Both Boyd Gaming and Pinnacle Entertainment met with Wall Street analysts this week, everybody being in town for Global Gaming Expo. Boyd CEO Keith Smith and CFO John Hirsberg said they saw an abatement in negative business trends, now confined to specific markets instead of company-wide. Positive trends in the Las Vegas economy and less comping were seen as shoring up business on Boyd’s home turf, although spend-per-player is still 20% off peak levels.
“[M]anagement remains surprised by its ability to continue to extract operating costs from the business,” wrote Deutsche Bank‘s Carlo Santarelli. He added that the company will be investing in more infrastructure and information technology with an eye to even greater cost savings. As for the Atlantic City Massacre’s impact on Borgata business, Continued >>
“It just gives you a dirty feeling, like you want to take a shower.” — Glenn Straub, on the interminable bankruptcy auction for Revel, now adjourned until Sept. 30.
A study by — you guessed — proponents of a racino in Colorado is projecting some hard-to-believe numbers, contingent upon Arapahoe Park being approved for casino gambling in November. They’re predicting $418 million in statewide economic impact, including $114 million in tax revenue. Mind you, the state’s existing casinos have struggled to generate new tax dollars after a 2008 gambling expansion in the mountains. Amendment 68 supporters are also forecasting 2,300 new, direct and indirect jobs stemming from a racino.
When pressed, pollster Thomas Zitt allowed that Arapahoe Park would drain 15% of business off the casinos in mountain cities like Black Hawk. However, the bipartisan Legislative Council projects a Continued >>