By Staff   Fri, Aug 06, 2010

American company looking for its first Asian operation

Harrah’s Entertainment is poised to launch its first Asian operation if the rumors about its involvement with the Philippine Amusement and Gaming Corp.’s (PAGCOR) the 800-hectare Bagong Nayong Pilipino Manila Bay Entertainment City resort project is true. Reports last week surfaced that Harrah’s is in “the advanced negotiation level” with the developers of the casino resort, Belle Corp. and Leisure & Resorts World Corp. (LRWC), which own Premium Leisure and Amusement Inc. (PLAI), the company building the property.

According to LRWC’s majority owner and former president, Alfredo “Albee” Benitez, Harrah’s has the edge over two competitors because of the strength of its brands. Benitez says company’s Planet Hollywood brand would be used for the casino resort. The first phase, estimated to cost $300 million, would be a 100,000-square-foot casinos, with 1,500 slot machines and 250 table games, surrounded by 100 VIP suites to accommodate players. A second phase includes two 500-room hotel towers. PLAI has committed to spending $1 billion over 25 years on the project. Completion of the first phase is expected to completed in the third quarter of 2011.

“The Philippines is very poor in junket operations” said Benitez. “With the advent of this kind of project and investment, we would like to hold a very big share of junket operations.”

Benitez recently resigned his post at LRWC after being elected the congressman from the third district of Negros Occidental.

Belle, which is majority-owned by mall magnate Henry Sy, entered the gaming market only recently when it bought PLAI from SM Commercial Properties, which owns the Mall of Asia, a huge retail development adjacent to the Entertainment City project. While Belle will build the casino resort, SM is responsible for non-gaming attractions, including hotels, a sports arena, museum and an oceanarium.

Megawide Construction Corp. has been named as the general contractor for the project. The company said the foundation has already been poured and the first tower could be completed within a year.

Meanwhile, a second casino resort in the Bagong Nayong Pilipino-Entertainment City complex broke ground recently. The Solaire, owned by Bloombury Investments Holdings Inc. and port operator Enrique Razon Jr., will be a $557 million casino resort project, featuring two five-star luxury hotel towers of over 1,000 rooms along with an entertainment and convention facility.

“Aside from catapulting the Philippines into becoming a key player in the tourism, hospitality and entertainment industries, the project will make Filipinos proud for having a world class leisure hub that will showcase the best that the country can offer,” Bloombury chair Razon said in a statement. “Entertainment City Manila will rival leisure hubs in the region such as those in Macau, Malaysia, and of late, Singapore.”

The first phase of Solaire is expected to open in the third quarter of 2012.

Two other companies also have permits from PAGCOR to build and operate at the Entertainment City site: Travellers International Hotel Group, Inc., the partnership between the Andrew L. Tan-led Alliance Global, Inc. and casino-resort operator Genting Hong Kong Ltd.; and Universal Entertainment, the Japanese company controlled by Kazuo Okada, the largest shareholder in Wynn Resorts.

For Harrah’s, it’s just the latest in a series of rumors about the company getting involved in Asia. Shut out of Macau by its chief rivals, Wynn, MGM and Las Vegas Sands, Harrah’s is anxious to get operating in Asia. In addition to Macau, there have been reports that the company is looking into operations in Cambodia and Vietnam. And the company plans a major push for gaming in Japan and Taiwan.

Sat, Aug 07, 2010

The industry’s most prestigious technology awards will again be presented at the industry’s largest and most important trade show and conference, Global Gaming Expo (G2E). Global Gaming Business magazine has announced that the 8th Annual Gaming and Technology Awards will be presented on the main entertainment stage at G2E on Tuesday, November 16, 2010. G2E runs from November 16-18, 2010 at the Las Vegas Convention Center.

Roger Gros, publisher of Global Gaming Business, says the awards program is a perfect fit with G2E. “Global Gaming Expo is the place where technology companies debut their new products and services,” he says. “By presenting the awards at G2E, the Global Gaming Business Gaming & Technology Awards are able to convey ‘Best of Show’ winners at G2E.”

Courtney Muller, the gaming industry vice president of Reed Exhibitions, the organizer of G2E, says the presence of the awards program at G2E demonstrates the organization’s commitment to excellence in the technology field. “The Gaming & Technology Awards have long been recognized as the top honor for gaming equipment suppliers,” she says. “By partnering with Global Gaming Business on this program, G2E is able to recognize the most innovative and progressive companies developing new technology today.”

