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Monday, July 31, 2006
Racino Royale Granted Federal Approval
Racino Royale, Inc. ("RR") has confirmed that the Canadian Pari-Mutuel Agency (CPMA) has granted the company's racing permit. This was the last hurdle RR had to go over before racing could commence at Big Valley Raceway in Craven, Saskatchewan this Sunday, July 23, 2006. Since early June, RR has been working towards insuring that harness racing could commence in Craven by the end of July in order to provide the region's horsemen with five consecutive months of racing. Now, with the support of the Saskatchewan Standardbred Horsemen's Association (SSHA), regulatory approval from both the Saskatchewan Liquor and Gaming Authority and the CPMA, the Big Valley Raceway site in Craven, Saskatchewan will once again feature harness racing. RR announced last month that it had acquired the exclusive rights agreement for a racino development opportunity in Regina, Saskatchewan, with the SSHA. In short measure, the company has been steadily taking steps to secure a foothold in the Saskatchewan racing industry with that goal in mind, however this first step to revive racing in Craven is an indication of RR's overall commitment to harness racing in the region. "We are very excited about opening day this Sunday," said John G. Simmonds, CEO of RR. "While a small location, Craven represents what this industry is all about: A love for harness racing. We're looking to build on that foundation, and this weekend is just the beginning."
Littlefield Corporation (OTCBB:LTFD) announces that Richard S. Chilinski has accepted the position of Chief Financial Officer of Littlefield Corporation effective Monday, July 31, 2006. Rich is an experienced and seasoned financial professional with thirty years of related work experience spanning public accounting, manufacturing, services, consulting and high technology. He has held financial analysis, estimating, strategic planning, controller, chief financial officer and vice president of finance positions in established companies and startups. He has worked for such prestigious companies as Peat Marwick, Bausch & Lomb, IBM and Baker Hughes. He is experienced in public company issues having fairly recently been the Senior Vice President and CFO of a public company with direct experience in taking the company public, SEC reporting, stock options, shareholder communications and investor relations. In addition to the usual expected disciplines of finance, accounting, treasury, budgeting, forecasting, management and regulatory reporting and tax planning, Rich is experienced in information technology, human relations, incentive compensation, mergers, acquisitions, capital transactions and due diligence.
Rich holds a BA from St John Fisher College and an MBA in Finance and Accounting from the William E Simon Graduate School of Business of the University of Rochester. He was formerly a Certified Public Accountant in New York and will become registered as a CPA in Texas as a condition of his employment.
Jeffrey L. Minch, President and Chief Executive Officer of Littlefield Corporation, offered the following comments:
"Rich Chilinski is a seasoned and experienced leader and finance professional who will be a welcome addition to our Company. He is a solid businessman.
He has a wealth of experience which will be valuable to the Company immediately and in the future. He has demonstrated strengths in areas from which the Company will immediately benefit. He also represents a significant addition to the Company's day to day management continuity, capability and depth.
Rich will provide a strong foundation for the Company's continued growth and his ability to perform at a consistently high level will provide certainty at a critical time in the Company's history."
Lasseters Online Online, the first ever online gambling site to be government licensed and regulated, is running a competition where one new player and their companion will win a $15,000 vacation to Australia. Only players who have never previously played at Lasseters Online will qualify for the competition. Existing players however are urged to invite their friends to play at Lasseters.com as the may be the lucky companion to jet off to Australia for the vacation of a lifetime. Lasseters made history seven years ago when they became the first online casino to be licensed and regulated by a recognized land based gambling authority. Today, the casino is well know to be one of the safest places to play casino games online, as it has to comply with the strictest regulatory guidelines of any online gambling site. But this is not the only reason to play at Lasseters. The casino has stuck to its strategy of developing in-house online casino games, unlike most other sites that license a games platform from a third party. The result is a completely unique gambling experience, with some of the best video slots online. Lasseters especially extend an invitation to previously registered users who have not made a deposit, as their is now more incentive than ever to do so. Combine this competition with a five times 100% up to $100 deposit bonus, and there should be little reason for hesitation. The Australian Adventure competition closes on August 31, 2006. Said Andrew Housego, marketing executive at Lasseters Online, "The majority of competitions conducted on the Internet attain many thousands of entries with no requirements for entry, offering all concerned a very remote chance of winning. However, as players are required to make a deposit of $50 or more to qualify for this competition, the number of entrants is restricted to serious players, representing tremendous odds for those who take the opportunity to enter."
To earn your chance to win the Australian Adventure of a Lifetime, simply visit Lasseters, register for cash play and make a deposit of US$50 or more. Terms and Conditions apply and can be viewed at the New Player Promotions page. In addition to this amazing competition, Lasseters also offers its new players a 100% bonus up to US$100 on each of their first 5 deposits.
Jacobs Entertainment, Inc. (JEI), an owner and operator of multiple gaming properties, today announced that Ms. Teri Grandfield has joined JEI as Vice President of Northern Nevada Operations. Ms. Grandfield is an industry veteran and will be responsible for overseeing JEI's three Nevada properties: the Gold Dust West-Reno, the Gold Dust West-Elko and the Pinon Plaza in Carson City, which is JEI's latest acquisition. JEI also announced that Mr. Mike Hachquet has joined the Company as General Manager of the Gold Dust West-Elko. Mr. Hachquet is a long-time Elko resident and brings a great deal of experience in the casino industry. He was formerly with the Red Lion Hotel and Casino in Elko. Additionally, Lynne Keller has accepted the position as General Manager for the Pinon Plaza in Carson City. Ms. Keller, a 30-year industry veteran, was previously General Manager of Gold Dust West-Reno.
On Wednesday, August 2, Caesars Palace will celebrate its 40th anniversary with a toga party at the legendary resort's outdoor Roman Plaza amphitheater. This historical event will be hosted by actress Jenny McCarthy and feature a live performance by Otis Day and the Knights, the band that rocked "Shout" during the toga party scene in National Lampoon's Animal House. Following the musical set, toga-clad partygoers will be invited to an after party at PURE Nightclub. Guests who arrive in a toga* will be granted free admission to both the outdoor concert, sponsored by VEGAS Magazine and Hendrix Electric Vodka, and the after party at PURE. Doors to the outdoor concert open at 7:30pm and PURE will open at 10pm. When Caesars Palace opened its doors on August 5, 1966 the standard of luxury and magnificence for the hotel and casino industry was changed forever. Its opulent Roman-Grecian world of fantasy captured international attention as the first deluxe themed resort casino if its kind. With imported marble statuary, cocktail servers costumed as "goddesses," a dining experience fit for royalty and nightly performances by the world's greatest entertainers, Caesars Palace immediately became the industry standard for the ultimate luxury resort experience. Forty years later, Caesars Palace has expanded to almost five times its original capacity. The 85-acre resort features 3,340 guest rooms and suites, the largest poker room in the city, a world-class health and beauty salon and a 4.5 acre pool and garden complex, two dozen restaurants and the world renowned Forum Shops at Caesars. In March 2003 Caesars Palace opened its 4,100-seat Colosseum spotlighting international performers Celine Dion, Elton John, and Jerry Seinfeld. The Roman Plaza, a 4,000-seat outdoor amphitheatre plays hosts to a variety of outdoor sporting events, concerts and private functions.
Harrah's Entertainment has realized that building a worldwide casino operation is going to play havoc on earnings. The gaming industry's largest casino operator said Thursday its second-quarter earnings were affected by development costs and other factors related to growing a company with both domestic and international interests. Revenue for Harrah's rose 67 percent in the quarter that ended June 30 to $2.47 billion, compared with $1.42 billion a year ago. In the 2005 second quarter, revenue was collected for just 17 days from the casinos Harrah's acquired when it spent $9 billion for Caesars Entertainment. Harrah's said its net income in the quarter was $129 million, or 69 cents a share, up 22 percent from $106 million, or 65 cents a share, in the same period a year ago. When earnings per share were adjusted to account for various costs, the company earned 95 cents a share, up from 86 cents a share a year ago. Analysts polled by Thomson First Call thought Harrah's would earn $1.02 per share in the quarter. Harrah's Chief Financial Officer Charles Atwood said the company bought back and refinanced $750 million in debt during the quarter, which affected its income statement. Harrah's had $18 million in development and master planning expenses in the quarter. A year ago, that figure was $7 million. The lower per-share earnings were also affected by an increase in the number of shares outstanding resulting from stock issued for the Caesars acquisition.
