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Month of October, 2008
Third-Party Group Attacks McCain On Gambling
What do Paris Hilton and Britney Spears have in common with John McCain? According to a new ad from a campaign finance advocacy group, it's their fondness for gambling. Campaign Money Watch takes it one step further, however, contending that the Republican nominee is not only "betting at casinos," he's also "gambling with their lobbyists."
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The ad claims that gaming interests have contributed more than $1 million to McCain and the Arizona senator has become "gambling's go-to guy." The spot concludes by urging McCain to "walk away from special interests' money" and support the Fair Elections Now Act. The bill's Senate co-sponsors in 2007 included Barack Obama and Wisconsin Democrat Russell Feingold, who also co-sponsored McCain's own campaign finance reform legislation [PDF].
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David Donnelly, executive director of Campaign Money Watch, said that Obama's withdrawal from the public finance system for the election only reiterates the notion that the current system is broken, and that new legislation, such as the Fair Elections Now Act, is a step toward fixing it. "We’re not going to hold a Republican or Democrat accountable for opting in or opting out of the system," he said. Instead, he said, the "barometer of where a candidate stands on public finance" should be whether they support this kind of reform.
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Donnelly says the references to Spears and Hilton and the scrutiny of McCain's links to lobbyists are meant to be emblematic of the issues that have come up in the election. The group previously attacked McCain in June with an ad that questioned his involvement, by way of lobbyist connections, in an Air Force contract that went to Airbus, a French company, instead of the American company Boeing.
Australian gambler sues casino over A$1.4b binge
An Australian gambler who lost millions in a A$1.4 billion ($NZ1.6 billion) gaming spree is suing one of the country's largest casinos, claiming he was targeted by managers despite a known gambling addiction.
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In a case which lawyers say could have implications stretching to China, gambling addict Harry Kakavas is suing Crown Casino in Melbourne for A$50 million damages after a mammoth 14-month baccarat binge in which he lost A$37 million.
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At the time in 2007, property developer Kakavas had been barred from every casino in Australia.
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But the Supreme Court in Victoria state was told Crown's Chief Executive Rowen Craigie did not "give a monkey's" about a prohibition in place since 2004, the Age newspaper said.
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Supreme Court documents said Kakavas wore a concealed recorder that captured Crown managers allegedly attempting to lure him back to its riverside baccarat tables.
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Crown is owned by Australian billionaire James Packer, who also operates Crown Macau and is developing a second casino project, The City of Dreams, in the Chinese territory. The company last year reported profits of A$370 million.
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"We have no intention of responding to the allegations made publicly. We are defending the action vigorously," Crown spokesman Gary O'Neill said.
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Craigie and Chief Operating Officer John Williams face accusations of unconscionable conduct while in change of Crown, which this month reported revenue from table games and gaming machines up 4 per cent as Packer looks to expand in Macau.
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Court documents in Melbourne alleged that emails detailed a Crown plan to lure back Kakavas after managers discovered he had lost millions of dollars gambling in Las Vegas.
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If found guilty, Crown could be judged to have breached Australia's Trade Practices Act, state gambling regulations and special laws covering the high-profile casino's operation.
TableMAX Completes First California Installation
TableMAX Gaming Inc., a wholly owned subsidiary of TableMAX Corporation (Pink Sheets: TBLX), a developer of electronic table games, has successfully completed and launched its first California installation at the Desert Rose Casino in Alturas, Calif.
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TableMAX installed its Progressive Blackjack(R) game in the casino, which has 180 slot machines, but no live table games, making the TableMAX Progressive Blackjack game the property's first table game style offering to its players.
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Desert Rose Slot Director Raland Millard said, "We are thrilled with our new Progressive Blackjack game. Our players immediately responded to the game, and found it very easy to play. And to have the added excitement of a 'table game' on our floor is a fun new reason for our players to visit."
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TableMAX CEO Stephen Crystal said, "We are thankful to Desert Rose Casino for the opportunity. California is a major market in the industry & we're very excited to have our first California installation."
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ABOUT TABLEMAX
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TableMAX is engaged in the manufacture, sale and distribution of a patented five-seat, multi-player electronic table game known as the TableMAX(R) System(TM). The TableMAX System is a state of the art multi-player video gaming machine that utilizes patented technology to provide electronic versions of popular traditional casino card games.
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The TableMAX game library includes Progressive Blackjack(TM) (Gaming Labs certified Sept. 2007), Caribbean Stud(R) Poker (Gaming Labs certified May 2008) and Caribbean Draw(R) Poker, which is currently being tested for certification. Texas Hold 'Em Bonus Poker is currently in development. To date, TableMAX has sold six TableMAX Systems abroad; placed six on a recurring revenue basis, including five in Oklahoma casinos and one in South America; signed orders for six system installations; and received verbal commitments for 18 system placements.
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In April 2008, TableMAX launched its initial wide area network offering a progressive jackpot, linking TableMAX Systems in operations at two separate Tribal gaming establishments in Oklahoma. The wide area network is believed to be the first wide area progressive network on an electronic table game available anywhere in the world.
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FORWARD LOOKING STATEMENTS
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This release contains certain "forward-looking statements" relating to the business of the Company and its principal subsidiary, TableMAX Gaming, Inc., which can be identified by the use of forward-looking terminology such as "believes, expects" or similar expressions. Such forward looking statements involve known and unknown risks and uncertainties, including all business uncertainties relating to product development, marketing, market acceptance, future capital requirements, competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. The Company is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
Have Fun When Gambling
When I first started to gamble all I used to think about was how much I could win, which always made gambling more stressful. I was a guy that would win about $15 and then walk away because I was so scared to lose my little profit. I don't do that anymore because now I gamble to have fun.
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The best way to gamble and have fun is to be realistic and smart. The best way to be realistic is to realize the games are not in your favor. Also realize that the odds of you walking away with a six or seven figure jackpot are low. Many people think if they go to an online casino with $50 they will be rich by the end of the day but that is not the case.
