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WWW.CASINOREVIEW-ONLINE.COM • OCTOBER 2013 • EDITION 132
South & Central America SOUTHERN COMFORT SOUTH AMERICA IS STILL FULL OF OPPORTUNITIES 28-29 G2E embraces global diversity
GAMING ON A GLOBAL SCALE
REVIEW 34-35
BAN THE BAD BOYS AGA chief talks about challenges and changes 30-31
THE BUSINESS NEWSPAPER FOR THE GLOBAL CASINO INDUSTRY
MGM unveils vision for Maryland megaresort
The National Harbor architecture draws inspiration from local culture and history and will create and iconic gateway to Maryland
UNITED STATES
M MGM Resorts’ plans for a towering casino complex overlooking the Potomac River in Maryland represent the next generation in casino design.
GM Resorts International has revealed architect’s renderings of the company’s $850m (E630m) vision for the National Harbor destination resort it plans to build in Prince George’s County, Maryland. Slated to anchor one end of the National Harbor mixed-use development, the resort’s siting and internal organisation take inspiration from Pierre Charles L’Enfant’s original 1791 plan for the layout of the then brand-new city of Washington, D.C. “MGM National Harbor offers a sophisticated architectural approach that addresses the area’s significant geographical and cultural history,” MGM chairman and CEO, Jim Murren. “Knowing our resort will be the first representation of Maryland many visitors see crossing the Woodrow Wilson Bridge, we
designed something striking and beautiful, respectful of the opportunity to create an iconic gateway to Maryland.” The facility includes a sweeping roof with a dramatic skylight that runs down its spine, connecting an outdoor terrace to the hotel. During the day, the skylight will allow natural light to filter into the gaming area below. At night, interior illumination will spill out from the casino area. The innovative design will allow MGM National Harbor to operate at multiple scales, from the grand and instant recognisability of the stair-stepped pedestal to the intimacy produced by the southern deck to the striking entrance. Murren added: “MGM National Harbor will represent many things to many people. Like chapters in a novel, each destination within the resort - from a star
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chef’s restaurant to the rejuvenating spa to the high-end retail - is designed to provide a sense of discovery, elegance, and timelessness.” According to MGM, thousands of construction jobs and permanent resort operations careers will be created in Prince George’s County, bolstered by the group’s commitment to supplier diversity and its proven track record of working closely with minority business enterprises. Before construction can begin on the National Harbor project, MGM must first be awarded the new gaming licence for Prince George’s County. The company is one of three to have submitted proposals to the Maryland Video Lottery Facility Location Commission. The commission is expected to award the licence by the end of the year. Lorenzo Creighton, pres-
ident and chief operating officer of MGM National Harbor, said: “We are proud of our design and hope it reinforces to Prince George’s County and the State of Maryland that we’re ready to get to work. As we continue to engage with the local community, we remain confident that MGM Resorts is the clear choice to bring a destination resort to Prince George’s County. “As the commission continues its review of the submitted proposals, we are preparing for our public presentation to the community, where we’ll share our plans in detail. We’re confident both the commission and local county residents will see that an MGM resort at National Harbor will deliver on every promise we’ve made to the community.” The piercing verticality of the streamlined high-rise
SIGNED FOR SUCCES
hotel rises from the resort pedestal, precisely positioned to maximise sightlines to the US capital and the Maryland countryside. The project’s architecture is informed by the natural topography of its dynamic Maryland site, the iconic nature of nearby monuments, and their interactions with residents and visitors in this vibrant travel corridor. From its hilltop location with striking panoramic views of the Potomac River, the monuments of Washington, D.C. and beyond, the entirety of MGM National Harbor is set on a 1,600ft long stepped pedestal. The pedestal is terraced into the landscape to incorporate a 90ft elevation change from the southwestern edge to the northeastern edge of the site, and move the eye from harbor level to the top of the plinth.
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REVENUES
A spike in baccarat income fuelled double-digit growth in gaming revenues across Nevada in August.
Nevada gaming revenues up more than 11 per cent in August
UNITED STATES
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he US state of Nevada recorded its fourth-highest baccarat revenue total ever during August and the highest percentage increase since June 1999, fuelling double-digit gaming revenue growth state-wide and along the Las Vegas Strip According to the latest statistics from the Nevada State Gaming Control Board (NGCB), casinos across the Silver State collected almost $955.3m
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(E705.3m) in gaming revenues during the month, representing an 11.2 per cent increase compared with the $859.3m (E634.4m) collected in August 2012. Casinos on the Las Vegas strip collected $589m (E434.9m) during the month, an increase of 20 per cent compared with $490.9m (E362.4m) in August 2012. Revenue in downtown Las Vegas, however, was down 8.3 per cent
to $33m (E24.4m). Reno casino winnings jumped 9.7 per cent to $54m (E39.9m) in August, while South Lake Tahoe casino numbers were down 2.7 per cent to $21m (E15.5m). Across Nevada, revenue from baccarat, the highroller game favoured by Asian customers, totalled $193.6m (E142.9m), up 55.6 per cent on the same period last year. Baccarat revenues accounted for more than 69 per cent of
the state’s monthly increase, and the figures represent the fourthlargest monthly baccarat win in state history, said Mike Lawton, senior analyst with the NGCB. Excluding baccarat, casino winnings statewide would still have registered a 3.7 per cent gain, or $26.8m (E19.8m). The state collected $51m (E37.7m) in fees based on the August revenue - up 3.5 per cent from
the same time last year. “While baccarat is clearly the star of the month, domestic play exhibited encouraging trends,” Deutsche Bank gaming analyst Carlo Santarelli told investors. Overall, gamblers wagered $11.3bn (E8.3bn) on card and table games and slots machines. $2.6bn (E1.9bn) was bet on card games, of which $1bn (E738m) was wagered on baccarat. Game and table
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MACAU / NEW ZEALAND / SOUTH AFRICA / UNITED STATES
ICR NEWS SECTIONS: EUROPE 6-13 ASIA & OCEANIA 14-18 IAFRICA & MIDDLE EAST 20-21 NORTH AMERICA 22-25 SOUTH & CENTRAL AMERICA 28-29 POLITICS & ANALYSIS 30-31
ONLINE POKER
Wynn partners with 888 for online poker UNITED STATES
ll American Poker Network (AAPN), the joint venture between Avenue Capital Group and 888 Holdings, has entered into a partnership agreement with Wynn Interactive, a subsidiary of US casino operator Wynn Resorts, for the development and deployment of Wynn’s online offering in New Jersey, Nevada and additional states, as they become regulated. AAPN, powered by the industry leading 888 platform, has commenced its licensing and deployment process in New Jersey and Nevada, and will be providing Wynn with its poker, casino and back office platform, as well as additional operational services. Under the terms of the agreement, Wynn will deploy its online brands alongside the 888.com brands in the US, and will be able to pool liquidity on the
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All American Poker Network, subject to regulatory clearances. David Licht, executive chairman of AAPN, commented: “AAPN is honoured to be selected by Wynn to be its online gaming partner. The platform and ancillary services AAPN will offer through 888, coupled with Wynn’s marquee brand which is synonymous with quality and trust, will further establish our offering in the forming US regulated online gaming market.” Brian Mattingley, CEO of
888, added: “This is exactly the type of partnership we’ve envisioned when we formed AAPN with our partners Avenue Capital. The challenge of establishing a robust, entertaining offering with ample player liquidity is one of our prime goals, in direct continuum to 888’s success in other regulated markets such as Spain and Italy. Wynn’s market footprint and reputation will allow it to leverage our technology and products as it did so successfully in the land-based world.”
SMOKING POLICY
SkyCity comes under fire win was up $110.7m (E81.7m), or 35 per cent. $8.7bn (E6.4bn) went into the slot and video gambling machines - an increase of $21.3m (E15.7m) on the same period last year. Stifel Nicolaus Capital Markets gaming analyst Steven Wieczynski said Strip casino operators have seen improved numbers in the past few months coming from food and beverage offerings, which can
be attributed to normal tourist traffic. Gaming revenues, however, has largely been driven by internationally sourced baccarat play. “All told, we are generally pleased with the August results,” Wieczynski said. “As we have noted for some time, we continue to believe a more pronounced Strip recovery will be largely predicated upon a return of domestic visitation.”
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temporary smoking ban has been put in place at SkyCity’s Diamond Lounge in New Zealand after a High Court Judge ruled that the area must be reconsidered to ensure it complies with the country’s Smoke-free Environments Act. Justice Rodney Hansen found that the Ministry of Health’s calculator which was used to determine whether the Diamond Lounge at the Auckland
casino was an ‘open area’ conflicted with the intention of the act. Graeme Ramsey, CEO of the Problem Gambling Foundation, said: “The open areas calculator that was used to assess the Diamond Lounge has been deemed to be inconsistent with the statutory definition of an open area under the act.” The lounge will remain smoke-free until the situation is resolved.
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South & Central America 28
SOUTHERN COMFORT: “...REMEMBER THAT TODAY WE HAVE ALMOST 25 MILLION INCOMING TOURISTS. WE EXPECT THAT FIGURE TO ALMOST DOUBLE.”
AWARDS
EXPANSION
With four honours to its name, MGM Resorts was the biggest winner at this year’s AGA award ceremony.
Tsogo Sun eyes Suncoast expansion
MGM tops industry award ceremony
SOUTH AFRICA
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UNITED STATES
t the 13th annual American Gaming Association (AGA) Communications Awards, 10 gaming companies, casino properties and equipment manufacturers were recognised with Gaming Voice Awards for communications excellence in 15 categories. The awards recognise outstanding corporate communications, public relations and advertising in the gaming industry and were presented at a ceremony held at the Sands Expo and Convention Center in conjunction with Global Gaming Expo (G2E). MGM Resorts International took home the lion’s share of prizes. MGM property Aria Resort and Casino grabbed the top spot in the Best Employee Publication category for its Pulse daily pre-shift newsletter, while its parent company was recognised in the Best Customer Publication, Best Communi-
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cations Campaign and Best Digital Direct Mail categories. M Life Magazine’s win for Best Customer Publication was its third straight in the category, making it the day’s only repeat winner. The Parx Casino in Bensalem, Pennsylvania, was another multiple-Voice Award winner, taking top honours in the prestigious Multiformat Advertising Campaign category for its ‘Get Lucky in No Time’ campaign and in Best Outdoor Advertising. The tribal gaming sector was well represented, with Northern Quest Resort and Casino in Spokane, Washington, earning a win for Best Television Advertisement for its ‘Q-Cash’ spot and Pechanga Resort and Casino in Temecula, California being named as the top entry in the Best Social Media Programme category. Four categories were won by companies that supply or
2013 GAMING VOICE AWARD WINNERS Best Annual Report International Game Technology (IGT) - ‘Building on Our Momentum’ Best Communications Campaign MGM Resorts International - ‘Inspiring Our World: A Musical Journey’ Best Customer Publication MGM Resorts International - ‘M Life Magazine’ Best Digital Direct Mail MGM Resorts International - ‘Reaching Loyalty Members on Facebook’ Best Direct Mail The Venetian Hotel - ‘Baccarat Tournament Invite’ Best Mobile Marketing LotteryHUB - ‘LotteryHUB: 160,000 Downloads’ Best Multi-format Advertising Campaign Parx Casino - ‘Get Lucky in No Time’ Best Outdoor Advertisement Parx Casino - ‘New Jersey Transit Station Domination’ Best Print Advertisement Gaming Laboratories International (GLI) - ‘Giving You the World’ Best Print Advertising Campaign Gasser Chair Company - ‘Gasser Dazzles Campaign’ Best Social Media Programme Pechanga Resort and Casino - ‘Pechanga Social Media’ Best Television Advertisement Northern Quest Resort and Casino - ‘Q-Cash’ Best Website Konami Gaming - ‘Fortune Chaser Microsite’
support the casino industry. The Best Website category saw Konami Gaming take home the award for its Fortune Chaser microsite. International Game Technology (IGT) grabbed the Best Annual Report trophy, and judges named the 2013 launch of Gasser Chair Company’s ‘Gasser Dazzles’ campaign the top Print Advertising Campaign. Testing lab Gaming Laboratories International (GLI) took top honours in the Best Print Advertisement category. “Gaming companies build the most entertaining properties, create the most innovative games and have the most friendly and attentive employees, but if no one knows about them, how can they experience them?” said Judy Patterson, senior vice president and executive director of the AGA, who served as emcee for the awards presentation.
REVENUES
Usagi fails to blow hole in Macau gaming stats MACAU
espite the disruption to travel caused by Typhoon Usagi at the end of September, gaming revenues in Macau grew 21 per cent during the month, leading to speculation that October’s results could surpass the single-month alltime record. According to the latest statistics from Macau’s
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Gaming Inspection and Coordination Bureau, casinos in the former Portuguese enclave collected $3.6bn (E) from customers during September, up 21 per cent on the prior-year period. Through the first nine months of the year, gaming revenues have increased 17 per cent above the industry-leading $38bn (E) collected by Macau casinos in 2012. The September results
could have been higher if not for the disruption in travel caused by Typhoon Usagi at the end of the month. Ferry services to and from Hong Kong were temporarily cancelled, while ferry services to mainland China took longer to return as ports to the west of Macau felt the effects of the high winds and rain. Usagi, the third typhoon and the nineteenth tropical
storm of the 2013 season in the northwest Pacific, also led to cancellations and delays at Macau International Airport on Sunday, September 22. “Despite several factors that could have potentially disrupted visitation during the month, [September] appears to have finished strong,” Stifel Nicolaus Capital Markets gaming analyst Steven Wieczynski told investors.
outh African casino giant Tsogo Sun is looking to invest ZR1.5bn (E110m) into expanding its Suncoast Casino entertainment complex on the Durban beachfront with a major extension to the gaming floor, a new retail and restaurant complex, 1,500 additional parking bays, a new entertainment area, additional banqueting facilities and an elevated outdoor pool and serviced leisure entertainment deck. The operator submitted the plans as an application to the KwaZulu-Natal Gaming and Betting Board asking for an amendment to its licence to increase the footprint of the property. Tsogo Sun, which is currently investing ZAR220m (E16.1m) on the redevelopment of the Elangeni and Maharani hotel complex, is also applying to increase its gaming machines from 1,450 to 2,350 and its gaming tables from 64 to 80 at Suncoast.
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CYPRUS
INTEGRATED CASINO RESORT
Following the government’s decision to build an integrated casino resort in Cyprus, the Mayors of the island’s five main districts are arguing that multiple casinos would not only be more beneficial but also encourage harmony between the districts.
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Cyprus Mayors battle one casino proposal he Mayors of Cyprus’ five main districts are contesting the government’s decision to create just one integrated casino resort rather than multiple casinos across the island. Basing its findings on a study carried out by private-sector consultants and commissioned by the Cyprus Tourism Organisation, the cabinet announced in July that one licence for an integrated casino resort would be granted, as opposed to several licences for smaller operations. However, the Mayors argue that only one of the
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districts will benefit from the economic boost that the new casino will bring. They believe that there should be a number of licences strategically designed and placed to appeal to the various tourist segments that Cyprus attracts. Limassol Mayor Andreas Christou said he believes it would be fair to give licences to all of the districts as each town has its own strength and can attract different types of visitors. He explained that Limassol has all the required infrastructure and attractions needed to sus-
tain a casino, adding that it is a destination point and place of residence for many Russians who enjoy playing in casinos. Christou concluded that he feels every district should be able to share in the benefits of having a casino and it should not only be reserved for one area. Larnaca Mayor Andreas Louroudjiatis said the creation of a casino resort will bring in more tourism than locals and could rejuvenate Larnaca’s tourist industry. He believes that Larnaca has an ideal geographical location as it is close to all the other towns on the
island, and said that possible sites could include the old airport. Louroudjiatis believes that the decision to build only one casino will increase competitiveness between the districts rather than encouraging them to cooperate with each other, which is important in such a small proximity. Paralimni Mayor Theodoros Pyrillis argued that Paralimni needed a casino more than any of the other towns and that it would help improve winter tourism as well. The decision on who will choose the location for the casino has yet to be
revealed, with plans to approve the proposal due to take place when MPs return. Beyond creating jobs in construction and other services, the project would generate revenue from the gambling tax imposed on the licensee. An integrated casino resort would also offer a number of auxiliary services, including theme parks, restaurants, shops, and malls. The project itself is expected to bring in an investment of between €600-800m, half a million new tourists, and create over 3,000 new jobs.