Shares of Harrah's closed at $60.36, down $3.49 or 5.47 percent, on the New York Stock Exchange. On May 10, Harrah's shares were $83.33.
"We believe the sell-off in Harrah's is a knee-jerk reaction to an earnings per share miss," Stifel, Nicolaus Capital Markets gaming analyst Steven Wieczynski said in a note to investors. "On a relative basis, we believe Harrah's shares are now undervalued and we would accumulate shares at this level, all else being equal."
Harrah's report, which followed earnings announced this week by Station Casinos and Boyd Gaming Corp., caused Goldman Sachs gaming analyst Steven Kent to issue a cautious note about the gaming industry.
"As the third major operator to disappoint this quarter, it is looking increasingly likely that it may be a difficult quarter across the board for major U.S. gaming operators," Kent wrote in a note to investors.
Harrah's Chairman Gary Loveman, however, said the company's 11 casinos in Las Vegas and Atlantic City had a robust quarter.
In Las Vegas, Harrah's casinos, including the five casinos acquired in the past year, had revenue of $803.3 million, a 154.1 percent increase from $316.1 million a year ago. Revenue in the quarter from Harrah's Atlantic City casinos, two of which were acquired from Caesars, was $521 million, up 101.2 percent from $259 million a year ago.
In a conference call with analysts, Harrah's executives said the recent 72-hour closure of Atlantic City's casinos by the state over budgetary matters will cost the company between 4 cents and 6 cents per share when third-quarter revenue is announced.
"Our healthy, broad-based growth in the second quarter demonstrates that our overall operations remain strong," Loveman said.
Loveman said integrating the Caesars' properties into Harrah's corporate structure brought $118 million in cost savings over the first year of ownership. The company had originally predicted it would realize $80 million in saving after buying Caesars.
Loveman cautioned investors that master-planning for future Harrah's growth will have some implications.
"During the quarter we incurred higher project development and master planning costs," Loveman said. Harrah's is working on development opportunities domestically in Rhode Island and overseas in the Bahamas, Spain and Slovenia.
Harrah's has three days to decide if it will bid on a second gaming site in Singapore. The company lost a bid for the city-state's first casino site in the downtown Marina Bay district but is still exploring its options for Sentosa Island with its Singapore-based partner, Keppel Land.
"We're still evaluating our position there and we have a few more days to decide," Atwood said. "We figure we'll use all those days to make a decision."
Atwood said Harrah's would still like to expand to Macau, the Chinese gaming enclave where Las Vegas Sands, Wynn Resorts and MGM Mirage are building large hotel-casinos.
The company's main development focus domestically, Atwood said, will be master-planning its real estate holdings in Las Vegas, Atlantic City and Biloxi, Miss.
In Las Vegas, Harrah's has 130 acres of land on the east side of the Strip, which includes the Imperial Palace, Flamingo, Harrah's Las Vegas, Bally's, Paris Las Vegas and several nongaming parcels. Atwood said the company is working on a master plan for the land that would involve an overall strategy where customers could easily visit all of Harrah's casinos.
"We want to remove all the physical barriers," Atwood said. "We look at Las Vegas from an overall picture, that we offer people a comprehensive experience at many of our properties."
This week's announcement by Boyd Gaming that Coast Casinos founder Michael Gaughan would be leaving the company and acquiring the South Coast fueled some speculation that Harrah's would try to purchase the Barbary Coast, a former Coast Casinos property now owned by Boyd Gaming.
The small Barbary Coast sits at the corner of Flamingo Road and the Strip, in the heart of Harrah's casino empire.
"We aren't shy about our desire for the Barbary," Atwood said.
When poker's ultimate champion is crowned on Aug. 10, the 2006 version of the World Series of Poker will have broken every conceivable record since the tournament was developed 37 years ago in a smoky downtown poker room at Binion's Horseshoe. In the following months, Jeffrey Pollock will be busy planning to break all those marks again in 2007. But the other goal for Pollack, commissioner of the Harrah's Entertainment-owned World Series of Poker, is to make the 6-week-long event at the Rio more accommodating to the legions of poker-viewing fans. "I think we can do a better job of elevating the quality of the spectator experience by making the tournament room more user friendly," said Pollack, who is also Harrah's vice president of sports and entertainment marketing. The attendance at professional poker's signature event will see a marketable increase starting today. The opening round of the $10,000 buy-in No-limit Texas Hold'em World Championship event will kick off at noon.
Through Monday, up to 2,000 players a day will play until 800 remain after each session. On Tuesday and Wednesday, the 3,200 surviving players will compete until 1,400 are left.
After a one-day break, the 1,400 remaining competitors will play on a daily basis beginning Aug. 4 until nine remain for the final table.
Two weeks after it all begins, the ultimate champion will take home at least $10.5 million, a figure that will increase as the number of tournament entries grows.
Harrah's is anticipating close to 8,000 entries in the world championship event. As of Thursday afternoon, more than 7,500 players had signed up to participate.
The Rio's makeshift tournament poker room in its convention center can accommodate up to 2,000 players per session, which is the reason for the four-day opening round.
Without a card having been dealt in the championship event, this year's World Series of Poker has already rewritten the record book.
With 38 of the planned 45 events already completed, almost 36,000 players have competed, topping the more than 32,000 that participated in all 45 events last year. In 2005, a record $106 million was paid out in prize money. So far, $73 million in prize money has been awarded with seven events left to be played. As of Thursday, the main event had a prize pool of $72 million.
The main event is already the tournament's largest field ever. Last year, 5,619 players entered and each of the final nine players won at least $1 million. Australian Joseph Hachem captured a record $7.5 million for his championship run, a figure already certain to be eclipsed.
"That's really kind of mind-boggling when you think about it," said Hachem, who is planning to try and win a second straight world poker championship, although he knows the odds are long.
"I'm a realist. With 8,000 players, I know the field is full of land mines," Hachem said. "When you're the champion, people are always gunning for you."
While the main event will draw a crowd, the Rio's four-day Gaming Life Expo, adjacent to the World Series of Poker tournament room, is also expected to attract gambling fans.
Poker patrons can visit 235 booths and 23,000 square feet of retail that includes poker products, apparel, jewelry, and other items. The expo is free and open to the public, age 21 and over.
"This is my first time going through the World Series of Poker," said Pollack, who joined Harrah's at the conclusion of last year's event. Pollack had previously spent five years in a marketing role with auto racing giant NASCAR.
"The World Series of Poker is a charmed, rich and colorful event," Pollack said. "The headlines this year have had some wonderful stories."
The tournament began at the end of June and the games have produced several history-making moments:
-1989 world poker champion Phil Hellmuth won his 10th bracelet, matching Doyle Brunson and Johnny Chan for the most World Series event wins in the tournament's history.
-21-year-old University of California, Santa Barbara film student Jeff Madsen became the youngest person to win a bracelet at the World Series of Poker, when he captured a $2,000 buy-in No-limit Texas Hold'em event. About a week later, he won a second bracelet, taking first place in a $5,000 buy-in Short-handed No-limit Texas Hold'em event.
Madsen, who made three final tables in the tournament for two first place finishes and a third place win, will return to college with more than $1.4 million in winnings.
- 80-year-old Kuei Chi Chang, who had never played tournament poker prior until this year's World Series of Poker, finished in the money twice in a matter of days. The Las Vegas resident finished 52nd out of 1,068 players in one event and 42nd out of 415 in another.
"What's happened so far proves the fact that for an amateur player, dreams can come true, and for a poker professional, you can make history," Pollack said.
LiveHive Systems today announced that Skybook is enhancing its current in-game betting offering with the LiveHive NanoGaming Solution in time for the 2006 National Football League (NFL) season. Last season, Skybook rolled out a competitive in-game betting product to its customers and found that bettors were thoroughly captivated by the ability to wager on every play. By upgrading to the LiveHive solution, Skybook will be launching the next generation of NanoGaming that provides faster odds generation and longer betting windows with no software downloads required, resulting in a better overall wagering experience. "At Skybook we quickly realized the power of in-game betting during last year's NFL season and thoroughly believe that NanoGaming is the next phase in sports wagering," said Keith Anderson, General Manager, Skybook. "The LiveHive NanoGaming Solution is the only system that can manage the complexities associated with instant odds generation, short betting windows and over 400 betting opportunities per game."
