very big promises. Trump has done that in real estate development, publication, retail, television, sports and gaming. But, after 40 years of owning casinos, it is impossible to take him seriously. He is better at filing for bankruptcy than he is at … [Read more...]
It’s Time to Prohibit Smart Phones at the Baccarat Table By Eliot Jacobson, Ph.D. • July 31, 2014 For gaming revenue, worldwide, no casino game comes close to baccarat. As new casinos are built and new jurisdictions open, there is increasing competition for premium baccarat players. In a buyer’s market, these players have the leverage to dictate liberal game conditions and substantial financial incentives. Taken together with the advent of smart phone technology, there are new possibilities … [Read more...]
Nevada 150: The World according to Stupak By Howard Stutz, Las Vegas Review-Journal • July 30, 2014 Editor’s Note: Nevada 150 is a yearlong series highlighting the people, places and things that make up the history of the state. Casino ownership in Las Vegas has attracted its share of characters, from the mob-backed era of the 1960s and 1970s to reclusive billionaire Howard Hughes to the publicly traded corporate titans of today. Then there was Bob Stupak. He owned just one casino in … [Read more...]
WSOP helps Nevada crack $1 million revenue mark for online poker By Howard Stutz, Las Vegas Review-Journal • July 30, 2014 Analysts have long speculated about the coexistence of online poker and live casino poker rooms in Nevada. The recent World Series of Poker at the Rio showed the marriage might last. In June, Nevada’s three online poker websites — WSOP.com, Ultimate Poker and Real Gaming — collected a combined $1.037 million in gaming revenue. It was the first time the state’s online poker community cracked … [Read more...]
Strip’s gaming revenue robust while regional markets struggle By Howard Stutz, Las Vegas Business Press • July 28, 2014 With six months on the books, the investment community have a clear picture of the casino industry in 2014. Las Vegas is on an upswing. Gaming revenues have jumped more than 5 percent over the last three months and the Strip is poised to record its fifth straight annual gaming revenue increase since 2009, when the market reverted back to 2004 numbers. As for the regional gaming markets? … [Read more...]
INSIDE GAMING: Many do-si-dos, lead, at last, to IGT-GTECH deal By Howard Stutz, Las Vegas Review-Journal • July 27, 2014 The $6.4 billion acquisition of slot machine manufacturer International Game Technology by lottery provider GTECH shouldn’t have surprised anyone in gaming. A deal between the two industry giants almost happened 14 years ago, albeit with different corporate players and under different circumstances. IGT almost bought GTECH. “This is a dance that has been going on for 20 years,” said one … [Read more...]
Dotty’s taverns are simply complex By Howard Stutz, Las Vegas Review-Journal • July 27, 2014 The 160,000-square-foot North Las Vegas warehouse and headquarters of Nevada Restaurant Services — parent company of the Dotty’s chain of taverns — is a cross between Costco, Home Depot, a slot machine manufacturing plant and a direct-mail house. Everything making up a Dotty’s — think a grandmother’s house with gambling devices — sits in the warehouse. Near the building’s executive suites is … [Read more...]
Inside Gaming Blog: Orange Capital again wants Pinnacle Entertainment to split off REIT By Howard Stutz, Las Vegas Review-Journal • July 25, 2014 A hedge fund that owns 4.5 percent of Pinnacle Entertainment reiterated its call that the regional casino operator split the company to include a real estate investment trust. Orange Capital, LLC, a New York-based investment firm, believes Pinnacle’s share price could increase between 60 percent and 90 percent in value if the Las Vegas-based company were to create a REIT. Orange Capital made … [Read more...]
AGA introduces new Responsible Gaming materials By Rob Rosenbuam, COO, American Gaming Association • July 23, 2014 Our industry puts tremendous resources behind educating patrons and employees about responsible gaming and recognizing the signs of a gambling disorder. This year, we’ve integrated Responsible Gaming Education Week (RGEW) into our broader “Get to Know Gaming” public affairs campaign – we’re encouraging everyone to “Get to Know Responsible Gaming.” Equipping the Industry The AGA has developed … [Read more...]
INSIDE GAMING: Board not wavering on medical pot stance By Howard Stutz, Las Vegas Review-Journal • July 23, 2014 A regulatory mandate that Nevada gaming license holders stay away from the state’s neophyte medical marijuana business could be challenged again Thursday at the Nevada Gaming Commission. But the outcome is inevitable. The Gaming Control Board’s May 6 industry notice to gaming license holders — saying they must choose between medicinal pot and gambling — won’t be altered. Possession and … [Read more...]
Garner portrayed a classy gambler By John L. Smith, Las Vegas Review-Journal • July 22, 2014 One of the most recognized gamblers in popular American history died Saturday, and the keepers of the Strip didn’t even bother to dim the lights. Although he never won a World Series of Poker bracelet or a $1 million jackpot, James Garner’s “Maverick” character was the first acceptable gambler portrayed on television. He was handsome, clever, never cheated a sucker — and always outsmarted the … [Read more...]
New advertisements promote Las Vegas as ideal for conventions, trade shows By Richard Velotta, Las Vegas Business Press • July 21, 2014 As business travel is rebounding, the Las Vegas Convention and Visitors Authority has unveiled a series of advertisements promoting the city as a place to have conventions and trade shows as well as corporate meetings. These print and digital ads aren’t like the consumer-driven “What happens here, stays here,” pieces. They’re directly targeted at the decision-makers who determine where and when … [Read more...]
INSIDE GAMING: Ashes to ashes: Strip smoking could end By Howard Stutz, Las Vegas Review-Journal • July 20, 2014 The idea of a full-scale smoking ban in Nevada casinos seems out of place. The “No Smoking” concept doesn’t fit the Strip’s “do anything” reputation. Of the 23 states with commercial casinos, 18 outlaw smoking in casinos. In Nevada, a voter referendum in 2006 banned smoking in all public places — excluding casino floors. One gaming analyst, however, has warned investors that a Strip … [Read more...]
Do what we say, or the golden goose gets it! By Steve Sebelius, Las Vegas Review-Journal • July 18, 2014 Living in Nevada, it’s sometimes easy to forget how large a role the gambling industry plays in civic affairs. After all, we’re used to casinos running the show. In fact, during the last session of the Legislature, one lobbyist allowed that protecting the state’s No. 1 industry (gambling) was the highest priority of the Legislature. It wasn’t immediately clear where protecting the public … [Read more...]
The North (Strip) Shall Rise Again By Christopher G. Axelrod • July 16, 2014 "Head north to find the action" may soon be the new creed of Las Vegas tourism, but does the north end of the strip actually have the potential to become the new south? Considering the explosion of new projects and attractions that will define the true north and appeal to younger masses, the change is more reality than marketing hype. Has the south done anything to drive guests away? Absolutely … [Read more...]
For Online Gaming, Slow and Steady’s Just Right By David G. Schwartz, Vegas Seven • July 16, 2014 … [Read more...]
Meet the Nine Men Trying To Be Poker’s Next Champ By James McManus, Bloomberg View • July 16, 2014 Baseball, which evolved in the U.S. Northeast around the same time poker was emerging along the lower Mississippi, is now played in dozens of countries, and most of its best players are from Latin America. Basketball, our other 19th-century sport, is even more popular globally. Yet because of a noxious mix of puritanical and cynical politicians, it is illegal in 47 states to play the country's … [Read more...]
INSIDE GAMING: Prospects growing bleaker for Boardwalk By Howard Stutz, Las Vegas Review-Journal • July 16, 2014 The damage to Atlantic City associated with Superstorm Sandy in 2012 amounted to a few broken windows compared to the economic tornado tearing through the Boardwalk this year. Four casinos could be closed by fall, displacing more than 8,000 workers — 25 percent of the city’s workforce — and leaving the famous seaside resort looking more like a boarded-up slum. Since 2006, Atlantic City’s … [Read more...]
Only the Fierce Survive at the Poker World Series By James McManus, Bloomberg View • July 14, 2014 As he had early on, Zach Jiganti, an up-and-coming poker savant, dominated his table pretty much from noon to midnight on Day Three and most of Day Four of the World Series of Poker's Main Event. In one hand, he called a raise in the big blind bet from a middle-aged dad type in a baseball cap and goatee sitting four seats to his left. There'd been some friendly conversation leading up to the … [Read more...]
Atlantic City Situation Sends Message to Other Gaming Communities By Geoff Freeman, President and CEO, American Gaming Association • July 14, 2014 Over the past several decades, casinos have proven to be powerful economic engines in communities from coast to coast. Because of our many contributions, Americans today view gaming more favorably than ever before. But like most businesses, casinos operate in a highly competitive environment. The evolving situation in Atlantic City should send a message to other gaming communities: restrictive … [Read more...]
INSIDE GAMING: Isle of Capri Casinos shakes up corporate management By Howard Stutz, Las Vegas Review-Journal • July 13, 2014 Isle of Capri Casinos may have answered questions of whether or not the regional casino operator was for sale. On Thursday the St. Louis-based company announced a management shake-up at the corporate level, eliminating the executive chairman role with the board of directors and the chief strategic officer position. Isle of Capri also eliminated several other senior positions in the corporate … [Read more...]
A Foul Hand Dooms My Poker World Series Chances By James McManus, Bloomberg View • July 11, 2014 Writers worry about transitions all the time. We want to find the most seamless -- or arrestingly abrupt -- move from Point A to Point B, from a summary of the myriad events at a massive poker tournament, say, to the intricate details of a subtly contested hand. From the thrill of victory to the agony of defeat, in some cases. That's the kind of thing that's been occupying me since I arrived at … [Read more...]