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The best way to be smart is to only spend money you have to spend. If you put aside $50 each week to gamble with that you can afford to lose you won't be as stressed about losing it. Another thing you should do is stretch your money out. If you are only starting with $50 you should not be playing $5 slot machines.
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Try spending just your bonus money or bonus spins you first day. If you win keep playing. If you lose quit and play your actual deposit another day. This way if you lose the fist day you actually have lost nothing with a chance to win another day. If you win the first day you have money in the bank.
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With tons of casinos online, picking one to play at can seem difficult, but it really isn't because many of them are so similar. They offer similar deposit and cash out options, email support, telephone support, etc. A lot of them use the same software and therefore even offer the same games. The big thing I look at are the deposit bonuses, reload bonuses and different promotions.
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I am always trying to get more for my money so if I am looking at two similar casinos and one has a 100% bonus on a $100 deposit and another casino has a 200% bonus on a $100 deposit I am going to go to the casino with the 200% bonus. Some may have free money with no deposit necessary. Some casino's offer a set time limit of free play, which you get to keep your winnings. Even others offer a set amount of free spins, you get to keep these winning also. What you have to remember is you have to play these winnings several times before you can withdraw them.
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If you are not all about the money you can take a look at the games they offer to help you make a decision. Some gamblers are all about the casinos games, but other gamblers may want a one stop shop where they can play poker, bet on sports, and play casino games.
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If you don't want to narrow your casino choices down by bonuses or games then you can read reviews.
Local casino figures down
Hoosier Park posted the lowest numbers of its short history in September with wagering taxes down almost half a million and revenue down $1.8 million from August.
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The casino, which opened June 2, still paid more than $3.8 million in taxes to the state and collected more than $15 million in revenue in September, according to the Indiana Gaming Commission. The drop coincided with a statewide fall in gaming revenue.
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The slump isn't enough to force Hoosier Park to cut back on services or staff numbers, said Jim Brown, the racino's general manager for gaming.
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"We're going to try and ride this out, but with today's economy, it's challenging," Brown said. "Nationally, gaming revenues are stagnant. We've seen gaming bankruptcies and new expansion projects stopped or delayed."
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Less betting at Hoosier Park also means less tax revenue for Madison County governments. Three percent of the casino's revenue is put toward local governments, and the city of Anderson has already had to consider ways to make up gaming revenues that have not met budgeted expectations, according to previously published reports in The Herald Bulletin.
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Although the economy played a role in hurting casino activity, Brown said, some of September's lower draw can be attributed to August being a longer month, having more weekend days and being in the summer when more people visit casinos.
New Horseshoe Casino Announces Impressive World Series of Poker(R) Ladies' Circuit Event Numbers
The new 500 million-dollar Horseshoe Casino, just 20 minutes from downtown Chicago, today announced an impressive final number of female entrants at this past Sunday's high-stakes action of the World Series of Poker circuit event. The third No-Limit Hold 'em $200 buy-in circuit event drew 227 entrants who generated a prize pool of $44,038.
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"No other ladies event in the world gives the women this much play, but we wanted to treat them equally with the men," noted Horseshoe's WSOP tournament director Charlie Ceresi. Praise continued from the women as well; "I loved the structure and starting chips and the 40-minute rounds," said Kelley "Sandy Cheeks" Kiser who won a ladies WSOP circuit event at Horseshoe Southern Indiana last April. "And the staff bent over backwards for us: they were fabulous."
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The competition was one to rival the men; as a result of the deep stacks along with tight play, the women didn't get down to 10 players until 5:00 a.m., and it was decided to bring everyone back the next day at 4:00 p.m., rather than try to play through as originally scheduled. "This was a blast," chimed in Carol Jacobson from Whiting, Indiana. "I never had so much fun."
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"We hoped our Chicagoland's first-ever World Series of Poker ladies circuit event would be successful," said Rick Mazer, Indiana Regional President and General Manager, Harrah's Entertainment, Inc. "We are so pleased with the tremendous response. The ladies demonstrated such enthusiasm and high-energy."
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World Series of Poker at Horseshoe has a total of thirteen tournament events, with buy-ins ranging from $300 up to $5,000 for the no-limit Hold 'em finale. The winner of the $5,000 championship will win cash plus a seat to the World Series of Poker Main Event, valued at $10,000, at the Rio All-Suites Hotel & Casino in Las Vegas in summer 2009.
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Horseshoe Casino's World Series of Poker® circuit event schedule follows:
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Friday, October 24
     Event No. 1: Noon-$345 No-Limit Hold 'em (2 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Saturday, October 25
     Event No. 2: Noon-$555 No-Limit Hold 'em (2 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Sunday, October 26
     Event No. 3: Noon-$1,100 No-Limit Hold 'em (2 day)
     Event No. 4: 3:00 PM-$235 Ladies Event (1 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Monday, October 27
     Event No. 5: Noon-$555 No-Limit Hold 'em (2 day)
     Event No. 6: 3:00 PM-$235 PLO with $100 rebuys (1 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Tuesday, October 28
     Event No. 7: Noon-$775 No-Limit Hold 'em (2 day)
     Event No. 8: 3:00 PM-$345 H.O.R.S.E. (2 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Wednesday, October 29
     Event No. 9: Noon-$2,100 No-Limit Hold 'em (2 day)
     Event No. 10: 3:00 PM-$345 Omaha-8 (2 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Thursday, October 30
           Noon-$555 Mega
           3:00 PM-$555 Mega
           7:00 PM-$555 Mega
           9:00 PM-$120 Turbo Tournament
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Friday, October 31
     Event No. 11: Noon-$5,150 No-Limit Hold 'em (3 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Saturday, November 1
     Event No. 12: Noon-$555 No-Limit Hold 'em (2 day)
           7:00 PM-$235 2nd Chance No-Limit Hold 'em Tournaments
           9:00 PM-$120 Turbo Tournaments
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Sunday, November 2
     Event No. 13: Noon-$345 No-Limit Hold 'em (1 day)
           Time TBA-Main Event Final Table
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ABOUT THE WSOP
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The World Series of Poker (WSOP) is the largest, richest and most prestigious gaming event in the world. Featuring a comprehensive slate of tournaments in every major poker variation, the WSOP is poker's longest running tournament in the world, dating back to 1970. In 2008, the event attracted more than 58,000 entrants from 124 different countries to the Rio All-Suites Hotel & Casino in Las Vegas and awarded more than $180 million in prize money as players competed for the game's most coveted trophy, a WSOP bracelet.
