Bill would limit definition of gaming devices
National (Indian gaming) - James P. Sweeney, Copley News Service - The Bush administration is preparing legislation that would narrow the definition of Indian gaming devices that mimic slot machines, but are not subject to state controls, limits or fees. The proposal will attempt to draw a "bright line" between bingo-based and other so-called Class 2 machines and conventional slots, which may be operated only under a tribal-state gambling agreement, or compact. "The difference between Class 2 (devices) and . . . slot machines has become incredibly blurred to the point where it is almost impossible to distinguish the two," U.S. Attorney Tom Heffelfinger said in a telephone interview…Heffelfinger, the U.S. attorney for Minnesota, said the legislation will outline a new set of criteria to determine what are Class 2 machines. Players must compete against other players, although an electronic device may be involved. Players also must "actively participate" in the game beyond merely pushing a button or inserting money, he said. The proposed legislation also says that "players cannot win prizes in games based in whole or in part on games that do not constitute Class 2 games." "That means, for example, that you can't start a game as a bingo game and then, if you win the bingo game, all of a sudden you now have a chance to play a slot machine," Heffelfinger said. Finally, the proposed statute says "the device must be readily distinguishable from (a slot machine) based on the manner in which the player participates . . . and the appearance of the game to the player. This can include speed of play and depictions or graphics used in the game." More
State tribes could lose big with proposal
Oklahoma (Indian gaming) - Anthony Thornton, Oklahoman - The Bush administration plans to clarify the difference between Class II and Class III gambling, which could have major ramifications for Oklahoma's burgeoning tribal casino industry. Experts said the plans would force more tribes to install games under a state compact, which could result in millions of dollars in Oklahoma education funding. "Absolutely," said attorney Rick Grellner, who represents several small gaming tribes. "It will have a huge impact." …Twenty-six of Oklahoma's 38 federally recognized American Indian tribes have signed compacts for limited Class III gambling, including video poker and nonhouse-banked card games. Under those agreements, the state receives a portion of their casino revenue. Some Oklahoma tribes, most notably the Osage Nation, have signed compacts but opted not to install the Class III machines to avoid paying the state a share…On compacted games in Oklahoma, tribes pay the state between 2 and 6 percent of the daily net-win, or the amount left in each machine after winners are paid. That money is earmarked for education. A small amount also is set aside from card games. More
More than 45,000 hotel rooms closed
Gulf Coast (Katrina) - Damage to hotels in the Gulf Coast states hit by Hurricane Katrina was far worse than originally projected with nearly 46,000 rooms now unavailable, an industry study group says….As of Sept. 15, Louisiana had 160 closed hotels with 28,481 rooms. There were 93 closed hotels with 13,701 rooms in Mississippi and 33 closed hotels in Alabama with 3,650 rooms for an overall total in the region of 45,832 unavailable rooms, Lodging Econometrics. In a tighter survey of coastal areas, which included eight parishes in Louisiana, three in Mississippi and two in Alabama, Lodging Econometrics said 25,242 affected rooms, or 70% of the ro ms in txe coastal area of Louisiana were out of service; 9,240 rooms or 76% were out in coastal Mississippi; and 3,389 rooms or 34% were closed in coastal Alabama. Among convention-hosting cities, New Orleans had 24,972 rooms, or 70%, closed; Biloxi, Miss. reported 5,646 rooms, or 71%, unavailable; Gulfport, Miss. had 1,987 rooms, or 66%, out; and Mobile, Ala., lost 3,389 rooms, or 34% of that market. More
Governor calls special session
Mississippi (legislation) - Associated Press - Gov. Haley Barbour on Monday called a Sept. 27 special session to deal with issues related to Hurricane Katrina. One item expected to be on the agenda is a proposed change in gaming laws to allow casinos to build on land rather than only over water. Barbour said he hopes the session will be brief. The governor would not say whether he will recommend the Legislature change state gaming laws. Barbour said he was waiting on a recommendation from the Mississippi Gaming Commission before offering any proposal. More
City targets budget gaps
Everything on table, key Daley aide says