I Can Still Win $10 Million at Poker World Series By James McManus, Bloomberg View • July 10, 2014 As this summer's final World Series of Poker event heads into Day Three, there have been more than a few remarkable developments. The 65 tournaments drew a record 82,360 entries, generating the largest total prize pool in history: $225,584,873. At least that much was won and lost in the side games still being held at the Rio, the Bellagio, the Aria and other Las Vegas card rooms. World Series … [Read more...]
INSIDE GAMING: Speculation abounds on casino industry mergers and acquisitions By Howard Stutz, Las Vegas Review-Journal • July 9, 2014 International Game Technology is the most prominent gaming company with a “For Sale” sign planted in the front yard. But the slot machine giant is not alone. For the first time since the recession dried up credit markets and brought mergers and acquisition activity to a standstill, the casino industry is awash with speculation about transactions. Over the next few months, several big-name … [Read more...]
How Poker’s Newest Champ Is Alienating His Peers By James McManus, Bloomberg View • July 7, 2014 Is Daniel Colman, poker's new heavyweight champion, an adolescent narcissist, happy to take people's money on the felt but unwilling to help improve poker's image as a game of skill or a vehicle for philanthropy? Or is he an anti-huckster hero amid a swarm of endorsement-happy pros, greedy tournament presenters and the journalists who fawn over them? After refusing almost all interview requests … [Read more...]
Adjusting to New Market Realities By Ken Adams • July 7, 2014 On June 1st, Harrah’s Casino Tunica closed its doors for good. Harrah’s shocked the Mississippi Gaming Commission and many others with the announcement it would close its Harrah’s Tunica. The company said there are too many casinos in Tunica for the number of customers the market attracts. The dice are no longer rolling and the slots aren’t spinning at Harrah’s Casino in Tunica. The casino lights … [Read more...]
China Gambling Frenzy in Overdrive During World Cup By Adam Minter, Bloomberg View • July 7, 2014 Pity the parents of Xiao Cai, a young woman from Wuxi, China, who lost the equivalent of $161 betting on World Cup matches. When her folks refused to cover the losses, she fled to Shanghai and -- pretending to be a kidnapper -- sent them a note claiming that she’d be prostituted if they didn’t pay a ransom equal to $3,200 (presumably, to be bet on Germany). The police weren’t fooled. With little … [Read more...]
GAMING INSIDER: California Indian casino built and managed by Station Casinos rising to the top of class By Howard Stutz, Las Vegas Business Press • July 7, 2014 The Graton Resort near Santa Rosa, Calif., has not yet celebrated its first anniversary. But one analyst hinted recently the Indian casino — which was built by Station Casinos and is being operated by the locals gaming giant — is quickly rising to the top of the class in tribal gaming-rich California. The casino cost $800 million and is owned by the Federated Indians of Graton Rancheria. The … [Read more...]
INSIDE GAMING: High hopes for casinos in Japan By Howard Stutz, Las Vegas Review-Journal • July 6, 2014 Don’t say “sayonara” to casinos in Japan quite yet. Japanese lawmakers are just taking a summer break. The country’s prime minister even said he’ll push for casino legalization when the Diet, Japan’s national legislature, returns for a special session in September. Which means Las Vegas’ top gaming executives will spend more time across the Pacific Ocean later this year. Although … [Read more...]
Kid Poker Loses $23 Million Duel to Tough Quant By James McManus, Bloomberg View • July 4, 2014 By around 7:20 Tuesday night, only two remained of the 42 players who entered the Big One for One Drop -- the three-day, $42 million charitable poker tournament that requires a $1 million buy-in. Dan Colman, a quiet 23-year-old online specialist from Massachusetts, was about to go heads up with poker's most famous player, the tough but cheerful Canadian Daniel Negreanu, known as Kid Poker, the … [Read more...]
The Failure of Loss Rebate Programs for High-Rollers By Eliot Jacobson, Ph.D. • July 4, 2014 I recently visited a number of casinos in Asia, where I had the opportunity to learn more about the cash-incentives they give to their baccarat high-rollers. Many casinos use some variation of a “rolling chip” program. These programs rebate a percentage of a player’s total action in cash. The trick to making this work is that the player makes his wagers with so-called “non-negotiable” (NN) chips. … [Read more...]
A Fresh Study Sheds Light on the Habits of the Vegas Visitor By David G. Schwartz, Vegas Seven • July 3, 2014 … [Read more...]
How Texas Hold ‘Em Conquered the World of Poker By James McManus, Bloomberg View • July 1, 2014 At this summer's World Series of Poker in Las Vegas, players can test their skills in 16 modern variants of our 200-year-old national card game. These include badugi, badeucy, seven-card stud, deuce-to-seven triple draw, pot-limit Omaha high-low-split eight-or-better, and even mixed-game events such as H.O.R.S.E. (Hold 'em, Omaha eight-or-better, Razz, Stud and stud Eight-or-Better). Yet … [Read more...]
Einhorn Hit by High-Stakes Poker Ambush By James McManus, Bloomberg View • June 30, 2014 Forty-two players wound up paying $1 million apiece to play in the second biennial Big One for One Drop, a three-day poker tournament at the Rio in Las Vegas. Already, the hugely remunerative contest -- widely considered the heavyweight championship of No-Limit Hold 'em -- has had some major surprises. A few pros who were expected to play -- including online prodigy Tom Dwan and a pair of … [Read more...]
Nevada Gaming Commission loses a legendary chairman By Howard Stutz, Las Vegas Review-Journal • June 29, 2014 As he was exiting the Sawyer Building’s second-floor hearing room following a Nevada Gaming Commission monthly meeting, Chairman Peter Bernhard was complimented by a state gaming enforcement agent on his handling of individuals and companies seeking licensing approval. Whether it was a corporate executive whose company operates multiple Strip resorts or a small- business person opening a single … [Read more...]
Millions of People Go To Las Vegas Every Year Because It Has So Much More By Ken Adams • June 28, 2014 A small and relatively insignificant news item caught my eye recently. In the report, the Golden Nugget Casino in Lake Charles, Louisiana is postponing its opening for nearly six months. I don’t really understand the reason, but in part it was due to Louisiana’s regulatory requirements. The Nugget wanted to change the conditions of its license for the amenities it would provide and needed the … [Read more...]
Summer Pool Parties Making Bigger Splashes By Christopher G. Axelrod • June 28, 2014 The pool season is well underway, and day club pool parties are experiencing record throngs - thongs from younger residents and tourists alike. Pools were always considered a resort amenity but now are viewed as a significant daytime entertainment attraction, just as EDM clubs target the late night crowds. The revenue stream can be impressive if the pool party has the right "vibe". Revenues … [Read more...]
Awake, and digesting the latest news from Caesars By Jeffrey Compton • June 27, 2014 Its 4:00 a.m. in the morning – Cleveland time. I’m in my middle of my morning CDC newsroom editing chores (albeit a little early, but I am on a new training regimen that has thrown my sleep schedule way off.) I’m looking at four stories – all of them less than 24 hours old, all concerning Caesars Entertainment. Union: New Jersey casino warns of possible closure Later this morning … [Read more...]
A $20 Million Poker Game Redefines `High Stakes’ By James McManus, Bloomberg View • June 27, 2014 More than 40 people have paid $1 million apiece to play in an unusual poker tournament this weekend. Its buy-in is 100 times that of the World Series of Poker's Main Event. Its first prize could approach $20 million. And all but a handful of players will lose every dime. The second biennial Big One for One Drop tournament is poker's premier philanthropic event. And with its compelling mix of … [Read more...]
Japan Gets Ready to Play Casino Card for Growth By William Pesek, Bloomberg View • June 25, 2014 As investors place bets on Prime Minister Shinzo Abe’s program for economic growth, the success of Japan’s revival plans may rest, oddly enough, on casinos. For more than a decade now, Las Vegas Sands chief Sheldon Adelson and his counterparts have salivated over bringing gambling tables to Asia’s richest nation. Abe is nudging lawmakers to legalize casinos to help boost gross domestic product. … [Read more...]
INSIDE GAMING: Changing fortunes: Sports teams rise, fall — and so does Macau gambling By Howard Stutz, Las Vegas Review-Journal • June 25, 2014 The last time Macau’s casino industry experienced a monthly gaming revenue decline, the Los Angeles Lakers won their 16th National Basketball Association championship and the Los Angeles Kings were National Hockey League doormats. Fortunes can change quickly in both sports and gambling. Last season, the Lakers were one of the NBA’s worst teams. The Kings won their second Stanley Cup in three … [Read more...]
Mourning the Passing of Keno and Keno Men By Ken Adams • June 24, 2014 Casino gaming is a mature industry, long past its youth. The last members of its pioneering generation are disappearing all too quickly. In the last few weeks, six people who were part of the foundation of casino gaming died. Four were well-known Las Vegas gaming figures. The fifth was a pioneer in Indian gaming. The sixth, Fred Rogers, was neither well-known nor a pioneer. Fred Rogers died in … [Read more...]
INSIDE GAMING: Medical Marijuana and casino interests continue to mix By Howard Stutz, Las Vegas Review-Journal • June 22, 2014 The relationship between medical marijuana and the gaming industry just won’t go up in smoke. Consider these recent events: ■ Three of the 18 medical marijuana dispensary permits awarded in Clark County are tied to someone in gaming despite admonishments from state gaming regulators that industry representatives stay away from the business. ■ Las Vegas Sands Corp. Chairman Sheldon Adelson … [Read more...]
Why interest in horse racing is declining in the U.S., including among horse enthusiasts By Jeffrey Compton • June 20, 2014 Howard Simpson, my best friend at Babson College, was one-year ahead of me, several years older (he did a tour in Vietnam before starting college), and from a different social background. He approached me after he had been elected student government president, and I had just been passed over as editor of the school newspaper for someone with far fewer qualifications. He said “I want to re-invent … [Read more...]