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YXYXYXY AUSTRIA / BELGIUM / CYPRUS / FINLAND / FRANCE / GREECE / HUNGARY / NETHERLANDS / RUSSIA / SPAIN / UNITED KINGDOM Are Greece’s casinos crumbling?
GREEK TRAGEDY: TURNOVER SHRUNK 11 PC TO E1.12BN, WHILE THE NUMBER OF VISITORS COMING THROUGH THE CASINO DOORS FELL 0.8 PC TO 1.78M. RESORT CASINO
Warnings over Spain’s Eurovegas casino complex SPAIN
M REVENUES
Greek casinos continue to struggle amid downturn GREECE
s Greek consumers continue to reel from the effects of the economic downturn, the country’s casinos are suffering a decline in 2013 for the fifth consecutive year. According to reports emerging from the region, revenue from Greek casinos totalled E119.3m in the year to August 30, down 9.5 per cent on the same period in 2012. Citing statistics from the country’s gaming commission, Greek daily newspaper Ekathimerini said turnover shrunk 11.6 per cent to E1.12bn, while the number of visitors coming through the casino doors fell 0.8 per cent to 1.78m. The total amount of bets placed also fell by 11.6 per cent to reach
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... HE FEELS EVERY DISTRICT SHOULD BE ABLE TO SHARE IN THE BENEFITS OF HAVING A CASINO AND IT SHOULD NOT ONLY BE RESERVED FOR ONE AREA...
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E1.12bn, while the number of punters at casinos declined 0.8 per cent to reach nearly 1.8m. The Greek economy has been among those hit hardest by the downturn in the eurozone. And as operators struggle to draw consumers into their venues, the Greek authorities continue to wage an extensive battle against illegal gaming operations. The country shut down more than 1,000 illegal establishments in 2012, confiscating some 11,000 unlicensed gaming machines and arresting 5,000 thousand people. In the first five months of 2013, police closed 363 illegal casinos, seized over four thousand video lottery terminals and arrested nearly 1,900 more people, charging them with illegal gambling.
adrid’s regional president Ignacio González has warned that Spain could lose the Eurovegas complex of casinos and hotels set to be built on the outskirts of the capital if the government does not change its antismoking laws. The brainchild of Las Vegas Sands CEO and chairman Sheldon Adelson, Eurovegas is set to bring much needed investment and job opportunities to the region, but questions about the financing of the project and the legal framework of the deal have been raised. Adelson wants the Spanish government to adapt the law to allow smoking in his casinos, but a spokesperson for the ministry of health said that although the Madrid regional government wants an exception to the law, at the moment there is no plan to change it. Adelson has warned that he will delay the project if he does not get his way. González said the central government needed to solve the problem as soon as possible, describing the project as being good “not just for this region, but for the whole of Spain.”
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Lawrence Ho
LAWRENCE HO: THE BOARD OF MELCO SAID THAT HE “IS VERY OPTIMISTIC REGARDING THE POTENTIAL OF THE COMPANY IN THE RUSSIAN FAR EAST.”
SYSTEMS RESORT CASINO
WinWin to integrate ComTrade protocol engine
Melco to build gambling resort in Russia RUSSIA
acau-based Melco International Development is constructing a new gaming resort in Russia in an investment deal worth US$700m with the Primorye regional administration in Vladivostock. Announcing the deal, Lawrence Ho, chairman of
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the board of Melco, said that he “is very optimistic regarding the potential of the company in the Russian Far East.” Melco International Development and another Hong Kong listed entity, Summit Ascent Holdings, in which Ho has a 37 per cent stake, will develop the project. Melco and Summit Ascent will buy a combined 51 per cent
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stake in a holding company called Oriental Regent that will develop one casino hotel and possibly a second property. The other partners in the project are Firich with 19 per cent, and Elegant City with 30 per cent. Approximately $70m dollars has already been invested in the resort project. The second development phase will involve a
further investment of US$130m, followed by US$500m in the third phase. The second phase could involve an independent casino controlled by Ho, according to filings from Melco and Summit Ascent, with the investment planned to be completed by 2017. The first phase of the Russian resort is to have a hotel with 119 rooms,
approximately 800 slot machines, 25 VIP gaming tables and 40 mass-market gaming tables, according to filings. The new integrated resort is expected to attract 12m people to the region, which is near the Chinese border, as well as creating up to 1,600 new jobs, with the overall gambling zone to create 20,000 posts.
that it can develop a social space ensuring comprehensive means for sports and cultural activities.
The buyback price will include HUF1bn worth of budget resources along with the termination of
the current owner’s casino concession, which could also cost up to HUF1bn.
CASINO RESORT
End of Hungarian casino dream HUNGARY
he Hungarian government is to repurchase two properties on Budapest’s Hajógyári Island for HUF4bn (€12m) from owners Plaza Centers and partners, which had planned a €1.5bn Dream Island. Plaza had held a 43.5 per cent stake in the prestigious development, which has a land area of 320,000 square metres
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and was intended as a mini Las Vegas on the Danube island. The construction of the Dream Island complex was announced in January 2007 by Plaza Centers and was to include hotels, recreation facilities, a casino, a business and leisure complex. The project was expected to have been completed with an investment of €1.5bn investment by 2012. Following the failure of the completed project, the land is being bought back so
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aming operator WinWin will be integrating the ComTrade Gaming sCore G2S Protocol engine to its gaming machines. A new Austrian law states that all the electronic gaming machines and video lottery terminals in the country have to be connected to the central control system provided by The Federal Computing Centre of Austria - Bundesrechenzentrum (BRZ), an e-government partner of the federal administration. BRZ recently received the task to connect electronic gaming machines and video lottery terminals by means of a central control system as the operation of electronic gaming machines need to be monitored within the scope of legal requirements. ComTrade Gaming sCore platforms operate by connecting terminals from all EGM suppliers to a central server from where terminals can be monitored and configured in real time. The G2S protocol supports all new features in distributed gaming operations, such as event and meters collections, game play control, game download and remote configuration. WinWin currently operates in Austria 13 outlets with 833 terminals.
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Marseille delay
LIFE ON MARS-EILLE: FOR THE TIME BEING, THE OPERATION IS STILL IN ITS PRELIMINARY STAGES AND WILL HAVE TO GO THROUGH A LONG ADMINISTRATION PROCESS.
RELOCATION
RESTRUCTURE
Grand Casino Brussels restructuring defended
New Marseille casino changes location tary-general of Marseille’s city services. The project is not abandoned, however, as the city counhe Municipal Casino of cil has agreed to the construction Marseille will not be devel- of a casino on pier J4, which is oped at the former head- opposite the Mucem and the Villa quarters of the SNCM, a French Méditerranée. ferry company, as it was planned. “In Euroméditerranée’s plans, Despite its size of 20,000 square it was always intended to erect a metres, the location will not be large facility on the plot situated adapted for the installation of on the north section of J4, along gaming facility, according to the quays,” explained JeanJean-Claude Gondard, the secre- Claude Gondard. Proving FRANCE
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investors’ enthusiasm for this site, which has been undergoing renovations since the opening of the cultural facilities, the city has received regular proposals from candidates. It is hoped that the new casino will boost the city’s budget. “We’re aiming for a large establishment which could bring in tens of millions of royalties just with standard operations,” said the head of city administration.
For the time being, the operation is still in its preliminary stages and will have to go through a long administrative process. “The project could be completed in four or five years from now,” said Gondard. During this time, the city will launch a call for projects and will select an operator that it will entrust the management of the establishment via a public service delegation.
CRIME
Casino cheat receives jail sentence for infra-red scam FRANCE
n Italian poker player who used infra-red contact lenses to count cards marked with invisible ink at a French casino has been fined €105,000 and sentenced to two years in prison. The Groupe Lucien Barrièreowned Les Princes casino in Cannes on the French Riveria was taken for €72,000 by 56year-old Stefano Ampollini who bought the infra-red lenses
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online from China for €2,000. A self-confessed ‘player and cheat with an international reputation,’ Ampollini colluded with a member of staff at the casino who agreed to mark cards with the invisible ink. Another Italian accomplice who sat opposite him used a series of codes based on sniffs or snorts to to help Ampollini choose the right cards. Marc Concas, barrister for Lucien Barrière, said: “Security found his behaviour rather strange as he won very easily
and, above all, because he folded twice when he had an excellent hand, suggesting he knew the croupier’s cards.” Once security was called police launched an immediate investigation, which proved staff had manipulated the cards. Ampollini was arrested when two months after the first scam he returned to the casino. His accomplices Gianfranco Tirrito, 55, received a three-year jail sentence, while Rocco Grassanno, 57, got two-and-a-half years in prison.
BELGIUM
he Grand Casino Brussels has defended the internal restructuring carried out by its owners Casinos Austria International Holding (CAIH), stating it was carried out ‘in full transparency and cooperation with all parties concerned, in accordance with the regulations applicable to operators of gambling in Belgium.’ All of CAIH’s activities were transferred to Casinos Austria International Belgium in May, but the operator has been accused in the local media of trying to ‘evade the rules of credit applicable to companies wishing to operate casinos.’ The Brussels public prosecutor subsequently opened an investigation after receiving a record of the move from the Commission of gambling. With net assets amounting to €141m, CAIH said it has the financial capacity that allows it to meet stipulations ‘to achieve a solvency ratio of 40 per cent for licensees A + , namely the protection of payments players.’ “Following internal restructuring undertaken by CAIH, the solvency test as calculated based on the formula established by the regulatory authority can be achieved. This restructuring in no way affect the financial capacity of Casino Brussels,” the casino’s statement added.
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FINANCIALS
Holland Casino under financial supervision HOLLAND
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he Netherland’s stateowned gaming operator Holland Casino has been put under direct super-
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vision in an effort to improve its financial situation, according to reports from local press.
Decreased visitors numbers, as well as lower spend per head has contributed to the company’s debts, which
currently total E60m and could rise to E100m. Turnover has dropped by 30 per cent over the past five
years, a spokesman said. The company announced plans last year to reorganise and cut 400 out of 3,000 jobs.
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Casinos in Belfast?
NORTHERN IRELAND: “THE NORTHERN IRELAND EXECUTIVE HAVE INDICATED THAT THEY ARE NOT PREPARED TO AMEND THE CURRENT LEGISLATION IN RESPECT OF CASINOS.”
CASINO OPENING
PERFORMANCE
Aspers casino opens its doors
Revenue increase for RAY
The new Aspers casino in Milton Keynes has reported that more than 15,000 people visited its new venue in the first week of opening and pledged to help prevent gambling addiction with the launch of a voluntary community action group.
FINLAND
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UNITED KINGDOM
ore than 15,000 people visited the new Aspers casino in Milton Keynes during its first week of opening for business. The 36,500 sq ft venue, which opened in Xscape in early September, features 108 slot machines, 22 gaming tables, a 150-seat poker room and 40-seat restaurant, as well as a 190ins media wall in the sports bar. Having already proved popular with local residents in the first week, Aspers’ operations director Austin Graham told local press that he hoped the momentum continues. “We had 11,000 visitors in the first three days alone,” he commented. The casino firm reportedly expects that an average of 1,250 people will visit the venue every day, spending between £15 and 30 each. The opening of the casino, which is the largest outside London, was welcomed by Mayor Brian White. While recognising that some people have reservations, he said he believes that the casino is a good thing for Milton Keynes. “It’s another positive addition to the city and, operating sensibly and conscientiously, will bring us significant benefits in terms of the economy and job creation,” he commented. The casino has created 250 jobs for local people, and Aspers announced in the first week of September that 43 per cent of the intake had previously been on jobseekers allowance - as part of a concerted effort to offer a career path to the city’s younger people. Just prior to opening its doors to the public, the new casino made a promise to work to prevent gambling addiction with a £175,000-a-year pledge to Milton Keynes Council to help vulnerable people who have become addicted to gambling. Aspers chief operating officer Richard Noble told local press that staff had been trained to exclude customers that didn’t appear to be enjoying their gambling. “We have made a significant commitment to make sure that the people of Milton Keynes enjoy our facilities,” said Noble. The casino firm, which was named Socially Responsible Operator of the Year at the international gaming awards last year, has set up a Community Action for Responsible Gaming group that will offer education to people with gambling issues. The voluntary body will comprise of gambling charities, religious bodies and community representatives, working with the police and the council to address any gambling issues within the community.
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NORTHERN IRELAND
Rank takes an interest in Northern Ireland UNITED KINGDOM
K casino operator Rank Group has said that it wants to create Northern Ireland’s first casino. Should the gambling regulations be relaxed in the country, the plan is to make Belfast a ‘mini Singapore’ according to former Under-Secretary of State for Northern Ireland Sir Richard Needham, who is a non-executive member of Rank’s board. Through its subsidiary Grosvenor Casinos, Rank, the name behind Mecca Bingo, already has 35 casinos in the UK, but has so far been unable to expand to Northern Ireland because of legal restrictions. However, a change in the law in the Republic of Ireland to allow the establishment of 40 small casinos has now turned the focus to Northern Ireland. Gambling laws laid down in 1985 are due to be updated to take account of online gambling and to lift tight advertising rules with the presentation of draft legislation in 2015. However, Social Development Minister Nelson McCausland said that any changes to the law wouldn’t see the current ban on casinos lifted, despite the potential for up to 200 jobs and around £12m of investment from potential investors. “During the public consultation on the
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new gambling legislation, there was some concern expressed on the harmful effects of hard gambling, such as the gambling carried out in casinos,” a DSD spokesman said. “A new gambling bill is currently being drafted and the Northern Ireland Executive have indicated that they are not prepared to amend the current legislation in respect of casinos.” Needham, who said he believes a change in the law will bring a much-needed boost to the economy, envisioned an “entertainment centre” under one roof in the Titanic Quarter of Belfast to include bars, restaurants, theatres, a hotel, a conference centre and casino, with the latter accounting for 20 per cent of revenue. He dismissed suggestions that such an establishment would see an increase in gambling here.
innish state-run gaming operator RahaAutomaattiyhdistys (RAY) has reported a yearon-year increase in revenue in an interim financial report for the second four-month period of 2013. Revenue from January to August increased by 2.1 per cent from last year to €520.2m, with €260.2m generated between May and August. Profit for the eight-month period in 2013 increased by 4.2 per cent to €285.1m. Managing director Velipekka Nummikoski said: “Based on the current forecast, we will meet the profit goal of our budget, although most expenses are due towards the end of the year. Next year looks to be very uncertain for the national economy of Finland, but we will plan and budget our operations in order to secure the benefits for social welfare and health organisations and war veterans. The overall economic recession and the decreasing private consumption are also reflected in slot machine gaming.” Revenue from slot machines that are placed in the premises of RAY’s business partners increased slightly with their share of the gaming revenue almost €389.1m. However, there was a moderate decrease in revenue during the summer. The operator also reported that casino games in restaurants were down by 1.4 per cent compared to last year and revenue for Casino Helsinki decreased by 5.6 per cent.
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Asia & Oceania IDENTITY
In an effort to strengthen the company’s position as a high-end tourism operator, James Packer’s gaming group Crown Limited wants to rebrand itself as Crown Resorts.