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Harrah's License Company, LLC., an affiliate of Harrah's Entertainment, Inc., has owned and operated the WSOP since 2004 and over the last five years, fostered an increase in player participation by nearly 300-percent. In addition, the WSOP has experienced groundbreaking alliances in broadcasting, digital media and corporate sponsorships, while successfully expanding the brand internationally with the advent in 2007 of the World Series of Poker Europe.
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ABOUT HARRAH'S ENTERTAINMENT, INC.
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Harrah's Entertainment, Inc. is the world's largest provider of branded casino entertainment. Since its beginning in Reno, Nevada, nearly 70 years ago, Harrah's has grown through development of new properties, expansions and acquisitions, and now owns or manages casinos on four continents.
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The company's properties operate primarily under the Harrah's, Caesars and Horseshoe brand names; Harrah's also owns the London Clubs International family of casinos. Harrah's Entertainment is focused on building loyalty and value with its customers through a unique combination of great service, excellent products, unsurpassed distribution, operational excellence and technology leadership.
Financial Downturn Creates Creative Marketing
Last week La Isla Casino manager Afshin Ertanin talked about how they are changing their focus towards the Pounds Sterling 20 player rather than the elusive high roller. The way the online casino industry advertises to attract players is changing as well according to MegaKings marketing director Dave Sutton.
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"We can clearly see that there is less and less competition in Google ad words in the few markets where they still allow ad words campaigns for the online gambling industry. Due to that and other factors we believe that the marketing sector is where the biggest cuts in budgets are happening."
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Hailwood Gaming Ltd has had a close relationship for years working with the online marketing company Horizon Star Ltd. and has actually decided to approach the market in a different way.
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"We decided very early on that we chose to work without the largest traffic machine on the internet, the affiliates. We started working with Horizon Star some years ago and are actually increasing our marketing through them. They focus on many different national markets and are succeeding very well for doing that.
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On the subject of TV and magazine marketing Dave had this to say:
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"No, they cost more than they return. Our philosophy for years has been that we are an online company and we want our presence to be online. We want to grab our customers when they are sitting in front of their computers, not while they are watching TV or reading a magazine. This has enabled us to focus our marketing budget on where the players are. It has, in many ways, prepared us for the hard times that lie ahead. We feel that our online presence is getting stronger and stronger and that is what we want. TV and magazine adverts are great for brand building and such. We also focus very hard on the online casino slots player, more so then on the Blackjack and card poker player"
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Due to the decrease of TV, radio and magazine marketing done by many online casinos there will obviously be an effect on the traffic going to those casinos.
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"It goes without saying really, with carefully targeted marketing we can cut down on the expenditure and make the most of our marketing budget and target the market that will attract the right clients to the right internet casino. The golden age has come to a stop, not only for us of course but for many companies with similar interests. Since this financial downturn affects every market worldwide you have to be very creative to make sure you get the most out of your marketing these days."
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"One of the signs that the market is changing is that we see more and more online casino companies wanting to do things together. Exchange services between the different companies and looking for ways to improve both companies brands. This is quite a new thing but something we have been looking to do for some time so we might actually be at the right place at the right time."
Crown Casino expects some 'dislocation'
Casinos operator Crown says some of its operations may experience "some dislocation" in the next year or so due, to the global economic downturn, but will recover.
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Crown said its properties were performing relatively well against their peers and their geographic spread should mitigate some of the risks associated with a downturn.
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"While some of the markets in which those businesses are located may see some dislocation in the next 12 to 18 months, taking a two to three year view we believe they are likely to return to steady growth trends," Crown chief executive Rowen Craigie told shareholders at the company's annual general meeting.
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Crown benefits from a strong balance sheet with strong cash flows and interest cover.
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"We believe it is important to continue to invest for growth in our existing businesses through this economic cycle," Mr Craigie said.
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Asked if Crown would consider acquiring gaming companies that looked cheap in the current economic environment, executive chairman James Packer said Crown would be focusing on the refurbishment of its Crown casino in Melbourne and the Burswood casino in Perth, and the completion of its acquisition of Cannery Casino Resorts in the US in the near term.
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"I think that the important thing for Crown at the moment is to implement well the capital expenditure program that's existing in Australia and to bed down the Cannery acquisition," Mr Packer said.
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"I think we then would still be in a position to do more [acquisitions] if we found something that was compelling, but our plates, we have a lot on them..."
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Mr Packer said at this stage, Crown was not looking to buy the casino assets of Tabcorp Holdings Ltd.
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Mr Craigie said recent trading at Crown's Australian casinos continued to be solid.
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Combined revenue from table games and gaming machines was up four per cent in the period from July 1 to October 21, compared to the same period in fiscal 2008.
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"Year-on-year growth in international VIP commission program play has been very strong over the same period," Mr Craigie said.
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There had been some softness in takings for low-end gaming machines, corporate events and corporate hotel bookings.
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But this had been offset by solid growth in other segments, such as table games, high-end slot machines, leisure hotel bookings and private functions.
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Crown's Australian casinos earnings before interest, tax, depreciation and amortisation (EBITDA) rose 8.2 per cent in 2007/08.
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"We expect solid growth in 2008/9, despite the anticipation of a more difficult trading environment and the disruption from the casino refurbishment programs," Mr Craigie said.
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Mr Craigie was positive about Crown's investments in Macau. Crown Macau, a VIP casino, opened last year, and a second casino property, City of Dreams, is under construction.
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Crown's investment in Macau is through its 37.9 per cent stake in the Melco Crown Entertainment joint-venture.
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Mr Craigie said Crown expected that moves by the Macau government to halt further land grants for casino developments, and possibly limit the number of gaming tables operating in the former colony, would be positive for the incumbent licence holders.