Nominations are now being accepted in four categories:

• Best Consumer-Service Technology

• Best Productivity-Enhancement Technology

• Best Slot Product

• Best Table-Game Product or Innovation

Judges for the awards are: Claudia Winkler, president, GHI Solutions Inc. in Las Vegas; Rob Russell, gaming analyst, Regulatory Management Counselors, P.C., Israel Posner, executive director, Lloyd D. Levenson Institute of Gaming, Hospitality and Tourism, Richard Stockton College of New Jersey; Frank Neborsky, vice president of slot operations, Mohegan Sun; and Peter Johns, director of slot operations, casino division for MGM Grand Macau.

Deadlines: Companies wanting to participate must submit a nomination form. Please submit a nomination form and no more than one page of marketing material (MS Word document or PDF) to the Global Gaming Business offices by October 1, 2010. Judges will evaluate the nominees and winners will be announced at the Gaming & Technology Awards program at G2E on Tuesday, November 16, 2010.

Nominations should be submitted to Global Gaming Business via email to Sales Director David Coheen (dcoheen@ggbmagazine.com), via fax at 702-248-1567 or via mail at 6625 S. Valley View Blvd. Suite 422, Las Vegas, NV 89118.

Sat, Aug 07, 2010

Slot and system manufacturer Bally Technologies has opened a sales and service office in Sydney, Australia, marking the company’s return to selling games in Australia and New Zealand for the first time in decades.

Bally announced that its team for sales and service in one of the world’s largest slot markets will be headed by veteran Australian gaming executives Michael McNee and Ron Jeffrey in Sydney, and Cath Burns, vice president and managing director of Bally Technologies’ Asia-Pacific division.

McNee was named managing director of Bally Australia, and Jeffrey was named sales manager for the division.

McNee was a longtime executive with slot manufacturer Aristocrat Technologies in Australia before joining Bally last year as a consultant. He will be responsible for overall product and marketing strategy for the Australia and New Zealand gaming markets.

Jeffrey was most recently national sales manager in Australia for Aruze Gaming. Prior to that, he spent 10 years with Aristocrat in various sales and marketing positions. He will oversee Bally’s sales operations and customer-relationship management throughout the region.

“We couldn’t be more pleased that longtime gaming industry experts and my former colleagues Michael McNee and Ron Jeffrey have agreed to help lead Bally’s advance into Australia and New Zealand,” said Gavin Isaacs, Bally Technologies’ chief operating officer. (Isaacs was an Aristocrat executive in Australia.) “Michael and Ron will be teaming up with Cath Burns,  who is also an Australian. This experienced team’s understanding of the gaming market in Australia and New Zealand ensures that we will hit the ground running as we introduce our award-winning portfolio of industry-leading games and systems technology to Australia.

The slot-maker officially launched its sales effort last week at the Australasian Gaming Expo in Sydney.

Sat, Aug 07, 2010

U.K.-based online gaming company Virgin Casino has launched “Expert Roulette!,” the latest online game from WagerWorks, the online-game subsidiary of slot manufacturer International Game Technology.

Expert Roulette!, part of WagerWorks’ “Player’s Suite” series of games, has “hyper-realistic outcomes players can trust, a clear layout for first-time players and advanced bet options for hard-core players,” according to a company statement.

“Roulette games are always very popular with our players, and I’m sure this new game will go down well with both roulette fans and new players alike,” said Warren Eloff, product manager at Virgin Games. “WagerWorks has listened to customer feedback about what they wanted to see in online roulette, and produced this fantastic game with advanced bet options.”

Sat, Aug 07, 2010

The OddsMatrix sports betting platform is now compliant with French standards following the awarding of a license to operator Jeux365, which utilizes the online wagering platform from EveryMatrix.

Jeux365 is one of 27 operators who had been awarded a license by French regulator ARJEL as of the end of July. The granting of the license indicates that the OddsMatrix back end systems and procedures have all been translated and are now ARJEL compliant and accredited to E.U. rules.

Stian Hornsletten, CEO of EveryMatrix, said, “We have been working on ‘geo-scaling’ for quite some time now and it is rewarding to know that OddsMatrix now complies with the newly regulated French market. The OddsMatrix business model is now fully compliant as we look to build on our success further. We have great expectations for the partnership with Jeux365 who are set to launch later on in the year.”

Jeux365 is part of the French digital media agencies Sporever and Media365. The companies will also launch poker and sports book platforms for the French market on various domains, including paris365.fr and poker365.fr.

Sat, Aug 07, 2010

U.K. sports betting and online gaming concern William Hill has named Gareth Davis as the new chairman of the board.