Packer encourages Crown rebranding initiative AUSTRALIA
J
ames Packer is moving to change the name of his casino group, Crown Limited, to Crown Resorts, a title he says better reflects its increasing focus on building and running highend tourism facilities. In a recent letter to shareholders that opened the group’s fiscal 2013 annual report, Packer said: “The Crown board has resolved, subject to shareholder approval, that the company change its name from Crown Limited to Crown Resorts Limited. The change of the company name is timely, given the large investment Crown has made in its tourism infrastructure over the last
14 | casinoreview October 2013
few years and its expanding domestic and international investments.” “My vision for Crown sees us as a leading global luxury brand, with a clear focus on Asian tourism,” Packer wrote. Crown has asked shareholders to vote on the name change at its October 30 annual meeting. The rebranding initiative came as Crown announced revenues of A$2.9bn (Ebn) for the 12 months to June 30, 2013, up 3.6 per cent on the previous year. Net profit totalled A$395.8m. Crown Melbourne and Crown Perth achieved normalised EBITDA growth of 6.9 per
cent and normalised revenue growth of 5.6 per cent. Crown’s operating cash flow was $496.2m for the 12 months. Crown, one of Australia's largest gaming and entertainment groups, continues to push ahead with plans for mixed-use resorts in Sydney and Sri LanKa, adding to the casinos it operates in Melbourne, Perth and Macau. “The significant investment we have made in our Australian resorts has ensured they remain two of Australia’s premier tourist destinations, capable of competing with the best tourist facilities in the Asian region,” Packer
stated. “The all-encompassing transformation of our properties has reinforced Crown’s position as one of the region’s leading operators of integrated resorts.” In July 2013, the New South Wales Government invited Crown to advance to Stage Three of the New South Wales Unsolicited Proposal process in respect of its proposed development and operation of a six-star hotel resort at Barangaroo South on Sydney Harbour. Crown said it continues to work with the New South Wales Government as part of this process. In Macau, meanwhile,
Melco Crown Entertainment’s (MCE) development pipeline continues to progress. MCE’s Studio City is on track and is due to open in mid-2015, Packer said. The Crown subsidiary is also moving forward with plans for a fifth hotel tower at City of Dreams and anticipates that construction will commence by the end of 2013. MCE also has an interest in a consortium to develop and operate an integrated resort in Manila, Philippines, which is expected to open in the middle of 2014. Packer said: “These exciting development opportunities are key components of MCE’s strategy to diver-
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YXYXYXY James Packer
CROWNING GLORY: “MY VISION FOR CROWN SEES US AS A LEADING GLOBAL LUXURY BRAND, WITH A CLEAR FOCUS ON ASIAN TOURISM.” ELECTRONIC GAMING The future Sydney skyline? Crown continues to work with the New South Wales Government
Intralot selected for voluntary pre-commitment scheme Intralot Gaming Services has been selected by the Victorian State Government in Australia to implement a voluntary pre-commitment scheme for electronic gaming machines across the state.
AUSTRALIA
sify its revenue streams, maximise return on invested capital and drive long term shareholder value.” In the year ahead, Crown will be focusing on the performance of its Australian resorts, including a continued focus on cost control. “We will progress the Crown Sydney Hotel Resort proposal and the Crown Towers Perth development,” Packer said. “We will also continue to invest in Australia’s tourism infrastructure, demonstrating our confidence in the ability of our integrated resorts to effectively compete as world-class tourist destinations.”
ntralot Gaming Services, a wholly owned subsidiary of Intralot Australia, has been selected as the preferred provider by the Victorian State Government in Australia, to implement a voluntary pre-commitment scheme for the approximately 27,500 electronic gaming machines across the state, including those in casinos. The pre-commitment scheme is planned to be in place from December 1, 2015 subject to the enactment of legislation, the issuing of a Ministerial direction and successful contract negotiations. Intralot will operate the pre-commitment scheme until 2027. The Minister for Liquor and Gaming Regulation, Edward O’ Donohue MLC, commented: “The Coalition Government made an election commitment to introduce voluntary precommitment, and is the first government in Australia to do so. Precommitment is a vital harm minimisation and consumer protection
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measure that will help players control their gambling and avoid it escalating to harmful levels. I am pleased to announce that the monitoring licensee, Intralot Gaming Services, has been determined to be the preferred provider. With the company’s monitoring equipment already installed in Victoria, this option requires the least cost and effort for operators, and less duplication of infrastructure.” Antonis Markopoulos, Intralot’s deputy managing director Asia Pacific, said: “This decision follows our successful implementation of the monitoring licence project in Victoria, which culminated in the successful completion of gaming venue migration in early 2013. We look forward to successfully completing contractual negotiations with the State Government on pre-commitment in the near future. We also look forward to delivering this important project to the state to the highest quality, within budget and on time.” Peter Sidwell, chairman of Intralot
Australia, heralded the decision citing the pre-commitment technology solution as “best of breed”. He added: “Pre-commitment represents a maturing of the social consciousness in regard to Responsible Gaming. We are delighted to be leaders in this important development.” The Victorian pre-commitment scheme will be voluntary for players. It will, however, be mandatory on all gaming machines operating in Victoria including at Crown Casino. Players will be able to set time and amount limits on any electronic gaming machine, track their play across the state and electronically access their personalised information at any gaming venue. In September 2011, Intralot Gaming Services Pty was awarded the Electronic Gaming Machine (EGM) Monitoring Licence for a period of 15 years. Over 25,000 EGMs in Victoria have been already connected to and monitored by the iGEM electronic monitoring system supplied and operated by Intralot. October 2013 casinoreview
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Asia & Oceania
Expectations high in Japan
TALKING JAPANESE: THE POTENTIAL IS HUGE...IF THE COUNTRY ALLOWS INTEGRATED RESORTS THE MARKET COULD BE IN EXCESS OF $10BN TO $15B OR MORE. NEW TERRITORIES
Legalisation in Japan edges closer Japan’s legislators look like they are about to move on legalising casinos faster than analysts originally anticipated, leaving many to predict that the country will become a haven for gaming, with investment proposals from the US already on the cards.
JAPAN
There is increasing potential in Japan’s gaming industry as the country’s legislators could be about to move on legalising casinos quicker than was initially thought. Lawmakers are set to submit a bill on the next legislative session, expected to begin in October, in another attempt to have their proposal passed by next year. The decision to hold the 2020 Olympic Games in Japan’s capital Tokyo has undoubtedly helped casino gaming gain momentum in the country, which according to Bloomberg Industries analyst Tim Craighead, “could benefit from both its proximity to China and their appetite for VIP and mass-
market gaming and luxury shopping, and being a business centre with huge convention possibilities.” Many have predicted that Japan will become a gaming haven, next to Macau, with tycoons already making proposals for investments in the country while waiting for the green light. Lawrence Ho, son of Macau gambling tycoon Stanley Ho, said in an interview recently that he plans to invest more than $5bn in Japan if Melco Crown Entertainment receives permission to build a casino there as he sees constraints on development at home. Ho, who has been lobbying multiple Cabinet members for the legalisation of casinos, added that “the potential is huge” and if the country opens up and allows inte-
biggest gaming market in the world.” Although it is widely given that legalisation would bring a revamp of the country’s economy, not everyone is as optimistic, with some fearing that it may open doors for corruption and money laundering. CLSA Asia-Pacific analyst Jay Defibaugh believes that Japan will legalise casinos as soon as October or November, starting the race grated resorts in Tokyo, several billion dollars in the to licence and open resorts Osaka, he expects that the country, which according to by 2019 or 2020. “Victory for market could be in excess of Union Gaming Group, Tokyo’s Olympic bid is ben$10bn to $15bn, or more. would generate an esti- eficial for legislation to Wynn Resorts, MGM mated $10bn in casino rev- legalise casinos,” he said. Resorts International, Las enue a year should the “We have all the ingredients Vegas Sands and Caesars market open up. Mel- to make it happen, so anyEntertainment are also bourne-based Crown thing that gets the adminisseeking expansion opportu- Casino has also shown inter- tration to put a high priority nities, with Wynn and MGM est in setting up shop, with on casinos versus all the executives stating that their its owner claiming that other issues they’re dealing companies would invest Japan could be the “second with is good.”
REVENUES
CASINO RESORT
Macau gambling revenue rises 17.6 per cent MACAU
ambling revenue in Macau rose 17.6 per cent in August yearon-year, maintained by a steady flow of Chinese gamblers to China's casino hub. August’s revenue of 30.7bn patacas (€2.8bn) was the second strongest figure this year, according to government data was released recently. The record is currently held by March 2013 when Macau’s casinos earned 31.3bn patacas. Analysts had forecast August growth in the
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16 | casinoreview October 2013
world’s biggest gambling market to be up 17-19 per cent (between 30.5bn patacas and 30.9bn patacas). Macau’s gambling revenues are closely paired with China’s economy as more than two-thirds of its visitors coming from the mainland. The majority of its tourists - termed ‘mass market’ spenders - are increasing in numbers at a faster pace compared to VIP spenders. Casino operators are keen to reduce their reliance on these high rollers, who currently pull in close to 70 per cent of total gambling revenue.
SJM investment will triple size of casino resort MACAU
S
JM Holdings plans to invest in land that will triple the size of its planned casino resort in Macau’s Cotai area. Founded by gambling tycoon Stanley Ho, SJM will buy a stake in a neighbouring plot controlled by the mother of Ho’s youngest children, according to CEO Ambrose So. The Asia casino operator
plans to complete terms of the purchase by the end of this year. SJM is expanding in the Cotai area in order to catch up with rivals including Sands China and Galaxy Entertainment Group. SJM runs 20 of Macau’s 35 casinos but has none in Cotai and is the last of the Chinese city’s six casino operators to receive government approval to develop the resort in the area.
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Asia & Oceania
Echo hopes for rising Star 54
ECHO: “WE HAVE A WONDERFUL OPPORTUNITY TO BE AT THE FOREFRONT OF THAT TOURISM PUSH AND WE CONTINUE TO WORK WITH THE GOVERNMENT TO HELP DRIVE THOSE PLANS.”
OPERATION
Solaire Resort operator terminates GGAM contract MARKETING PHILIPPINES
he operator of Solaire Resort, the Philippines’ largest casino, has terminated its management contract with Las Vegas-based Global Gaming Asset Management (GGAM). In a disclosure to the Stock Exchange, Solaire parent company, Bloomberry Resorts, said it is terminating its management services agreement for failing to perform its obligations. “GGAM has not spent any material time in attending to the management of Solaire and has failed to perform its obligations and deliverables under the management services agreement,” the disclosure read. “However, many members of the existing management team are very capable and will continue to manage Solaire effectively without GGAM and its representative,” it added. Bloomberry said it would now hire an “experienced casino hotel executive” to replace Solaire chief operating officer Michael French, who is GGAM’s representative in the venture. It also added
Junket deal to attract more tourists
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PHILIPPINES
L that GGAM had put the case under arbitration as provided for by the management contract. A spokesperson for GGAM responded to the accusation stating: “Bloomberry Resorts Corporation’s assertions regarding GGAM’s performance of its obligations under the Management Services Agreement have no factual or legal validity. Bloomberry has materially breached that agreement and GGAM is pursuing
its rights under that contract in arbitration in Singapore.” The dispute between the two companies came just a few months after Solaire was opened to the public in mid-March. Solaire’s $1.2bn resort the first of four billion-dollar casinos planned in Manila Bay. Bloomberry and Solaire are controlled by billionaire Philippine ports baron Enrique Razon, one of the country’s wealthiest men.
eisure & Resorts World Corporation (LRWC) is boosting junket gaming operations in a deal with Philippine Amusement and Gaming Corporation (PAGCOR) to ensure more foreign players and tourists are brought onto its gaming floor. In a disclosure to the Philippine Stock Exchange, the owners of Midas Hotel and Casino said its wholly owned subsidiary Prime Investment Korea had executed a supplement junket deal with PAGCOR to enhance existing junket operations by offering additional services. “The supplementary services shall include oper-
ating gaming tables equipped with high definition video cameras, VOIP (voice over Internet protocol) facilities, Internet data facilities, among others, which shall allow PIKI to broadcast PAGCORapproved table gaming activities from within the gaming rooms to PAGCORapproved locations outside the Casino Filipino-Midas,” the disclosure read. LRWC revealed that the supplementary services would permit PAGCOR and Prime Investment to tap into foreign gaming markets to attract foreign tourist into the Philippines. Midas Hotel confirmed it would partner with regulator PAGCOR to offer junkets for three years with an option to renew.
CASINO DEVELOPMENT
Laos casino development plans put on hold LAOS
espite the prospect of more Chinese gamblers visiting the Savan Vegas casino and hotel in Savannakhet province, Macau-based Sanum Investment has put its development plans for Laos on hold due to diminished confidence in doing business in the country. Since the business was established in 2008, the number of gamblers had grown, with the casino currently attracting between 8,000 to 10,000 players a
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18 | casinoreview October 2013
month. However the operator has stalled any development plans following the government’s move to take control of Thanaleng Slot Machine Club near Vientiane. According to Sanum executive vice president Richard Pipes, the company had also been hit with an unexpected tax bill for US$23m. “Although we see a bright outlook for the gaming business in Laos, we’re not confident to expand our business now,” he said. “The government has to ensure foreign investors that their assets will be safe.”
An increase in Chinese investors, as well as tourists in Laos, has opened new opportunities for the casino, such as doubling the number of its VIP rooms to 12 and adding a Chinese-themed wing to its operation. It had also discussed investing up to $3m in upgrading the local airport. But the onset of legal complications with minority partner ST Group, and the uncertainty of government seizure has left the group unwilling to make any more investments until its future is more guaranteed.
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Africa & Middle East INVESTMENT GPI will hold a direct stake of 5.6 per cent in Sibaya Casino
GPI has its fingers in a few casino operations in South Africa and has been quietly pleased with their contributions over the past financial year.
Casino investments contribute to GPI’s 13.6 per cent growth SOUTH AFRICA
G
rand Parade Investments (GPI), the South African investment group with strong links to the gaming industry, has revealed a steady profit in its casino investments over the past 12 months. Despite a slowdown in South Africa’s economic growth, GPI reported 13.6 per cent growth in group revenue. While much of the growth was from GPI’s Limited Payout Machines (LPM) which saw an increase in Gross Gaming Revenue (GGR) of 17.1 per cent, the casino side of the business has also been holding its own. GPI holds a significant minority stake in Sun International’s SunWest, the operator of Cape Town’s cash-spinning GrandWest Casino, which had a 4.9 per cent increase in revenue and 6.0 per cent in EBITDA. This translated in a 51.6 per cent increase in after tax profit. Although The Table Bay Hotel reflected an after tax loss, its per-
20 | casinoreview October 2013
formance has improved from the previous year and EBITDA rose by 210 per cent. SunWest declared an increased dividend of R475m (E34.8m), an increase of 46.2 per cent. Golden Valley Casino revenue remained flat on last year. Although EBITDA decreased by 3.8 per cent, attributable earnings increased by 255.9 per cent. During the 12 months ending 30 June 2013, GPI also acquired the remaining stake in Akhona GPI which, once the conditions precedent are finalised, will result in GPI holding a direct stake of 5.6 per cent in Sibaya Casino. With the perceived success of its casino investments it is understandable that GPI took a look at Peermont, South Africa’s third biggest casino operator, with a view to taking a significant stake in the troubled company. Peermont has three casino in Botswana to go alongside the seven it operates in South
Africa, including the respected Emperors Palace in Johannesburg. GPI CEO Alan Keet said: “During the year we spent a significant amount of time in negotiating with the various parties related to Peermont Global Limited. Unfortunately, we have been unable to reach a mutual agreement and have decided to terminate all negotiations.” The collapse would have been a particular disappointment to GPI chairman Hassen Adams, who has wanted the company to control and operate its own casinos for a considerable amount of time. It would have been extremely disappointing for Peermont though as well. The operator is struggling under a high debt burden which it has not been able to shift over the past few years. According to reports, firm’s capital and reserves are reflected as almost R2bn (E146m) in the red.
Peermont said in a statement: “The investment by GPI in the group would have affected the group’s ultimate shareholding post-recapitalisation, but that investment is not needed to successfully complete the recapitalisation. The group continues to negotiate the key terms of, and documentation for, the recapitalisation with its stakeholders and third party funders. There can be no assurance that any of these efforts will lead to a definitive agreement and/or successful completion of the recapitalisation or any other transaction involving the group’s capital structure.” If the deal had come to fruition, it would have signalled a shift in the South African gaming sector’s make-up as it is highly likely that GPI would have had to sell off its interests in Sun International businesses as otherwise it would be competing against itself.