Free Play – Do Casino Players Like it? By Jean Scott • June 20, 2014 In the good ol’ days, casinos rewarded players mostly with comps, but sometimes with hard cash. We loved cash rewards, which we could put in our pocket and walk out of the casino with. No matter how much we had lost while gambling, the cash made us feel, at least a little bit, like a “winner.” Then, about the turn of the Millennium, casino cash benefits began to be replaced by “free play.” No … [Read more...]
Gambling on Tunica’s Future: What to aid ailing casino market By Associated Press • June 18, 2014 TUNICA RESORTS, Miss. (AP) – As Tunica grapples with the Harrah’s closure, the state of Mississippi hasn’t acted to support the industry. But there are proposals under discussion that might bolster the remaining casinos and the tax revenue they produce. Here’s a brief look at some: -Increase tourism promotion. Mississippi plans to spend $4.88 million on tourism advertising and promotion in the … [Read more...]
INSIDE GAMING: PokerStars deal made with eye on California By Howard Stutz, Las Vegas Review-Journal • June 18, 2014 California is known for having high-priced beachfront real estate. But even $4.9 billion might not be enough of a payment to let a Canadian gaming company settle into the neighborhood. Montreal-based Amaya Gaming Group Inc.’s agreement last week to acquire the parent company of online gaming giant PokerStars — the largest Internet gaming purchase — is all about California. Some Golden State … [Read more...]
Getting a Casino License has Become a Tricky Business By Ken Adams • June 16, 2014 The Massachusetts Gaming Commission has found MGM suitable to operate a casino in Springfield. The chairman of the commission, Stephen Crosby declared the MGM proposal to be a “genuinely ambitious and unusual effort.” It has only taken three years for a casino proposal to find favor in Crosby’s eyes. He has been a hard person to please. One license for a racino has been granted and it should open … [Read more...]
Former exec for Disney affiliate has roller coaster ride with IGT By Howard Stutz, Las Vegas Business Press • June 16, 2014 It’s a good thing John Vandemore spent several years as the chief financial officer for Imagineering, the theme park development arm for the Walt Disney Co. His tenure as CFO of International Game Technology has been one roller coaster ride after another. Things appeared to be settling down for the slot machine giant after a tumultuous two months in March and April. Even one of the … [Read more...]
INSIDE GAMING: Gaming techies reaching for Millennials By Howard Stutz, Las Vegas Review-Journal • June 15, 2014 Lawmakers spent all of 15 seconds discussing technology at the final three-hour session of the Committee to Conduct an Interim Study Concerning the Impact of Technology Upon Gaming. The panel’s focus over four meetings seemed to be a renewed effort to kill off tavern operator Dotty’s. That idea failed — again. The Association of Gaming Equipment Manufacturers (AGEM), however, thought the … [Read more...]
Amaya merger to ramp up battle between PokerStars and California tribes By Aaron Stanley • June 13, 2014 PokerStars’ decision, this week, to sell itself to Amaya Gaming, a nondescript Canadian company, for $4.9 billion, shows that the firm accepted the reality that it was widely viewed by U.S. regulators as damaged goods, and that it faced an extreme uphill battle to re-enter the US market. PokerStars’ hopes of entering California, the latest U.S. state to consider online poker, collapsed last … [Read more...]
Baltimore has high hopes for new Caesars casino By Howard Stutz, Las Vegas Review-Journal • June 12, 2014 BALTIMORE — If General Manager Chad Barnhill needs a case study to follow when the $442 million Horseshoe Casino Baltimore opens this summer, he can look a few states to the west. In the past two years, Caesars Entertainment Corp., in partnership with Detroit-based Rock Gaming, opened the Horseshoe Casino Cleveland and the Horseshoe Casino Cincinnati. The companies are bringing that same … [Read more...]
INSIDE GAMING: Soccer, not gambling, may grab interests of Macau high-rollers during World Cup By Howard Stutz, Las Vegas Review-Journal • June 11, 2014 The high-end gamblers who frequent Macau’s ultraritzy private gaming rooms are more interested in whether Cristiano Ronaldo can lead Portugal into the World Cup finals than knowing the next card to come out of the dealing shoe. Maybe it has something to do with Macau’s 400 years as a Portuguese colony. Whatever the case, gaming analysts believe soccer will outweigh baccarat in Macau from … [Read more...]
Indian Gaming: Understanding Michigan vs Bay Mills Indian Community By Artur Loss • June 10, 2014 Michigan vs Bay Mills Indian Community is a lawsuit by the state of Michigan to close an off-reservation Indian casino. On May 27, 2014, the U.S. Supreme Court ruled in favor of the Tribe. This is a win for the Indian Community, but does not mean that States are powerless. If off-reservation casinos are to continue in the long term, it will be only with consent from their States. Michigan … [Read more...]
New Poll Shows Voters View Casino Gaming More Favorably Than Ever Before By Geoff Freeman, President and CEO, American Gaming Association • June 10, 2014 Dear Gaming Colleagues, Voters across the political spectrum view casino gaming more favorably than ever before, and the vast majority recognizes that casinos create jobs, strengthen communities and support local businesses, according to the results of a national survey that the AGA released today. The survey release is the first step in the AGA’s multifaceted “Get to Know Gaming” … [Read more...]
LVCVA report reveals recent visitor behaviors By Richard Velotta, Las Vegas Business Press • June 9, 2014 For the Las Vegas Convention and Visitors Authority, it’s all about the research. It’s something that President and CEO Rossi Ralenkotter has driven into the culture of the organization that markets and promotes Southern Nevada to the world. Should Las Vegas run television spots, newspaper advertisements or maintain a bold online presence? Do the research. Should Las Vegas focus on its … [Read more...]
Change is a Necessary Fact of Life on the Las Vegas Strip By Ken Adams • June 8, 2014 It is an old cliché that change is the only constant and that is definitely true in business. Fads come and go; customers’ ages, interests, preferences and habits are always in flux and businesses must adapt. In my mind, no place on earth demonstrates the changing nature of business more than Las Vegas and the famous Las Vegas Strip. When gambling was first legalized in Nevada and before Benjamin … [Read more...]
INSIDE GAMING: Penn National sees trouble on the horizon for Charles Town property By Howard Stutz, Las Vegas Review-Journal • June 8, 2014 The nearly empty poker room tells the story. Penn National Gaming’s Hollywood Casino at Charles Town Races is feeling the brunt of neighboring Maryland’s gaming expansion, even though the state’s two newest casinos have yet to open. In summer 2013, the 2-year-old Maryland Live!, attached to a 250-store outlet mall in suburban Anne Arundel County, added a 52-table poker room. On any … [Read more...]
Free is a Welcomed Four-Letter Word By Christopher G. Axelrod • June 4, 2014 Casino management and marketers know the value of offering free entertainment, either as an attraction or a perk. Free entertainment can be exterior - augmenting a venue's theme for potential customers, or interior - sustaining customer interest and increasing onsite spending. One award-winning exterior attraction, providing a large number of sidewalk strollers, is the large lake in front of the … [Read more...]
Downtown workers faced no chance of striking By Howard Stutz, Las Vegas Review-Journal • June 4, 2014 There was never going to be a strike by downtown Las Vegas hotel workers. Despite the headlines and saber rattling, the leadership of Culinary Local 226 and Bartenders Local 165 wasn’t going to force union members to walk-off their jobs at properties that hadn’t finalized new contracts by 5 a.m. Sunday. In fact, negotiations to settle contract language at the last remaining hotel-casino … [Read more...]
Sports Betting in the U.S. Part 2: Public Policy Issues By Artur Loss • June 3, 2014 Sports Betting in the U.S. Part 2: Public Policy Issues Note: Part 1, Legality, was published previously. The legislative history of the Professional Amateur Sports Protection Act of 1992 (PASPA) shows the law’s three basic goals: (1) to stop the spread of state-sponsored sports gambling, (2) to maintain sports’ integrity, and (3) to reduce the promotion of sports gambling among America’s … [Read more...]
Shifting Momentum for Online Gambling By Ken Adams • June 2, 2014 Legalizing online gaming is one of the major issues of the gaming industry. Over the last few years there have been wide swings in the fortunes of online gambling in the U. S. When the feds jumped on the online operators taking bets from American gamblers in April, 2011, it appeared to be dead forever. But pressure from some major gaming corporations, poker players and states in need of additional … [Read more...]
Carl Icahn’s Poker Buddy’s Golf Buddy Made Some Good Trades By Matt Levine, Bloomberg View • June 2, 2014 One question about the big Carl Icahn golf insider-trading investigation is, who leaked it to the press, and why? My initial assumption was that the government leaked it, to try to shake loose some information after coming to a series of dead ends in the investigation. Maybe if it was in the papers, someone in the vast network of golfing insider traders1 would read about it and contact the FBI to … [Read more...]
Sports Betting in the U.S. Part 1: Legality By Artur Loss • June 2, 2014 On May 19th, New Jersey state senator Ray Lesniak announced that he was preparing a bill to allow sports betting at the state’s racetracks and casinos, in spite of the fact that it is not technically legal and could not be regulated. This is another logical step in the big sports betting battle which started back in 2012 and will determin the legal status of sports betting in New Jersey and … [Read more...]
Inside Gaming: Macau bans smoking on floors By Howard Stutz, Las Vegas Review-Journal • June 1, 2014 Come October, Macau’s casinos won’t smell the same. The special administrative region government last month told its resort operators that smoking will be banned on mass-market gaming floors starting Oct. 6. Here’s the surprise: Macau’s six casino operators — including MGM Resorts International, Wynn Resorts Ltd. and Las Vegas Sands Corp. — asked for the prohibition. The ban doesn’t … [Read more...]