Illinois (Chicago) - Gary Washburn, Chicago Tribune - The Daley administration is considering higher taxes and fees on parking, cigarettes and some services to raise $29 million to help close a 2006 budget gap, City Hall sources said. The mayor also plans to make a renewed push for a Chicago casino in the fall session of the state legislature, said aldermen who were briefed Friday by administration officials and who spoke on condition of anonymity. More
Sands Regent's CEO Named Top-Performing CEO
Nevada (Reno) - PRNewswire-FirstCall - The Sands Regent today announced that the Company's CEO, Ferenc Szony, has been honored as the gaming industry's top performing chief executive officer by Keith Kefgen, President of HVS Executive Search, and Stephen Goebel, Managing Director, HVS Executive Search Las Vegas. The CEO award is presented each year to the gaming industry CEO who offers the best value to investors based on a pay-for-performance model designed by Mr. Kefgen. The model compares CEO compensation to such indicators as stock EBITDA to determine the top performing CEO. More
Peppermill to unveil major plan
Nevada (Reno) - Ben Kieckhefer/ Ryan Randazzo, Reno Gazette-Journal - The Peppermill Hotel-Casino this week will announce a $230 million expansion, including a new hotel, convention space and larger gaming floor, officials said. "We're excited to be hosting a press conference on Thursday to announce a $230 million expansion," Peppermill Corporate Director of Advertising and Publicity Kim Stoll said. "At that time, all of the facts and artist renderings will be presented." The south Reno casino sent news conference invitations to various city officials and community leaders, who confirmed receiving them Friday. "They already have all the entitlements, so they're just ready to go," Councilwoman Sharon Zadra said Friday. More
Always room for a casino, say business owners
Montana (Billings) - Dana Moss Pulis, Billings Gazette - Having the distinction of being the first casino in Billings hasn't inflated the ego of its owners. They are doing what they have done best for the last 23 years - opening another casino. The Midas Touch, Billings' latest offering in the casino business, is opening its doors at the end of September…The Ehli Group is a family-owned business that started in 1982 with the opening of the Big B Bingo in its original location at the Grand Avenue Center. Besides offering bingo, the business had 40 keno machines. "We didn't call ourselves a casino, but we did offer machines even before casinos started springing up," said Mark Ehli, president of the Ehli Group. Since then Big B Bingo moved to Alderson Street, and the group opened more casinos and sold them…Ehli said the location is ideal because there are no casinos in the immediate area, with the closest being Lucky Lady in the Costco parking lot. Ehli anticipates serving many customers from the area businesses, noting that employees from EBMS and three area hotels are potential patrons. "The casino business isn't saturated yet," he said. "There always seems to be room for one more." More
Retailer Basking in Mega Millions Glory
New Jersey (lottery) - Winning is good for business, said Yogi Patel, owner of the store that sold the winning $250 million Mega Millions lottery ticket. "Now that I have a winner, business is up 100 percent, really 101 percent," Patel, owner of Leprechaun News in Rutherford, N.J., said Saturday. "I always had a feeling I would have a big winner at my store, and I was right." …Patel, who has owned the store for 14 years, said he has no idea which one of his customers could be the lucky winner. "I sell lots of tickets. Everybody knows me. I can't wait to see who it is, if it's a regular," said Patel, 49. "I'm so proud."…Like Patel, New Jersey state lottery officials Saturday also was waiting for the winner to come forward. The jackpot is the largest single-ticket prize in New Jersey state history. More
State to scrap older video poker machines
Oregon (lottery) - Thousands of Oregon's video poker machines are headed to the recycler, to be replaced by new ones capable of handling the popular new line games. The Oregon Lottery intends to replace all the older terminals by next spring, beginning with 2,300 in October. Another 2,000 machines will meet their fates in early 2006. More
Casino ATM firm steps up