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SOUTH AFRICA / TUNISIA
YXYXYXY Tsogo Sun eyes expansion 4
SUNCOAST EXPANSION: TSOGO SUN IS LOOKING TO INVEST ZR1.5BN INTO EXPANDING ITS SUNCOAST CASINO ENTERTAINMENT COMPLEX ON THE DURBAN BEACHFRONT. SLOTS
DEVELOPMENT
Slots tournament offers R1.1m jackpot
Sousse banking on new casino
POKER
SOUTH AFRICA TUNISIA
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Emperors Palace in Johannesburg
High rollers head to the Emperors Palace SOUTH AFRICA
oker tournament organiser the World Poker Tour has announced plans to take its Alpha8 super high-roller tournament to South Africa. The US$100,000 WPT Alpha8 Johannesburg will be held on Valentine’s Day next year at the Emperors Palace Casino. The twoday tournament will also be filmed for broadcast on FOX Sports 1. “South Africa is home to one of the most enthusiastic poker communities anywhere, and the gorgeous Emperors Palace Casino is truly a one-of-a-kind gaming destination,” said WPT president Adam Pliska. “The resort offers everything the discerning, high-stakes player wants, whether it’s world-class poker or the chance to enjoy an unforgettable vacation in one of the world’s most beautiful and exclusive destinations. Emperors Palace truly epitomises
P
what Alpha8 is all about.” Peermont & Emperors Palace chief operating officer for gaming Bob Yearham added: “Poker is one of the fastest growing games in South Africa and an event like WPT Alpha8 is going to be a huge draw for players from all across the country. Combine that with the fact this event is taking place at the height of summer in South Africa, and this will truly be a must-attend event for players seeking an unforgettable poker experience.” All players at WPT Alpha8 Johannesburg will receive VIP ground transportation to the resort, one week’s complimentary accommodation at the Doreale Grande Hotel, a dedicated VIP host, and an invitation to a free, two-night safari. It will be the third Alpha8 event after the first one in Florida and a second due to be held in London at Mayfair’s Palm Beach Casino at the end of October.
sogo Sun’s first-ever nationwide Slots Factor Tournament had players competing for the chance to win a guaranteed R1.1m (E80,000). The top ten scorers at the national finals also received a share of R1.4m (E100,000). Qualifying rounds ran at all 14 of Tsogo Sun’s casinosfrom the middle of July. The participating casinos include Silverstar Casino (Johannesburg); Garden Route Casino (Mossel Bay); Goldfields Casino (Welkom); Blackrock Casino (Newcastle); Emnotweni Casino (Nelspruit); The Ridge Casino (Witbank); Mykonos Casino (Langebaan); Suncoast Casino (Durban); Hemingways Casino (East London); The Caledon Casino (Caledon); Golden Horse Casino (Pietermaritzburg); Gold Reef City (Johannesburg), Queens Casino (Queenstown) and Montecasino (Fourways). The top credit earners in the qualifying rounds competed in semi-finals taking place at each property before the highest scorers from each of the casinos were taken to Johannesburg to compete in the national competition at the Montecasino. Steve Hight, director of gaming at Tsogo Sun, said: “Being our first-ever national slots competition, we are thrilled with the response to The Slots Factor. Players have showed up in their droves at our casinos to buy-in and each week, semi-finalists are being added to the ranks. Never before have we awarded such a high bounty in a single slots tournament.”
isitors to the tourist resort of Sousse in Tunisia will soon be able to incorporate a trip to a luxury casino into their itinerary. The new Casino Europe resort has been built with an eye for detail and a taste of the spectacular which it will likely need in what has traditionally been a tough gaming market. President Takeo Yamamoto explained: “Casino Europe is the culmination of a E10m investment. Painstaking attention has been paid to every aspect of the architecture and interior design in order to make this one of the finest gaming entertainment experiences on the Mediterranean coastline.” Casino Europe spans 3,000sqm across two floors of the beachfront, with 2,700sqm of gaming space split equally between electronic gaming machines and live gaming. The casino incorporates a stage area for live entertainment performances and there is also a further 300sqm of restaurant, bar and facilities. Casino Europe’s general manager Nizar Lachtar added: “With the very best craftsmanship being employed in the décor, it was vital that we offer customers the highest quality games on which to play.”
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Takeo Yamamoto and Nizar Lachtar
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North America INVESTMENT
Despite posting its smallest-ever gaming revenue total in August, Horseshoe Casino in Cleveland, Ohio, has ambitious plans for expansion.
Horseshoe Casino expan with pedestrian walkway UNITED STATES
O
hio’s bricks-and-mortar casino industry is still in comparative infancy, but one operation, however, has taken the initiative to expand its premises and in doing so strengthen its revenue generating proposition. The Horseshoe Casino Cleveland, owned by Caesars Entertainment Corp. and Rock Gaming, opened in May 2012, and had, up until very recently, been the state’s most lucrative casino. In August, however, the property reported its smallest gaming revenue total since it opened.
22 | casinoreview October 2013
To counter this, the casino has plans for expansion. In September, construction began on a pedestrian walkway that will connect the casino’s valet and self-parking garage to the second floor of the casino, so that guests will no longer be forced to cross the street. The walkway will span 175 feet across Ontario Street and Prospect Avenue. Marcus Glover, senior VP and general manager of Horseshoe Cleveland, told local press about the walkway and the gambling landscape in Cleveland.
He stated: “It was always considered as part of the overall casino development. There was an approval process that didn’t allow us to open it at the same time as the casino. We had always contemplated this, but we respected the process, and now here we are. We are ready to begin construction on the pedestrian bridge that hopefully will allow us to open it during the first part of next year. The way we view the walkway is something that is additive to the casino. It isn’t replacing anything. People could
chose the direct entry into the casino, or continue to cross Ontario and Prospect. We believe it will be more complimentary. It adds a convenience factor, as people won’t have to venture out into the elements during the winter months.” Having had a year to reflect on a year since the casino opened, Glover believes that demand is still strong for gambling in Cleveland. He added: “We continue to see tens of thousands of people come through our doors daily. Again, the casino has never been positioned as a savoir
to downtown Cleveland. We have always said that what the casino will add is another element or destination in the experience of the city. Before the casino, people would come downtown and not have this option. It is purely another piece of the puzzle for the downtown Cleveland experience.” Glover concluded: “The poker room is doing fine and remains strong. We continue to have a lot of followership and a lot of participants come into it daily. The poker room is going very well. We are always
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UNITED STATES Geoff Freeman, AGA 30
BAD ACTING: “BAD ACTORS - THOSE THAT REMAINED IN THE MARKET AFTER 1 JANUARY FOLLOWING UIGEA - SHOULD BE PENALISED...”
NORTH AMERICA ROUNDUP
pands way looking to see how we can make our poker offerings better. I can’t share with you plans that we have right now, but we are always looking to make the experience more compelling for every guest who comes in here, and poker is a part of what we do. The WSOP brand always keeps poker at the top of the mind for anything our casino does. So, we are always looking to add more attractive games and increase the scope. When we find an opportunity that makes sense for the grand scheme, we will engage.”
Genting has been ferrying customers from Miami to gamble in Bimini
ne of the US’s largest gaming attractions, the Pechanga Resorts and Casino, is undergoing a multi-million dollar renovation which will see its hotel
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island from Miami by Genting’s cruise ship. Back in the States, Wynn Resorts is reportedly planning on running a New Jersey online
lobby, check-in, three restaurants, retail gift store and night club be revamped. Pechanga Development Corporation president Patrick Murphy explained: “The property is now a little over 10 years old and it is time for a renovation of our grand entry and some of the restaurants. Quality has always been a cornerstone of our success and we are always looking at giving our guests the very best experience possible.” Environmental activists in the Bahaman island of Bimini are threatening to launch a Judicial Review challenge to the nation’s government and Genting Group over the excessive development on the island. Genting is investing around $300m transforming the small island state into a top gaming destination, but Fred Smith QC told the local Bimini paper that the manner in which Genting’s $150m hotel and cruise ship dock had been approved ‘certainly’ made the project a candidate for legal challenge in the courts. Smith, working with the Save the Bays activist group, added that Bimini’s infrastructure could not support the massive influx of tourists brought to the
casino operation from the property of one of its main competitors Caesars Entertainment. The new online gaming regulations in the state require operators to have their casino hardware in a New Jersey-licensed casino, but Wynn doesn’t own any of the Atlantic City casinos that are looking to take advantage of deregulation. Instead, it appears to have come to an arrangement to ‘lodge’, with Caesars an obvious partner as both firms are working with 888 Holdings for an online presence. Similar deals may become commonplace as online brands decide they want a slice of the New Jersey market. Meanwhile, Caesars Interactive Entertainment has launched its World Series Of Poker (WSOP) brand online in Nevada. Mitch Garber, CEO of CIE, commented: “The launch of WSOP.com in the US is the culmination of over eight years in which Caesars has developed the world’s most prominent poker brand since its acquisition of WSOP brand in 2005. I’m excited to see we have met our goals in making this prospect a reality, in what I am sure marks a new era for US regulated gaming.” Octoberr 2013 casinoreview
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North America
G2E 2013
G2E: THE GAMING SHOW FLOOR THIS YEAR WAS NEARLY 10PC LARGER THAN G2E 2012 AND THE LARGEST SHOWCASE SINCE THE GLOBAL ECONOMIC DOWNTURN IN 2008.
MACHINES ESTATE
OPERATIONS
Caesars makes largest gaming re-investment in 10 years UNITED STATES
aesars Entertainment is to buy 7,000 AVP Video Poker terminals from International Game Technology (IGT), broken down into 3,600 G20 Uprights, 2,400 Universal Slant cabinets and 1,000 G20 Bar Tops. The new machines will replace existing units in Caesars Entertainment-operated resorts across the country and will be part of the largest gaming re-investment the company has made in 10 years. Melissa Price, Caesars Entertainment senior vice president of gaming, commented: “Enriching the guest experience is our number one priority at our casinos
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and resorts across the country. This is just one of many initiatives Caesars has undertaken over the last several years - from the addition of new hospitality amenities across our resorts to fully new developments in existing gaming markets and beyond - to ensure a superior guest experience. Our decision to partner with IGT for our video poker slots is a reflection of the confidence we have in their products. We’re excited to deliver to our players the most modern, state-of-the-art gaming experience available and feel confident these units will serve us for years to come.” Eric Tom, executive vice president of global sales at IGT, said: “Our S2000 platform has provided best-inclass performance for many years and we are excited to take the game to the next level for Caesars with our AVP platform.” AVP accommodates all the classic video poker titles that players enjoy, while also leaving room for future, custom configurations.
Illinois Gaming Board considers 24/7 casino operation
UNITED STATES
he Illinois Gaming Board is considering a proposal to introduce round-the-clock casino gambling in the US state as part of a move to boost its flagging gaming industry. The move came after a report showing that both gaming revenues and taxes paid to the state had dropped by 35 per cent over the last five years was issued to the board by a casino industry representative. Casinos in Illinois are currently required to close for at least two hours every day. Tom Swoike of the Illinois Casino Gaming Association said that round-the-clock operations would help to generate about US$5m (E3.8m) more annually
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in tax income for the state. “Twenty-four-hour gaming already exists in the state at the truck stops,” he added. “The state does not receive as much revenue from the truck stops as they do from the casinos because we pay at a higher tax rate.” Those opposed to the proposal believe the current two-hour closure window is the only way to help get addicted gamblers out of casinos and have suggested that video gaming machines at truck stops should also be turned off for the same two-hour period. An Illinois Gaming Board spokesman said a decision would be made on the proposal by the end of the year.
LEGISLATION
NEW CONCEPT
‘Obamacare’ hits Hollywood Casino staff
Scores Atlan
UNITED STATES
ollywood Casino in Grantville, Pennsylvania has told its part-time workers that they may no longer work over 30 hours, citing Obamacare (the unofficial name for The Patient Protection and Affordable Care Act) as the reason. “Not the first, won't be the last,” Gene Barr of the Pennsylvania Chamber of Business and Industry told local press. “The casino is
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24 | casinoreview October 2013
clearly one of many. We’re going to see more and more of this.” Barr added: “Government has decided that you as a business will pay this if you meet a certain size. They've put these conditions on and of course companies will have to work around and with those conditions in order to make sure they can stay as a successful business. Businesses have to take the steps they can to keep themselves profitable and keep the people that are now in work employed.” Hollywood Casino is not alone in cutting hours to
avoid Obamacare penalties and fines, but some Pennsylvania Democratic politicians say Hollywood Casino and other businesses bracing for Obamacare are simply being parsimonious. “We do need everybody in society to try and put the good of Pennsylvania, and the good of the country first and stop being so darn selfish about every last penny,” said Democratic gubernatorial candidate John Hanger. According to the Congressional Budget Office (CBO), Obamacare is projected to cost employers $130bn in Obamacare penalties.
UNITED STATES
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cores Atlantic City, a $25m adult entertainment arena located on the second level of Trump Taj Mahal Casino Hotel, has officially opened its doors. “What we’ve created at Scores Atlantic City is a high-tech social and sensory playground built entirely around the pursuit of escape and fantasy. This is a sprawl-
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Leaders confirmed for casino referendum campaign UNITED STATES
es for Palmer has announced that Elaine Boone and David Whitney have been appointed to committee chair and treasurer of its casino referendum campaign. The campaign, in support of Mohegan Sun Massachusetts building a $1bn resort casino in Palmer near the Massachusetts Turnpike exit, will focus its grassroots efforts to ensure the casino referendum passes in the community on November 5, according to a press release from Yes for Palmer. “The Yes for Palmer Campaign will work to inform the residents of Palmer about the many details involved in the Mohegan Sun Massachusetts project and the economic benefits the resort casino will bring to Palmer,” said Boone, chairwoman of the Yes for Palmer Campaign. “Passing the referendum vote will bring us one step closer to having opportunities in Palmer that will revitalise our local economy. We encourage all residents to Vote Yes for Palmer on November 5.” Boone was named president and CEO of Palmer Trailer Sales in 2011. She has served on many town committees as well as three consecutive terms on the Palmer Board of Selectmen. New treasurer Whitney concluded: “This is the most important referendum vote in Palmer’s history. We have an opportunity to create thousands of new jobs and add millions of dollars to town coffers every year.”
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Atlantic City officially opens ing complex with 36,000sq.ft to explore, discover and enjoy,” said Bob Gans, managing partner of Scores Atlantic City. In addition to live dancers who mingle with guests, Scores offers seven venues within the themed complex. Each space offers a different entertainment experience so everyone can find their ideal night out with the benefit of
location offering convenience and safety inside the Taj Mahal Casino Hotel’s resort. Among the venues are The Libertine Room, a high-stakes VIP salon branded as a super-lux celebrity and high-roller lounge where admission is by reservation only through a private entrance and the Deck at Scores, an outdoor area on The Boardwalk. October 2013 casinoreview
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WHY INTERNATIONAL CASINO REVIEW IS THE INDUSTRY’S MEDIA PARTNER OF CHOICE! B
C
A
THE BEST WAY TO REACH OPERATORS A
C
84.2%
2%
Operators
Regulators/Government/Law
Global Circulation
Readership breakdown by sector
B
16,844
13.8% Suppliers
A READERSHIP OF INFLUENCERS AND DECISION MAKERS A
C
30.1%
20.4%
C-Levels (chairman, president, CEO, partners)
C
D
46.6%
2.9%
D
A
USA/CANADA/CARIBBEAN
Senior management (Operational managers, sales/ marketing/PR managers…)
B
Managing directors/ general managers
B
2,004 11.9%
Readership breakdown by job title
Others (senior game designers, financial directors…)
B
C
D
A
INCREASING CROSS CHANNEL READERSHIP A
C
62.9%
2.5%
B
D
16%
18.6%
Land based casino Readership breakdown by type of gaming
Slot halls/Street gaming
PRINT 4,061
Lottery
Online/Mobile
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WESTERN EUROPE
10,072 59.8%
CENTRAL & EASTERN EUROPE
1,769 10.5% ASIA PACIFIC
1,465 8.7% MIDDLE EAST/AFRICA/SOUTH AFRICA
539
3.2%
CENTRAL & SOUTH AMERICA
995
5.9%
CIRCULATION BREAKDOWN DIGITAL 12,783
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South & Central America CONFERENCE OVERVIEW
While the economies of South America continue to grow, political headwinds and the potential for oversupply have seen hoteliers and casino operators on the continent proceed with an element of caution.