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"Melco Crown expects that these changes will generally be positive for the six incumbent licence holders in Macau," Mr Craigie said.
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He noted the Chinese government had imposed some restrictions on the ability of some Chinese citizens to obtain visas to travel to Macau.
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"These changes are targeted at moderating the extraordinary growth in Chinese visitor numbers to Macau," he said.
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"We have seen the impacts of the latest restrictions in September with year-on-year gaming revenue growth for the month declining by about three per cent.
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"However, over the medium term, we have confidence that the Chinese and Macau governments will manage the visitor flow and the approval of new gambling product in Macau to ensure an ongoing sustainable casino and tourism industry in Macau with balanced growth rates."
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In the US, the regulatory approval process for the Cannery acquisition was progressing.
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Revenue at Cannery's Pittsburgh casino, The Meadows, was up 14 per cent for the September quarter despite the US economic downturn.
Crown shares were 18 cents lower at $5.89 on Tuesday.
A.C. gives final OK to lift ban on smoking in casinos
As expected, the city gave final approval tonight to lifting - for at least a year - a smoking ban in this resort's 11 casinos that went into effect Oct. 15.
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Under a measure approved 5-4 by the City Council and signed by Mayor Scott Evans, the ban will be suspended Nov. 15. It would have taken a 6-3 council vote for the measure to become effective immediately, city officials said.
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Casino operators argued earlier this month that the ban would cripple Atlantic City's $5 billion gambling industry already reeling from a weak economy and from regional slots competition, primarily from Pennsylvania.
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Council member Marty Small said he voted tonight to lift the ban "because of the economy. . . . I felt it was the responsible thing to do."
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The council first voted to delay the ban Oct. 8, after pressure from seven casinos. City ordinance required a second vote to make the delay final - hence, tonight's action.
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The four Harrah's Atlantic City casinos did not request postponement.
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The controversial ban originally won unanimous council approval in mid-April - one year after a partial smoking ban took effect. The full ban required casinos to construct enclosed lounges where no gaming would be allowed.
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In testimony earlier today, casino workers and health advocates had vigorously urged the City Council not to lift the ban.
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"There is no reason for their unanimous vote [in April] to be compromised by unsubstantiated fear tactics," Michele Gallagher of the American Cancer Society said before the hearing. "Public health is the guiding factor here."
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Debora Ogle, a dealer at Caesars casino, was shaken by tonight's vote. The casinos, she said, "just don't care about our health. This is not an economic issue. It's a health issue. How can you put a price tag on someone's life?"
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Trump Plaza dealer Ed Little, who also wanted to keep the ban in place, said the casinos had been "opportunistic" in now asking for the reversal. "With the country in a financial crisis, that was their excuse," he said.
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But one gambler said he was pleased he could still light up while at his favorite slots game at Showboat casino here.
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"Smoking lounges do not help very much," said Lucien Cirincione, 73, of Forked River, N.J. "I will not leave the machine I am playing and walk to a smoking lounge to have a cigarette."
Casino election tight, poll suggests Olympia Gaming paid for survey of Maine residents
A new poll commissioned by the company that wants to build a $184 million resort casino in Oxford indicates that likely voters are narrowly divided on the project in what amounts to a statistical dead heat.
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The survey by the market research firm Critical Insights, which was commissioned by casino developer Olympia Gaming, showed 47 percent in favor of the plan, 46 percent opposed and 7 percent undecided.
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The poll results were announced at a news conference at Critical Insights by MaryEllen FitzGerald, its president, and Pat LaMarche, spokeswoman for the Vote Yes on 2 committee.
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FitzGerald cited movement in favor of the casino among "values-focused voters," who are conservative and religious and have opposed gambling initiatives in the past.
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LaMarche, whose group has emphasized the employment opportunities that the project would bring to job-hungry Oxford County, said she was buoyed by the poll results.
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"The folks who have an issue morally I think now are really seeing that there is a moral issue to good jobs and good opportunities, and that's exciting for us," she said.
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Dennis Bailey of Casinos No!, which is leading the opposition to Question 2 on the Nov. 4 ballot, said he didn't place much credence in the poll results.
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"I don't place much stock in numbers that are paid for by Las Vegas," he said. "I look more to independent polling."
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Critical Insights' telephone poll of 300 people statewide was conducted Oct. 14-15 and claims a margin of error of plus or minus 6 percent.
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The results contrast with a Strategic Marketing Services poll taken Oct. 13-16 that showed 39.5 percent for or leaning in favor of the casino, 52 opposed or leaning against, and 8.5 percent undecided. That poll of 400 people took place Oct. 13-16 and claims a margin of error of 5 percent.
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Accompanying LaMarche were leaders from the Oxford Hills region who urged support of the casino to give an economic boost to an area that has seen hundreds of manufacturing jobs disappear and whose young people are forced to look elsewhere to earn a living.
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Steve McAllister, former town manager of Paris, said he hopes Mainers will allow Oxford County to seize the opportunity to create new jobs.
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"Olympia Gaming will build casinos somewhere. Their intentions are clear. Why not let it be here," he said.
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Bailey acknowledged that the slumping economy is the biggest hurdle facing casino opponents.
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"People are willing to sign a deal with the devil to bring jobs," he said, while reiterating that a casino and its accompanying social costs are not in the best interests of the state.
Conn. Gambling Industry Not So 'Recession-Proof'
Gambling is among the industries feeling the effects of the economic downturn — even though it has long been thought to be "recession-proof."
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In southeastern Connecticut, the local economy is heavily dependent on two huge casinos that provide 20,000 jobs between them. They saved the area in the mid-1990s, when it was hit by defense industry layoffs.
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Now, the casinos are feeling the pinch in turn.
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The Mohegan Sun casino is one of the world's largest and a multimillion-dollar business for the Mohegan Tribal Nation. Just a few months ago, the tribe opened what it calls the Casino of the Wind as part of a planned $700 million expansion.
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The Casino of the Wind looks busy, but slots revenue for the tribe has been slipping steadily. Retiree Dot Fisher says she and her husband used to be regulars — now they limit their visits.