AGA Fly-In: Connects & Informs By Geoff Freeman, President and CEO, American Gaming Association • May 30, 2014 More than 40 AGA member professionals from government affairs, communications, public affairs and compliance joined us in Washington yesterday for an effective and productive Government Affairs Fly-In event. This effort aligns with the AGA’s Strategic Plan, particularly the priority to connect and inform a broader spectrum of gaming professionals. Our program agenda included: Deeper … [Read more...]
MGM Resorts takes cautious approach to actual real money Internet gaming By Howard Stutz, Las Vegas Review-Journal • May 28, 2014 MGM Resorts International supports the legalization of online wagering in the U.S. The casino giant holds an interactive gaming license in Nevada. But the company’s Internet presence is devoted to a free-to-play casino site that allows customers of its M Life loyalty program to earn rewards, which can be redeemed at MGM properties in Las Vegas and Mississippi. MGM Resorts is taking a … [Read more...]
It Isn’t God’s Fault By Randy Fine • May 27, 2014 Over the past several weeks, most regional gaming companies have reported their first quarter results. The following quote could have been pulled from any number of releases: “Our first quarter 2014 performance was impacted by unusually extreme weather conditions across the country, increased competition and soft consumer trends.” This is not the first time this particular company has … [Read more...]
AGA Launches Its Most Aggressive, Coordinated Effort Ever to Promote Gaming Across the Country By Geoff Freeman, President and CEO, American Gaming Association • May 27, 2014 The new American Gaming Association has promised to be a relentless champion for the gaming industry, our 800,000+ employees and the communities from coast to coast to which we contribute. Today, we are excited to announce three new initiatives — built from the core underpinnings of our strategic plan — that will assist you and strengthen the gaming industry for years to come. Introducing "Get … [Read more...]
GAMING INSIDER: New life being breathed into Las Vegas locals gaming market By Howard Stutz, Las Vegas Business Press • May 26, 2014 You know things are on the upswing in the locals gaming market when the two Arizona Charlie’s casinos report a first-quarter net revenue increase. It’s been a while since that happened. It wasn’t a large bump — less than 1 percent credited to increased slot machine revenue, hotel occupancy and restaurant sales — but with the results coming just a few days after Station Casinos’ best … [Read more...]
INSIDE GAMING: Beware gaming equipment investing By Howard Stutz, Las Vegas Review-Journal • May 25, 2014 Save for a few small companies, Wall Street has thrown in the towel on slot machine manufacturers for 2014. Without new hotel-casino openings (other than The Cromwell and SLS Las Vegas) and a slot machine replacement market that analysts term “nonexistent,” the investment community has been advised to view the gaming equipment sector with caution. Janney Capital Markets gaming analyst Brian … [Read more...]
The AGA iGaming turnabout story – old news meets questionable assumptions By Jeffrey Compton • May 23, 2014 Last Wednesday the following story appeared in the Wall Street Journal: Online Gambling Suffers Setback - American Gaming Association Withdraws Support, Citing Differences of Opinion. During a WSJ interview (at G2E Asia) Geoff Freeman, president and CEO of the AGA, said that the group can no longer support online poker legalization due to disagreements among their membership and the entire … [Read more...]
In Troubling Times, Casinos Are Looking For A Little Relief By Ken Adams • May 22, 2014 There has not been much good news for the casino industry lately and sometimes even the good news is not really good. For example, two jurisdictions reported an increase in gaming revenues in April. Atlantic City reported an increase in revenue for the first time in years. The casinos in Atlantic City once again reported less revenue for the month, but when the online gaming revenue is added in, … [Read more...]
Little Wonder Why Terry Fator Is Successful By Christopher G. Axelrod • May 22, 2014 Based on his many well placed billboards, cab backs, and overall positive reputation I was driven by marketing bombardment to finally watch the Terry Fator Voice of Entertainment show at the Mirage. The 7:30 show is presented four to five nights weekly in the elegantly appointed 15 million dollar Danny Gans theatre and remains an appropriate tribute to the late Danny Gans as both careers are based … [Read more...]
For revitalizing cities it’s the gaming – and a lot more By Howard Stutz, Las Vegas Review-Journal • May 21, 2014 Chad Barnhill carefully maneuvered visitors through an active construction site Monday that is quickly becoming the $442 million Horseshoe Casino Baltimore. He paused in front of floor-to-ceiling windows on the second floor. In clear view was M&T Bank Stadium, home of the National Football League’s Baltimore Ravens, seemingly as close as a couple of Joe Flacco passes. The windows open … [Read more...]
INSIDE GAMING: Revival not fueled by gaming By Howard Stutz, Las Vegas Review-Journal • May 18, 2014 Just as the recession began to grip Las Vegas in 2008, gaming executive Terry Lanni made a prediction. During an interview at his offices in the Bellagio, Lanni said a Las Vegas market recovery was not going to be like any other time tourism and gaming businesses experienced a downturn. After the terrorist attacks of Sept. 11, 2001, it took 18 to 24 months for tourists to get comfortable … [Read more...]
AGA’s G2E Asia Brings Global Industry Together By Geoff Freeman, President and CEO, American Gaming Association • May 17, 2014 AGA’s upcoming event G2E Asia, held in partnership with Reed Exhibitions, has grown rapidly in just the past few years, mirroring the growth of the Asian gaming market. AGA is proud of the value that this show provides to gaming professionals by facilitating connections and building a better understanding between United States and Asian gaming professionals. The 6,500 anticipated attendees to … [Read more...]
The Beatles Continue to “Hold Your Hand” and Touch Your Wallet By Christopher G. Axelrod • May 16, 2014 The Beatles broke up in 1970. Only two of the original band members are still living, and occasionally recording and touring. The band is considered to be a 1960's phenomenon, yet its music and personalities enjoy widespread, loyal fan support today. So perhaps it’s not surprising that there are two successful, yet quite different, Beatles-related productions in Las Vegas. Cirque du Soleil's … [Read more...]
Don’t bet against more growth in Macau gaming By Howard Stutz, Las Vegas Review-Journal • May 14, 2014 Anytime the investment community gets downwind of a potential hiccup in the Macau gaming market, a slash-and-burn mentality sets in. The victims are often MGM Resorts International, Las Vegas Sands Corp. and Wynn Resorts Ltd. The Las Vegas-based companies have subsidiaries listed on the Hong Kong Stock Exchange and those stock prices usually take a beating. Sometimes, the companies’ share … [Read more...]
The Circus Has Returned to Massachusetts By Ken Adams • May 13, 2014 A week or two ago, it seemed as if Massachusetts had settled down and the casino licensing process was becoming something close to normal. But last week, the Massachusetts process erupted into a circus-like atmosphere. A circus is probably a politically incorrect metaphor after nine performers in the Ringling Brothers and Barnum & Bailey Circus were injured in an accident in Providence, Rhode … [Read more...]
New feel, new story as The Hotel becomes Delano By Howard Stutz, Las Vegas Business Press • May 12, 2014 When MGM Resorts International announced plans in 2013 to rebrand The Hotel into Delano Las Vegas, company officials said the 11-year-old property would be given a new look from top to bottom. Details of the $80 million renovation were announced in late April and when the project is completed by September, nearly every square foot of public space inside the 1,100-room nongaming hotel will be … [Read more...]
Intrade revival set to test boundaries of UIGEA fantasy sports exemption By Aaron Stanley • May 12, 2014 Where exactly is the line between sports gambling and fantasy sports contests? While it must exist, no one seems to be able to pin it down. Last week, Intrade, a popular but controversial website that formerly offered wagering on everything from presidential elections to weather, re-emerged in a new, beta version. Now it is a US-based sports wagering site, and the distinction between sports … [Read more...]
INSIDE GAMING: Weight of debt won’t go away By Howard Stutz, Las Vegas Review-Journal • May 11, 2014 The investment community long has expressed concern over the growing debt that weighs down many casino companies, most notably the $21 billion anchor around the neck of Caesars Entertainment Corp. Deutsche Bank gaming analyst Andrew Zarnett in April told investors that Caesars might have to sell or close properties to get out from under its obligations. He included $1.04 billion in debt that … [Read more...]
Is Blackjack an Endangered Species? By Ken Adams • May 7, 2014 Blackjack, as a casino game, is an endangered species to my way of thinking. Not everyone will agree with me, but they will agree that blackjack has had a bad week. On April 29, a very high profile Hollywood actor was asked to leave a blackjack table at the Las Vegas Hard Rock. The pit boss told the actor, Ben Affleck he was too good and he would not be allowed to play blackjack at the Hard Rock. … [Read more...]
INSIDE GAMING: A new era in Las Vegas history set to open By Howard Stutz, Las Vegas Review-Journal • May 7, 2014 The next phase of Las Vegas starts today in, of all places, the Sawyer Building. Nearly a dozen representatives and executives from Genting Berhad, the Malaysia-based company that acquired the unfinished Echelon project on the Strip for $350 million 14 months ago, will face questions from the Gaming Control Board. The corporation and several of its entities seek a finding of suitability from … [Read more...]
Bitcoin boom spreads to Las Vegas brick-and-mortar businesses By David Ferrara, Las Vegas Business Press • May 5, 2014 Should an economic collapse ever ruin the U.S. dollar, you could still shop for your cataclysmic needs at the Zombie Apocalypse Store. Behind the door protected by wrought-iron bars and near a couple of machetes, black and orange signs read: “Bitcoin accepted here.” Monko decided to start dealing in Bitcoin about six months ago. He said he’s constantly mixing things up at the store. “I … [Read more...]