Davis, who recently retired after 14 years as CEO of Imperial Tobacco, will assume his new position on September 1. He will be replacing Charles Scott, who has served as chairman since 2004.

Davis joined Imperial Tobacco as a management trainee in 1972. He became managing director of international operations there in 1988 and CEO in 1996. He led the demerger of the company from Hanson plc and the listings of Imperial Tobacco Group PLC on the London and New York exchanges.

Ralph Topping, CEO at William Hill, said in a press release, “We are delighted that Gareth has agreed to join the board as chairman of William Hill. He has strong, relevant experience in terms of managing a complex, regulated business expanding from a robust U.K. base into international markets. We look forward to being able to draw on that experience as we take William Hill forward.”

Sat, Aug 07, 2010

Reel-TV, the young technology company that is offering a service to place advertising directly on slot-machine screens, has named veteran software engineer John Frailey as its chief technology officer.

Frailey brings over 15 years of software programming experience with a specialization in video software design, modeling and implementation, and will focus on program development that will allow for one-on-one interaction with the casino visitor.

In his most recent position, Frailey was a senior software engineer at Garmin International, the global leader in satellite navigation, where he was responsible for design protocols for devices and server communications. At Garmin, he worked on the iPhone development team that ported Garmin Off-Board Navigation into an iPhone App. Frailey is also a founder of Hupla TV, a turn-key, fast-to-market media appliance provider.

“Like Reel-TV, Frailey is an innovator in his field,” said Keith Atkinson, founder and principal of Reel-TV. “His knowledge of the non-pc computing platform is vast and his ability to think like a true programmer will make him a great asset to our team. Specifically, his experience will be vital in developing interactive menus for players who, by simply touching the screen, will be able to request restaurant reservations, show tickets, beverages, etc., instantly.”

Sat, Aug 07, 2010

The Cosmopolitan Las Vegas, set to December 2010, lit up the Strip August 3rd with the unveiling of its new marquee. Taking six months to build, the 65 foot marquee is the only one on the strip to have LED screens on all four sides. Chief Executive John Unwin presided over the ceremony and even climbed on top of the marquee.  The casino’s grand opening celebration is planned for the weekend of New Year’s Eve.

Sat, Aug 07, 2010

Hugh Hefner the 84-year-old founder of Playboy magazine and the media empire surrounding it—including the latest spin-off, the E! reality TV series The Girls Next Door—said last week he wants to move away from “adult programming” and back toward one of his former activities, casinos.

Hefner, whose casino background includes not only the London Playboy Club but the failed Atlantic City Playboy Casino (which went through later incarnations as the Atlantis and Trump World’s Fair before closing for good), announced plans to open casinos in London and Macau.

“We will be announcing casinos in both Macau and London,” Hefner said in a statement. “As far as media goes, I think we’ll be involved in more mainstream ventures. That’s the direction we’re moving in; we’re moving away from the adult programming because it’s not the future. I think it gets in the way of who we are, and who we want to be.”

Hefner offered no details on the planned casinos, saying those will come later. He did say they will play on the strength of the Playboy brand.

Sat, Aug 07, 2010

New York Racing Association Vice Chairman James Heffernan says he was asked to pay $100,000 in campaign contributions to former Governor George Pataki in exchange for the influential post.

Heffernan says he refused the criminal solicitation, but was appointed anyway. A Pataki spokesman says it never happened.

According to the Saratogian, Heffernan level the charge at the annual Saratoga Institute on Racing and Gaming Law in Saratoga. Asked by an audience member why he never reported the incident to authorities, Heffernan said, "I didn’t feel it was my responsibility."

The attorney and corporate restructuring expert said he offered his services to then-Governor Pataki, and later met with representatives of the governor who offered the job for a $100,000 contribution, Heffernan said.

Heffernan said he had previously attended a $1,000-a-plate dinner for Pataki, and that he told the Pataki aide he wouldn’t pay another $99,000 to join NYRA.

Pataki spokesman David Catalfamo e-mailed the Saratogian saying “Heffernan’s claims are absurd, shameful and untruthful—period.”

Heffernan also accused Pataki of deliberately stalling a deal NYRA had with MGM to run Aqueduct’s racino so another party could take over New York racing. If the racino had opened earlier, he said, NYRA would have had no trouble winning a new racing franchise, because it would have been on firm financial ground. Instead, two other firms challenged NYRA for the racing contract, which NYRA eventually got anyway in September 2008.