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"We just decided we don't want to spend as much money," Fisher says. "You know, we don't spend a lot anyway. When you're on a fixed income, you got to think."
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Construction Slowdown
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Right next to the casino complex is a massive construction area, where two cranes dominate the landscape. But the site is now all but deserted.
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Ed Riley of the Ironworkers Local 15 says the area is the foundation for what was to have been a 900-room hotel, shops, restaurants and an entertainment complex.
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"Several weeks ago, I got a call from the tribe on a Monday night that, in fact, due to the severe economic downturns, and what was going on in the economy, that the construction would have to be postponed," Riley says.
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There would have been 1,200 construction workers employed at the site. Keith Brothers of the Laborers Local 547 says the fact that the gaming industry is under pressure is hugely significant in the region.
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"With the work opportunities not there — I mean, our people have to go to work somewhere," Brothers says. "They go to work, whether out of state [or] they go to work somewhere else in the state. But as far as the gaming industry goes, for us, it's kind of our lifeblood down here."
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'A Domino Effect'
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Just eight miles away is Mohegan Sun's biggest competition, Foxwoods Resort Casino, owned by the Mashantucket Pequot Tribe. On Oct. 17, the casino handed out pink slips to 700 employees — the first large-scale layoff in its history.
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"It's tough for some people to have to come through our doors," says Candace Bodenhofer, a social worker in nearby Norwich, where many casino workers live. "They're not used to having to ask for assistance."
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The casinos are by far the biggest employers in the area, and Bodenhofer says the outlook for many of those laid off is bleak.
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"The gentlemen that I saw today is 57, and he doesn't have a lot of skills — he was a groundskeeper, so, you know, people aren't going to be batting down his door to hand him work," she says. "If he goes to work for a landscaping firm, for instance, he will be making maybe the same amount of money, but he won't get any benefits. So then, you know, his health may suffer. ... It's one thing after another, kind of a domino effect."
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The dominoes may fall on East Main Street in Norwich, where there are many small businesses that rely on the dollars put into this economy by the casino — the pizza parlor, the liquor store and Paul's Auto, where owner Paul Heard is concerned.
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"It can't be a good thing. I mean, I have a good percentage of customers that work there, so I just hope that things — somehow they get the economy turned up a little bit and call people back," Heard says.
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Beverly Goulet, who runs Human Services in Norwich, says it won't be easy to help those laid off.
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"No way do we have any local money that could go beyond what already our regular needs are for families and individuals in this area," Goulet says. "We don't have any discretionary money."
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The state of Connecticut derives revenue from the casinos under an agreement with the two tribes, and gaming revenue to the state is forecast to fall by $60 million this year. And that means less cash to help those most directly affected by the downturn in this key industry.
Rwanda: Casino Misses Opening Date
The first ever casino in Rwanda, Casino Kigali, failed to open as promised due to what insiders call unforeseen delays, The New Times has learnt.
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Casino Kigali which will be located at Top Tower Hotel in Kacyiru was supposed to open on October 21.
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Sources close to the venture but who preferred anonymity, say that the Casino which will operate under Lotto Rwanda, from the opening was delayed by unfinished work at the building where it will be located.
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The Director General of Lotto Rwanda, Philip Brizoua, had earlier on told the press that the opening of the new casino was among the many innovations that they are bringing in the gaming arena.
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However, in spite of the fact that they failed to launch the casino, Top Tower Hotel 'silently' opened that very day. Until yesterday, work on the first floor of Top Tower hotel where the casino is located was still going on but there was no sign of gaming tables.
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Some of the workers already employed who declined to be identified said that the delay to open on time was caused by late shipment of equipment from oversees.
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"We are sure of opening soon though we have been delayed because of some equipment that have not yet been cleared, but we are sure this is a temporary setback," said an employee who preferred anonymity.
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When The New Times contacted the management of Casino Kigali, the person in charge refused to give any comment saying that it was not for him to comment on the current situation.
Also attempts to speak to the Director General of Lotto Rwanda were unsuccessful by the time of going to press as he did not pick up his phone.
MEGA MOUNTAIN JACKPOTS Only at Table Mountain Casino
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Not a promotion, but an actual feature of the Player's Club at Table Mountain, since MEGA MOUNTAIN JACKPOTS premiered on lucky 8-8-08, Massive Cash and Rapid Bonus, the two rewards features of MEGA MOUNTAIN JACKPOTS, have showered players with random winnings that have already topped $900,000. No winning combination is needed to win these jackpots. Regardless of how many coins are played, these rewards are totally random and can happen at any time on any machine to any Club member playing with their Club card inserted as Lance of Fresno, the latest Massive Cash Winner recently discovered!
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Lance became the latest in a string of lucky Massive Cash Winners while playing one of his favorite slot machines. $44,657.78 is what Lance was randomly awarded in the early hours of the weekend. "If it can happen to me, it can happen to YOU!" said an excited Lance, a loyal longtime Table Mountain Club member.
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From north to south, east to west, players are traveling from all over California to Table Mountain Casino to try their luck at winning these random rewards. Recent Massive Cash winners have come from Carmel, San Mateo, and Los Banos -- making the short drive to BIG winnings!
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John Mayewski, President and CEO of Table Mountain Casino explained, "We're so proud that Table Mountain Casino is the ONLY casino in the valley to offer this fun and exciting new feature. In fact, our players are loving this newest reward so much that they are coming from all over to try their good luck at Table Mountain!"
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About MEGA MOUNTAIN JACKPOTS:
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Massive Cash is guaranteed to randomly hit between $20,000 and $50,000. This is simply a random reward-no winning combination is necessary to win! Rapid Bonus, another exciting new Club Feature, is guaranteed to hit several times an hour, several times a day, every single day. There is no minimum bet required to win MEGA MOUNTAIN JACKPOTS. Must be a member of The Club and have your Club card properly inserted in the machine in order to be eligible to win MEGA MOUNTAIN JACKPOTS. Membership in The Club is free. MEGA MOUNTAIN JACKPOT winnings are completely independent of any other jackpots. See additional Rules for further information. Membership in The Club is free.