The LiveHive NanoGaming Solution is a complete turnkey system that enables online sportsbooks to offer smaller and frequent "NanoWagering" opportunities to their customers as the action is taking place during any live sporting event, reality TV show, or live broadcast such as award shows or elections. Online sportsbooks are deploying the product now for the NFL season. NCAA Football, NCAA and NBA Basketball, European Soccer, ATP Tennis, and Major League Baseball games will be offered over the coming months.
This spring, customers enjoyed placing NanoWagers during the Survivor reality TV series. This year, NanoGaming will be offered on a number of other Reality TV programs including: American Idol, The Apprentice, Big Brother, and The Bachelor.
HivePoint, a wholly owned subsidiary of LiveHive Systems will be launching its Speed of Sport website, a NanoGaming play for fun site in time for the NFL preseason. Says Dave Bullock, President, LiveHive Systems, "Speed of Sport provides sports enthusiasts with a fun, free way to play along as the action unfolds."
Littlefield Corporation announces that Michael J. Lindley has accepted the position of Senior Vice President - Director of Capital Transactions. He will assume his new duties in mid-August. In this position, Mike will be directly responsible for acquisitions, capital transactions related to raising debt and equity for acquisitions and institutional investor relations. Cecil Whitmore, Financial Analyst, will continue to oversee investor relations for the Company's "retail" shareholders. These duties will entail identifying current bingo hall owners in targeted states, establishing contact and communicating the Company's acquisition strategy. Mike will oversee the acquisition process including coordinating due diligence efforts. He will also be responsible for communicating the Company's acquisition strategy to likely sources of project and balance sheet financing in support of acquisitions. In addition, he will be responsible for communicating the Company's story to current and prospective institutional shareholders in particular micro/small cap mutual funds and hedge funds. Lindley is well-qualified for this new position having worked on Wall Street for Merrill Lynch in investment banking and having worked for a number of years in a similar position (with Jeff Minch who was the President and CEO of that company) in the commercial real estate business. Most recently Mike has been in a similar position with a public company in the advertising specialty industry.
Mike was the President and Chairman of a private company employing a novel technology driven strategy in the advertising specialty business. Most recently, he has been involved in merchant and investment banking with Austin-based Focus Strategies.
Lindley, 41, brings a wealth of acquisitions, capital transactions, investment banking and operational experience to his new position. He and Jeff Minch worked together for a number of years in the real estate business.
Lindley is a graduate of the University of Texas and holds a bachelors degree in Finance.
Jeffrey L. Minch, President and Chief Executive Officer of Littlefield Corporation, offered the following comments:
"Mike Lindley is a smart, hardworking professional who will invigorate our acquisition program. His experience and the Company's current portfolio of acquisition opportunities will result in a more rapid identification, negotiation and closing of suitable acquisitions.
We enjoyed an excellent and profitable working relationship in the past and I am confident that he will be a great addition to our team providing energy, expertise and enthusiasm at a critical time in the Company's history.
His investment banking background and knowledge of the investment business will be a valuable addition to our team.
His experience as a President and CEO will provide additional management depth to the Company."
Screw the white picket fence, forget about the little house in the country, and leave the 2.5 kids at home - winning the World Series of Poker Main Event is officially the new American Dream and if you're going to take home the $10 million, you better leave soon. Honestly, I haven't been this excited about a sporting event since the Red Sox won the World Series in 2004. This year's Main Event is going to be something special and just thinking about it makes me giddy. My only regret leading up to the largest land-based poker tournament ever played - I wish I had been even close to good enough at poker to qualify for the thing. Seeing that a.) It's too late for me to qualify, and b.) You don't really care to hear my woeful lamenting or bad-beat stories, let me give you a few insightful nuggets about how to enjoy poker's biggest week.
1.) Throw a Big Old Party
The problem with the Superbowl is that it only happens once a year. In fact, all the major party events - New Year's Eve, Cinco de Mayo, July 4th and General Ulysses S. Grant's birthday - happen only once a year. That's why there's so many of these things, because people like to party. So why not throw the Main Event final table in there? The thing is on pay-per-view. Order it, grab a keg, invite some friends over, and have a little home game party. Your neighbors will thank you.
2.) Pick More than One Player to Cheer For
This sport isn't like baseball or football, you're not a bad person if you cheer for more than one "team." That has it advantages. Let's say you're stuck cheering for a team like the Chicago Cubs. Year after year, your loyalty is rewarded with heartbreak and misery. In poker, it's an acceptable "man law" to have a couple favorites and in all honesty, the volatility of tournament poker makes it likely that your favorite player is no longer involved when the final table comes around. My suggestion: Cheer for a guy named Phil. Chances are someone with that name will go deep.
3.) Follow the Action on the Internet
If you're like most poker fans, the Internet has cost you buckets of money. Therefore, you might as well take advantage of that medium in some way, mainly through the variety of sites offering live updates, feature stories, and even play-by-play Podcasts. Not that I'm biased, but Casino City has the best World Series of Poker feature coverage, including live reporting on the first day and each of the last four days.
The reason the 2006 WSOP Main Event is so appealing is size of the tournament and the massive amount of money in the prize pool. While many poker aficionados claim that thousands of players are bad for poker because they increase the amount of luck required; I completely disagree.
I say the bigger the tournament, the better. It's American. Supersize me, XXXL, presidents wearing 10-gallon cowboy hats - we like things big here in the states so make the field 10,000 people and we'll all be happy.
There was a time when televised poker was one of those shows where you'd be flipping by the channel and think to yourself.this might be worth watching. Now, it's simply must-see-TV.
Fortunately, I'll be at the actual event covering each exciting moment live for Casino City Press (HAHA your job sucks), but if I wasn't going to be in Vegas, you bet your last chip I'd be paying whatever it costs to see the final table live on pay-per-view.
No, ESPN is not paying me to say this. I'm serious. I believe the World Series of Poker Main Event has taken on the significance of the Superbowl, the World Cup, or even the United State Curling Championship.this thing's going to be huge.
Here's what it's going to look like.
1.) Around 8,000 players will compete for the WSOP No-Limit Hold'em World Championship bracelet. There are so many people clamoring to get in this thing, they may seat up to 500 alternates per day.
2.) The event will start with four "heats." Each day, WSOP officials will seat 2,000-2,500 people and play until only 800 people remain. Once it's down to 2400 players, WSOP officials will hold another two heats, this time with 1600 players each day, played down to 700. From there the players will combine into one field and play down to a winner.
3.) Every professional you've ever heard of will be playing in this one, plus a whole bunch of great players you've never seen before.
4.) Phil Hellmuth predicts around 500 competitors will be under the age of 24, meaning more than 1/8 of the field will have a chance to break his record of the "youngest player to ever win the Main Event." It remains to be seen if Hellmuth is correct, but either way, this promises to be one of the youngest fields in recent memory.
5.) The final table will air on pay-per-view August 10th at 12 p.m. PST. Additionally, Phil Hellmuth will be hosting a radio broadcast live from the final table. It should be a very interesting show, especially if he makes the final table.
Electronic Game Card, Inc. (OTCBB: EGMI), the creator of the Electronic GameCard, notes the positive press comments on June 25th 06 regarding Kansas Lottery's re-order of its battery-powered Super 7's game and is pleased to confirm it is supplying the Electronic GameCards to Kansas Lottery through its joint venture with Scientific Games Corp. According to the reports the battery-powered "Super 7's" instant-winner game has been "flying off the shelves," with the game "approaching sellout after just five weeks of retail sales". As a result, Kansas Lottery has made a full re-order. Kansas Lottery Executive Director Ed Van Petten was reported as saying: "We anticipated a positive response to the game, but the sales and positive feedback from our players have gone beyond our expectations." Kansas is the second US state lottery to introduce an electronic GameCard based game using the Company's products under the joint venture with Scientific Games Corp. In June, it began statewide sale of its first 120,000 Super 7 Electronic GameCard game.
"Many lotteries have been seeking a new vehicle to allow them to push their retail price points for instant tickets above $5 or $10. The Electronic GameCard has proven to be that vehicle" says Daniel Kane, Senior Vice-President of EGC. "Examination of the player response certainly points to a solid player acceptance of both real extended play and the perceived value of the EGC product. Other lotteries can rest easier and order with confidence now that the GameCards have proven themselves in two jurisdictions."