Opportunities still exist in South America ARGENTINA
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espite growing internal affluence, it’s a case of consolidation and maturation overall rather than expansion in terms of new hotel casinos in South America in the view of Arturo Garcia Rosa, president of HVS Argentina and president of the South American Hotel & Tourism Investment Conference. “South America is still full of opportunities, but we just need to be a bit more careful,” said Arturo Garcia Rosa, during the opening session of the conference, which attracted approximately 400 people. “The hotel business has started to grow in the region. As a community we see this business is starting to mature right now.” Challenges in some South American markets include potential oversupply and political red tape. Colombia as a country poses a risk because of the former, while Montevideo, the capital of Uruguay, is risky because of the latter,
28 | casinoreview October 2013
according to Garcia Rosa. While the numbers remain higher than world averages, South American inbound visitation fell from 7 per cent growth to 4 per cent growth between 2012 and 2013, according to HVS Argentina figures. Brazil remains the top spot for inbound traffic; Peru, Uruguay and Colombia are a few of the countries that are growing rather than declining. In Peru, the tourism is “very consolidated,” said Adolfo Scheel Mayenberger, corporate opera-
tions manager for GHL Group Hotels. “Lima receives a lot of tourists who go there before Machu Picchu. Lima is one of the most sustainable market cities.” Fernando Fernandez, VP of development at major resort hotel/casino chain Meliá Hotels International, said: “Colombia, Peru, Chile - of course those are important countries. The Latin American middle classes are growing exponentially.” In Bogota, where occupancy is decreasing slightly,
there is “some concern over market conditions and government policies.” While Colombia overall is seeing a heightened development interest because of a longterm tax incentive program, there is not as much demand as expected, said Garcia Rosa. In Buenos Aires and Lima, occupancy continues to rise. Montevideo, experiencing significant occupancy declines, is one of the markets that investors are cautioned to stay away from, Garcia Rosa said. Rio de Janeiro is “a marvellous market,” he marvelled. The market’s “slight decline” in occupancy is of no concern because there is enough long-term demand. In Argentina, where there are 70 casinos, his advice was to be patient. “When you talk with international investors, they say it’s not Argentina’s time right now,” he explained. “The price of foreign currency is quite problematic. But there will be congress
elections in October, and the primaries showed a clear sign that change will come.” Brazil remains the top country with the most opportunity in South America, panellists at SAHIC agreed. “There are hundreds of hotels being built in Brazil - about 40,000 rooms,” said Garcia Rosa. Outside of Brazil, the countries with the largest development pipelines are Colombia, with 3,705 rooms, and Paraguay, with 796 rooms, according to HVS Argentina figures. “There has been some slowdown in the pipeline, and some markets may have greater supply than demand,” said Garcia Rosa. “However, when looking at expectations, remember that today we have almost 25 million incoming tourists. We expect that figure to almost double. Add to this the product, the growing economies, and the scenario you see is quite positive.”
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ARGENTINA / PERU / TRINIDAD & TOBAGO SAGSE 2013 63
SAGSE 2013: “SAGSE BUENOS AIRES WITH ITS SIZE, INTERNATIONALITY, QUANTITY AND QUALITY OF EXHIBITORS AND VISITORS THE MOST IMPORTANT EXHIBITIONS IN THE WORLD.”
SOUTH AMERICA ROUND UP upport has been growing in the Argentinian province of Neuquén for proposals to nationalise the state’s casinos. The proposals, first announced in May, would see profits from the 23 casinos go to local governments, the provinces’ healthcare and educations funds and a gaming control board with a 50/30/20 split respectively. However, the provincial government said it would do nothing without a show of local support and this has just been provided in the shape of a petition containing 15,000+ signatures. Nationalisation would be almost impossible for the private casino operators to avoid in Neuquén as many of the licences there are due to expire at the end of next year. The casino licences of seven provincial
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Some Argentinian casinos may get nationalised
Chilean cities are to be extended by the central government after concern that their closure would hit the local economies hard. The licences of the municipal casinos were due to expire on 31 December 2015, but complaints from the city mayors have seen the government decide to extend the licences by a further 15 years. It has also been reported that a new law will be introduced that will gradually see the municipal casinos come under the regime as the 18 privately owned and run casinos which were introduced to the country in 2005. In a busy time for Chile’s gaming lawyers, the Chilean Chamber of Deputies has reportedly asked the executive arm of the government to make slot machines outside of casinos legal. There are approximately 200,000 illegal slot machines already in operation in Chile and the Chamber believes that it is time to bring in a legal framework to cover them. Strangely, the request is in direct opposition to the executive’s recently revealed plans to manifestly outlaw all the illegal slot parlours. Guatemala’s Economic Committee of Congress is again looking at ways to regulate lotteries, bingo halls and casinos in the country with a new Gaming Control Board mooted as a way of reining in an out of control gaming sector. Although gaming is expressly forbidden, it is rife in Guatemala, with organised crime particularly active in running illegal slot parlours. The regulation of the sector was originally put forward in May 2013 with all previous attempts at control failing.
LEGISLATION
Trinidad working on new gaming regulatory framework Bringing the ‘casino-type activities’ of Trinidad & Tobago’s Private Members’ Clubs into a regulatory regime is the aim for a new Working Group. TRINIDAD & TOBAGO
he government of the island nations of Trinidad & Tobago is planning on introducing measures to govern the local gaming industry with a longer term objective of introducing a ‘comprehensive framework’ for the governance of the sector. Trinidad & Tobago’s gaming industry currently consists of ‘casino-type activities’ in around 70 Private Members’ Clubs. In a statement, the Ministry of Finance and the Economy said: “In keeping with Anti-Money Laundering/ Counter Terrorist Financing requirements (AML/CTF), the government of the Republic of Trinidad and Tobago has been working assiduously to establish a framework to address the regulatory and social concerns arising from the proliferation of Private Members’ Clubs’ provision of casino style games to club members.
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The Caribbean islands of Trinidad & Tobago plan to regulate their gaming business
“A new comprehensive legislative framework will be put in place that promotes responsible gambling and protects the vulnerable. The Ministry also understands that apart from the Private Members’ Clubs’ devices, there may exist in excess of 25,000 video games and devices operating in bars and recreational pubs across the country. “The proposed legislation is intended to be a modern, responsible gaming code that recognises the fact that people enjoy gambling as a form of entertainment. At the same time, one must acknowledge that there are inherent dangers
that need to be addressed in terms of problems resulting from gambling and its effect on vulnerable groups.” The Minister of Finance and the Economy has established a Working Group to consider draft legislation for the legal and regulatory framework for the gaming industry. The proposed Working Group includes representatives from the Ministry of Finance and the Economy, Ministry of Trade and Investment, Ministry of National Security, Ministry of the People and Social Development and the Office of the Attorney General. It added: “A Civil Society Group has also been established comprising repre-
sentatives from relevant social welfare groups, ICATT, the Law Association and the Banking Sector. Consultations will be held with key stakeholder groups from the gaming industry which itself has expressed interest in becoming legitimised and governed within an established regulatory environment. The Ministry of Finance and the Economy will seek to establish a relationship with all key stakeholder groups as it encourages harmonisation in the overall process which is critical for us in order to achieve our stated objectives.” The Ministry concluded: “Recommendations emanating from this process will provide the necessary feedback for the implementation of a modern and effective framework for the gambling and gaming industry, while also ensuring that the welfare of all parties involved (directly or indirectly) is properly taken into account.”
BUY-OUTS
Chilean operator acquires two casinos in Peru PERU
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reams, the Chilean casino chain, has acquired two game rooms in Peru for a reported price of $3.85m. The company purchased the licence and other assets of the game rooms Eden and Mirasol through its Peruvian subsidiary, Dreams and Dreams Gaming Corporation. The first of the casinos is located in the Lima district
of Lince, the second in the San Borja area. The total transaction price also includes the transfer of municipal and ministerial approvals nec-
essary for the operation of the gaming rooms, the sale of leases on the property for a minimum term of 10 years and the acquisition of the gambling machines and all other assets necessary for the operation of such gambling halls. The transaction is subject to being granted the respective obtained necessary approvals for the transfer of the gambling halls, under Peruvian law, which is expected to occur within the next few weeks.
According to the company, this acquisition is part of Dreams’ international expansion plans. The two casinos mark Dreams’ first purchases of Peruvian premises. Dreams also owns casinos in Iquique Chile, Temuco, Valdivia, Puerto Varas, Coyhaique and Punta Arenas. Dreams’ shareholders are split - Humberto Claudio Fischer (51 per cent) and Citigroup Venture Capital (49 per cent).
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Politics
& Analysis
TRADE ASSOCIATIONS
‘Bad actors’ should be banned from US market Geoff Freeman, the new CEO and president of the American Gaming Association (AGA), still wants firms who operated in the US postUIGEA to be banned from the market as ‘bad actors’. He spoke about this and more at the EiG Expo in Barcelona this month.
On the broader association industry front, the major challenge that I see is determining where common causes fall and helping to develop the next set of objectives for the AGA. Our industry has always been aligned around preventing hat do you see as your harm so the next big chalbiggest challenge over the lenge is figuring out how we next 12 months? can grow our industry and I put the challenges in two help make it thrive in the categories. The evolving United States and around issue of online gaming in the the world. United States is certainly a The short-term challenge major challenge; what’s I expect to be online gaming. going to happen, where’s it going to happen, how is it How easy is it to keep tabs going to be regulated? There on all the different develare a lot of questions right opments that are happennow that need to be ing around the country? answered. That will con- One thing that has been tinue to be a challenge over interesting to see in this the next few months, industry has been the multiwhether we do it on the fed- tude of trade publications, eral level or whether we pro- the experts that are out ceed at a state level there are there, the great websites carmany challenges to over- rying news. There’s no shortage of information to be come.
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found. We have a great team here at the AGA who really have their finger on the pulse of what is happening across the industry. So across those sources I feel that we’re very much up to speed with what’s happening. The key is knowing how we effect what is happening. That’s something we need to answer in the days weeks and months ahead. Is federal regulation of online gaming a pipe dream? I think the jury is out on whether or not something will happen on a federal level. I know Senate Majority Leader Harry Reid remains committed to doing something at a federal level. There are others who share his passion, but we don’t know if there is a critical mass that shares that passion, so we will continue to pursue a federal solution.
Geoff Freeman: ‘we believe the federal solution is best’
30 | casinoreview October 2013
However, the market is moving at a much faster pace at the state level and our industry certainly isn’t going to be left behind. As an industry we’ll have no choice but to hedge our bets and go where the opportunities are. But we’ve been on record for several years that we believe the federal solution is best and we are hopeful that we stands well the dynamics can still make progress in and the challenges inherent in this issue and the unlikelithat direction. hood of expanding sports Could a federal bill come in betting. So we have a lot to too late? learn on that issue, but to As the market moves ahead, date it’s not been a high pridepending on when the fed- ority given the prospects for eral government chooses to change. act, it is possible that the fedI do believe New Jersey is eral government could be very interested in accessing undoing what at that point is sports gaming and that’s a working at a state level. We decision they’ve made at a would have to consider state level and they are leadwhat we thought of it at that ing the charge there. By time. Right now, however, most accounts the deck is we are in a situation where stacked against them, but we can still be positive about that doesn’t mean they can’t the prospects for a federal be successful it just means it solution. Even if there is fed- will be challenging. eral movement it is possible that you could ‘grandfather’ What about firms that in some of the States who have previously serviced have already made some the US market? movement. We have to as an The AGA’s position for a long industry be malleable as to time has been that bad what we support, how we actors - those that remained support and why we support in the market after 1 January something. If the market following UIGEA - should be continues to move at a much penalised and if possible faster pace at state level we prevented from participatwill have to evaluate the ing in the marketplace. The simple truth is that these direction that we go. entities flouted American Will online sportsbetting law and took American dolever be accepted by US lars, invested those Amerisports? can dollars to enhance their This is an issue that has been marketing and technology raised with me by several and now they want to use it folks. It’s not an issue that to their competitive advanthe gaming industry has high tage. That is as anti-Amerion its priority list right now. I can as it gets. Our position think the industry under- on that is well known.
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CONFERENCE
Global Gaming Women on the march
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aunched two years ago at G2E, Global Gaming Women (GGW) had its largest conference presence to date at this year’s show in Las Vegas, hosting several conference sessions and activities. On the first day of the show and at its annual networking breakfast, GGW unveiled its new online mentoring tool, Global Gaming Network. Developed in conjunction with SHFL entertainment, it allows women across the international gaming industry to build mentoring rela-
tionships. There were also three GGWsponsored conference sessions at G2E. First Look: The Development and Advancement of Women in the Gaming Industry, which discussed new research commissioned by GGW looking into development initiatives that drive more women in executive and management positions. Additional sessions focused on how to hone better listening skills in business and the value of affinity groups.
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G2E 2013
EXHIBITIONS
G2E: embracing diversity across the world gaming industry
While many facets of the US casino industry continue to fight stagnancy amid a series of regional and country-wide hurdles, G2E 2013 demonstrated exactly why it holds a reputation for being a truly global gaming event. James Walker reports.
T 34 | casinoreview October 2013
he 2013 edition of Global Gaming Expo (G2E) took place at the Sands Expo in Las Vegas on September 23-26, with more than 450 companies from all sectors of the gaming industry showcasing their latest games, products and services. The world’s largest gaming event welcomed more than 125 new exhibitors from 32 countries, including Australia, Canada, China, Germany, Japan, Korea,
Mexico, South Africa, Taiwan, the UK and the US. The Las Vegas expo has long been regarded as a bellwether for the general health of the US - and, indeed, world casino and gaming industry, and stakeholders welcomed the news that the gaming show floor this year was nearly 10 per cent larger than G2E 2012, and the largest showcase since the global economic
downturn manifested itself in 2008. While many facets of the US casino industry continue to fight stagnancy amid a series of regional and country-wide legislative hurdles and the more general economic malaise, the consensus among exhibitors was that G2E has retained its title as a truly global gaming event. In addition to attracting top executives from the North America region, key deci-
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G2E LAS VEGAS , SEPTEMBER 22-24, 2013
G2E: MORE THAN 450 COMPANIES FROM ALL SECTORS OF THE GAMING INDUSTRY SHOWCASED THEIR LATEST GAMES. RPODUCTS AND SERVICES AT THE WORLD’S LARGEST GAMING EVENT
The G2E Ribbon Cutting kicks off the opening of the G2E 2013 show floor
State of the Industry Keynote on Wednesday, September 25
G2E Chairman’s Reception: Mike Johnson, industry vice president of G2E; Geoff Freeman, president and CEO of the American Gaming Association (AGA); Hugh Sinnock, vice president of customer experience at Las Vegas Convention and Visitors Authority
sion makers from Europe, South America and Asia continue to view G2E as a mustattend event on the international trade show calendar. Moreover, the global scope of G2E is further exemplified by the fact that numerous companies whose products remain ineligible for the US market continue to take up exhibition space at the Las Vegas show in an effort to capture the interest of foreign operators. As the world gaming industry continues to diversify and embrace new technologies in an effort to provide more exciting consumer experiences and operational savings, so the breadth and quality of products and solutions at G2E
continues to grow. Licensing remains a key watchword in the industry, and G2E 2013 saw OEMs from around the world ramp up their efforts to help operators bolster their top line through the integration of branded slots on the casino floor. Among the most anticipated launches at the Las Vegas expo was two new IGT MegaJackpots titles: James Cameron’s Avatar Video Slots and James Cameron’s Avatar Treasure of Pandora. Inspired by the highest-grossing movie of all time, both titles seek to redefine the player experience with never-beforeseen technology, stunning visuals and
rich bonus content. Moreover, in addition to showcasing its ever-growing range of licensed products and turnkey systems, a clear highlight on the GTech booth was the newly launched Sphinx 3D. Taking centre stage on the group’s stand, Sphinx 3D features innovative, glasses-free True 3D technology. Housed in the new Axxis cabinet, the product uses a unique, patented autostereoscopic technology with integrated eye-tracking to make images appear to jump off the screen or stretch into infinity in high resolution. Issues surrounding both security and customer service remain paramount
within the industry, and the world’s leading cash handling and payment solutions groups once again set up their stalls at G2E this year. In addition, as industry stakeholders continue in their efforts to bolster revenues, the event hosted an expanded, five-day conference programme that tackled a range of key issues, including responsible gaming, surveillance, social media opportunities, the rise of online gambling, compliance and regulation, technology, marketing and casino design. A full show report will appear in the next issue of International Casino Review.
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News
VIDEO POKER
IGT and Caesars Entertainment ink video poker deal It’s a busy tme for IGT as they set about the task of replacing 7,000 video poker terminals at Caesars Entertainment venues. IGT has signed an agreement with Caesars Entertainment Corp to supply 7,000 AVP ® Video Poker terminals across the gaming giant’s national estate. The investment represents that largest gaming revamp at Caesars Entertainment in 10 years. The contract includes 3,600 G20 Uprights, 2,400 Universal Slant cabinets and 1,000 G20 Bar Tops. The new machines will replace existing units in Caesars Entertainment-operated resorts across the country and will be part of the largest gaming re-investment the company has made in 10 years. “We’re excited to kick off this next chapter in our long-standing great relationship, continuing our strong foothold in the video poker community,” said Eric Tom, executive vice president of global sales at IGT. “Our S2000 platform has provided best-in-class performance for many years. With our AVP platform, players love the excitement of IGT’s traditional and new Video Poker content on the next-generation platform.” The deal is an expansion of a long-standing relationship with the entertainment giant . “Enriching the guest experience is our number one priority at our casinos and resorts across the country," said Melissa Price, Caesars Entertainment senior vice president of gaming. “This is just one of many initiatives Caesars has undertaken over the last several years - from the addition of new hospitality amenities across our resorts to fully new developments in existing gaming markets and beyond - to ensure a superior guest experience.”