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About Table Mountain:
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Table Mountain Casino is owned and operated by the Table Mountain Rancheria Band of Indians who actively support many community-based agencies and non-profit organizations serving residents of the Greater Fresno area and the regional San Joaquin Valley community.
Broward County racetrack casino revenues tumble as economy weakens
It's an awful time to run a casino.
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The only machines most people can afford to pump money into these days spit out gasoline, not shiny coins and dreams of early retirement. Those other machines — the ones with bright lights and names like Wheel of Fortune — on some days sit emptier than your 401(k) account.
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Slot machine revenues at Broward County's three racetrack casinos are down nearly $7 million in the first three months of this fiscal year compared with a year ago. That's bad news for taxpayers, who get half of all the cash.
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"The economy is a mess now, of course, so obviously we're feeling it, too," said Mike Bloom, general manager of the Isle casino at Pompano Park. "Gas prices have dropped in the past couple of weeks and we're getting the snowbirds trickling in, so we're hoping to see some improvement."
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The three-month stretch coincides with the start of blackjack and table games at the competing Seminole Tribe casinos, but racetrack officials say the economy is at least equally at fault.
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That theory is backed by the 17 percent drop in September revenues, the same month that a larger gambling operation — Wall Street — tanked.
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It's a national trend. Foxwoods Resort Casino in Connecticut is laying off 700 workers, and neighboring Mohegan Sun last month postponed plans for a nearly $1 billion expansion, citing economic woes. And the 11 casinos in Biloxi, Miss., are off 23 percent in recent months, hit by a combination of the economy and hurricane season, the Biloxi Sun Herald reported this week.
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According to state figures, the three Broward racinos had net revenues of $49 million during the three months, compared with $55.6 million a year earlier. Net revenues are the total amount bet minus the amount paid out.
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The Seminole Tribe doesn't release its monthly totals, and won't report its yearly profits until next year under terms of its gaming contract with the state.
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Dan Adkins, president of Mardi Gras Gaming and Racing Center, said his Hallandale Beach facility is challenged by both the economy and the Seminoles. Mardi Gras' slot revenues dropped to $5 million in September, from $6.1 million a year earlier.
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"During the day, the economy is definitely impacting our business, which is mostly elderly, retired people," Adkins said. "They are smart, and when they see their retirement accounts hit, they aren't going to be as quick to spend the entertainment dollar.
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"At night, we have a younger crowd, and a lot of them would rather play blackjack" at the Seminole Hard Rock in Hollywood or Coconut Creek, Adkins said.
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On Wednesday afternoon, some gamblers at Pompano Park said they were playing less, while others said they don't play enough to worry.
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"I've cut back a lot. I haven't had a choice," said Esther Evans of Fort Lauderdale, who has cut her play from two days a week to one. "Everything has gotten so expensive, like gas prices, so I don't have as much money to come out and have fun."
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Bloom said Isle Casino is bracing for a slow recovery.
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"We've invested $190 million in capital improvements, so we're not going anywhere," he said. "We're just going to keep pushing and working hard until things get better."
Gambling Web sites want suit tossed
Attorneys representing 141 Internet gambling Web sites have asked the state Court of Appeals to dismiss a lawsuit that Gov. Steve Beshear filed against them last month.
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The attorneys also this week asked the appellate court to prevent a Franklin Circuit Court judge from making any decisions at a hearing scheduled for Dec. 3 on whether control of the Web sites must be forfeited to the state.
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Beshear's suit attempts to force the sites to block access by Kentucky users and pay damages, or relinquish control of their Web site domain names.
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The governor has called the sites "leeches on our communities" that hurt Kentucky's signature industry, horse racing. He said Kentuckians spend "tens of millions of dollars" a year on illegal Internet gambling.
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Franklin Circuit Judge Thomas Wingate last week issued an order stating that he has the right to decide whether control of the sites must be forfeited to Kentucky.
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Attorneys for an Internet gambling industry trade group, Interactive Media Entertainment and Gaming Association, on Wednesday filed a petition asking the Court of Appeals to vacate Wingate's order and dismiss the case because he lacks jurisdiction.
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"The reason we are going down this road is, frankly, enough is enough," said Edward Leyden, attorney for the group.
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He said attorneys could not wait until after a forfeiture hearing to appeal the case, which is the usual process, because "irreparable harm" would be done if the state won control and immediately moved to shut down the sites to users across the globe.
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"We can't afford to wait for that," Leyden said.
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The petition filed in the Court of Appeals will be considered by a panel of three judges.
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Defense attorneys have argued the state does not have jurisdiction because the Web sites are owned by companies located outside Kentucky and in some cases, outside the country.
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They also say Web sites should not be considered gambling devices under state law and that the court has failed to follow due process.
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Wingate last week addressed those issues and ruled in favor of the state.
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He originally scheduled a forfeiture hearing for Nov. 17 but this week pushed the date back to Dec. 3.
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Justice Cabinet spokeswoman Jennifer Brislin said the appeal was expected.
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"We will continue to proceed as the judge has outlined," she said.
Illinois casino contributes $150,000 to Prop A opponents
The Casino Queen, the casino riverboat in East St. Louis, has tossed in $150,000 to aid the Missouri opponents of Proposition A — which would limit the number of Missouri gambling boats and eliminate the $500 per-cruise loss limit (as well as increase casino taxes and direct that money to schools).
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The lack of a loss limit in Illinois is among the attractions for visitors to the Casino Queen.
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The $150,000 donation was made on Oct. 17, according to papers filed with the Missouri Ethics Commission. It was first reported by Firedupmissouri.com, the Democratic-leaning blog site.
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The group Voters for Good Government said Thursday that it plans to use the money from the Casino Queen for an ad campaign asserting the Missouri ballot measure is misleading.
Scott Charton, spokesman for YES on A Coalition, said in a statement that the Casino Queen "wants Missouri to remain at a competitive disadvantage to casinos in Illinois and other states."
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"Prop A will protect 12,000 Missouri jobs, raise casino taxes and put them into a fund that is tamper-resistant from politicians, and specify that the casino tax revenues may not be used to supplant or replace other revenues for schools — and without raising any taxes on Missouri residents," Charton said in a statement.