Electronic Game Card is also pleased to confirm that it has made its first sales of electronic GameCards for use in commercial promotions to the MGM Grand Casino in Detroit and to the native American Santa Ana Star Casino north of Albuquqerque in New Mexico.
Nevada's gaming companies probably won't become ensnared in Wall Street's latest scandal involving stock options because of the heavy and transparent regulation they are subjected to by state regulators, industry officials and experts speaking on background said. Executives for major gaming companies all declined to comment about the possibility of their companies coming under scrutiny for possible backdating or spring-loading of stock option grants, but the head of the state's Gaming Control Board said his agency is not aware of any such practices in the gaming industry. The executive director of a nonprofit research organization agreed that the industry's argument makes intuitive sense, but noted there is no data to corroborate it. With 10,000 publicly traded companies in the United States and only a few dozen under active investigation so far, the apparent innocence of gaming firms could be a statistical coincidence, said Corey Rosen of the National Center for Employee Ownership.
The Securities and Exchange Commission is examining whether companies have timed granting stock options to good and bad corporate news to help boost executives' compensation. Most of its interest has been aimed at the technology industry, which generally uses stock options more heavily to compensate its executives and employees than other industries.
Dennis Neilander, chairman of the Nevada Gaming Control Board, said state regulators are not aware of any federal investigations into gaming companies' stock option practices.
To date, Nevada officials have not been notified by the SEC or the U.S. Department of Justice of any such on-going investigations, Neilander said.
In some instances, the SEC would contact Nevada regulators and ask for their assistance with such an investigation, he said.
State gaming regulators also would be notified whenever the SEC was ready to wrap up a criminal or civil investigation involving gaming licensees, he said.
Any conviction or plea agreement involving stock option grants would be grounds for revoking the license of a gaming operator, Neilander said.
A fraud conviction involving options grants also could result in lengthy prison terms and multimillion-dollar fines, gaming officials said.
The recent federal investigations have centered on companies that have backdated their options to periods when their companies' stock prices were low and likely to increase.
But an SEC spokesman also confirmed that the agency has been looking into possible instances of so-called spring-loading, when companies schedule an option grant ahead of expected good news or delay it until after it discloses business setbacks that are likely to send shares lower.
There are also cases of bear options, when companies issue options after they know bad news is about to come out, confident in the knowledge stock prices will subsequently increase.
Amid allegations of financial abuses involving backdated stock options, the SEC issued new rules Wednesday, requiring public companies to publish additional information detailing their top executives' total compensation.
They will also be required to show the values of any options at the time they are granted.
SEC Chairman Christopher Cox said in a statement that options are a legitimate form of compensation but stressed that investors need a clear picture of executives' pay.
Cox has said in public statements his agency is very interested in both kinds of options abuse, but he acknowledged that it could be difficult to prove an improper connection between the timing of news and option grants.
In both cases, the idea is to increase the value of the option to the recipient in a way that is not evident to the board of directors, shareholders, workers or the public.
Sarbanes-Oxley, the corporate law enacted in the wake of Enron and other financial scandals, was supposed to clean up this kind of conduct.
But Rosen said corporate finance is following the map of campaign finance.
"The law only added incentives to find other ways around (standards of ethical conduct)," he said.
"The problem is we'll fix this, or some people will think it's fixed, and (companies) will just find another way around it," Rosen said.
Rosen said so far this year, about 60 companies have been tagged in investigations by the SEC or federal prosecutors for their options grants.
He said most of these are high-tech companies, a industry in which stock options are favored as way to motivate executives and reward them for a company's success.
The investigations have sparked a flurry of shareholder lawsuits, but none yet in Nevada, gaming officials said.
Cash Systems, Inc., a provider of cash access solutions for the gaming industry, announced today that it has entered the Chickasaw Nation's newest gaming facility, Riverwind Casino. Cash Systems provides the casino with a complete line of cash access services including the all-in-1 atm, credit card cash advance, debit card cash advance and check cashing. Riverwind Casino, located in Norman, Oklahoma, opened on July 17, 2006 and includes 2,300 electronic gaming devices and 50 table games throughout 219,000 square feet of space. Riverwind Casino is one of 15 gaming centers owned and operated by the Chickasaw Nation. Michael Rumbolz, Chairman and Chief Executive Officer of Cash Systems, said "Riverwind Casino is a beautiful facility that will further elevate the gaming market in Oklahoma. Today's announcement reflects our commitment and dedication to product innovation and customer service, which continues to strengthen our relationships with important customers like the Chickasaw Nation."
As reported by the Miami Herald: "A beauty store and a restaurant at the Seminole Hard Rock Hotel & Casino complex near Hollywood are battling ugly mold problems -- so severe that seven of the boutique's employees have gotten sick. "The beauty store, The Body Shop, shut its doors for renovations July 5. "The restaurant, Tequila Ranch, whose kitchen shares the wall where the Body Shop has its ceiling-to-floor mold problem, closed for renovations on July 17. "Nance D'Agostino, assistant manager of The Body Shop, which sells natural skin and bath products, said that she and six other employees have become sick from the mold the store has had since March 2005. "Neglect and, later, improper cleaning treatments, just made the problem worse, she said. ".Seminole Paradise workers broke into the back wall of the store this spring and unearthed a grisly sight, D'Agostino said. ".Michael Bloom, president of the Seminole Hard Rock Hotel & Casino, said there is no evidence of mold anywhere else in the complex..."
As reported by the Independent: "The Economic Development Committee and the Intergovernmental Relations Committee approved a Navajo Nation position statement Monday calling for defeat of House bill 4893, which would restrict off-reservation gaming. "The statement was to be presented to Congress after gaining IGR approval. "Navajo Nation Council Speaker Lawrence T. Morgan said, 'H.R. 4893 is the bill that proposes to amend Section 20 of the Indian Gaming Regulatory Act. Section 20 deals with land in trust for off-reservation gaming. The Navajo Nation's proposed statement is in general opposition to the specific point of the bill.' ".According to the position statement, the Navajo Nation has carefully monitored current congressional efforts to amend the IGRA 'and hereby voices its opposition to one provision of H.R. 4893.'."
As reported by the Times-Mail: "The deeper Indiana gets into the gambling business, the more it will need top-notch security officers in casinos. "Gov. Mitch Daniels has taken a good first step in taking Indiana State Police troopers out of the gambling houses and putting them back into communities and on highways, where they best serve their fundamental roles. "The second step - filling slots for security officers who work for the Indiana Gaming Commission - is well under way. "...Indiana's state police officers have earned a reputation for integrity, no matter whether they are patrolling highways or working in casinos. The new force, working under the gaming commission, is on the right start to earn that same level of respect.
As reported by Reuters: "A bill to outlaw most forms of Internet gambling appears unlikely to win U.S. Senate passage before senators begin a month-long recess on August 4, two Republican leadership aides said on Tuesday. "They said backers of the legislation were trying to build support for it and resolve differences as the Senate focuses on other legislative matters and gets ready for a summer break. "The bill was not among the priorities outlined by Senate Majority Leader Bill Frist, a Tennessee Republican, during a session with reporters on Tuesday in which he laid out measures he hopes to wrap up before the August vacation. ".Backers of the legislation had hoped to swiftly push it through the Senate this month after the U.S. arrest of David Carruthers, the former chief executive of U.K.-listed BETonSPORTS, on charges of racketeering and conspiracy."
As reported by the Arizona Republic: "An Indian gaming reform bill sponsored by Sen. John McCain, R-Ariz., that would bar tribes from establishing casinos off of their reservations has hit a snag, with more than a half-dozen senators putting a "hold" on the legislation. "McCain's bill (SB 2078) was a response to the scandals involving convicted former lobbyist Jack Abramoff's nefarious dealings with tribes. The proposed legislation addresses instances in which tribes work with developers to locate casinos off ancestral lands, where developers would otherwise be restricted from developing casinos. "The Senate Indian Affairs Committee, headed by McCain, already has approved the legislation. But other senators, some anonymously, are now seeking to block the bill, which would impose the strictest regulations on Indian gaming since Congress approved the 1988 Indian Gaming Regulatory Act. That act opened the door to the flood of tribal casinos. "McCain needs to find 60 Senate votes to overcome the opposition. That would procedurally release the bill from the holds placed by senators trying to block it. ".Only four tribes nationally have off-reservation casinos. But the exemption would protect more than 44 off-reservation applications filed prior to the deadline, including three by Arizona-based Indian tribes."