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BRANDING
SYSTEMS
IGT reveals its new brand positioning
Tsonga Sun take the Smart approach
GT unveiled its new brand positioning and vision at this month’s G2E expo in Las Vegas. Designed to define the cutting edge of entertainment and technology, thenew, forward-looking brand identity for both IGT and DoubleDown Interactive is aimed at driving the company beyond the casino floor to reach gamers anywhere. “This is so much more than a logo change. IGT’s new communications strategy, brand look, voice and feel are perfectly aligned with our proven business strategy to create best-in-class content and to distribute it any-
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where, anytime,” stated Patti Hart, IGT CEO. “We are not changing who we are. Our Brand’s next chapter is built upon what has made us great. The spirit of innovation shines through our new games on the G2E floor, as we roll out new technologies and products proudly sporting our new global visual identity,” continued Hart. “We know that we all win when players engage more. Whether it’s the gaming experience that players of all ages crave or optimized solutions designed for operators’ success on the global stage, IGT will continue to deliver beyond expectations.”
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he Advantage Smart Solution system from International Game Technology (IGT) has gone live at the Golden Horse Casino in Pietermaritzburg, South Africa. The Golden Horse is the latest in a long line of Tsonga Sun resorts to adopt IGT’s casino management software. This implementation adds an existing 350 connections to the 3600 already in place at other Tsonga properties. “With IGT already providing connections in Hemingways, Suncoast and Montecasino, the
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INTERNATIONAL GAME TECHNOLOGY / KONAMIYXYXYXY GAMING SUPPLIER NEWS: JW@SJC.CO.UK
SUPPLIER NEWS 36-45 SHOW NEWS 46-47 B2B LISTINGS 48-50
CONTENT
Konami take a strategic step on to the iGaming platform
Station’s solutions handed over to IGT SYSTEMS
An agreement has been signed that gives IGT the task of supplying its systems across all Station Casino properties, alongside the addition of406 MegaJackpots® Slot Games. tation Casinos has chosen IGT as its exclusive systems provider at all Station Casinos properties.. The decision followed a full evaluation of the operator’s requirements. Station renewed their commitment to IGT's Advantage® system in addition to the supply of 406 MegaJackpot® slot titles to its casinos in the coming year. “IGT is excited to share this huge step forward in operating efficiency with Station Casinos to create a more dynamic and exciting environment for players,” said Eric Tom, IGT executive vice president of global sales. “Our systems are designed with the casino operator and player in mind, creating a more streamlined process for the operator and a greater game experience forplayers, and that is absolutely our laserfocus for Station Casinos.” In addition to being the exclusive systems provider, IGT will also provide Station Casinos with floor-wide Service Window technology, utilszed through the Universal Game Adaptor (UGA) at the allnew Graton Resort & Casino in Northern California scheduled to open on November 5. This will enable the Service Window feature to be used across all capable EGM's on the floor, allowing for direct marketing to players at any one of the 3,000-plus machines.
S Golden Horse installation is a positive reflection to our ongoing partnership,” noted Steve Hight, Gaming Director at Tsogo Sun. “The flexible system architecture means we can quickly identify and adapt to the ever changing preferences of our players,” commented Tsogo Sun’s CIO Henry Parrymore. Adding that, “the solution is proving to be a cost-effective and functional management tool. Our vision for the future is supported by IGT’s technology and we look forward to continuing our partnership with it.” Sabby Gill, Regional VP, South Latin America & Caribbean, EMEA was keen to flag up, “the flexible and intelligent bonusing options our system provides. Noting that, “the open standardsbased gaming floor enables players to enjoy a premium gaming experience.”
Konami has stepped up its plan to move its considerable content online. A carefully structured strategic alliance has been forged with online big hitters GameAccount Network.
onami Gaming, already a global leader in casino gaming and systems on the floor, is planning on becoming a leader online as well. The company has confirmed that “after careful deliberation and a thorough examination of potential business partners”, it has selected GameAccount Network (GAN) as a strategic partner in order to bring Konami’s casino games to the market via GAN’s leading iGaming platform. “GameAccount Network is a world-class provider of iGaming solutions. It was critical for us to find a partner who could help us deliver our game content online in a manner designed to help our casino customers grow revenue and expand their businesses,” explained Steve Sutherland, chief operating officer and executive vice president at Konami. He added: “We selected GAN because our views on Internet and mobile gaming strategy align,” explained . The initial stage of the partnership will provide Konami content via GAN’s network to a wide range of iGaming service providers that include legal real money online
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wagering and simulated gaming sites around the world. “We are excited to have been selected by a worldclass gaming company like Konami,” said Julius Patta, president of GameAccount Network USA. “Our mission continues to be to enable land-based casino slot manufacturers to swiftly move online into Europe and North America’s regulated Internet gaming markets. Konami is an ideal partner based on their core values, their track record, and their robust catalog of successful casino slot gaming content which we expect to out-perform onlinenative equivalents. We look forward to bringing their compelling machine-based games online and distributing them into regulated Internet gaming markets such as Italy and the UK and, in due course, markets like Spain and New Jersey. Customers from around the world have been asking to play Konami games like China Shores, African Diamond, and Solstice Celebration online, and, very soon, they will be able to.” Konami and GAN anticipate having the first online titles appear on the GAN network in early 2014.
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FUTURELOGIC / GAMING SUPPORT / NOVOMATIC GROUP
News
AGEM RISE: THE AGEM INDEX REPORTED A MONTH TO MONTH INCREASE FOR THE SECOND CONSECUTIVE MONTH IN AUGUST 2013, UP 46.9 PC ON THE SAME MONTH IN 2012.
SLOTS
SYSTEMS
Novomatic draw the line in the Sands
Gaming Support set stall out for BEGE showcase
The Novomatic Group is reaping the benefits of its new base in the US and its stronger foothold in the States. clearly enthused Novomatic Group described its G2E showing in Las Vegas this year as “hugely successful”. Early reports from the Sands Convention Hall floor were positive for the European gaming giant, with its booth featuring all the latest international product highlights and staffed by teams from various international subsidiaries. The product display ranged from all the latest slot machines and games, jackpot solutions and accessory signage (various jackpot and end-ofbank signs), slot tournament and multiplayer solutions, Online & Mobile Gaming as well as Octavian’s ACP Online Casino Management Sys-
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tem, to Admiral’s Absolute Vision video content delivery system. Jens Halle, managing director AGI and CEO Novomatic Americas, reported: “Novomatic always anticipates an excellent G2E show and we were not at all disappointed. G2E this year had an extra special meaning for us, thanks to our inauguration of Novomaic Americas Sales LLC in Fort Lauderdale, Florida, and our formal entry into US domestic markets. Our business, through our many subsidiary companies across Latin America, continues to increase and expand and we were pleased to welcome so many visitors from across that continent and, indeed from around the globe.”
G AQUISITION
Novomatic strengthens its Dutch foothold Novomatic sound the bells of expansion with its Eurocoin acqisition delivering an opportunity to extend its influence in the Dutch market.
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ustria’s Novomatic has made a bold statement of intent with plans to strengthen its foothold in the Dutch market. Acquisition is the way for the group’s wholly owned subsidiary, Novo Gaming Netherlands, which has acquired 100 per cent of the shares of Eurocoin Gaming and AWP-design.nl. Its latest buyout in the Dutch gaming and entertainment market will also see Novomatic offer its customers more product diversity from its renowned brands JvH, Errel, Eurocoin, Bell-Fruit, Astra and Novomatic.
Paul Strikers, managing director of Eurocoin Gaming, commented: “Our new team will ensure that Dutch operators will discover new sources of revenue via new and innovative products, which will open up new revenue streams and at the same time significantly grow the current customer base.” Thomas Graf, CTO of Novomatic, added: “Eurocoin is the leading force in the Dutch gaming supply chain with a market share of up to 80 percent in the pub market and a growing presence in the arcade sector.”
TICKET
• Gaming Support will be
Resort Advantage see the future in ticket solutions with FutureLogic deal Innovation is the name of the game and FutureLogic have made certain they’re at the cutting edge with their latest partnership with Resort Advantage. utureLogic, the world’s leading developer of innovative ticket printing and couponing solutions,has developed an integration partnership with Resort Advantage (RA), the recognised innovation leader in FinCEN and IRS compliance solutions for the gaming industry. The collaboration brings much to the table for both parties: FutureLogic’s PromoNet® Print Manager™ and the GEN3 Evolution® or GEN2 Universal™ printers can be seamlessly integrated with Resort Advan-
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aming Support has unveiled its plans for the forthcoming BEGE Expo (BalkanEntertainment & Gaming) on 22-23 October 2013. The company will be paying particular attention to the onset of cashless gaming and increasing winners on the casino floor. Taking centre stage will be Gaming Support’s award winning Media System products which have been designed for both enterprise-wide solutions and bank-level solutions. The latest scalable jackpot controller product will be presented along with a secured wireless application running on an iPad. Particular attention will be paid to BonusBox which has proven to be a successful initiative amongst operators in Europe and North America.
for casino properties seeking to gain a competitive advantage. Our Slots Jackpot Accelerator solution seamlessly integrates with FutureLogic’s gaming printers to expedite the tage’s Slots Jackjackpot payout pot Acceleraprocess by making a tor™ (SJA) jackpot payout mobile jackreceipt, appropriate pot payout IRS form, and a prosolution, motional coupon and offer an available to the innovative tool to patron right at the floor attendants and gaming machine,” patrons the ability for instant access states Brian Ferrilla, and printing of jackpot payout documanaging director of ments while at the gaming machine. Resort Advantage. “Mobile solutions are no longer a “The casinos benefit by getting want, but are becoming a necessity patrons back to gaming quickly, min-
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imising the paperwork required by the cash cage and floor staff, which further reduces jackpot payout processing costs.” According to Nick Micalizzi, FutureLogic’s VP of sales and marketing, North America: “RA’s Slots Jackpot Accelerator solution combined with PromoNet’s Print Manager and the second port in our printers, will allow floor attendants to conduct more jackpot payout processing transactions on the casino floor to get casino patrons back to gaming quickly. Like Resort Advantage, our solutions are designed to simplify and enhance the gaming experience for patrons while providing significant cost savings for our mutual clients.”
launching a webshop where gaming operators can find signs, controllers, spares, components on the site. Details will be unveiledshortly.
BEGE BOOTH # 19 22-23 OCTOBER 2013
www.casino-technology.com
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GAMING LABORATORIES EUROPE / SHFL ENTERTAINMENT / SUZO-HAPP GROUP
News
Nevada rises 2
NEVADA STATS: “WE CONTINUE TO BELIEVE A MORE PRONOUNCED STRIP RECOVERY WILL BE LARGELY PREDICTED UPON A RETURN OF DOMESTIC VISITATION.”
PRINTERS
MULTIGAMES
Suzo-Happ signs Transact up on exclusive distribution deal
SHFL installs its Fusion tables at Resorts World Manila
Transact will enjoy a enjoy a significant boost to its reach in the global casino industry with Suzo-Happ expected to help drive multiyear growth in its print system installations.
ransAct Technologies, the global leader in market-specific solutions, including printers, terminals and software, has entered into an exclusive multi-year agreement with Suzo-Happ Group to market and distribute TransAct casino and gaming printing solutions to casino and gaming operators in most areas of the world. Suzo-Happ commands a significant outlet for the TransAct portfolio supplying in excess of 20,000 customers world-wide. Under the terms of the agreement, TransAct will be the exclusive gaming printer solutions provider to SuzoHapp for their casino and gaming customers, significantly expanding the manufacturer’s worldwide distribution network, especially in
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Fusion is the name of the game in the Philippines as the SHFL hybrid multigames technology hits the Manila slots floor. the United States. Bart Shuldman, chairman and CEO of TransAct Technologies, commented: “This new agreement for TransAct to be the exclusive provider of gaming printer solutions to Suzo-Happ is very significant. Our two teams working together will help drive significant growth in our installed base of industry-leading Epic® printers, and for our innovative Epicentral® software system which is already installed on over 5,000 gaming machines in four casinos. As the leading distributor of gaming products, with gaming licenses in almost every jurisdiction, SuzoHapp’s domestic and international reach greatly expands the number of gaming machines and casinos
we can address including those in many United States jurisdictions.” He added: “Partnering with Suzo-Happ significantly increases the market access for Epicentral. With Suzo-Happ’s established relationships, this new agreement allows us to further expand the addressable market for Epicentral which we expect will speed up the pace of deployments.” James Brendel, President and CEO of Suzo-Happ Group, added, “TransAct’s printing solutions are best-in-class. We believe the proven benefits of Epicentral will be embraced by our customers as they seek to engage their players, deliver a rewarding experience and most importantly help grow their casino’s revenue.”
SYSTEMS
New GLI tools to offer key efficiencies aming Laboratories International (GLI) has unveiled two new landmark tools - GLI Scale and GLiCloud - at G2E 2013. “At GLI, we are advancing technology to benefit the complete range of the customers we serve - regulators, suppliers and operators. GLI Scale and GLiCloud were born out of our incessant desire to make doing business faster, more efficient and more cost-effective, and we are confident the industry will immediately see the benefit
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these two new pieces of technology bring to daily operations,” said GLI vice president of global services Ian Hughes. The new supplier software tool, GLI Scale stands for Simulated Communic a t i o n Automated Load Engine and is designed to test systems that are being evaluated by GLI for regulatory and operational compliance. It is intended for load testing of online systems and automated generation of accounting and tilt conditions for end-to-end reconciliation for
40 | casinoreview October 2013
systems. It is an embedded processor design that responds to SAS polling commands from an online system. Utilising a proprietary scripting language, GLI engineers are able to simulate activity that would ordinarily require an EGM. GLI Scale is connected via a serial cable to the Interface card(s) and controlled via a web browser interface and can currently support 12 Interface cards. The company’s new GLiCloudSM works in concert with the online web portal GLIAccess and GLI Mobile to give operators instant access to their entire casino inventory, from anywhere, anytime. It is a modern inventory management and
tracking system that makes it easy for operators and regulators everywhere to track the software and hardware that comprises the casino floor. Powered by GLIAccess and easily accessible with GLI Mobile, GLiCloud allows operators and regulators to quickly and instantly check regulatory status of every component on the entire casino floor, all in real time. It relates components to regulatory approval status in real time and simplifies the inventory process by utilising existing industry standard verification tools and communication protocols. Because the entire process is automated, the data is free from potential human error.
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HFL entertainmentis to install its Fusion Hybrid Multi Game technology at Resorts World Manila in Newport City, Philippines. The platform features a live dealer (or dealers) with user-friendly, 22” widescreen electronic betting terminals. A total of 100 terminals are being installed at Resorts World Manila, allowing players to conveniently wager on live games of sic bo, baccarat, and roulette using an intuitive touchscreen interface. The Multi Game feature enables players to bet on one, some or all games at once, creating a dynamic and action-packed gaming experience. An area on the second floor of Resorts World Manila has been fully renovated and named “Prosperity Court” to accommodate this Fusion Hybrid “stadium”. “This significant installation of our new Fusion Hybrid e-Tables in the growing Philippines gaming market is very meaningful for SHFL,” said Gavin Isaacs, chief executive officer for SHFL. “Providing players with more excitement and variety while allowing for optimal flexibility and productivity on casino floors are paramount at SHFL. Our revitalised suite of eTable innovations is a perfect example of our commitment to providing these benefits.” Since displaying this product at G2E Asia earlier this year, SHFL has installed its Fusion Hybrid technology at venues in Cambodia, Laos, and Korea; adding to the numerous locations at which this technology is already installed in Asia.
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News
Junket drive in the Philippines 18
PHILIPPINES PUSH: LRWC IS BOOSTING JUNKET GAMING OPERATIONS IN A DEAL WITH PAGCOR TO ENSURE MORE FOREIGN PLAYERS AAND TOURISTS ARE BROUGHT ON TO ITS GAMING FLOOR.
