“Reneging on the promise to Springfield won’t just disappoint the community leadership and those hopeful citizens whose futures might ride on this particular economic development project; going back now will also hurt the efforts of all those who try to market Massachusetts as a state that stands behind its promises to those who want to do business here.” — editorial in The Springfield Republican urging against a repeal of Massachusetts’ casino law.
MGM Resorts International‘s third quarter was “better than expected” if you were J.P. Morgan analyst Joseph Greff and “disappointing” if you are Deutsche Bank‘s Carlo Santarelli. It’s a matter of how MGM performed relative to analyst forecasts. While the Las Vegas Strip properties arrived $42 million below Greff’s prediction, including an $18 million miss on table hold, he cited several extenuating circumstances, including construction disruption at Mandalay Bay and Monte Carlo. Santarelli was unforgiving, although MGM only missed his cash-flow projection by $31 million. He wrote, “unfortunately, the goodwill built up in the Strip margin story likely took a hit with this print. While disruptions were present, including construction and table hold, the result … is rather difficult to ignore.”
Santarelli conceded some praise to MGM for a 6% increase in Continued >>
It’s been eight months since the Pennsylvania Gaming Control Board held suitability hearings for awarding Philadelphia‘s second and final casino license. Those deliberations seem to have receded in the hazy yon of the past. It’s a situation that’s not sitting well with Mayor Michael Nutter, who wants action. “The record’s been closed for some time,” he told the International Association of Gaming Regulators. In response, board member Gregory C. Fajt could promise nothing better than “We’re still deliberating and hopefully, we’ll make a decision soon.” Fajt didn’t define “soon” and, given the PGCB’s idea of a timeline, we’ll be lucky to be alive when D-Day finally occurs. The board only meets twice more this year.
* Further west, having committed $465 million to buy the Meadows racino from Cannery Casino Resorts, REIT Gaming & Leisures Properties Inc. is having buyer’s remorse on a grand scale. It has (somewhat belatedly) decided that Continued >>