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Pinnacle Entertainment of St. Louis and Kansas City-based Ameristar have poured more than $11 million into the pro-Prop A effort.
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William "Buddy" Hardin, the treasurer for Voters for Good Government, said his entity already has paid for automated phone calls against Proposition A and plans to use the new money to expand its campaign with other unspecified forms of media.
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Hardin, of St. Charles, said he is generally opposed to gambling but is particularly upset about how the backers of the Missouri ballot measure have glossed over the repeal of loss limits by highlighting schools. Although most schools would get money as a result of the initiative, some would not because of the state formula by which the money would be distributed.
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"It's a false, misleading campaign," Hardin said.
Opponents move to shut down Buffalo casino
Gambling opponents may have landed the knockout punch in their battle to close down the Seneca Buffalo Creek Casino.
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After the Seneca Nation of Indians missed a crucial deadline last week in its bid to keep the casino open, a motion was filed Tuesday in U. S. District Court in Buffalo to force the federal National Indian Gaming Commission to shut the casino down within five days and to hold the commission in contempt for not shutting it down sooner.
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"I think Judge [William M.] Skretny knows he's dealing with a federal agency, and I think he's been more than accommodating," Cornelius D. Murray, Albany-based attorney for the Citizens Against Casino Gambling in Erie County and Citizens for a Better Buffalo, said Tuesday evening.
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"So now, eight weeks later, when nothing has still been done, the time has come to go back and say enough is enough," Murray added. "How are the rest of us supposed to act when the federal government goes and defies a court order? Hopefully, Judge Skretny's patience has been exhausted."
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The National Indian Gaming Commission has until Monday to file an appeal with the U. S. Second Circuit Court of Appeals on Skretny's previous orders.
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Skretny ruled against the Senecas in July, revoking the gaming commission's approval of the Buffalo casino, calling it "arbitrary, capricious and not in accordance with the law."
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In August, Skretny ordered the commission to "carry out [its] congressionally mandated obligations" and decide whether the casino should be shut down. The Senecas stopped construction of their $333 million permanent casino and hotel complex at the edge of downtown Buffalo shortly after that but continue to operate their temporary casino.
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In early September, the National Indian Gaming Commission said the temporary casino is operating illegally and issued a "notice of violation," but gambling has continued at the blue metal building at Michigan Avenue and Perry Street, at the edge of the permanent casino site.
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The Senecas were to have submitted a new gambling ordinance to the gaming commission for approval by last Wednesday -- the court had invalidated two previous ordinances -- but suddenly withdrew it a day before the deadline.
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Assistant U. S. Attorney Mary Pat Fleming gave the antigambling groups no explanation for the Senecas' action and refused to disclose anything about it.
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"She wouldn't give us a copy of the letter of withdrawal," Murray said, "so at that point we concluded that there was no legal justification of any kind for gambling to continue."
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Seneca Nation President Maurice John could not be reached to comment Tuesday evening.
MotorCity gets in the concert game
State-of-the-art sound, high-tech lights and the promise of a bustling schedule mark the opening of Detroit's newest midsize music venue.
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After years on the planning sheets, Sound Board will come to life this week at MotorCity Casino Hotel, outfitted with versatile seating that can be configured for 1,500 to 2,300. The theater will kick off with a pair of eye-catching dates -- heavily marketed shows by hometown R&B songstress Anita Baker (Thursday) and Fleetwood Mac's Stevie Nicks (Saturday).
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That will be it for the venue until New Year's Eve, which will feature an undetermined act. But activity will kick up in 2009 with "full force," says Bill Borenstein, the casino's vice president of entertainment and theater operations, who expects a slate of rock and pop shows by young and veteran acts.
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The final piece in a construction project that started three years ago, Sound Board rounds out what casino officials hope is a multilevel experience that includes gaming, hotel and dining. It joins several MotorCity lounges -- including the popular Amnesia and the Radio Bar -- that feature local bands and DJs.
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"Now the theater comes online, and it's only going to enhance the guest experience here," says Borenstein. "It really makes us whole."
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Casinos and music have come a long way since the early 1990s, when the gaming circuit was largely relegated to moldy oldies and other off-radar performers. Much of that stigma has been washed away, not least because casinos have proved willing to invest top dollars to attract premium talent.
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"Entertainment is really a great outlet for casino customers, and having the ability that casinos have, they've spent the money to put in real theaters. That adds to the credibility," says Borenstein. "When tickets are sold on Ticketmaster, that adds to the credibility. When you can cater to the artists, that adds credibility. When you take the sum of those parts, it adds up to a great experience for the artist and the customer."
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MotorCity Casino is owned by Marian Ilitch. Among her family's holdings is Olympia Entertainment, which arranges concerts at venues such as the Fox Theatre and Joe Louis Arena. But because of Michigan regulations that limit the financial partnerships of gaming operations, Olympia is not involved in MotorCity's concert booking. Casino officials say they hope to take advantage of Olympia's muscle down the road.
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"Ideally, we'd love to have that kind of relationship, but at this point, we're functioning as a separate entity," says Borenstein.
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Across the Detroit River, the Caesars Windsor casino has upped its entertainment offerings, offering acts such as Chris Rock, Smokey Robinson and Gretchen Wilson at its new 5,000-seat Colosseum in a conspicuous effort to distinguish itself.
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Borenstein downplays competition with Detroit's other casinos -- the MGM Grand and Greektown -- but doesn't deny his quest to "keep business on this side of the river." The MGM launched its 1,200-seat entertainment ballroom last fall and has welcomed a handful of A-list acts, while Greektown has its sights on a similar theater to open next year.
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"Caesars is a great brand," says Borenstein, a former employee of Harrah's Entertainment, which owns Caesars. "But when it comes to the intimacy of the showroom -- if I have a choice between seeing Stevie Nicks with 1,500 seats or 5,000 -- I know where I'm going. Bigger doesn't necessarily mean better."