As reported by the U.K. Telegraph: "Internet gambling company BetonSports has removed David Carruthers from his job as chief executive following his arrest in the United States on charges related to an alleged racketeering conspiracy. "The company said that yesterday 'the contract under which David Carruthers acted as CEO of the company was terminated'. ".BetonSports said: 'Clearly while he remains in the custody of the US Government he is unable to perform his duties. Further the company has been unable to speak directly with Mr Carruthers.' "Mr Carruthers, BetonSports founder Gary Kaplan and nine other former executives of the online betting company have been charged with racketeering conspiracy, transmission of wagers, mail fraud, tax evasion and other charges in a 22-count indictment."
As reported by the Providence Business News: "The Town of Johnston and its prospective casino partner, Ajax Gaming Ventures LLC, are the latest parties to seek to block a November statewide referendum on the competing West Warwick-Narragansett Indian Tribe casino proposal. "They filed a lawsuit late Friday in U.S. District Court, Providence, asking the court 'to restrain the [R.I.] Secretary of State from placing on the statewide ballot . the Resolution passed by the R.I. General Assembly for a Casino in West Warwick to be owned and operated by the Narragansett Indian Tribe and its 'chosen partner.' ' ".Their July 21 complaint alleges that the proposed amendment conflicts with the U.S. Constitution, violating the Fourteenth Amendment right to equal protection under the law and the First Amendment right to participate in the political process."
At the World Series of Poker tournament at the Rio, operators of Internet gambling sites are hosting swank hospitality suites to promote online poker games. Potential customers are invited to learn the ropes by playing free games where no money changes hands. But promotions can no longer be found for online sports betting, which is being targeted by the U.S. government because it is illegal in this country. So goes the convoluted, controversial business of Internet gambling. The country's biggest Internet gambling conference was supposed to have started Sunday as a welcome back of sorts for the man who has become the industry's public face. But Calvin Ayre, the only man to appear on the cover of Forbes' "Billionaires" issue and in People's "Hottest Bachelors" issue in the same year, won't be posing with leggy models or mixing with celebrities as planned at Wynn Las Vegas. Ayre is founder and chief executive of Bodog.com, an Internet casino and sports book located in Costa Rica that has become one of the most advertised online betting operations in the United States. Ayre canceled his conference after the arrest last weekend of online sports book operator David Carruthers at a Texas airport. Carruthers runs BetonSports PLC, a company that launched a successful public stock offering in London in 2004 and owns several online sports books and casinos.
Insiders say the action is more evidence of a growing divide between the flourishing world of online poker and its black sheep cousin, sports betting - an activity with strong roots in organized crime.
The Department of Justice says it doesn't distinguish between types of Internet gambling. It's all illegal, the government says, under the federal Wire Act - a rule designed to combat Mafia-run bookmaking operations in the 1960s.
Internet casinos and poker sites are different from their sports-betting counterparts, some legal experts say.
At least two courts have upheld the position that sports betting is illegal based on the Wire Act, the primary federal rule on gambling. But one of those decisions also said the Wire Act applies to sports betting and not other forms of gambling.
That 5th Circuit Court decision in 2002 is one of the chief reasons that online poker sites and advocates are breathing easy even after the surprise arrest of Carruthers on 22 counts, including violation of the Wire Act.
The Toronto-based Interactive Gaming Council, the biggest trade group for online casinos, about three years ago dropped members who took sports bets from Americans. The trigger was a bill moving through Congress similar to the Internet gambling prohibition that recently passed the House of Representatives and now faces scrutiny in the Senate.
Even if the Justice Department doesn't end up targeting poker-only sites, poker advocates say the BetonSports indictment is a disturbing development in a libertarian-minded industry that generally dislikes government intrusion.
Online poker players in Nevada already are breaking the law and getting away with it. Nevada law prohibits the accepting and placing of bets with operators that aren't licensed here. While offshore casinos would argue they aren't based in Nevada or processing bets here, Nevada regulators disagree.
State officials are reluctant to prosecute offshore companies - a monumental task that's viewed as the job of the federal government - nor do they have the stomach to prosecute individual poker players.
Several sites, including Bodog.com and ParadisePoker.com, are in the complicated situation of owning online sports books in addition to their Web-based casino and poker rooms.
Ayre started Bodog.com as a sports betting site in 2000. The site has ballooned into a major poker and casino game enterprise.
The Canadian was feeling confident at last year's convention, saying his business isn't subject to U.S. regulation and is licensed and regulated in Costa Rica and the United Kingdom, which is developing online betting rules.
His fearless attitude remains intact even as he called off his event and jumped on a plane to Asia. (His philanthropic foundation is setting up a sanctuary in Vietnam to protect bears from the underground practice of farming bile from bears' livers - one of several far-flung charitable causes he is pursuing .)
"The actions taken by the authorities (against BetonSports) have nothing to do with our organization; we are simply acting prudently for all concerned," Ayre said in a statement.
Bodog canceled the event after getting flooded with calls from concerned conference attendees after the Carruthers indictment, he said.
Ayre is moving the conference abroad but plans to continue hosting charity events in the United States, which in years past have included celebrity-studded parties in Hollywood and Hawaii.
One legal expert says he would be wise to stay out of the country for the foreseeable future.
"I think the liability (for sports book operators) is open and shut," said Joseph Kelly, a law professor and Internet gambling expert at State University of New York at Buffalo and a speaker at last year's Bodog conference.
Meanwhile, Bodog's hospitality lounge - which promotes the company's poker site and makes no mention of sports betting - is open and ready for entertaining at the Rio. So is the lounge for ParadisePoker.com, a site owned by a publicly traded company in London that also runs a sports betting operation here.
An after-hours party - a highlight of the Internet gambling conference - will still go forward at the Venetian's Tao nightclub Tuesday, with appearances by television celebrities and singer Vince Neil of the band Motley Crue.
As online poker's estimated 23 million-player base continues to grow, the Poker Players Alliance, a Las Vegas-based lobbying group that formed a few months ago with the primary purpose of combating an online betting ban under way in Congress, is gaining membership and some measure of respect.
The alliance claims more than 40,000 members and to be attracting hundreds more since the House of Representatives passed an Internet gambling prohibition two weeks ago aimed at capturing all casino games, including online poker, under the Wire Act's net.
"Just putting the word 'Internet' in front of poker shouldn't make the game or people behind it suspect," said Michael Bolcerek, an amateur player and president of the alliance. "A lot of (legislators) will privately agree with you, but publicly will take a political stand."
Jeff Simpson Sees Dangerous Trend in Nevada's Inaction on Growing Online Action
Nevada gaming regulators need to get tough, in a hurry. The state's Gaming Control Board takes great pride in being strict enforcers of the rules that govern Nevada gambling. And they are - for the most part. But the meteoric growth of the poker business has blinded the gaming industry's cops, and they seem unable to deal with the new realities that have accompanied the rise of Internet poker. Playing poker online for money is illegal in Nevada, according to state law, and the federal government says it is illegal everywhere in the United States, a stance the online poker business hopes the courts will overturn. Nevada gaming regulators originally took a tough stand against Internet poker. They forced prospective gaming license applicants to sell their ownership stakes in online casinos. They prohibited poker tournaments in state casinos from licensing online poker rooms to conduct official satellite tournaments that send winners to play in Nevada events. They did so because almost every top Web poker room accepts bets from the United States, including Nevada. Regulators considered the poker Web sites to be lawbreakers. That was when the online poker business was still relatively small. But after Tennessee accountant Chris Moneymaker parlayed his $40 PokerStars satellite victory into a (non-officially sanctioned) entry into the 2003 World Series of Poker championship event at Binion's Horseshoe and took down the top prize of $2.5 million, the online business exploded. Online poker sites ran countless commercials on the dozens of hours of televised poker shows available each week.
The revenue stream fueled more poker TV shows. With Moneymaker's win and the TV exposure, Web poker boomed, as did revenue in Las Vegas poker rooms and the tournaments they held.
The World Series of Poker championship event drew 839 entries in 2003, a number that jumped to 2,576 in 2004, 5,519 last year and is expected to reach 8,000 or more this year.