ANNIVERSARY
FutureLogic unveils 30 year celebration plans
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icket and coupon machines have been rolling off the FutureLogic production line since 1983
and the company marked their 30 year milestone by exhibiting a range of new products at this year’s G2E. Among
the products on show were the GEN3 Evolution printer and the new PromoNet couponing solution.
“Today, we have over 1.5 million TITO printers installed worldwide,” said Nick Micalizzi, Vice president of sales
and marketing, North America. “That s more printers than all other manufacturers combined. We estimate that more than
four billion tickets per year are printed across North and South America, Europe, Asia and Australia.
TABLE GAMES
SLOTS
TCS John Huxley takes the honours with table game innovation
Bally put on a show at G2E
Amid the glitz and glamour of Vegas, one stellar performance was delivered by TCS John Huxley which lifted top honours for its Supernova platform.
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CS John Huxley, the leading provider of live gaming solutions and services, is winning the plaudits with its Progressive Platform, Supernova, lifting the Best Table Game Product Innovation in the 12th Annual Global Gaming Business, Gaming & Technology Awards. The award was presented at G2E in Las Vegas, where the product enjoyed its full US launch. Supernova is a powerful floor wide event and mystery progressive platform for the live gaming space that drives revenues delivering incremental profits and gives fast return on investment. It adds higher levels of player excitement and loyalty by using multilevel prizes combined with
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stunning graphics, sound and table interaction. The fully flexible platform adapts to almost any table game and allows operators to configure as many different prizes and jackpots as they want. “We are delighted Supernova has been recognised as the best Table Game Product Innovation in one of the industry’s most prestigious awards,” said Cath Burns, Group CEO of TCS John Huxley. “This is a major achievement for the team and provides the perfect launch for this product into the US. Supernova has already been successful in markets such as South Africa where over 50 tables have been rolled out since March this year alone. All of the properties we’ve
installed the system have reported significant increases in play adding a new dimension to gaming floors. Innovation is key to our company’s success and we are proud Supernova has received this recognition.” Supernova can adapt to most table games and allows operators to configure as many different prizes and jackpots as they want. It can be used with existing
ROULETTE
Amatic offers synergies with American partners matic Industries’ in-house knowledge of electronic roulette solutions has been pooled together to enable synergy with its American partner - Inag - which offers an innovative way to play roulette, namely via cards. The Turbo Card incorporates two card wheels that are operated so that no dealer training is required and no dealer mistakes can happen. The terminals and all the software solutions are provided by Amatic Industries. The two wheels are operated by the
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dealer and players can bet on either one or both wheels. The number of Amatic terminals linked with the card roulette wheels are chosen individually by each casino operator. They can be positioned as an island or in different locations at the casino. Amatic’s latest slots solutions, the Performer, was also brought to North America recently thanks to its partnership with Florida-based Reel Games. Thomas Engstberger, sales manager at Amatic Industries, commented: “The
fact that Inag has partnered with us clearly demonstrates the respect we enjoy in the global gaming industry for electronic roulette. This is a great product and we are looking forward to expanding our new partnership with Reel Games for our Multi Game solutions. Our latest upright and slant top Performer series are in great demand.”
licensed games or casinos can create their own custom branded versions. The innovative side bet detection incorporates game enhancing attract modes and win animations, supported by wide screen HD display technology. This enables the system to generate significant additional revenue streams by adding increased game appeal and player excitement.
hey like to do things big in the US, and Bally played their part in maintaining that reputation at G2E this year. The manufacturer took up residence at the Las Vegas Sands Convention Center operating from a 15,300 square-foot showcase displaying a raft of new products and services, including a wide selection of cross-platform solutions. The focus was how to connect players across games, through floor-wide systems-based promotions and beyond. This included keepign in touch with players while they are at home and on the move. Among the software inovations under the microscope was the Bally Enterprise Progressive System™, which allows casinos to monitor and audit their progressive bonuses from a secure central location. Other Bally software available at G2E included the Elite Bonusing Suite™, Super Slotline™, and Service Tracking Mananger™. Specially branded machines also had a heavy presence in the Bally enclosure, with the likes of TITANIC™, The Magic of David Copperfield™, and ZZ Top Live from Texas™ on display. Each of these machines features a large selection of real video footage. TITANIC includes clips from the film, alongside tracks from the official soundtrack. While both David Copperfield and ZZ Top lend footage of their live performances to augment the betting experience. There was also new hardware on show, including the ALPHA 2™ Pro Series™ Wave and the Pro V55 Jumbo platform, which includes a 55-inch vertical touchscreen display.
www.patir.de info@patir.de
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News
Women in gaming 31
WOMEN IN GAMING: NEW RESEARCH HAS BEEN COMMISSIONED LOOKING INTO DEVELOPMENT INITIATIVES THAT DRIVE MORE WOMEN IN EXECUTIVE AND MANAGEMENT POSITIONS. MULTIGAMES
VIRTUAL
2013 marks a series of achievements for Gamopolis
Microgame is Inspired’s new Italy partner
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Gamopolis formed the focus for Casino Technology at Las Vegas this year with options and games aplenty as the product evolves. asino Technology revealed the latest developments in the Gamopolis series at G2E 2013. The next generation Gamopolis Highway, which features 40 games in a set, delivers greater variety and optimised player selection interface according to the manufacturer. The company also exhibited the Gamopolis Multiskin concept, which has been developed in two versions - Gamopolis 23 and 24, featuring per 25 games - and could be selected on a modular basis, depending on the characteristics of the specific market, operators needs or clients preferences. More than 200 different titles are currently com-
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piled in 25 Gamopolis versions. The library of games is continuallly growing and is now available to more territories through a range of country specific versions compiled regulatory or market requirements. The distribution of Gamopolis is expanding further throughout South America, Asia, Europe and Africa. Following its first installations in Argentina, which took place in Buenos Aires recently, the series will be demonstrated for the first time at SAGSE this year, presented in different cabinets and variety of versions, available to the
nspired Gaming Group has signed Microgame as a new partner in Italy. The company will be supplying virtual sports to Microgame’s online, mobile and landbased platforms, strengthening its position as partner of choice for the Italian market. The Microgame Group is a major Italian platform and content provider to over 30 operators in Italy and, as a result of this deal, will have the rights to distribute Inspired’s virtual sports to all of its B2B partners. Marco Castaldo, general manager, Microgame, commented: “By adding Inspired’s virtual sports to our existing portfolio, Microgame further strengthens its leadership position with the most complete online and land-based product offering in the Italian market.” Inspired is contracted to supply virtual sports to SNAI, Sisal, Eurobet, Intralot, Cogetech, Lottomatica and Gamenet, which equates to approximately 90 per cent of the virtual sports market it Italy.
local market. The natural transition through technologies also recently pushed Gamopolis into the online and remote space. In response to the increased demand in the regulated markets around Europe,
Casino Technology will also be presented at the forthcoming BEGE Expo in October in Sofia, a serverbased version of Gamopolis, as well as hand-held (tablet), online and mobile
versions connected via the server games technology platform. City of Games will continue to grow next year with new versions, features and concepts, expanding its reach and availability to increasing territories and players.
PARTNERSHIP
APPOINTMENT
JCM executes new strategic supplier agreement with IGT
New face on JCM’s EMEA roster
ransaction technologies supplier JCM Global has executed a global strategic supplier agreement with International Game Technology. Under the terms of the three-year agreement, JCM's iVizion UBA and the new iProt bill validators will continue to be the preferred bill validator for all IGT games. “This new agreement is a continuation of a strong and meaningful partnership that began in 1990,” said JCM Global president Aki Isoi. “Over the past two decades, JCM has worked hard to develop the highest quality products and innovative solutions combined with the
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best in-field response and support of any peripheral company,” Rick Lloyd, IGT director of supplier management, said. “As part of our vision, spirit and expertise to lead and transform the gaming world, IGT works closely with partners such as JCM to implement the most innovative technologies. Continuing our long-standing partnership with JCM Global is a testament to its continued ingenuity and quality products,” he added. In 2010, JCM became IGT's first strategic technology partner. As a strategic technology partner, JCM works closely with IGT to develop new and innovative technologies for the global gaming industry.
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CM Global has welcomed EMEA gaming industry figure Jaime Bonet as sales manager for South and East Europe Gaming for its JCM EMEA offices. Bonet, who brings more than 10 years of gaming industry experience to JCM, will serve JCM clients throughout the EMEA region, focusing
primarily on jurisdictions within Spain, France, Portugal, Eastern Europe and South Africa. JCM general manager Payam Zadeh commented that Bonet’s business insights and wealth of gaming experience throughout the EMEA region will be a “tremendous benefit” to the company’s clients.
www.macaogamingshow.com
enquiry@macaogamingshow.com
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SLOTS
MULTIGAMES
GTech launches its newest progressive for Latin America
Merkur move for higher profile in Romania
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Tech, with its gaming product brand Spielo, showcased the newest progressive link for Latin America, Volcano Island, as well as licensed games new to Latin America: Bejeweled, Zuma, and Plants vs. Zombies at G2E 2013. The new linked progressive Volcano Island has added bonus symbols to help players complete lines and trigger the jackpot, giving them a chance to win up to four levels in one game. Volcano Island is available with three base game titles, either as single games or as a multigame: Sphinx Wild, Gypsy Moon, and Moving Moments.
Already proving popular in the North American market is the Latin American launch of four slot versions of PopCap Games’ perennial favorites, which was also shown to G2E visitors. Based on PopCap’s ball-blasting game, Zuma features the familiar Zuma frog shooting at an innovative moving ball track. The ball track increments progressives and triggers one of five unique Power Frogs, which places wilds on the base game. With a copy of Bejeweled, PopCap’s flagship title, purchased somewhere in the world every 4.7
M seconds, players will instantly recognise this global bestseller in its slot game form. GTech has adapted the original game mechanics to the slot adaptation, with a cascading matrix, buyable game boosts, and seven linked non-hierarchical progressives. All four slots are available on the MaXVusion cabinet, designed with a new 32ins high-definition top screen.
COMPONENTS
Romania warms to SuzoHapp omponent supplier SuzoHapp were out in force at the Entertainment Arena Expo in Bucharest, Romania and the company reported enhanced business opportunities in the region. “We had more visitors on our stand on the first day than the entire show last year,” noted Harald Wagemaker, Sales Director EMEA for Suzo-Happ. “That underlines both the strength of the market and the strength of Suzo-Happ in this market,” he continued. Suzo-Happ has a particular affinity with Romania thanks to their strong roots in the amusement industry, a sector that retains strong popularity within the country. Suzo-Happ’s main drive focussed on spares and components requirements for both the gaming and amusement machines. “It is always a pleasure to see our Romanian customers,” added Harald Wagemaker. “For sure we will be back again as an exhibitor next year.”
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sales@hk1180.com
erkur Gaming staked its claim in the Romanian market with a strong showing at last month’s Entertainment Arena Expo (EAE) in Bucharest, Romania. The company displayed over 115 games alongside new features such as the stop-reel function. A wide range of cabinets were on display, five in total: the WB5, the Evolution, the Vision Casino, the Highflyer and the UNO. The Evolution cabinet, which has already has a popular foothold in Romania, was presented in a bank of six with a double-faced ‘Treasure of the Amazon’ jackpot in the middle. The option has been employed particularly successfully in the Romanian market where banks of gaming machines of between three and six have their own jackpot system connected to them. Meeting that demand, Merkur had two separate jackpot systems on show - the ‘Jackpot Rain’ and a local ‘Treasure of the Amazon’ local jackpot. Local professional boxer and former WBC International Featherweight champion Viorel Simion was on hand to lend his support to the Merkur cause. The company’s Hannelore Fuica commented: “Even if this year’s EAE exhibition in Romania had less visitors than last year, all operators expressed a clear interest in our products. Our market share is constantly growing in Romania. My thanks go to our teams in Romania and Germany .”
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EURO GAMES TECHNOLOGY / GTECH / MERKUR GAMING / SUZO-HAPP WSOPE returns to UK 49
POKER: “WE THINK THE OPPORTUNITY TO WIN A BUY IN TO THE MAIN EVENT...WILL RESONATE WITH THE HUGE AMOUNT OF TALENT IN BRITAIN.”
MULTIGAMES
EGT gives more at G2E
EGT unveil new products in Bucharest
uro Games Technology (EGT) prepared a rich portfolio of new exciting products for its outing at G2E 2013. With the presentation of EGT’s new multigame Premier Multi-4, featuring 45 games, the company introduced several new video slot games with various mathematic models, European and American video roulettes, a Keno Universe game and its newest 4 Of A Kind Double Double Bonus Poker. All titles are arranged in different categories, allowing the players to choose easy among their favorite game types. The upright cabinet Premier P24/24 Up, driven by the powerful platform Exciter II, features a unique appearance with glowing LED-illumination alongside the cabinet, OLED keyboard and two high-resolution 24ins widescreen LCD-TFT monitors.
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The EGT Cat 4 Cash Multilevel Progressive Jackpot System has four Levels of progressive jackpot and features two multigames that include some of EGT’s most popular titles. Another product in the EGT catalogue is the flexible Stork Multiplayer
Terminal, which can be individually configured according to the specific gaming floor. In addition, EGT offers a new multigame software, which allows simultaneous play of up to three roulettes together with blackjack or bingo games.
info@signs4u.nl
GT made a successful debut at the Entertainment Expo in Bucharest, Romania despite imminent changes to Romanian gambling law. Aura Lura, EGT’s sales manager for Romania and Moldova, was upbeat despite an uncertain business climate. “All visitors to the EGT stand expressed their satisfaction and excitement at the diversity of EGT products,” she commented. “The company’s portfolio contains gaming equipment for all types of gaming halls.” Among the new products on show was the Premier P24/24 Up upright cabinet - which made its debut in Romania alongside a new Multi-2 Multigame for the Cat 4 Cash® MultiLevel Progressive Jackpot System. Stork Multiplayer terminals also made an appearance, showcasing software which features the, “possibility for simultaneous play on up to 3 wheels.” Lura also provided an update on the status of EGT’s installations in Romanian resorts: “EGT Romania has already started to install gaming machines in new gaming halls all around the country, for existing and new customers. Soon our newest products will be present at the casino floors of some of the key operators on the market; Max Bet, Metropolis, Marriott and Million are just some of them.”
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INSTALLATION
Hippodrome and Eurocoin install Epicentral
LISTINGS
Marking its fifth successful launch, the newest installation of TransAct Technologies’ Epicentral Print System at the Hippodrome Casino in London’s Leicester Square will add “tremendous value proposition” for the venue’s guests and its operations.
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ransAct Technologies has installed its Epicentral Print System at the Hippodrome Casino in London’s Leicester Square. Connecting to each of the property’s 144 electronic gaming machines, including both slot machines and electronic table games, the newest installation of Epicentral marks the company’s fifth such successful launch. Epicentral is now running live on over 5,000 slot machines worldwide. “The introduction of our advanced Epicentral promotion and bonusing system on Hippodrome’s entire array of electronic gaming machine offerings represents the fifth installation of our innovative in-casino marketing system,” said Bart Shuldman, chairman and chief executive officer of TransAct Technologies. “Hippodrome is the latest cus-
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CAMPAIGN AGA launches outreach campaign surrounding Hollywood film
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merican Gaming Association (AGA) president and CEO Geoff Freeman, who took over in July, held an on-site media briefing during G2E 2013 to announce details of the AGA's forthcoming campaign to use the upcoming Hollywood film Runner Runner to highlight the
tomer to fully embrace the power of Epicentral and to recognise the software system’s ability to increase visitation from top tier customers, enhance new loyalty program enrolment and drive additional play on their 144 electronic gaming machines. It is using Epicentral right out of the gate to offer Instant Rewards prizes to customers including food and drink offers, cash prizes, free play, friend points, exclusive drawings and merchandise.” Simon Thomas, chief executive of the Hippodrome Casino, added: “Installing Epicentral on our casino floor provides a tremendous value proposition for our guests and our operations given the attractive benefits of instant promotions and bonusing. The TransAct team made the process of linking Epicentral to all of our electronic gaming machines and our player tracking system simple and, as a result, we are able to easily connect and communicate directly with players at all
times and at all machines on our casino floor.” Colin Veitch, sales and marketing director of Eurocoin, the exclusive distributors for TransAct Technologies gaming products and systems in EMEA, enthusiastically endorsed the Hippodrome announcement. “There is no doubt that the Epicentral system is in excellent hands here and that Hippo-
need for online gambling regulation. Included was the release of new data on online gambling in the US. Freeman also discussed his strategic vision for the gaming industry and priorities for the association in the years to come.