Tropicana Entertainment Asks New Jersey for Operational Control over Atlantic City Casino
Making it abundantly clear that William J. Yung does not and will not have any influence or control over the company, Tropicana Entertainment, LLC today petitioned the New Jersey Casino Control Commission (CCC) to regain operating authority over its casino and resort in Atlantic City.
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According to company CEO Scott C. Butera, Tropicana wants to run the casino because it believes that there is a better chance of reversing the property's 48 percent decline in gross operating profits if it is integrated with a larger organization with the financial assets and human resources to invest in its future. The property has been under the control of a CCC-appointed conservator since last December.
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"We have assembled a strong, highly competent new management team that is experienced in the Atlantic City market," said Butera, who himself holds a New Jersey casino key employee license. "We want to immediately deploy our managerial and financial resources to serve the gaming public and provide tax and employment benefits to the community.
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"The need for this action has been made more urgent by the decision of the New Jersey Supreme Court to hear Tropicana's appeal to regain its status," Butera said. "The conservator's sale process for the property, which we continue to support as a way to determine the credibility of current indications of interest, could be delayed for several months, far too long for the casino to be without the benefit of well-financed, professional casino management."
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The petition asks the CCC to appoint a company co-conservator of the property and give him the authority to bring the casino under Tropicana Entertainment's corporate umbrella where it will have protections afforded under Chapter 11 of the Bankruptcy Code. Tropicana said it will then install a new management group at the property and make investments to improve the casino's business so that it can be either sold at a fair price or realize its longer term value as a going concern within Tropicana's current corporate structure.
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If the CCC grants the petition, Tropicana will move to file the appropriate applications for a gaming license and ask the Commission to convene hearings - "as soon as practicable" - to establish that the newly constituted Tropicana is qualified to hold a casino license.
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The petition asserts that Tropicana qualifies for a New Jersey license by virtue of the fact that the company has been "utterly and completely re-formed." Mr. Yung is no longer involved and neither he nor the senior corporate team he had in place have any influence or control over the affairs of the company. The company anticipates that Mr. Yung's interests will be "cancelled and extinguished" upon consummation of the Chapter 11 reorganization plan. A CCC-appointed co-conservator can provide oversight and supervision to ensure that any CCC regulatory concerns with respect to Mr. Yung's interests are addressed.
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"Tropicana is a brand new company," said independent board member and former CCC Chairman Bradford Smith. "We have a new, independent board. We have a new team of experienced professional gaming executives managing our operations. Most important, we live by a set of business and operating philosophies that are in keeping with the best practices of a modern day gaming enterprise."
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As evidence of the company's transformation, the petition notes a series of positive accomplishments on the part of the new management team. Among them are the separation from Columbia-Sussex Corporation, the establishment of headquarters in Las Vegas, arranging debtor in possession financing, and obtaining the approval of the Nevada Gaming Commission to operate the company's five casinos in Nevada. It also cites Butera's direct involvement in achieving a long-delayed labor agreement with the culinary union at the Tropicana Las Vegas.
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"The issue here obviously involves maximizing value for our constituents," Butera said. "But New Jersey and Atlantic City have a lot at stake, too. Selling the casino at today's depressed prices could have the unintended consequence of lowering assessed values and drastically cutting city tax revenue. Faced with such a shortfall, lawmakers may be forced to increase individual property taxes to make ends meet.
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"Likewise, assuming the sale is delayed until the Supreme Court rules, the business cannot be allowed to falter," he said. "That, too, has consequences in terms of employment and overall returns to the City.
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"These are outcomes that we should all work to avert," Butera concluded.
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About Tropicana Entertainment, LLC
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Tropicana Entertainment, LLC, an indirect subsidiary of Tropicana Casinos and Resorts, is one of the largest privately held gaming entertainment providers in the United States. The company operates 540,000 square feet of casino space with 15,000 slot machine positions. With more than 11,000 employees and 8,300 hotel rooms at its properties, it produces in excess of $1.2 billion annual revenue.
Macau unveils proposed national security bill
The southern Chinese gambling enclave Macau unveiled a proposed national security bill favored by Beijing, putting forward measures Wednesday similar to those that prompted half a million people to protest in nearby Hong Kong five years ago.
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Former Portuguese territory Macau and former British colony Hong Kong returned to Chinese rule in the late 1990s under mini-constitutions that promise Western-style civil liberties, such as freedom of speech, commonly denied in China.
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But the mini-constitutions also require both territories to enact national security legislation eventually.
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After Hong Kong proposed establishing offenses such as subversion and sedition, half a million people protested in 2003, denouncing the measure as a threat to freedoms. Then-leader Tung Chee-hwa shelved the bill.
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On Wednesday, Macau tackled the same issue, outlining proposals that ban treason, attempts to overthrow the Chinese government and theft of national secrets. The proposed offenses carry a maximum penalty of 25 years in jail.
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Macau leader Edmund Ho said at a press conference Wednesday that the bill targets "serious criminal behavior" and won't limit protests or criticism of Beijing.
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"Chanting a few slogans, writing a few articles criticizing the central government or the Macau government, these activities won't be regulated by this proposed law," Ho told reporters.
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Still, opposition lawmaker Ng Kuoc Cheong expressed concern about provisions that would ban preparation for acts like treason. Violators would face a maximum three years in jail.
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"If officials don't like what they see, they may consider it 'preparation' ... There isn't a clear definition," Ng told reporters.
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The bill is open to public comment until Nov. 30 before going to the legislature for a vote.
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The proposals aren't expected to face major opposition in Macau.
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Unlike Hong Kong, Macau has a history of strong pro-China sentiment and only has a token pro-democracy opposition.
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Under Chinese rule since 1999, Macau has thrived, eclipsing the Las Vegas Strip in gaming revenues since American operators built casinos there after the government ended a monopoly held by businessman Stanley Ho.
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Large protests are rare, although activists last year organized protests against alleged corruption and illegal foreign workers.
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Calls to opposition lawmakers in Macau seeking comment went unanswered Wednesday.
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The Hong Kong government said in a statement Wednesday that it has no immediate plans to revisit its national security bill, adding that its priorities are economic and livelihood issues.
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