Those skyrocketing numbers have been driven by online sites.
One week ago PokerStars held a single online satellite tournament that will send an incredible 234 players into this year's WSOP $10,000-entry championship event. Dozens of other sites will send thousands more entrants.
What I find astonishing is that the Gaming Control Board allows the properties hosting major poker events to ally themselves so closely with poker Web sites that invite players to break the law.
At the WSOP, now under way at the Rio, Harrah's sold official hospitality rooms just steps away from the poker competition to several online poker rooms: Doyle's Room, Bodog and Ultimatebet. Other sites rent luxurious suites at the host hotel, the Rio.
. . .
From the felt tops of the WSOP poker tables, which feature a PartyPoker logo, to World Series media director Nolan Dalla, also a top spokesman for PokerStars, the incestuous relationship between legal Nevada casino poker and illegal online poker has never been clearer.
Harrah's can get away with the close partnerships because the online operators use their Web sites' "dot net" suffix, meaning that they call themselves by the names of their "educational" sister sites that offer free play instead of poker for money.
Ultimatebet.com, where you can bet, with a wink becomes Ultimatebet.net, where you can't. So Harrah's isn't technically partnering with illegal operators, and regulators aren't technically allowing a rule-breaking partnership.
Control Board Chairman Dennis Neilander says the distinction between the dot-coms and the dot-nets matters and that regulators don't see a problem with the dot-net marketing at the WSOP.
He's wrong. The dot-net distinction shouldn't make a difference. Nevada casino operators shouldn't be partnering with illegal online casino operators - or their shadow sites.
It's time for Nevada regulators to say enough is enough and prove they still have the backbone to stand up to the big money of online casinos.
The World's first government licensed and regulated Internet Casino, Lasseters Online, is giving one lucky new player and their chosen companion, an unforgettable trip to Australia, valued at approximately US$15,000. The competition is only open to players who have never previously deposited at Lasseters, but existing players are being urged to refer their friends and relatives to the site, in the hope that they may earn themselves a seat on the plane. Lasseters' spokesperson, Andrew Housego believes it would be the fair thing to do. "If I was to refer a friend to Lasseters and they happened to win a US$15,000 holiday to Australia, I'd like to think that I'd be their first choice to accompany them". Many thousands of people have registered at Lasseters since they began operating over 7 years ago, with a number of them yet to make a deposit to their account. These lucky players are still eligible to participate in the competition and if they have forgotten their login details, they need not be concerned. Lasseters' Customer Support team will provide them with any assistance they require to access their account and earn their chance to win the trip.
The competition concludes on the 31st of August 2006, so time is running out to enter. Mr Housego has revealed that it is well worth the effort. "The majority of competitions conducted on the Internet attain many thousands of entries with no requirements for entry, offering all concerned a very remote chance of winning. However, as players are required to make a deposit of $50 or more to qualify for this competition, the number of entrants is restricted to serious players, representing tremendous odds for those who take the opportunity to enter."
To earn your chance to win the Australian Adventure of a Lifetime, simply visit www.lasseters.com, register for cash play and make a deposit of US$50 or more. Terms and Conditions apply and can be viewed at the New Player Promotions page. In addition to this amazing competition, Lasseters also offers its new players a 100% bonus up to US$100 on each of their first 5 deposits.
The surprise airport arrest of a prominent UK internet gambling executive this week is a counter-productive application of US law that ignores complex international trade issues, says Larry Gaydos, partner in the White Collar Defense/Antitrust Practice Group at Haynes and Boone, LLP. "Selectively targeting foreign businessmen who are respected in their own country to sensationalize the issue is unfair to the individuals and our friends in the international community," says Mr. Gaydos, who has extensive experience in white collar criminal defense, foreign trade, and general criminal matters. "Long-term, it may also have adverse consequences on US business. If the tables were reversed, I am sure the US would be outraged." Along with the recent extradition of three UK bankers to face Enron- related charges in Houston, the arrest of BetOnSports.com executive David Carruthers at Dallas-Fort Worth International Airport Sunday night has prompted many in the UK business and legal communities to cry foul. As the New York Times pointed out this week, "Now, many fear that the same controversial extradition treaty could be used to force British online gambling executives to stand trial in the United States." Understandably, gaming stocks on the London Stock Exchange have been severely impacted.
But, Mr. Gaydos says, the two cases are actually quite different in legal foundation. The British banker extraditions involved wire fraud, but encompassed conduct that would be a crime in most countries. The supporting FBI affidavit used in the extradition proceedings properly sets out a "probable cause" case, he says.
The Carruthers arrest, however, is problematic because the activity involved -- online gambling -- is legal in the UK.
"The issues involved are complex international issues involving trade and broader issues about the international policing of the Internet," Mr. Gaydos says. "The many problems associated with both these international issues require international solutions. The US attempt to do an end-run through a publicized arrest like this is legitimately perceived as arrogant and probably counter-productive to the mutual international goal of solving a growing problem."
Budget Secretary Michael J. Masch released the following statement today after the Gaming Control Board voted unanimously to approve the administration's financial solvency plan for the board's 2006-07 operations: "I am very pleased that the board voted to accept the administration's funding plan, which will ensure that the board can continue its important regulatory work and bring long-awaited property tax relief to the residents of Pennsylvania. "The commonwealth will begin to see revenue from gaming when the board completes its licensing activities. Gaming revenue will be used to provide property tax relief for Pennsylvanians, which has been the commitment of Governor Rendell since he campaigned for office. "The original gaming appropriation was $36.1 million. Under the agreement approved today, $6.6 million of that appropriation that had been allocated to the Department of Revenue will now be reallocated to the Gaming Control Board. In addition, $3.8 million of the original appropriation that had been allocated to the Pennsylvania State Police will be reallocated to the Gaming Control Board. As required by Act 71, the legislation that authorized gaming in the commonwealth, all these funds will be fully repaid when gaming revenues become available.
"Last month, members of the General Assembly joined together to pass the Governor's historic property tax reform measure. After years of debate on the issue, real property tax relief is now within reach. Continued efforts by the Gaming Control Board will bring gaming revenues to the commonwealth, and full property tax relief will be a reality."
As reported by the Register Guard: "Governors wield what amounts to a veto pen when it comes to off-reservation casinos. "Just ask the Arapaho and Cheyenne tribes, which tried in 2004 to win the approval of Colorado Gov. Bill Owens for an off-reservation casino near Denver's airport. Owens said no, and that was that. "In Oregon, Gov. Ted Kulongoski has agreed to let the Confederated Tribes of Warm Springs replace its Central Oregon casino with one in the Columbia River Gorge town of Cascade Locks. He signed a compact last year with the tribe that allows the casino, while securing environmental and labor safeguards plus millions of dollars for a college scholarship fund. "While the governor and the tribes insist that such a move sets no legal precedent, others say it sets a precedent of the political sort. ".Kulongoski and Warm Springs leaders reject the notion that the Gorge casino creates the 'if-you-let-one-tribe-move...' quandary that critics portray it to be. ".'It's not a precedent because nobody else is going to come forward with the same fact pattern,' said David Reese, Kulongoski's legal counsel."
State Supreme Court Chief Justice Frank J. Williams and Governor Carcieri have both called into question a pro-casino advertisement that ran this week. "Williams and other justices raised concerns about the full-page color ad by Harrah's Entertainment and the Narragansett Indian Tribe, saying it might be misconstrued as an official court communication or that the judges took a position on the casino question. "When Governor Carcieri's office was asked about the ad, his spokesman went further calling it 'blatantly false advertising.' "The ad, purchased in The Providence Sunday Journal, has a large photo of the state's main courthouse and in big bold letters says: 'The Supreme Court Agrees: The People Have the Right to Vote.' "However, that's not quite true. "The court declined last week to rule on the constitutionality of a November ballot question asking voters to approve a West Warwick casino. Sidestepping the issue, the court said Carcieri, who brought forth the challenge, had no standing to do so."