Pataki now works for Chadbourne & Parke, an international law firm in New York City. Heffernan, elected to the NYRA board in 2008, has helped to negotiate the authority’s bankruptcy, win a new racing franchise, and also deal with the state’s selection of the Aqueduct gaming operator.

Sat, Aug 07, 2010

Macau casinos posted revenues of MOP16.3 billion (US$2.1 billion) in July, an increase of 70 percent over the previous July and almost 20 percent higher than June, when World Cup football depressed the results. For the first seven months of the year, revenue in Macau is up 61 percent from the same period in 2009.  •  A judge has said he will expedite the process to issue an opinion on the legality of Instant Racing in Kentucky. The Kentucky Horse Commission unanimously approved regulations for Instant Racing machines, which allow wagering on random historical races in a slot-like format, on July 20. The commission, though, requested a declaratory judgment from the Franklin Circuit Court on whether the games, to be placed at all eight racetracks in the state, are legal. Judge Thomas Wingate says be will accept briefs within 30 days, although he may withhold a ruling, because there are no “respondents”—no one is challenging the legality of the games.  •  A study commissioned by the Casino Association of New Jersey and conducted by the Center for Urban Policy Research at Rutgers University revealed that Atlantic City was the second-most popular casino district in the U.S. and a destination for one-third of all visitors to New Jersey. Of those who visited in 2008, 80 percent said they came to gamble.  •  A Mississippi group that opposes the construction of a Choctaw casino in Jones County group presented apparent proof to the county board of supervisors that the casino is already under construction, despite opposition to the project from some community and tribal members. The Coalition for Family and Community Values showed aerial photos that “clearly show a foundation has been poured at the site.”  •  A drive for casino gambling in Arkansas stalled after a Texas businessman missed the state’s deadline to place a constitutional amendment legalizing casinos on the November ballot. Businessman Michael Wasserman began a petition drive in January for an amendment that would have allowed casino gambling in seven Arkansas counties. However, he failed to submit the necessary 77,000 signatures to the Arkansas secretary of state by a July 2 deadline.  •  UNLV Japan, a branch of the University of Nevada-Las Vegas and CNH Academy, will establish a new institute for casino management in Tokyo next year. The object is to train casino dealers and managers for jobs throughout Asia. There are four different courses available, including casino management, dealing, EMC and MBA classes. In addition to jobs in current Asian casino markets, the program is designed to have personnel ready should Japan legalize casinos.  •  Michigan’s Little River Band of Ottawa Indians has reached an agreement with the Red Cross to offer its Little River Casino Resort an official emergency evacuation shelter. The tribe and Red Cross have been working on the plan for years, as a way to offer extra facilities in the wake of storms like those that ripped through the region in 2008. The casino resort has 300 rooms, its own tribal water system and secondary power generation. The nearest evacuation shelter only holds 50 people.  •  In an opposing view to fellow casino giant Steve Wynn, Donald Trump announced he fully supports Barney Frank’s internet gaming bill. The Atlantic City casino tycoon pointed out the benefits the bill could bring, including increased tax revenue for cities that drastically need the extra funds.  •  The Navajo tribe will vote for its top presidential contenders this Tuesday, reducing 12 hopefuls to just two candidates who will vie for head of the tribe next year. Current president, Joe Shirley, was denied permission by a tribal court to run for a third consecutive term, which is prohibited by the tribal constitution. Primary candidates include current Navajo vice president, tribesmen with career experience serving in the government, and newcomers to tribal politics.  •  Starting August 9th, after almost a year of financial strains at the Silverton Casino Resort in Las Vegas that included layoffs and salary cuts, workers will see their paychecks increase by half of what had been cut.  The casino has seen its customer base slowly creep back up in recent months, and, if the revenue keeps coming in, workers could see all of their pay returned as well as slashed benefits.  •  Sioux Falls residents and politicians are weighing in on the subject of bringing a casino to the South Dakota town.  With the beginnings of a new casino project across the river in Larchwood, Iowa and the success of gambling in Deadwood, the two major candidates for governor both acknowledge that the town may benefit from a casino property.  Many obstacles, including an amendment to the state constitution, still stand in the way of the proposed project.

Sat, Aug 07, 2010

“We're a younger company than the Sands and MGM. And we are a little bit more steady or a little slower. It's the old hare and the turtle story. We're a little bit more like a turtle than a hare.”

