With Fewer Casinos, Atlantic City Gaming Profits Improve Even with Less General Revenue

The Trump Taj Mahal could be the one Atlantic City casino who hasn’t benefitted from the consolidation of the town’s gambling industry. A union picket is threatened over the increasing loss of health insurance and other benefits.
Atlantic City video gaming may be losing, theoretically speaking, but the home is still winning overall.
The brand new Jersey beachside resort is not packing in the tourists into the same manner so it once did, but the news is not all harmful to those gambling enterprises that have made a decision to stick it away.
The eight remaining resorts in Atlantic City have seen their revenues and profits rise through initial half of 2015, even while the general marketplace for gambling in Atlantic City seems to be shrinking.
In accordance with the New Jersey Division of Gaming Enforcement, revenue for the gambling enterprises which can be still running was up 3.5 % within the very first half a year of the year compared to the period that is same 2014, inspite of the undeniable fact that overall revenues are down 11.8 percent.
The difference originates from the fact that there have been still 11 casinos pokies online more chilli open through the end of last June, making a true apples-to-apples comparison for the two markets hard.
Less Casinos Dividing Smaller Market
Nevertheless, the trend that is overall to be clear. While the general size of the Atlantic City market has shrunk, the fact that four casinos closed in the city last year meant that the average revenue per casino went up, creating a really profitable situation for those properties able to survive the revolution of closures.
In fact, year-over-year gross operating profits rose significantly more than 27 per cent year-over-year, with the eight casinos making $213 million between them so far in 2015. Even with accounting for taxes along with other obligations, the casinos are making more income compared to 2014.
In fact, seven of the eight casinos have seen their profits increase this 12 months. The biggest champion has been the Borgata Casino Hotel, which saw its net revenues pump up by nearly $25 million through June.
However the most impressive result may attended from the Golden Nugget. Over days gone by year, the Nugget was performing well in both its live and online operations, and managed a $7.7 million working profit in the 1st half of 2015, representing a whopping 902 percent enhance on the $776,000 it made during the same period last year.
Trump Taj Mahal Struggles with Bankruptcy, Union Relations
However, one casino has not enjoyed the windfall that the remainder town is experiencing. That difference belongs to the Trump Taj Mahal, the beleaguered resort that is currently going through bankruptcy procedures and that nearly became the fifth casino to close last year.
Apparently, the name ‘Trump’ doesn’t have the magical powers in a casino that its namesake presidential candidate has demonstrated in the GOP run off so far. Although things never have always been thus.
In 2014, the Trump Taj Mahal wasn’t precisely breaking the bank, but it was profitable. It took in $1.8 million in profits within the very first six months of the 12 months. However the turmoil throughout the property appears to have taken a toll, since the Taj Mahal destroyed more than $900,000 in the first half of 2015.
The Taj Mahal has more trouble brewing this as the union that represents most of its casino workers is threatening a strike against the resort week. The union, Local 54 of Unite-HERE, was fighting for the restoration of health insurance and pension benefits that the casino was able to take away from workers during bankruptcy proceedings last October.
The casino is operated by Trump Entertainment Resorts, a firm that is in the entire process of being purchased by billionaire Carl Icahn. An appeals court is likely to rule on whether the union employees should have their benefits resorted, though Icahn has threatened to shut the Taj Mahal down if the court rules in the union’s favor.
Bwin.party Wants Firm Bid from GVC
Bwin.party CEO Norbert Teufelberger is the type of takeover that is weighing from both 888 Holdings and GVC Holdings. (Image: Newscast)
Bwin.party is apparently a very desirable acquisition, once the battle between GVC Holdings and 888 Holdings generally seems to see each potential buyer outdo the other on a basis that is regular.
The twist that is latest in the ongoing saga has seen GVC once again prepare to outbid 888 for the internet gambling business, with the bwin.party board now asking GVC to clarify a formal bid so that they can decide how to respond to the offer that is latest.
Right now, all signs are still pointing towards 888 obtaining the hand that is upper the competition to acquire bwin.party.
On 17, the bwin.party july board unanimously recommended accepting a bid from 888 that may be worth 104.09 pence ($1.60) per share, and to date, they will have made no suggestions that they’re backing away from that provide.
GVC Bid Offers More Immediate Value
But there is no guarantee that things won’t change in the future that is near. GVC has made strides to make their bid as attractive as possible to bwin.party shareholders, first bidding 110 pence ($1.69) and then upping their off to 124 pence ($1.91) per share so that they can entice bwin.party.