As reported by the Buffalo News: "The Seneca Nation of Indians is shielding its members from paying millions of dollars in federal income taxes on their personal share of tribal casino profits. "The nation claims no taxes are due because the money is tied to a tax-free lease settlement the tribe struck in Salamanca 12 years before it opened its first casino. "A newsletter to members of the tribe, along with land transaction records and Seneca filings with the Securities and Exchange Commission, spells out a complex scheme the Seneca Nation is using to avoid federal taxes on $75 million in casino bonuses individuals will receive this year and next. "The two congressmen who sponsored the 1990 Seneca Settlement Act for its Salamanca leases say the legislation was never intended to help the Senecas acquire land for casinos or avoid paying federal taxes on gambling profits. "And the Internal Revenue Service suggests the money paid to individual Senecas might very well be taxable.
"At issue are the $4,500 payments that will be sent to each of the tribe's 7,200 enrolled members this year and the $6,000 they will be paid next year.
".Federal law requires that taxes be paid on per capita payments to tribal members from their casinos, and IRS regulations require both tribes and their members to report this money as income.
"But Seneca leaders say the nation is exempt from those requirements because the millions of dollars they are paying tribal members do not come directly from gambling revenues."
As reported by the Pittsburgh Post Gazette: "A South Side community group has decided that the best bet for Pittsburgh's slot machine casino is right in its back yard. "At a news conference yesterday, the South Side Local Development Co. threw its support behind the bid by Forest City Enterprises to build a casino at Station Square. "The endorsement came in conjunction with an agreement reached between the developer and the nonprofit group under which Forest City pledged to provide money for community-related programs and initiatives. "As part of a state tax credit program, Forest City would give $150,000 a year for 10 years to the South Side group for community projects if it gets the casino license, or $50,000 a year for five years if it doesn't. "In exchange for the contributions, the developer could be eligible for tax credits of 70 percent under the Neighborhood Partnership Program, assuming the arrangement is approved by the state's Department of Community and Economic Development."
As reported by the Madison Record: "The 'home of the loosest slots' was named in two separate Jones Act suits filed in St. Clair County Circuit Court on allegations that the riverboat gambling facility failed to provide two employees safe places to work. "The first suit against Casino Queen filed July 10 on behalf of Jacob Strangle, claims he sustained severe and permanent injuries while in the performance of his duties on Aug. 16, 2002. ".The second suit filed three days later claims bartender Benjamin Snyder injured his right shoulder on Dec. 10, 2004, while performing bartending duties. ". In April, The Illinois Appellate Court ruled that employees who work on the Alton Belle Casino are 'seamen' and can sue for damages under the Jones Act, a statute that provides a means for recovering legal damages for maritime workers."
As reported by the Press of Atlantic City: "Lady Luck smiled upon, and then deserted, a Philadelphia man when he won about $20,000 in a casino and then had the money stolen, police said Thursday. "Kamish Patel, 38, of Philadelphia, won a large sum of money early Wednesday morning at the Trump Taj Mahal Casino Resort, police said. At about 7 a.m., he went to hide the cash in his vehicle parked in the casino garage. "When Patel returned to the car at about 2:20 p.m., he saw that the window had been smashed and the money stolen, police said."
As reported by Pahrump Valley Times: "Mountain View Casino owner John McCaw, late of Pahrump, died suddenly in Las Vegas at the Rio Hotel and Casino. He was 50 years old. "McCaw had been battling Hodgkin's lymphoma for a year, and his death from pneumonia was the result of complications from his chemotherapy treatments. ahrump Valley Times McCaw had just returned to Nevada from Bradenton, Fla., where he had recently relocated in order to be closer to the spring-training home of his beloved Pittsburgh Pirates baseball team."
As reported by the U.K. Guardian: "The online gaming group PartyGaming today brushed aside concerns raised by the arrest in the US of a British executive from a rival company as it reported soaring revenues. "PartyGaming, owner of the world's largest online poker site, PartyPoker, said the drop in share prices in online betting companies following the indictment of BetonSports presented acquisition opportunities. "Mitch Garber, PartyGaming's chief executive, told Reuters: 'I've had a very strong M&A (mergers and acquisitions) focus in my previous life and Martin (finance director Martin Weigold) and I have been looking at companies,' he said. 'Any time price becomes more attractive, I guess deals become more attractive.' "As for the turmoil that has engulfed rival BetonSports following its indictment by the US justice department, Mr Garber said: 'The characteristics of the indictment are very far away from what PartyGaming does.'."
As reported by the Scotsman: "Stanley Leisure, Britain's biggest casino operator, said today that its business in Scotland had not been affected by the smoking ban. "As the company posted a near doubling in annual profit, it said the ban on smoking in enclosed public places, introduced in March, 'has not had a material effect on our four casinos in Scotland'. "Stanley, which has three of its 41 casinos in Edinburgh, including Cascades in Leith, said it made a pre-profit on continuing operations of £31.9 million in the year to April 30, a rise of 97 per cent on the previous year on revenues that were two per cent higher at £224.8m. "But the company said the start of the current year had been hit by a double whammy of a number of big wins at its London casinos and Italy's success in the World Cup, which had affected its international betting unit. ".Chief executive Bob Wiper described the performance as 'satisfactory' in what he said had been ;a strategically important year' ."
The Beach nightclub on Paradise Road would be razed and a 600-room high-rise tower and casino would be squeezed onto its 1.25-acre site under a development plan that won initial approval from county officials this week. With hotel rooms for tourists and condominiums for homebuyers, the as yet unnamed mixed-use project would meld the traditional Las Vegas gaming resort with the valley's still-expanding Manhattanization housing trend. "It'll be a true hotel with 300 rooms rented by the night and 300 resort condominiums," said Greg Borgel, the land-use consultant working on the project for Three Sixty Five, the partnership group that owns The Beach. Documents filed with Clark County show Three Sixty Five principal Rick Tuttle and his partners also plan a 20,000-square-foot casino and an 18,000-square-foot restaurant and lounge area in the 39-story building. Borgel said the proposed tower is not too large a development to place on less than 2 acres. "That's the new style," he said. "Up instead of out and big projects on small pads." Since the condo tower trend began about three years ago, many projects have won municipal approval only to fizzle without adequate financing. But Borgel said the investment Three Sixty Five has made on architectural planning, consultants and other pre-deveopment costs indicates the group is serious about building.
"This is a real deal," he said.
The Clark County Planning Commission on Monday unanimously approved lifting a height restriction to allow the proposed tower's 490-foot height, but county commissioners must still sign off on the project next month.
In recommending approval, county staff members noted that the project site on the southwest corner of Paradise and Convention Center Drive is near the Strip and seems a sensible area for future extension of the gaming resort corridor.
Although operated as a dance hot spot, The Beach already has a gaming license.
Industry analysts said developing the available locations along Paradise into full-scale casinos seems to be the next, logical step for gaming development.
"When there is a limited amount of space on the Strip, you start looking for the best convenient location just off the Strip," Morgan Joseph gaming analyst Adam Steinberg said. "If done properly, the potential is there."
Steinberg likened Paradise Road to the development on West Flamingo Road, where the Palms, Rio and Gold Coast casinos operate.
Redevelopment on the Strip could also affect Paradise Road. Any remodeling of the Sahara and Riviera, two large Strip casinos that are for sale and have automobile access from Paradise, could affect that location.
The former Wet 'n Wild water theme park is on 27 acres accessible from both the Strip and Paradise. Its owner, Archon Corp., has entered a deal for its sale, but the deal is not expected to close for another year. Plans call for a hotel-casino on the site.
Also, the Las Vegas Hilton, Paradise Road's prime tenant, sits on a 59-acre site. Colony Capital, which owns the Las Vegas Hilton, has said it was exploring a master plan for the location.
The Beach has fewer than 20 slot machines, which are managed by slot machine route operator Herbst Gaming. The nonrestricted gaming license, however, has been in place since before The Beach opened in October 1995, allowing the location to maintain its gaming status.
Owners will have to go through a licensing process to place a full Las Vegas-style casino on the site.
"If the location is grandfathered in, at that point it would suitable for a casino," Gaming Control Board member Mark Clayton said. "Whoever operates the casino would be subject to our general background check for licensing."
Before becoming The Beach, the facility housed two the ill-fated ventures.
The DaVille Casino opened in 1974, but was never operated as a casino with the operators never able to obtain licensing.
The location was sold in 1991 to two British brothers, who spent more than $9 million to open Sport of Kings, a stand-alone race and sports book with an emphasis on horse racing. The facility also included slot machines.
However, a drawn-out battle to win a gaming license kept the facility closed until it eventually opened in October 1992. The Sport of Kings never gained much of a following and the race book closed in December 1993.