Gaming Insider: Sorry, IGT, just like McKayla, investors aren’t impressed By Howard Stutz, Las Vegas Business Press • May 5, 2014 Remember the photo from the 2012 Summer Olympics of U.S. gymnast McKayla Maroney, standing on the medal podium after taking silver in the vault finals, arms crossed, lips pursed to the side, with a look of disappointment? The image became a viral Internet sensation known as “McKayla is not impressed.” The investment community might give giant International Game Technology the same disdainful … [Read more...]
What’s Russian for ‘Sin City?’ By Howard Stutz, Las Vegas Review-Journal • May 4, 2014 Somehow, “What happens in Crimea, stays in Crimea,” doesn’t seem like an appropriate catchphrase. In April, a month after Russia forcibly annexed the Black Sea peninsula away from Ukraine, President Valdimir Putin said he wants to turn the territory into his own version of Las Vegas. He wasn’t talking about replacing “Thunder From Down Under” with the “Shirtless Putin Dancers.” Putin … [Read more...]
Amid dispute, Station considered buying Dotty’s By Steve Sebelius, Las Vegas Review-Journal • May 2, 2014 Neighborhood gambling giant Station Casinos hasn’t been shy about criticizing the Dotty’s chain. According to Station, Dotty’s doesn’t follow the law, blurs the lines between regular casinos and taverns and preys on legitimate gambling businesses. So it might come as a bit of a surprise to learn that Station Casinos allegedly tried to purchase Dotty’s. According to Susan Johnson, general … [Read more...]
The El Cortez is well positioned to attract Millennials (and yes, you did read that right!) By Christopher G. Axelrod • May 1, 2014 Last week I had dinner with CDC Publisher Jeffrey Compton at the flagship restaurant at the El Cortez called Flame. (Note - Jeff has had a long-time professional relationship with the El Cortez.) I had never been to the El Cortez, but always admired its location and legacy. During our dinner Jeff mentioned that though the property is well-maintained and doing well, he was concerned that it, as … [Read more...]
Before and After Cell Phones: A Generational Disconnect Forcing Change By Ken Adams • April 30, 2014 Everything is constantly changing. Business, like all aspects of society, is dynamic and in a constant state of flux. The problem is not to understand change, but to anticipate the nature of the change. It is no secret that I believe the casino industry is at a critical juncture, a tipping point. To survive and remain viable the industry will have to change, re-engineer its business model and … [Read more...]
Venitian, Palazzo barely an afterthought with Macau in the mix By Howard Stutz, Las Vegas Review-Journal • April 30, 2014 There is a reason analysts spent about 40 minutes questioning Las Vegas Sands Corp. officials last week about the company’s over-the-top results in Macau. It has to do with Confucius. During a conference call to discuss Las Vegas Sands’ first-quarter earnings — net income of $776.2 million on a single-quarter record of $4.01 billion in revenue — analysts didn’t ask a single question about … [Read more...]
What Is A Casino To Do When The Gamblers Stop Coming? By Ken Adams • April 28, 2014 In every gaming jurisdiction experiencing a long-term decline in revenues, casinos are being forced to cut expenses and restructure. The way a casino approaches the problem differs according to the management, location and conditions that created the problem, but there are some commonalities. Generally, the first order of business in a downturn is to cut all “non-essential” expenses, reduce staff … [Read more...]
Is Phil Ivey a Cheater or an Advantage Player? By Eliot Jacobson, Ph.D. • April 28, 2014 About two weeks ago a news tornado blew through the casinosphere, when the Borgata Casino filed a federal suit against Phil Ivey, seeking to recoup $9.6 million that Ivey won playing baccarat in 2012. In case you don’t know the name, Phil Ivey, the number one rated poker player in the world, is sometimes called the “Tiger Woods” of poker. He has won nine World Series of Poker bracelets. Now Ivey … [Read more...]
If The Recession Is Over, Where Are The Gamblers? By • April 23, 2014 By now, everyone has read the stories of gaming communities struggling under the weight of the Great Recession and increased competition. The economy is improving, so gaming’s struggles must be related to competition, right? Economic downturns affect every business, but they pass and things get better. The impact of added competition is usually worse and longer lasting. The impact of … [Read more...]
INSIDE GAMING: Return on investment for Internet gaming operations in three states no windfall By Howard Stutz, Las Vegas Review-Journal • April 23, 2014 Apparently, the only folks making money from the U.S.’s fledgling Internet gaming market are lobbyists. That won’t change anytime soon. Bills for and against Internet gaming continue to surface in statehouses and Congress, which means more billable hours for the lobbying sector. So far, the return on investment for casino operators that have launched Internet gaming operations in three … [Read more...]
Casino bill must include Chicago – and safeguards By Editorial, Chicago Sun-Times • April 22, 2014 Haggling over legislation to bring a casino to Chicago has become a springtime ritual. This time around, state Rep. Bob Rita, D-Blue Island, has dealt out two new amendments that just might get the job done. To our way of thinking, that's welcome news, but only if the talks in Springfield have no influence on City Hall's continued efforts to sharply reduce costs, especially the costs of … [Read more...]
INSIDE GAMING: Casino industry wrestles with issues surrounding medical marijuana By Howard Stutz, Las Vegas Review-Journal • April 20, 2014 Like much of Nevada, the casino industry is grappling with issues surrounding medical marijuana. So much so that gaming companies and regulators have had little to say publicly about doctor-prescribed pot. Medical marijuana has been legal in Nevada since 2000, but it took state lawmakers 14 years to allow dispensaries to operate. Now, with a state law in place calling for up to 66 potential … [Read more...]
A Tale of Two States and Two Lines of Thought By Ken Adams • April 17, 2014 In Chicago, Illinois on April 16th, the state gaming commission held a hearing on two proposed casino expansion bills. One would allow for an additional casino in Chicago with up to 10,000 gaming positions; the other bill proposal would authorize five more casinos in the state, including one in Chicago and slot machines at racetracks. Casino expansion comes up in the legislature every year in … [Read more...]
Celebrity magician Murray Sawchuck reveals the Magic of Advertising By Christopher G. Axelrod • April 17, 2014 Celebrity magician Murray Sawchuck has been performing for the past two years at the Laugh Factory in the Tropicana. On a recent weekday, I attended his 4:00 p.m. show. I was perplexed that this well-branded and known talent only had an audience of 28 for a show in a venue with a capacity of 250. Sawchuck's 55-minute show was energetic, fast paced, and over-the-top with improv humor, audience … [Read more...]
AGA Affirms Value of Gaming in Response to Massachusetts AG Candidate By Geoff Freeman, President and CEO, American Gaming Association • April 16, 2014 Gaming industry set to create thousands of jobs, help small businesses and support public services in the Commonwealth. Washington — American Gaming Association President and CEO Geoff Freeman issued the following statement after Massachusetts Attorney General candidate Maura Healey announced her opposition to casinos in the Commonwealth based on outdated myths: “Ms. Healey's comments … [Read more...]
Dead end for Alabama — Attorney general’s fight against Poarch Creeks failed, as expected By The Anniston Star Editorial Board • April 15, 2014 "Big Luther," Alabama's hyper-ambitious Attorney General Luther Strange, had been warned more than once. This page warned him. Other commentators warned him. If he had bothered to ask, members of the Alabama Bar Association most assuredly would have warned him, too. Nevertheless, Strange went to court to challenge the right of the Poarch Band of Creek Indians to operate their casinos on tribal … [Read more...]
After new law, 2016 political conventions more beholden to wealthy donors By Aaron Stanley • April 15, 2014 While the Supreme Court’s decision to strike down limits on individual political donors captured the headlines last Wednesday, a new law signed by President Obama on the next day will also increase the political system’s reliance on wealthy donors. Known as the Gabriella Miller Kids First Research Act, the new law will provide increased funding for childhood disease research. In a rare sign of … [Read more...]
Merger ushers in leadership shuffle for WMS Industries By Howard Stutz, Las Vegas Business Press • April 14, 2014 The ink was hardly dry on lottery giant Scientific Games Corp.’s $1.5 billion buyout of slot machine manufacturer WMS Industries when the corporate management team was shaken up with a new CEO and chairman in November. Earlier this month, Scientific Games moved WMS’ longtime chief financial officer into the same role with the parent company. An even larger transition could come later this … [Read more...]
Regional gaming operators hope winter’s thaw will nurture warmer financial figures By Howard Stutz, Las Vegas Review-Journal • April 13, 2014 Winter’s long grip on the Midwest and other parts of the U.S. is finally subsiding. But even as the snow melts, regional gaming operators might have to wait for their bottom lines to warm up. Weather issues kept casino patrons at home in several states where companies such as Penn National Gaming, Isle of Capri Casinos, Pinnacle Entertainment and Boyd Gaming Corp. derive the bulk of their … [Read more...]
Tell Congress to Fight Frivolous, Costly Litigation By Geoff Freeman, President and CEO, American Gaming Association • April 10, 2014 Gaming Industry Colleague: AGA continues its ongoing efforts to call for Congress to pass meaningful patent reform legislation to curb abuses asserted by patent trolls. Patent trolls are a hindrance to American businesses, including the gaming industry, that make our nation's economy thrive. We encourage you to join us in this effort to push for meaningful reform — using easy-to-use … [Read more...]
Donnie and Marie: The Stay Power of the Classic Las Vegas Show By Christopher G. Axelrod • April 9, 2014 I recently attended the Donnie and Marie Show at the Flamingo Showroom with the understanding that they were soon taking some time off to allow for Olivia Newton John to begin her new "Summer Nights" show. Was it perhaps that Donnie and Marie Show ticket sales were in a decline as their market appeal to the fifty and older crowd was finally thinning and competitive entertainment options were … [Read more...]