—Wynn Resorts Chairman Steve Wynn on MGM Resorts falling into third place behind Las Vegas Sands in annual revenue comparisons of gaming’s largest companies

“It would appear that Macau has in fact expanded the global pool of VIPs—largely from within this region, and there is optimism within the industry that the new Singapore casinos will do something similar. If the trend holds up, the expanded and more attractive Australian complexes could be significant beneficiaries.”

—Stephen Bartholomeusz, writing in Australia’s Business Spectator about the potential for increased VIP business at the Crown and Tabcorp properties in Australia currently undergoing intensive upgrades

“In a metaphorical way, it makes sense that casinos hug the white-sand beaches of this Old South town. On the coast, life is always a gamble. You never know when a hurricane will hit. A month from today, life might be beautiful. Or you might be wiped out.”

—Reporter Lisa Gray of the Houston Chronicle, in a series on the effects of the BP oil spill on life and businesses in Biloxi on the Mississippi Gulf Coast 

“Everyone wants to get this up and running, but I think it’s more important to do it right than to do it someplace that people don't want it.”

—Maryland Governor Martin O’Malley, commenting in support of slots at the Laurel Park racetrack, rather than the licensed Cordish Companies location near Arundel Mills Mall that is the subject of a zoning dispute

“Make no mistake about this, anything short of Gov. Patrick signing this bill represents a decision to kill the prospects of 15,000 new jobs and bring immediate local aid to our cities and towns,”

—Robert DeLeo, speaker of the Massachusetts House, urging Governor Deval Patrick to sign a gaming bill that he opposes

“I’d take a detour just to spend at their pub, and I hardly go into pubs! Well, never, actually.”

—Jacquie Butterfield, posting on Australian website news.com.au, commenting on the report that a Victoria hotel’s owners had chosen to remove the 16 profitable Tabcorp electronic gaming machines from the pub—a first for the Australian state

“About the economic effects of a new tribal-owned mega-casino adjacent to Glendale, we candidly see both good and bad.  The resort proposed by the Tohono O'odham Nation at 95th and Northern avenues will hurt some local Glendale businesses if built, and will sap Glendale of tax revenue. And it will take casino market share from a sister tribe, the Gila River Indian Community. But, likely, it will enhance some nearby businesses.”

—Editorial, the Arizona Republic, on a proposed tribal casino in Glendale by the Tohono O'odham Nation

“We cannot make long-term decisions that affect the whole of the commonwealth with the interests of two racetrack owners primarily in mind."

—Deval Patrick, governor of Massachusetts, depending his threatened veto of a bill that would allow slot machines at racetracks

“It definitely favors the player more than the gambler over the long haul.”

—Poker player Ricky Flach, 22, a patron of Naples-Fort Myers Greyhound Track and Poker in Florida. The state’s new no-limit poker games, sanctioned in July, have brought in a new breed of serious players, according to the Fort Myers News-Press

“This is a slap in the face to say that jobs and taxes in Connecticut are much more important than jobs and taxes in New York.”

—Shinnecock tribal spokesman Lance Gumbs, lashing out at a Connecticut lobbying group that is trying to block the tribe’s federal recognition. The Connecticut Coalition for Casino Jobs says a Long Island casino would hurt Mohegan Sun and Foxwoods

“Disingenuous and pettifogging. It's basically legal chicanery. They're trying to scrub the gambling payments of their casino character.”

—Florida lawyer Dennis Whittlesey, describing the Miccosukee Tribe's claims that its members do not have to pay taxes on gaming income due to tribal sovereignty

“What Atlantic City needed was a bulldozer six blocks wide to convert the slums into open spaces and an unassailable entertainment destination: Disneyland with casinos.”

—Former Atlantic City businessman Reese Palley, criticizing the city for its failure to revitalize despite 30-plus years of casino gaming; Palley also believes that government takeover of a casino and entertainment district is a “wall” that will “guarantee the permanence of the city's ugly side”

“All we’re asking for is our fair share back.”

—New Jersey Senator Paul Sarlo, alarmed by a plan by the state to restrict casino reinvestment funds to Atlantic City. Formerly, that portion of casino revenues was distributed statewide

“Not only are they not producing jobs, but these raids are making the unemployment rate go even higher.”

—Alabama resident Sherry Slavel, taking aim at the spate of casino closures in the state. Governor Bob Riley hopes to close the last remaining non-tribal casino, VictoryLand

“NYRA never would have gone bankrupt. We could have done all kinds of capital improvements. Tens of millions of dollars were lost.”

—New York Racing Association Vice Chairman James Heffernan, who last week accused former Governor George Pataki of deliberately stalling a 2007 deal between NYRA and MGM Mirage to run the Aqueduct racino