National (stock market) - Reuters - Global Cash Access Holdings Inc. will find out this week if investors are ready to bet on the largest operator of ATMs for casinos in the United States. Its proposed public offering of 9 million shares of common stock worth up to $471.5 million has been well-received on Wall Street, analysts said...The Las Vegas company, which plans to trade on the New York Stock Exchange under the symbol "GCA", is the largest operator of automated teller machines (ATMs) in U.S. casinos. It also provides related systems such as a transaction process that accepts debit cards at slot machines. Global Cash Access counts eight of the top 10 U.S. gaming companies among its clients, including Harrah's Entertainment Inc., Caesars Entertainment Inc. and Trump Hotels & Casinos. More
Online Market Turns Athletes Into Stocks
National (stock market) - Michael Liedtke, Associated Press - Sports fans already invest considerable emotion and angst in professional athletes. Now they can take that obsession a step further, trading on the pros' performance in an online electronic market. If the new Internet venture succeeds, it'll be a whole new ballgame for the gambling-driven pastime of fantasy sports, which already has up to 20 million players. Launching Monday, ProTrade will treat professional athletes like stocks to be bought and sold, initially in a theoretical currency…It's going to take fans to a whole new level of fantasy," predicts Bill Walsh, the former San Francisco 49ers coach and a member of ProTrade's advisory board. …company expects to add the NBA and major league baseball after working out licensing agreements. More
Legal fears raised over gambling listings
International (UK) - Abigail Townsend - One of Wall Street's leading law firms has warned investment banking clients not to back upcoming flotations in the lucrative online gambling sector...lawyers at New York's Skadden Arps Slate Meagher & Flom are understood to have warned clients to steer clear of the craze because of concerns about the legality of such sites in the US. The Department of Justice views online gambling as illegal. Companies such as PartyGaming, which garners 87 per cent of its revenues stateside, get round this by basing themselves offshore, but many commentators believe the US authorities will not allow the status quo to continue. A partner at Skadden Arps, which advises leading investment banks including Merrill Lynch, said he was unable to comment on specific advice that the firm had given to clients. But he added: "The legal situation in the US is pretty clear." More
Online gambling firm to float
International UK) - Nicky Burridge - An investment company which hopes to cash in on the craze for online gambling today announced plans to float on the Alternative Investment Market. Fairground Gaming Holdings plans to build up a portfolio of online casinos, internet bingo and what it dubbed skill-based gaming sites through a series of acquisitions. It claims it will act as a consolidator in what it described as the “fragmented” online gambling sector. Following its listing on Aim the group expects to have around £8 million in cash, and it may look to raise additional money to complete its acquisition program. The group’s chief executive Evan Hoff has extensive experience in the sector, having co-founded ForwardSlash, which launched a number of online casinos including the Gaming Club, the Riverbelle Casino and the Lucky Nuggett. More
Yesterday’s News:
9-16-05:
Legislation to outlaw online gambling suffers setback
National (Internet) - Benjamin Grove, Las Vegas Sun - A senator who has long led a charge to outlaw Internet gambling has suffered another defeat -- for now. Gambling Web sites have flourished in the last decade as Sen. Jon Kyl, R-Ariz., has sought to ban it, exploding from roughly 20 sites 10 years ago to more than 2,000 today, he said…Kyl's legislation aimed to curb Internet gambling by requiring banks and credit card companies to refuse payments to online gambling sites. More
Slot Revenues Suffer From Shorter Calendar, Costlier Gas And Cheaper Games
Connecticut (Indian gaming) - Karen Florin New London Day - Slot machine business was slower at both of the region's casinos last month compared to August 2004, the result, executives said, of a calendar that had one less weekend gaming day, higher gas prices and a different mix of machines on the gaming floor. Foxwoods' slot handle was $853 million, which was 6.1 percent less than last year, while Mohegan Sun's handle declined by 1.6 percent, to $914.5 million. Foxwoods' win dropped .69 percent to $74.1 million and Mohegan Sun won $76.3 million, or 5.4 percent more compared to last August…The lower denomination machines tend to have a higher “hold,” meaning the casino keeps more of the money played into them. The overall hold percentage at Foxwoods was 8.69 percent compared to 8.22 percent last year. Mohegan Sun held 8.35 percent compared to 7.79 percent in August 2004. More
|
