Caesars argues with Indiana Gaming Commission
The casino company is threatening to drop plans to build a new casino in Southern Indiana.
US.- Caesars Entertainment is currently contesting a US$50 million fee for two Indiana casino licenses. The company argues that it should not be forced to pay the state fee for acquiring two horse track casinos near Indianapolis.
The Las Vegas-based company announced in November that it would pay US$1.7 billion to acquire Hoosier Park in Anderson and Indiana Grand near Shelbyville. Caesars is arguing the state fee for transferring the licences shouldn’t apply and has told the Indiana Gaming Commission that it is reconsidering a US$90 million project for building an on-land casino to replace the riverboat at its Horseshoe Southern Indiana casino near Louisville, Kentucky.
It is expected that the gaming commission will discuss the issue with Caesars in the next few months, probably in June, when it is scheduled to review the Caesats-Centaur deal.
Earlier this month, the company reported a net loss of US$375 million. However, the main reason behind this was a US$2 billion tax benefit offset by US$2.3 billion on restructuring expenses and debt extinguishment. Last year, net revenues reached US$4.85 billion, posting an increase of 25.1 per cent year-on-year. It was mainly driven by an increase in casino revenue, which reached US$2.9 billion in 2017, jumping 31.6 per cent.
President and CEO Mark Frissora said: “Same-store gaming revenues increased company-wide for the full year despite unfavourable hold of approximately US$80 million. Non-gaming revenues and Las Vegas RevPAR increased for the full year, driven by room renovations and overall strength of our hospitality assets.”