Three Sixty Five's Tuttle and his partners bought the site for $3.9 million in March 1995 and remodeled the building into The Beach.
Although Piero's Italian restaurant is adjacent to The Beach, Borgel said the new tower will not physically affect the popular eatery's building.
As reported by the Tuscon Citizen: "The Tohono O'odham Nation has a new casino boss to oversee construction of the new Desert Diamond Casino on Nogales Highway as well as the tribe's entire gaming operation, the tribe announced this morning. Scott Sirois started July 10 as chief executive of the Tohono O'odham Gaming Enterprise after five years as general manager of the Robinson Rancheria Resort & Casino in Lake County, Calif., about two hours north of San Francisco. "While at Robinson, Sirois oversaw several expansions to the tribal casino, including the construction of a resort, hotel and conference center. "Sirois comes on board in Tucson in the early stages of construction of a new $120 million Desert Diamond casino, hotel and conference center on Nogales Highway to replace the so-called "tent" casino that has no hotel. ".The Tohono O'odham hope Sirois' arrival brings stability back to the tribe's casino operations."
As reported by icLiverpool: "Liverpool gaming group Stanley today confirmed it will bid for all 17 new casino licences under the 2005 Gambling Act. "The government is considering applications for eight small, eight large and one regional 'super' casino around the UK. ".Under the previous 1968 Gambling Act, Stanley was granted three new casino licences, including one in its Dale Street headquarters, and five that are being progressed."
As reported by the Vancouver Sun: "Chances are you're dreaming of winning the jackpot if you blow a few dollars on the lottery, and that dream will die when the numbers are drawn -- at least until the next chance. "Much surer bets are that the individual who sold your ticket will make money, along with three levels of government, numerous non-profits and everybody else involved in every facet of British Columbia's $2.26-billion government-controlled gambling industry. ".Prizes to lottery and bingo winners accounted for $641.5 million or about 31 cents of every dollar wagered in the 2005-06 fiscal year, according to the B.C. Lottery Corp.'s annual report released Monday. The lottery gave B.C. 14 instant millionaires over that time (13 of the 14 collected $2 million or more).
"But the biggest winner was the B.C. government. It scooped up $914.4 million, or about 45 cents of every dollar, up $103 million from the previous year. Lottery retailers and casino and bingo service providers divvied up $483 million, about 23 cents of every dollar, up from $409 million in 2004-05.
".In addition to $32.9 million in GST revenues, Ottawa collected $8.3 million from B.C. under a long-standing agreement with the provinces on the withdrawal of the federal government from the lottery field."
Harrah's Entertainment isn't saying much about its plans to redevelop its center Strip properties. Details are expected this fall. In the meantime, Strip watchers have some free advice. For starters: Don't mess with Caesars Palace, arguably the world's best-known casino. It makes sense for Harrah's to tear down its time-warped, low-rent Imperial Palace, but elegantly middle-aged Caesars still is the opulent flagship and will stand up admirably to a new wave of ultrahip Strip developments. While access to the mazelike property could be improved and its old-fashioned Strip frontage better exploited, Caesars doesn't need a makeover a la MGM Mirage's $7 billion Project CityCenter. "Caesars is probably going to have its best year in the last 10 years," said Andrew Zarnett, a bond analyst with Deutsche Bank Securities. "Every day they wake up and think, 'How can we make this property better.' And the incremental cost of making it better is a lot more profitable than building a new resort from scratch.' "
The property has tumbled through various owners and has grown topsy-turvy but it "will always have a place in Las Vegas at the mid to high end" as long as the company continues to pump money into the property, Zarnett said. "People just love that brand."
Second piece of advice: Don't mess too much with cash cows Harrah's or Flamingo, either. Yes, they could use some cosmetic surgery but, based on the legions of slot players who flock to the hotels, the two properties are still alluring and there's no need to go under the knife - ahem, wrecking ball - to seduce young hipsters.
Harrah's base "is Middle America," Zarnett said. "It isn't the elite top 20 percent or the bottom 20 percent. They have a wide base in the middle."
Jeffrey Compton, a Las Vegas casino consultant, gives Harrah's a bit more credit than that. "Harrah's is very comfortable catering to the upper-middle class," he said. "They're not after whales, but they are moving up. They're good at upgrading their properties. They're not ones to buy a property and let it rot."
With dramatic developments up and down the Strip, it's time for Harrah's to look into the mirror and prepare for its next close-up.
. . .
Just when you think the argument about whether poker is a legitimate sport has played itself out, the tedious debate has resurfaced. A Washington man is waging an uphill battle with Nevada regulators to legalize pari-mutuel betting on poker and, for that matter, billiard tournaments.
The discussion turned downright silly at the board's July meeting.
Attorney Louis Czoka, representing Washington lawyer Harry Platis, struggled to explain before the board why poker is different from, say, chess, backgammon and bridge. Poker, he explained, is more similar to target shooting and curling because it involves controlled body movements. And still, poker is not a far cry from traditional sports, either, because it requires stamina.
"You're not just playing your cards, you're playing your opponent," Czoka said.
True enough, though any poker pro knows an amateur with lucky cards is tough to beat, just as the odds of winning have gotten a lot longer as tournaments attract the masses.
Czoka also didn't win any points with former Las Vegas FBI boss and state Gaming Control Board member Bobby Siller, who said he didn't see many similarities between shooting guns and playing poker.
Control Board Chairman Dennis Neilander acknowledged that the sports betting regulation is vague and should be tightened up. If read broadly, casinos could offer betting lines on just about anything, he said.
And what's so wrong with that? Where there's a hobby, there's a fan and a bet to be made, which means more tax money, right?
"I was in a local establishment, and they had these hermit crabs on a table," Neilander said, implying that betting was in process. "They put helmets on them or something like that."
Board member Mark Clayton suggested that his biggest fear would be watching grown men bet on dominoes, video-game tournaments and even Candyland board games.
"Where do you draw the line, Mr. Czoka?" Clayton said.
Hopefully not between Candyland and the hermit crabs.
. . .
What's old is new again on the Strip, where developers are trying to snap up the last remaining parcels for luxury development.
At a recent Gaming Control Board meeting, the general manager of the Barbary Coast half-jokingly referred to the 200-room property as a "boutique" hotel.
It may not look anything like the tony Mondrian in Los Angeles or the swank Delano in Miami Beach, Fla. But the property - which sits on the busy intersection at Flamingo Road and the Strip - is nevertheless sitting on a redevelopment gold mine.
The Barbary Coast opened in 1979 and looks its age, with a cavelike interior and plenty of worn carpet.
But that doesn't matter to Harrah's Entertainment, which is vying to purchase the old dame as part of a master-planned redevelopment of its center Strip properties next door.
If Harrah's decides it doesn't need the Barbary Coast to complete its project, Boyd Gaming Corp. can maintain the property's status as one of the Strip's smallest - uh, make that boutique - hotels.
As reported by the Chronicle: "U.S. Sen. George Voinovich said Monday he's ready to battle again with gambling proponents who want to expand legalized gambling in the state but warned that this time the foe is much stronger. "Voinovich, who opposes putting any proposal for slot machines in Ohio on the Nov. 7 ballot, told reporters and editors at The Chronicle-Telegram the costs of gambling far outweigh any benefit. ".Horse racetrack owners and others are pushing the proposed Learn and Earn amendment to Ohio's constitution, which would allow slot machines at each of Cleveland's seven race tracks, the Nautica Entertainment Complex and Tower City. If approved, the machines will generate an estimated $2.3 billion annually with $700 million of that earmarked for college scholarship programs. "But Voinovich cautioned voters that only people running the slot machines will benefit in the long run because of the money those billions of dollars that will be lost in state revenue, and therefore programs."
Phil Hellmuth's second legitimate chance to capture his record-tying tenth WSOP bracelet ended in continued frustration Monday as the poker superstar again watched a first time WSOP champion take home the hardware. Scott Clements, who went into the $3,000 WSOP Event #24 Omaha High-Low final table as the chip leader, led wire to wire. The Mount Vernon, Wash. native has cashed twice in previous WSOP events, including an Omaha event earlier this Series and the 2005 WSOP Main Event. His win yielded him $301,175. To secure his first major victory, Clements had to battle through an experienced final table, besting three WSOP bracelets holders and decades worth of WSOP final table experience.