BJ21.com Newsletter
November 26, 2008   081126

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Compiled by Al Rogers
 Al@bj21.com


US Casino Bankruptcies Test State Regulatory Oversight Powers


Recent developments in ongoing casino bankruptcy cases have underlined legal experts’ assertions that Chapter 11 processes involving casino companies can present a unique jurisdictional conflict between bankruptcy courts and state gaming authorities.

Colo. casino operator files Ch. 11 bankruptcy -- Tough times hit Cripple Creek's Imperial Gaming. Majestic Star mulls its options.

DENVER - As gambling revenues in Colorado and nationwide continue to plummet, one operator in Cripple Creek has filed bankruptcy while another in Black Hawk is exploring its options.

Web betting is wedge for Big Gaming -- Casino trade group hurrying to nail down its position

After more than a decade of hit-and-miss efforts by individual casino companies and interest groups to develop lobbying strategies, the American Gaming Association — the industry’s premier trade group — is rushing to clarify its position on Internet betting.

How Online Gamblers Unmasked Cheaters


A collaboration by two of the world's most respected news organizations reveals how online poker players suspecting cheating were forced to successfully ferret out the cheaters themselves. That's because managers of the mostly-unregulated $18 billion Internet gambling industry failed to respond to their complaints.

Financial problems hit Resorts Atlantic City, Tropicana 

The worsening economy continues to batter Atlantic City casinos, with Resorts Atlantic City missing a crucial loan payment that could jeopardize the future of Atlantic City's first casino and the Tropicana Casino and Resort laying off 50 supervisors.

NJ Supreme Court ruling clears way for Tropicana bankruptcy auction


ATLANTIC CITY — The New Jersey Supreme Court upheld the state’s decision last December to strip Tropicana Casino and Resort’s former owner of its license and put the troubled gaming hall up for sale. The ruling today removes the last legal impediment holding up the sale. A state-appointed conservator who has been overseeing the casino since Tropicana Entertainment LLC lost its license is planning a bankruptcy auction in coming weeks.

At expo, talk of leaner times replaces bombast


The three-day event, which wrapped up Thursday at the Las Vegas Convention Center, sounded more like a group-therapy session. Amid the economic downturn of a lifetime, it was a chance for industry leaders to commiserate.

Thanks to Green Chip member dogman for submitting the above link.

MGM Mirage chief Lanni needs a lesson in building a truthful resume


Imagine how uncomfortable it would have been if MGM Mirage boss Terry Lanni had been standing before Nevada gaming regulators Thursday urging them to allow Dubai World to invest billions more in the gaming company. Would the Nevada Gaming commissioners have felt compelled to ask Lanni if he fudged about his academic degrees? Or would they have played nice and ignored the Wall Street Journal story questioning discrepancies between his official resumé and his alma mater's records? (Lanni's official biography claimed a master's degree in business administration from the University of Southern California, but university officials said he didn't get one. They even denied he had an honorary degree, as he claimed. Nor could they find evidence he had a bachelor of arts degree in speech as his bio claimed. They did find a 1965 bachelor of science degree in business.)

Cantor seeks to expand scope of games; MGM shuffling deck?

LAS VEGAS - Cantor Gaming’s Lee Amaitis believes his company has found a significant opportunity in the economic storm that is forcing other gaming companies to bring their capital spending down to almost nothing.

Casino players clubs eye non-gaming members

One of the recurring themes at last week’s G2E was that casinos need to step up their marketing efforts in order to maximize their business as patronage has slipped along with the economy.

Kane concerned about impact of Rosemont casino

GENEVA, IL -- Kane County wants to make sure state gaming officials are considering the big picture in awarding the 10th and final riverboat gambling license.

Sports betting may be possible in Delaware

A new governor, more competition from a neighbor and an economic slump may be enough to get Delaware lawmakers to approve sports betting.

Station Casino owners consider cash infusion 

LAS VEGAS - Station Casinos' owners are contemplating putting more of their own money into the company to weather the current economic storm.

Red Flags Fly After Big Buyouts


NEW YORK - Some of the mega-buyouts that private equity shops labored to assemble during the go-go years of the credit boom are coming apart at the seams. These $10 billion-plus deals were usually predicated on expectations that asset prices would rise and debt markets would remain welcoming.

Eldorado ends deal to buy Indiana riverboat casino ...

RENO - Eldorado Resorts pulled out of a $245 million deal to buy an Indiana riverboat casino late last week because the Reno-based gaming resort company could not get a viable financing package, an Eldorado executive said Monday.

... EDITORIAL: Casino Aztar


EVANSVILLE, IN - The nation's faltering economy, especially in regard to the credit crunch, may have had a direct impact on the entertainment business in Evansville.

Harrah's sued over Bahamas resort venture-filing

NEW YORK - Casino firm Harrah's has been accused by its joint venture partner in a $2.6 billion Bahamas resort project of fraud in trying to end their deal to build the resort, according to a court filing.

What is a ‘nonprofit’ casino?

CARSON CITY, NV - According to a recent story by Nevada Appeal business reporter Dave Frank, an unidentified buyer wants to turn the Nugget into a “nonprofit” enterprise designed to benefit local charities. Huh? After more than 45 years in Nevada, including three years with the State Gaming Control Board, this is the first time I’ve heard of a casino that wasn’t in business to make a profit. Of course the Nugget and other local casinos contribute to charities, but profit is the name of their game, and always has been.

$3,000 Las Vegas promotion turns out to be a dud


The promotion letter began, "Looking for the ultimate Vegas getaway? You can always bet on Paris and Bally's!" Except when you can't.

Thunder Valley to scale back planned casino expansion

SACRAMENTO - The Thunder Valley Casino will be scaling back a planned expansion in light of the current economic downturn, a casino spokesman said Tuesday.

Jillian's ends six-year run -- Neonopolis anchor makes way for restaurant amid renewed interest in complex

LAS VEGAS -  Jillian's, a longtime anchor tenant at the Neonopolis mall, has closed to make way for a new restaurant, mall developer Rohit Joshi said Friday.


The Bear Growls


Long-time Las Vegas-based advantage player, casino critic, and frequent BJ21.com contributor LVBear offers his opinions on things that sometimes go wrong in the world of casinos.  Current and past growls can be read and comments posted at LVBear's website, TheBearGrowls.com


Casino-ology  by Bill Zender      Casino-ology provides contrarian solutions to common gaming management issues.  It is must reading for patrons and casino employees.

Bill Zender knows the art of casino management. In addition to having worked in, managed, and owned casinos for decades, Zender has also been an enforcement agent for the Nevada Gaming Control Board, as well as spent time as an advantage player, exploiting the vulnerabilities of casinos from the civilian side of the tables. Today, he travels the globe consulting for the international casino industry.

In Casino-ology, Zender argues against excessive card-counter and shuffle-tracker countermeasures in favor of hand production to increase profits, and concludes that rhythmic dice rollers aren.t the threat they.re made out to be. He details the dangers of customer-service breaches; ill-conceived non-negotiable-chip programs; and past-posting, marked-card, and false-shuffle scams. He addresses player tracking systems, 6-5 payouts for blackjacks, the subtleties of marketing to Asian customers, nuances of the derivative pit games, even the science of turning around a distressed casino.

By challenging long-cherished conventions, Casino-ology provides contrarian and radical, but proven, solutions to common gaming issues.

The price is $39.95 plus shipping (plus sales tax if sent to a Nevada address).  Order Casino-ology by Bill Zender.


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