INSIDE GAMING: Casinos shudder over possible federal requirement to divulge source of high rollers’ gambling funds By Howard Stutz, Las Vegas Review-Journal • April 8, 2014 Word that the U.S. Treasury Department may soon require the casino industry to report the source of gambling funds used by their big spending high-rollers sent a few shock waves through corporate offices. It wasn’t so much a rumble as it was a magnitude 7.0 earthquake. The move is part of a stepped-up effort by the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) to crack … [Read more...]
The Risky Business of Loss Rebates By Eliot Jacobson, Ph.D. • April 7, 2014 In early 2011, Don Johnson won more than $15 million playing blackjack at Atlantic City. Before he began, he negotiated a number of perks that moved the edge squarely to his side. The most valuable was a 20% rebate on his losses whenever he lost more than $500,000 in a day. These loss rebates had no minimum play requirement and reset after each day’s play. Johnson’s optimal winning strategy is … [Read more...]
Nightclubs looking for the next big thing to keep record-setting crowds coming By Laura Carroll, Las Vegas Business Press • April 7, 2014 The next big thing is coming, Las Vegas. At least, that’s what nightlife guru Jon Taffer said while getting ready for his annual Nightclub & Bar Show to open in late March. During an interview with the Las Vegas Business Press, Taffer noted that nightlife operator Jesse Waits said that he has come up with the next big idea — he just has to implement it. As co-owner and managing partner … [Read more...]
Fluttering in the British Isles By Ken Adams • April 6, 2014 Gambling in England is not like it is in the United States. American gaming is governed by individual states and not by federal regulation, while gambling in England is regulated by the national government. And because of the difference, gambling in England is much more uniform than it is here. In the U.S., regulations are different in every state. Tax rates vary by state as does the size and … [Read more...]
Tribe’s Talking Stick Resort wields powerful economic clout By Howard Stutz, Las Vegas Review-Journal • April 6, 2014 The Salt River-Pima Indian Community has a real estate footprint in this city, 20 minutes east of downtown Phoenix, that makes the 67-acre CityCenter look like a strip mall. The tribe has built a “cultural and entertainment destination.” There is the 36-hole Talking Stick Golf Club, which was designed by noted golf course architects Bill Coore and Ben Crenshaw. On the opposite side of the … [Read more...]
What Has Sheldon wrought? By Jeffrey Compton • April 2, 2014 While working on the Flash last Tuesday morning, I came upon the opinion piece “Las Vegas made a big, bad bet on casinos” – one of the nastiest anti-Las Vegas (and anti-gaming) commentaries I have read in a very long time. Written by prominent conservative columnist David Frum for the very prominent news website CNN.com, this over-wrought piece says that Las Vegas will never return to its boomtown … [Read more...]
The Casino Industry’s Worst Nightmare – the Feds By Ken Adams • March 31, 2014 Over the course of my career, I have watched the casino industry fight and lose more than one battle with the federal government. The first battle I remember was over silver dollars; it hardly seems believable today, but at one time silver dollars were in circulation in Nevada and they were popular. In fact, they were very popular – especially with dollar slot players. Somehow winning a bunch of … [Read more...]
As megaresort trend fades, companies focus on luxury in ‘small’ settings By Howard Stutz, Las Vegas Business Press • March 31, 2014 Las Vegas is getting smaller. That is, if you call 1,600-room and 1,100-room Strip hotels “boutique” properties. By the end of the year, Las Vegas will have about a half-dozen hotel-casinos that operators classify as “boutique,” “luxury” or “lifestyle” in their marketing efforts. It’s actually not a unique concept. The Hard Rock and The Palms, for example, began as smaller … [Read more...]
Nightclub and Bar Convention and Trade Show leaves one Shaken and Stirred By Christopher G. Axelrod • March 31, 2014 The 29th Annual Nightclub and Bar Convention and Trade Show poured it on in style at the Las Vegas Convention Center. There was something for every interest and beyond. Jon Taffer, Executive Producer and Star of Spike TV's popular show "Bar Rescue" along with his team served up an event that would appeal to the record breaking 41,000 attendees and to most anyone else who patronizes clubs and bars. … [Read more...]
INSIDE GAMING: Internet gaming giant tries again By Howard Stutz, Las Vegas Review-Journal • March 30, 2014 ou have to hand it to online gaming giant PokerStars. Despite setback after setback, the Europe-based company won’t give up on its quixotic quest to break into the fledgling U.S. Internet gaming market. After failing in Nevada and New Jersey, the new target is California. But odds are PokerStars is once again drawing dead. The company, operated by the Isle of Man-based Rational Group, … [Read more...]
Ohio Casino Education Funds: Easy Money That’s More Than Zero By Jeffrey Compton • March 26, 2014 Over the past month I have been reading negative articles about Ohio casinos, specifically about the distribution of casino tax dollars to local school systems. Counting on casino revenue? Local governments told it’s risky Casinos fall short of vows to voters How much casino money do schools receive? To believe these reports, the checks are nowhere near what the school systems expected, … [Read more...]
Massachusetts: Ensuring the Nation’s “Best” and Most Rigorous Regulations By Ken Adams • March 26, 2014 Massachusetts came late to the gambling game. Actually, Massachusetts is not quite there yet; it is still in the process of getting into the game. The fact that Massachusetts is so late entering into casino gaming might lead one to think the process in the Bay State would be easier than in other states. After all, Massachusetts has the benefit of the experience of thirty-eight states with casinos … [Read more...]
Analysts wary of market-share erosion for slot maker IGT By Howard Stutz, Las Vegas Business Press • March 24, 2014 There is a target on the back of slot machine manufacturer International Game Technology. Despite first-quarter results that were well received by investors, at least two analysts raised concerns in recent weeks that IGT could be bleeding away slot machine market share to the competition. Credit Suisse gaming analyst Joel Simkins said IGT’s stock price — which has fallen 28 percent since its … [Read more...]
Are Casino Comps a Dying Breed? By Jean Scott • March 23, 2014 Back in 1995, the news crew of 48 Hours followed Brad and me around Las Vegas, filming as we played video poker and reaped comps. On the air, Dan Rather dubbed me the “Queen of Comps”. By then I had been honing my comp skills for more than ten years. After retirement, Brad and I stayed in comped casino hotel rooms in Las Vegas for months at a time. Our low-roller play on quarter video poker not … [Read more...]
INSIDE GAMING: Fattest fines have come in a flurry By Howard Stutz, Las Vegas Review-Journal • March 23, 2014 Million-dollar fines for violating Nevada gaming law used to be rare. But in the past 15 months, state casino regulators have accepted three separate seven-figure payments from gaming companies to settle Gaming Control Board disciplinary complaints. That’s the same number of seven-figure fines the state had issued in all of the previous 28 years. Regulators in December and again last week … [Read more...]
Does Gaming have an Older Audience or an Aging Audience? By Jeffrey Compton • March 20, 2014 Last week I ended my column on senior gaming with “I do admit to being concerned that nearly half the casino visitors in 2012 are over age 50. I’m not concerned for the visitors, but for the casinos and the industry as a whole. That concern is not over compulsive gambling, but about the aging audience – but that is a subject for another column or more.” At the time I did not intend to … [Read more...]
Making Up a Story Helps Make Sense of The Confusion By Ken Adams • March 19, 2014 It is never easy to understand a complicated issue and the gaming industry in the 21st century has certainly become complicated and confusing, at least for me. To help myself understand gaming and other things I put Adams Daily Report events into narratives. Looking at the news every day, I develop narratives in my mind about the day’s news. Sometimes I extend a narrative past one day and make … [Read more...]
Revenue from Macau casinos enriches industry’s billionaires By Howard Stutz, Las Vegas Business Press • March 17, 2014 It’s been eight years since Macau surpassed the Strip in annual gaming revenue. So it makes sense that the region — the only location in China with casinos — is creating more gaming industry billionaires than Las Vegas. The recently released Forbes 2014 List of the World’s Billionaires shows a large proportion of the wealthy who cite gambling, gaming or casinos as the source of their income … [Read more...]
Loyalty, love for Jackie By John L. Smith, Las Vegas Review-Journal • March 16, 2014 New visitors to the El Cortez some years ago would have been forgiven for failing to spot the owner of the downtown casino. He wasn’t a fresh-faced CEO or a consummate corporate type with an MBA. On the contrary. He was the affable old fellow in the loud sport coat who moved through the slot bays picking up cocktail glasses and emptying ashtrays while keeping up a playful patter with customers … [Read more...]
INSIDE GAMING: Boyd deal sparks torrent of speculation By Howard Stutz, Las Vegas Review-Journal • March 16, 2014 A New York-based hedge fund acquired a 5 percent ownership stake in Boyd Gaming Corp. last week and immediately fueled rampant speculation in the investment community. Scenarios ranged from a corporate takeover to moving the company’s casinos into a real estate investment trust. Don’t expect a quick resolution. Elliott Associates, controlled by financier Paul Singer, said in a Securities … [Read more...]
Exploring (and Exploding) the Senior Citizen Gambling Myth with Aunt Dorothy By Jeffrey Compton • March 13, 2014 Earlier this week the Concord Monitor ran a column by Paul Davis, an anti-gaming advocate at the Institute for American Values, entitled “My turn: Casinos prey on elderly residents”. The column discussed an elderly New Hampshire widow who moved to Arizona in 2004 and, over the course of eight years, gambled away a considerable amount of money (for her) at a local casino. Her family members were … [Read more...]
US online gaming ban dispute hits the entertainment industry By Aaron Stanley • March 12, 2014 Holders of music, film and television copyrights are on the verge of becoming victims of US prohibitions on online play. After a decade-long trade dispute over remote online gaming, the small Caribbean nation of Antigua and Barbuda is now planning the lawful taking of $21 million of US entertainment industry intellectual property per year. This development results from a complaint filed by … [Read more...]