The bid that is latest would see GVC offer bwin.party stockholders £0.25 ($0.39) in cash because well as 0.231 stocks for every share that is bwin buy. That means the mixed providing could continue to improve value as time goes on, predicated on movement in GVC’s stock.
The question that is big be that offer proposes more growth for all stockholders as time goes on.
While GVC can be providing more to bwin.party’s owners right from the start, you will find no doubts that 888 can completely integrate with the online video gaming operator, while the bwin.party board may be less certain about a future with GVC.
However, if GVC can gain the confidence of the bwin.party board, the value that is extra their takeover bid could make the difference.
‘If GVC’s management can convince Bwin’s board and advisors that these synergies are real and deliverable, 888 will need to sweeten its offer that is own to victorious,’ stated Peel Hunt analyst Nick Batram.
Update Expected By September 1
Bwin.party has said that they be prepared to provide an update regarding the takeover battle by September 1, which may mean that GVC will have to clarify their bid before the end of the month. a statement that is bwin on Thursday stated that they are still waiting for certainty on the best possible terms GVC is willing to provide.
‘Bwin.party has now expected GVC to clarify, with respect to its proposal, the very best terms on which GVC is willing to create a offer that is formal acquire most of the issued and to be issued shares in bwin.party,’ the statement read.
In accordance with reports, 888 has been made aware of this prospect of bwin.party to reconsider a bid from GVC. Bwin.party also says they will give notice that is due 888 should the board consider recommending a new GVC offer.
The forward and backward battle to get bwin.party comes at a time when mergers and consolidation have become commonplace in the gambling industry. Many have attributed this to increasing regulation and taxation associated with industry, particularly in the UK and other European countries, which has caused companies to seek means by which they can increase scale while cutting costs.
Simply this week, a merger agreement between Betfair and Paddy Power was announced by the two companies. The mix of those two firms would make the team among the gambling entities that are largest in the world.
Phil Ivey Suggests Borgata Used Booze and Boobs to Target Him
Ivey claims drink that is free curvaceous women were a ploy by the Borgata to make him lose money. (Image: PA)
Phil Ivey’s protracted battle with Atlantic City’s Borgata Casino took another turn this week after the poker star claimed the casino tried to manipulate him and cloud their judgment.
The $9.6 million session, which occurred right back last year, has since entered into poker folklore, but for Ivey the battle to receive some compensation continues to be extremely real.
That he used edge sorting techniques to gain the upper hand, he has argued against the Borgata’s claim that his tactics were a form of cheating although he has never denied.
That it Ivey shouldn’t be given his $9.6 million winnings), he has since filed a countersuit while he initially contested the Borgata’s legal case (a case which argued.
Ivey Files a Countersuit
Within his countersuit, Ivey claims that the cards utilized throughout the game were damaged deliberately to harm their defense.
Moreover, Ivey’s suit claims that a Borgata employee acknowledged ‘cutting tolerances’ in playing cards and that Ivey never touched the cards himself.
With this suit in motion, Ivey’s appropriate team has since provided further testimony on behalf associated with the poker player. Carrying out a suggestion from the Borgata that it was actually him who was targeted by the casino that it was the victim in the case, Ivey has spoken out and explained.
Asserting that he is a professional gambler and, therefore, knows the methods casinos used to gain a plus over players, Ivey explained that he wasn’t resistant to the tactics of manipulation used by the Borgata.
‘As a gambler that is professional Defendant Ivey is well conscious of Borgata’s methodology in attempting to distract and impair its patrons’ judgment with liquor and scantily-clad cocktail waitresses,’ read Ivey’s appropriate document.
Boobs and Booze a Familiar Tactic
Circumstances of models being recruited as waitresses and appearing under the banner associated with Borgata Babes have for ages been the conversation of numerous gambling and travel discussion boards. Ivey believes he saw such tactics in operation during his high stakes session.
‘The Borgata was plying him with free liquor offered by only the most curvaceous and voluptuous females in the industry,’ claimed Ivey’s legal documents.
In addition to this argument, Ivey’s defense team argues that the Borgata has previously admitted that advantage sorting is ’50 % effective’; which suggests that Ivey could have have needed luck still and skill to win almost ten dollars million.
A fast resolution to the truth seems highly unlikely at this time; however, just what is clear is Ivey isn’t prepared to fold his hand and provide through to the $9.6 million pot as of this time.