Beacher’s Madhouse (MGM Grand): Too much of a Madhouse By Christopher G. Axelrod • March 9, 2014 Since their public opening at the MGM Grand Resort and Casino early last January I had been reading and hearing a variety of reviews about Jeff Beacher's Madhouse so I finally decided to purchase my general admission ticket online and experience this unique entertainment option. They have years of a successful run under the identical theme and branding at the Roosevelt Hotel in Hollywood and is … [Read more...]
INSIDE GAMING: Caesars’ moves don’t ease Street’s debt worries By Howard Stutz, Las Vegas Review-Journal • March 8, 2014 Nothing is simple when it comes to Caesars Entertainment Corp. Take last week’s announcement that the company is selling four casinos to its Caesars Growth Partners subsidiary for $2.2 billion. Some analysts worried the deal would diminish the parent company’s results. Caesars is giving up valuable revenue and cash flow from three Strip casinos and Harrah’s New Orleans to a subsidiary in … [Read more...]
Indian Gaming: A Tale of Treaties and Time By Ken Adams • March 6, 2014 Indian gaming is twenty-six years old and for all of that time, its existence has been contentious. That is not surprising as the entire history of Indian tribes with the federal and state governments has been contentious. Popular myth tells of the first pilgrims stranded alone, hungry and cold in an alien land where they found help and friendship in the local Indian tribes. It was a short and … [Read more...]
AGA’s Engagement with FinCEN By Geoff Freeman, President and CEO of the American Gaming Association • March 5, 2014 The U.S. Department of Treasury’s Financial Crimes Enforcement Network (FinCEN), as many of you are aware, has increased its interest in the gaming industry's compliance with federal anti-money laundering laws, which ensure the integrity of gaming and keep illicit funds out of our nation's casinos. A working group of AGA members and staff met with FinCEN last week to discuss the group’s … [Read more...]
The Lion’s Share: A Grand Ghost Goes Extinct By Ken Adams • March 3, 2014 In 1994, one evening and late into the night during the annual gaming show, I was walking the floor of the MGM Grand. I was tired and wanted to go to bed, but could not resist exploring just one more casino. Every year, those walkabouts were one of the most important aspects of attending the gaming trade show, not just for me but for all attendees. Everyone went out scouring casinos, hoping to … [Read more...]
Big rewards in China create flexibility for MGM Resorts By Howard Stutz, Las Vegas Business Press • March 3, 2014 MGM Resorts International is showing investors what a 51 percent ownership stake in its publicly traded Chinese subsidiary means financially to the casino operator’s business back home. At least $320 million this month alone. The figure is MGM Resorts’ share of some $628 million in quarterly and special dividends that MGM China will award to shareholders this month. The business, traded on … [Read more...]
INSIDE GAMING: Latest push for casino expansion in Florida brings little reaction from gaming interests By Howard Stutz, Las Vegas Review-Journal • March 2, 2014 Florida is back in play, but no one really seems to care. Last month, legislation was unveiled that could bring Las Vegas-style casinos to South Florida — one each for Miami-Dade and Broward counties. Local voters in both communities would have to approve the resorts through referendums. The legislation would allow racetracks outside current South Florida racinos to add slot machines and … [Read more...]
Steve Wynn or Mohegan Sun in Massachusetts? By Ken Adams • February 28, 2014 On February 25th, voters in Revere approved Mohegan Sun’s plan to build a $1.3 billion resort at Suffolk Downs. Voter approval is one of the most important steps in the Massachusetts casino license process and this vote is particularly important. If Mohegan/Suffolk wins a license it will be in essence the Boston casino license. It will be the most lucrative of the three casino and one slots-only … [Read more...]
Mt. Gox Meltdown Speeds Day When Bitcoin Will Die By Megan McArdle, Bloomberg View • February 25, 2014 (Bloomberg) -- The first thing to point out about the meltdown of the Mt. Gox Bitcoin exchange is that this is hardly the first time that massive amounts of currency have been stolen, or that a financial firm has shut down and left its depositors with basically nothing. This is not somehow unique to Bitcoin, or a fatal flaw in its design. The second thing to point out about the meltdown of the … [Read more...]
The story of pari-mutuel betting in the US: Saving horse racing By Artur Loss • February 24, 2014 The run-up to the Kentucky Derby 2014, which is on the 4th of May this year, began on Saturday the 2nd of February with the Risen Star Stakes at Fair Grounds in New Orleans and the Fountain of Youth Stakes at Gulfstream Park in Florida. Kentucky Derby is still a big event attracting large crowds every year, which has no problems selling out tickets for the big day. However, in recent years horse … [Read more...]
Prohibition not the right answer for online gaming By David G. Schwartz, Special to the Las Vegas Review-Journal • February 24, 2014 The nation faces a dangerously seductive form of gambling, as cross-border, high tech telecommunications networks threaten to siphon money out of homes across the country. The problem is getting worse, and the states, with the constitutional mandate to regulate gambling within their borders, are indifferent or worse. The only solution is for Congress to act now. It took years, but Congress … [Read more...]
Online Gaming: Lots of raving, but little revenue By Howard Stutz, Las Vegas Review-Journal • February 23, 2014 Lost in the heated rhetoric over the expansion of Internet gaming is a harsh reality. Legal online wagering has not been the financial windfall many analysts predicted. Initial returns from the three states that enacted Internet gambling laws are not overflowing the balance sheet. New Jersey’s online revenue is a letdown. Delaware’s figures are inconsequential. Nevada won’t break out … [Read more...]
Is the Internet Ready for Casino Gambling? An alternative view! By Jeffrey Compton • February 20, 2014 In his recent commentary Is the Internet Ready for Casino Gambling?, my colleague Ken Adams discussed the recent history of Internet Gaming. He also discussed recent incidents of Internet hacking, primarily to the Las Vegas Sands website but also to several companies in other industries. He concluded that “the casino industry might be ready for the internet, but the internet is not yet ready for … [Read more...]
Is the Internet Ready for Casino Gambling? By Ken Adams • February 19, 2014 The internet gambling story gets more interesting by the day. For the last few years, internet gambling has been mostly a side story. It was important, but not a dynamic story; not much happened from day to day or even month to month. The story started to gain momentum in December of 2011 when the Department of Justice issued an opinion on the Wire Act that opened the door for individual states … [Read more...]
The AGA 2014 Strategic Plan: Addressing Criticisms, Belaying Myths, and Creating a Positive Roadmap By Jeffrey Compton • February 17, 2014 I heard from many people after my recent column, “The Internet Gaming War: A Pox (Mostly) on One House”, including Geoff Freeman, president and CEO of the American Gaming Association, who was criticized in the piece. “I largely agree” emailed Freeman. In the ensuing discussion regarding various AGA issues, I asked “Is internet gaming the only note the AGA is going to play this year?” Freeman’s … [Read more...]
The Las Vegas Sands Website Attack – Random Thoughts and Definite Plans By Jeffrey Compton • February 16, 2014 As I write this column the Las Vegas Sands website has been down for six days. Over those days a plethora of ideas has gone through my head – plus some decisions about emergency planning for my very small business. Who did this and why? I know little about website hacking, so I started my questioning with my own technical director (Cory Roberts) and web designer (Jill Merk), and went from … [Read more...]
Inside Gaming: Scorn troopers sow fear of Net bets By Howard Stutz, Las Vegas Review-Journal • February 16, 2014 If there’s one thing we learned from last week’s telephone press conference by the Coalition to Stop Internet Gambling it’s that all five speakers “were honored” to be on the 45-minute call. They said so, several times. That, and Internet gambling is responsible for every ill known to mankind. The paid representatives for the Washington, D.C.-based coalition — funded by Las Vegas Sands … [Read more...]
Jeff Civillico Comedy In Action – The Quad, Las Vegas By Christopher G. Axelrod • February 13, 2014 Publishers note: We have received several requests that CDC Gaming Reports carry more casino entertainment-related commentary. As neither Ken Adams nor I live in Las Vegas (nor are either of us really qualified), I asked Chris Axelrod, a long-time friend with a solid entertainment background, to contribute his thoughts on various Las Vegas shows (big-and-small, new-or-old, on-and-off the … [Read more...]
Atlantic City Finally Got Some Good News By Ken Adams • February 12, 2014 It has been a really cold winter this year and the weather is affecting gaming revenues all over the country. Pennsylvania, Ohio, Missouri, New York and Indiana all reported lower year-over-year gaming revenues in January and each blamed the cold weather for the decline. But no one mentioned the weather when reporting Atlantic City’s gaming revenues for January. The Atlantic City story for … [Read more...]
The Internet Gaming War: A Pox (Mostly) on One House By Jeffrey Compton • February 12, 2014 When I started writing this column, a day or so ago, I was lamenting the current “state of war” over internet gaming. Monday the AP published Gambling industry fights self on Internet gambling; on Tuesday the Financial Times did a similar piece (written by Aaron Stanley, an occasional CDC Gaming Reports contributor) entitled "Casino owners battle over online gambling." More will follow. I don’t … [Read more...]
Prominent women in gaming to discuss industry By Howard Stutz, Las Vegas Business Press • February 10, 2014 Patricia Becker holds the distinction of being the first woman to serve on the Nevada Gaming Control Board. She’s actually the only woman to ever hold a seat on the regulatory panel. Twenty years have passed since then-Gov. Richard Bryan elevated Becker from chief deputy attorney general in charge of the gaming division to one of three Control Board members who oversee the full-time state … [Read more...]
Long-time friendship helped attorney break into sports law By Howard Stutz, Las Vegas Review-Journal • February 9, 2014 A childhood friendship that continued through college helped attorney Robert Caldwell break into sports law. On the surface, it might not appear to be a major field of law in Nevada. The state isn’t home to a professional major league sports franchise. Caldwell, however, has turned the practice into a key part of his job with the Las Vegas law firm Kolesar &Leatham, where he is primarily … [Read more...]
INSIDE GAMING: Who wants ties to that guy? By Howard Stutz, Las Vegas Review-Journal • February 9, 2014 Clearly, Caesars Entertainment Corp. doesn’t want visitors to The Cromwell to gamble, drink, smoke, fornicate or perform any other sinful act at the newly renamed boutique Strip hotel-casino. I can’t wait to hear the marketing campaign. Why else would the casino company rename the former Barbary Coast/Bill’s Gamblin’ Hall in a way that could be associated with England’s 17th century “Lord … [Read more...]
Florida: It is about time! By Ken Adams • February 6, 2014 The gaming debate is back on in Florida; it debate took a two year hiatus. It is about time it came back, we need something exciting to follow. For far too long, Massachusetts has dominated the expansion narrative in the media. Even New York could not dislodge Massachusetts. Probably New York could not unseat Massachusetts because there was simply no drama in New York. There was no name … [Read more...]
Mr. Wynn’s Internet Gaming Turnaround? By Jeffrey Compton • February 4, 2014 Monday was the busiest day in the history of the CDC Gaming Reports website. Fueled by interest in the Super Bowl over 1,400 people visited the site – with over 2,300 page views. However it was two other stories that caught my eye: Wynn joins Adelson crusade against web gaming (in respected political reporter Jon Ralston’s blog) and from the equally respected Wayne Parry (Associated Press) NJ … [Read more...]
Macau feels strain during Lunar holiday influx By Kelvin Chan, Associated Press • February 4, 2014 MACAU (AP) - In a scene from the James Bond movie "Skyfall," the British superspy arrives in Macau aboard a small raft that glides under an arched bridge, past hundreds of floating paper lanterns and through an illuminated dragon head to reach a casino. When I made the trip to the tiny Chinese gambling mecca at the height of the Lunar New Year holiday on Monday, it was decidedly less … [Read more...]
In talks over keeping National Finals Rodeo, Orlando, Dallas never had a chance By Howard Stutz, Las Vegas Review-Journal • February 2, 2014 Did you seriously think Las Vegas was going to lose the National Finals Rodeo to Orlando, Fla., or Dallas? After six weeks of back-and-forth rhetoric, a new 10-year agreement was announced Jan. 24 to keep the NFR in Las Vegas — its home for 29 years — through 2024. Cowboys and stock contractors will get about $6 million more a year in prize and sponsorship money. The hotel-casino industry … [Read more...]
A recovery for European casinos? By Davide Tedesco • January 31, 2014 The European Casino Association (ECA) represents the interests of approximately 800 companies operating in 23 EU countries, with more than 55,000 employees. In November 2013, ECA issued its first comprehensive report on the casino industry in Europe, using information provided by its members and the National Casino Forum, UK. European casinos have struggled in recent years, with causes … [Read more...]
Cromwell?? By Jeffrey Compton • January 31, 2014 On Friday Caesars Entertainment announced the newest new name for the property formerly known as Bill’s and before then formerly known as the Barbary Coast. They were going to name it Gansevoort Las Vegas due to a marketing partnership with New York City-based Gansevoort Hotel Group – but that deal fell apart when Massachusetts regulators claimed that one of the Gansevoort investors had ties to … [Read more...]
Gaming industry should be careful about embracing digital currencies By Aaron Stanley • January 31, 2014 One of the hottest trends in 2013 was the soaring popularity of digital currencies such as Bitcoin. These decentralized tenders, backed by no government fiat or central bank, are starting to become viable means of exchange. Last week, two Las Vegas casinos announced they would begin accepting Bitcoins at their restaurants and shops. Neither casino allows Bitcoins for bets to be placed on the … [Read more...]
A Royal Dumb Flush is a Losing Hand By Ken Adams • January 30, 2014 In the 21st century, poker has become big business. It is played online, in casinos and in free standing poker rooms. Poker has been played in this country for a very long time. Poker has had a checkered past; it has been legalized and banned, it has been commercially successful and it has been a backroom, private game only. In the 1970s, poker was a mainstay in Nevada casinos, but with the … [Read more...]
Why I’m Attending ICE Totally Gaming This Year By Victor Rocha, Pechanga.net • January 28, 2014 When the Indian Gaming Regulatory Act was passed by Congress in 1988, nobody could’ve predicted the opulent casinos of today rising from the bingo parlors ofthat era. In our wildest dreams, we couldn’t have imaginedIndian gamingas a $28+ billion-dollar industry. And as Indian gaming was booming, the commercial gaming industry was jumping the boundaries of Las Vegas and Atlantic City like … [Read more...]
Assessing Impact By Ken Adams • January 27, 2014 Impact is one of my favorite typefaces – because it delivers on its promise – it has an instant impact on the reader. But Impact is fast becoming much more than a typeface for me. Impact is becoming the dominant theme in the national gaming narrative. Like the typeface, the impact theme demands attention; however, it is not one of my favorite themes. Take Ohio for example. Even as new casinos … [Read more...]
Gaming companies have lucrative deals operating Indian casinos By Howard Stutz, Las Vegas Business Press • January 26, 2014 New casino development in Las Vegas is on lockdown. Gaming expansion into states beyond recently approved markets is virtually nonexistent. Those are two reasons regional casino giant and M Resort owner Penn National Gaming struck a deal with a San Diego-area Indian tribe to develop a long-stalled casino complex in Southern California. A third reason is simple. Penn National, which has … [Read more...]
Does Gaming hurt the Arts? By Jeffrey Compton • January 26, 2014 In recent months CDC Gaming Reports has run several news stories and one commentary expressing the fear that a casino expansion could hurt a region’s performing arts. Since I have a personal and professional interest in both gaming and the arts (five years ago I wrote a guidebook on American performing and visual arts, and built a related website), I can’t ignore expressions of that fear. To put … [Read more...]
INSIDE GAMING: Casinos in Japan? Bet your last yen on it By Howard Stutz, Las Vegas Review-Journal • January 25, 2014 It’s game on, Japan. Word leaked out this past week that two Nevada casino companies have made inroads with Japanese officials to build a nearly $5 billion hotel-casino in Osaka. Now other gaming operators have their corporate jets pointed toward the east Asia island nation. The only thing missing is legislation authorizing casinos. Analysts and gaming leaders consider it a foregone … [Read more...]
From Saratoga Springs: Thanks, but no thanks By Steve Grandin • January 22, 2014 There are undoubtedly cities in New York that can benefit from a casino. Saratoga Springs, however, is not one of them. In 2013, the State of New York decided that a quick way to fill its fiscal coffers was to get a number of casinos to open, as soon as possible, in the upstate area. With the gambling industry outspending opponents by millions of dollars, a statewide vote authorized the … [Read more...]
Cuomo Does Not Plan to Let any Grass Grow under His Feet By Ken Adams • January 21, 2014 It is budget time in New York and gaming is in the budget. Governor Andrew Cuomo’s budget proposal anticipates casinos opening by January of 2015. There is no time to waste, the state needs the tax money those casinos will generate as soon as possible. Cuomo is not planning on any long delays, stumbles or bloody battles at the ballot box or in the competitive trenches that has marked the … [Read more...]
Buffett’s $1 Billion Bet on NCAA Perfection By Kavitha A. Davidson, Bloomberg View • January 21, 2014 Jan. 21 (Bloomberg) -- Warren Buffett’s company has made a $1 billion bet on something most of us already assume to be true: It’s impossible to pick the perfect bracket for the NCAA men's basketball tournament. Berkshire Hathaway has insured a $1 billion prize by Quicken Loans Inc. that would pay the winner $25 million a year over the next 40 years, or one lump sum of $500 million. It’s by far … [Read more...]
Several gaming companies expected to have a good year By Howard Stutz, Las Vegas Business Press • January 20, 2014 With a new year comes new prognostications by Wall Street on which gaming companies will provide investors the best return in 2014. Not surprisingly, Las Vegas Sands Corp., Wynn Resorts Ltd. and MGM Resorts International lead the pack. The three companies operate in Macau, which produced a record $45.2 billion in gaming revenue in 2013. All three are adding more multibillion-dollar resorts to … [Read more...]
Reflections of a Newly Minted 59-year-old By Jeffrey Compton • January 19, 2014 I am 59 years old today – and could not be more thrilled. And in six months I expect to be telling folks that I am “going on 60” because I like the sound of that. I have never been concerned about how old I am – plus there can be a wonderful feeling of contentment that comes at this age (Maurice Chevalier expressed it best over 50 years ago.) Thanks to the advances in technology (including … [Read more...]
INSIDE GAMING: $5.5 million fine keeps CG (formerly Cantor Gaming) alive By Howard Stutz, Las Vegas Review-Journal • January 18, 2014 There is a reason officials from CG Technology (formerly Cantor Gaming) said they were “glad to have reached a resolution” with Nevada gaming regulators and will pay the largest fine ever leveled against a casino or affiliated company. The Las Vegas-based bookmaker — a subsidiary of Wall Street financial giant Cantor Fitzgerald LP — faced a potential death sentence by the state Gaming Control … [Read more...]
The End of Two Boardwalk Empires By Ken Adams • January 12, 2014 It is being reported that HBO has decided to stop producing Boardwalk Empire after its fifth season. The HBO series was based the book Boardwalk Empire: The Birth, High Times, and Corruption of Atlantic City by Nelson Johnson. It is a story of politics, crime and corruption during Prohibition in Atlantic City. Five seasons is not bad, not great, but not bad. Although the lifecycles of … [Read more...]