EXHIBITION Zitro presents eBusiness division at EiG
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he eBusiness division of Spanish bingo and gaming machines manufacturer Global Zitro attended Europe’s largest online gaming event - the EiG expo - this month with its own stand for the first time. Zitro eBusiness Division displayed its products for the online market at the event, which is now in its 12th year and took place at the Fira Barcelona on October 8-10. Zitro eBusiness Division’s director, Rais Busom, believes that “Zitro is technologically ready to make the leap into online.”
LOTTERY GTech secures Paraguay lottery contract
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Tech Global Services has signed a fiveyear deal to supply the lottery technology and support services to Entretenimientos Generales, the new private operator of lottery games in Asuncion,
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YXYXYXY Supplier News: jw@sjc.co.uk
APPOINTMENTS CAMPAIGN EXHIBITION INSTALLATION LOTTERY OPERATIONS PEOPLE SURVEILLANCE CAMERAS TOURNAMENT
APPOINTMENTS
GLI announces new appointments Gaming Laboratories International has announced a number of top-level appointments, positioning the company for continued growth.
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drome players are about to benefit enormously from the rewards and benefits that our promotional couponing system can deliver.” The Epicentral Print System - connected directly to TransAct’s ServerPort device inside the slot machine - enables casinos to internally develop marketing programs and promotional coupons for distribution to customers on a real-time
basis at a slot machine. The system works with existing slot systems and games as it operates with a separate and distinct connection with the printer. As a result, casinos can deploy the Epicentral Print System to connect to all existing slot machines, regardless of the game’s manufacturer, to drive increased revenue and enhance their customers’ experience on a real-time basis.
Paraquay. GTech will supply the hardware and software for the lottery’s central system as well as online lottery terminals. Christopher Caldwell, GTech senior vice president of Latin America and Caribbean,confirmed: “Working in partnership with EG, we hope to strengthen the Paraguayan lottery business through new game offerings, utilising advanced technology and flexible retails solutions.”
session with the Ministry of Finance on the possibility of a computerised lottery project in Vietnam.
Casinos Austria explore Vietnam viability
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asinos Austria AG has opened talks to explore casino and computerised lottery prospects in Vietnam. Company representatives met with Ho Chi Minh City (HCMC) chair Nguyen Thi Hong. Karl Stoss, CEO of Casinos Austria, explained that the company had worked with the HCMC Lottery Company on supporting technology and developing new products including bingo and scratch cards. Casinos Austria is expected to engage in a working
he world’s leading gaming testing laboratory and technical consultancy has made multiple top-level appointments, sending a very clear and strong signal for continued growth into the next decade. GLI president/CEO James R. Maida (pictured) said: “This is an exciting time of growth and possibility at GLI, and it is important to our current and future success to lay a solid foundation on which we will build the next five to ten years. Each of the individuals moving into top management is strong, capable, dedicated.” GLI’s co-founder Paul Magno is now the company’s executive vice president. Ascending to vice presidential positions are - Christie Eickelman, VP of marketing; Christine Gallo, VP of compliance and quality assurance; John Grau, VP of engineering; Ian Hughes, VP of global services and MD of GLI Australia and GLI Asia and Kevin Mullally, VP of government affairs and general counsel. The team of vice presidents will be responsible for the company’s planning, direction and overall daily management, along with other senior officers whose positions remain unchanged. Additionally, several other current GLI employees were promoted to senior director. As senior directors, these individuals have been empowered to run and/or influence policies and decision-making for GLI globally: Diana Golda, SD quality assurance; Rich LaBrocca, SD engineering; Patrick Moore, SD technical compliance; Jim Muldowney, SD human resources.
OPERATIONS Evolution expands live studio facility
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volution Gaming is building an additional live casino production studio in Malta to accommodate its expanding native speaking dealer services for gaming operators. The new facility, scheduled to go live in Q1 2014, will add to the current 110plus live table capacity of Evolution’s live casino studios in Riga. According to Evolution, the new Malta studio will become home to Evolution’s international dealer teams and Evolution’s native speaking dealer tables, such as London Roulette, Venezia Roulette and Svensk Roulette as well as a growing number of native-speaking tables exclusive to key licensees.
Commenting on the expansion, Evolution chief operating officer Svante Liljevall said: “We needed to do this to meet the incredible level of increased demand from clients for Evolution live tables, and in particular localised live casino services. This new second studio, alongside in-venue studios such as our Ruleta en Vivo facility at Casino Rincon de Pepe in Murcia, Spain, will help to ensure the continued growth of October 2013 casinoreview
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Ambitious Crown
CROWN: SRI LANKA WILL BE THE NEXT MAJOR MARKET INVESTMENT FOR THE COMPANY FOLLOWING APPROVAL OF THE NEXT STAGE IN ITS PROPOSALS TO BUILD A CASINO RESORT
SURVEILLANCE CAMERAS
New camera innovations from Dallmeier
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allmeier’s latest 4920 series cameras are now available in DF4920HD-DN and DDF4920HDVDN models. Both use a 5 megapixel CMOS image sensor to provide full 1080p video output, compressed using the H.264 codec. Mounted either as a box camera, or in a protective dome, the devices allow for their focus to be adjusted over a network connection. Dallmeier’s Remote Back Focus Control system also includes a One-Push Autofocus function which automatically detects the ideal focus range and adjusts the camera accordingly. To hone in on specific details, finetuning can also be conducted remotely. Detailed alignment of images can also be conducted through a web browser. Using the Digital Image Shift component of the new camera software users can adjust settings on the fly and the cameras are powered using a single Ethernet cable or a 12V power supply.
our company. In addition, the investment will further enhance the disaster recovery, business continuity and security services enjoyed by our licensees.” Liljevall added that the new Malta studio will add significant extra capacity and pave the way for continued growth in Europe and in other major new markets.
PEOPLE
LISTINGS
Ainsworth UK strengthens European team
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espite challenging market conditions across many European countries, Ainsworth has reported growth in its European business in recent years. So much so that its UK dividion is now strengthening its customer support team. The company has announced the expansion of its sales team with Ian Kovacs joining Ainsworth UK as regional sales manager. Kovacs, who brings over 15 years of experience in the gaming industry, commented: “During my time in the gaming industry, I have become well acquainted with the differing jurisdictional demands and the cultural differences between players around Europe.
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TOURNAMENT WSOPE returns to Casino At The Empire
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aesars Entertainment has announced that The Casino at The Empire and The Rendezvous Casino Brighton in the UK will stage exclusive satellites for €10,000 World Series of Poker Europe (WSOPE) 2013 Main Event Package. The winner of
the two-day satellite event scheduled October 5 and 6 will receive a package into the WSOPE €10,000 main event in Paris, which takes place October 12-25. A further four WSOPE €1,000 Event packages in the French capital are also up for grabs. WSOP Vice President Ty Stewart commented: “We think the opportunity to win a buy in to the main event via this satellite at our two of our UK properties will resonate with the huge amount of talent in Britain, and encourage them to enter.”
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CROWN LIMITED
Ambitious Crown reports mixed year
A While reported results were almost all down on last year, Crown says the underlying trends are much more positive. The company has a large number of projects on the go, from refurbishing its existing domestic estate to newbuilds at home and abroad.
ustralia’s largest casino operator by revenue, Crown, has reported a Net Profit After Tax (NPAT), before significant items, of A$491m (E344m) in the year to the end of June, down 4.3 per cent on the 2011/12 financial year. After onetime charges relating to the loss-making sale of its stake in Echo and a share of refinancing costs for Melco Crown totalling A$95.2m (E66.7m), the company’s net profit was A$395.8m (E277.3m), down 22.9 per cent. Its reported revenues for the year were up 3.1 per cent to A$2.88bn (E2.02bn) but EBITDA was down 6.2 per cent in the year to A$751.9m (E526.7m). Crown, however, believes that adjusting its figures to exclude any deviation from the theoretical win rate at its VIP tables gives a better account of the underlying business. Under this Normalised regime, annual revenues were up 6.1 per cent to A$2.89bn (E2.02bn), EBITDA was up five per cent to A$758.3m (E531.2m) and NPAT before significant items up 14 per cent to A$472.2m (E330.8m). In Australia, Normalised revenues grow 5.6 per cent $A2.78bn (E1.95bn), with main floor gaming results up 3.6 per cent and turnover at the VIP tables up 7.8 per cent to A$50.7bn (E35.53bn). Non-gaming revenues rose 8.1 per cent. CEO Rowen Craigie said:
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“Overall the results for Crown’s wholly owned Australian resorts, Crown Melbourne and Crown Perth, were mixed as we see evidence of weak consumer sentiment, particularly in Melbourne. Cost control continues to be a focus at both properties.” Normalised EBITDA from Crown Melbourne was up 7.1 per cent to A$546.7m (E383m) off normalised revenues up four per cent to A$1.92bn (E1.34bn). Main floor gaming just tipped over the A$1bn (E700.5m) mark for the first time with growth of 0.9 per cent in the year. VIP gaming revenues rose 9.2 per cent to A$525.2m (E367.9m) off a turnover of A$38.9bn (E27.25bn). In Perth, Normalised EBITDA rose 6.4 per cent to A$240.8m (E168.7m): reported EBITDA, although the same figure, was down 11.1 per cent on the previous year. Normalised revenues were up 9.3 per cent to A$858.2m (E601.2m), with main floor gaming up 9.7 per cent to A$482.5m (E338m) due, said the company, to the expansion of the gaming floor. Normalised VIP revenues rose 3.3 per cent to A$159.4m (E111.7m) off a turnover of A$11.8bn (E8.27bn). It was a busy year for the company: the rebranding of the Crown Perth from Burswood was completed after the expanded and refurbished gaming floor and other facilities opened in
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AGEM / CROWN / ECHO ENTERTAINMENT / GROUPE PARTOUCHE / ISLE OF CAPRI / SFCMC / SHFL ENTERTAINMENT
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Fighting poverty 58
BUSINESS & CITY NEWS 53-57 SECTORS & SERVICES 58-59 MARKETING 60-61 EVENTS & DIARY 62-63
SOCIETE FERMIERE DU CASINO MUNICIPAL DE CANNES
SFCMC revenues slip in Q3 CASINO REVENUE Q3: E16M, 2% CASINO REVENUE YTD: E38.2M, 7% CONSOLIDATED REVENUE Q3: E44.8M, 3% CONSOLIDATED REVENUE YTD: E86.4M, 4% Detail: SFCMC has reported a consolidated revenue slide of three per cent in Q3 to E44.8m compared to a year earlier. Following a flat Q2 and a dip of 12 per cent in Q1, revenues in the year to date were down four per cent at E86.4m. Gaming revenues were down three per cent in Q3 to E14.4m, with table games growing four per cent, due to the installation of electronic roulette, even as slot revenues fell eight per cent. In the nine-month period,
Crown Melbourne saw main gaming floor revenues rise to A$1bn
September 2012. The company has also, of course, taken its unsolicited proposal for a VIP casino in Barangaroo, Sydney to the third stage, beating off a rival plan from Echo Entertainment. The company’s 33 per cent stake in Melco Crown Entertainment in Macau continues to contribute to the bottom line: it realised an equity accounted profit of A$175m (E122.6m) from its Chinese investment. With its pipeline of projects, expectations from that quarter remain strong. Sri Lanka will be the next major market investment for the company following approval of the next stage in its proposals to build a casino resort on a brownfield site in downtown Colombo. Crown is also a shareholder in The Aspers Group in the UK, which has just opened its – and the country’s - second Large casino under the 2005 Gambling Act in Milton Keynes. Crown made loans to Aspers totalling £63.3m (E75.7m) to help fund the developments. At the end of October this year, Crown Limited will change its name to Crown Resorts. In a statement Crown said: “The change of the company name is timely given the large investment Crown has made in its tourism infrastructure over the last few years and its expanding domestic and global investments.”
gaming revenues fell five per cent against the previous year at E34.4m. Company quote: “The lower activity is the result of strong decline in tourist numbers in the ProvenceAlpes-Côte d’Azur region in July compared to the previous year… Clarity over future prospects remains elusive given the still very uncertain national and international economic environment.”
Profile: Société Fermière du Casino Municipal de Cannes (SFCMC) owns two casinos, two hotels, seven restaurants, six bars and a spa. It is 60 per cent owned by the Desseigne-Barrière family, which also owns 60 per cent of Groupe Lucien Barrière. Through various commercial agreements, SFCMC operates its casinos under the Barrière brand.
ISLE OF CAPRI
Nemacolin opening expenses push Isle to a loss NET REVENUE Q1: $247.7M E185.4M , +5% ADJUSTED EBITDA Q1: $43.3M E32.4M , 4% NET LOSS Q1: $4.9M E3.7M , AGAINST $6.7M E5M PROFIT IN Q1/2012
Isle of Capri’s president and CEO Virginia McDowell
Detail: Operating results in Q1, ended July 28, were affected by $3.9m (E2.9m) in pre-opening expenses associated with Lady Luck Nemacolin; however the company gained from the $1m (E748,000) sale of its company jet. Without the impact of these two items, the loss would be more than halved. At properties open more than one year, net revenues were $231.1m (E172.9m), down 1.9 per cent, and adjusted property EBITDA was $48.2m (E36.1m) down 7.5 per cent on a year earlier. The Nemacolin Woodlands Resort in Pennsylvania, which opened only at the start of July contributing just one month to the figures, generated net revenues of $2.6m (E1.9m) for an adjusted EBITDA loss of $0.6m (E0.4m).
Company quote: Virginia McDowell, president and CEO: “Our operating results continue to be impacted by the soft regional gaming trends and several of our properties were impacted by flooding and spring storms that occurred in the Midwest during May and June… “In Cape Girardeau we continue to refine our business model in order to ramp up the property… “Our newest property, Lady Luck Nemacolin opened on July 1… While customer feedback regarding the property has been extremely positive, initial results have not met our expectations. Many local customers have told us they are having difficulty accepting the mandatory purchase requirement, which they view as an admission
charge, that doesn’t exist at other casinos in the region. We are exploring alternatives to make access to the casino more appealing and least disruptive to customers as possible. In addition we are making operating changes to match the level of customer demand.” Profile: Isle of Capri terms itself a leading regional gaming and entertainment company in the United States. It owns and/or operates 16 properties mainly under the Isle and Lady Luck brands. It currently operates in Mississippi, Louisiana, Iowa, Missouri, Colorado, Florida and Pennsylvania.
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Casino on the Caribbean
TRINIDAD & TOBAGO: “A NEW COMPREHENSIVE LEGISLATIVE FRAMEWORK WILL BE PUT IN PLACE THAT PROMOTES RESPONSIBLE GAMBLING AND PROTECTS THE VULNERABLE.”
Refurbishment of The Star in Sydney had a material impact on Echo’s results now the same needs to happen at its properties in Queensland, says the company. And now the battle with Crown is over it will be able to focus on that.
fter a bruising battle in which Echo lost a bid to expand gaming in Sydney to its rival Crown, the company has reported a full-year Net Profit After Tax (NPAT) of A$83.5m (E58.5m), approaching double its profit the previous year. However, the company
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ECHO ENTERTAINMENT
The Star boosts Echo while Queensland lags
said that the figures are not strictly comparable and that the underlying figure, normalised to exclude significant items, was higher at A$126.9m (E88.9m), but represented a fall of 15.5 per cent on the normalised profit from the previous year. The adjustment comes from higher income
tax, higher depreciation and amortisation, and a change in the metrics used to normalise the figures. Reported EBITDA came in 25.8 per cent higher at A$334.6m (E234.3m) off actual revenues of A$1.74bn (E1.22bn). Actual revenue growth of 17.5 per cent at The Star,
the flagship property in Sydney, was partially offset by a fall from the Queensland properties of 3.3 per cent. Normalised EBITDA for the group rose was up 1.4 per cent in the year to A$391.4m (E274.1m). Chairman John O’Neill said: “FY13 was a challeng-
ing year for Echo but one in which a relatively new company achieved a great deal to position itself for future earnings growth. “The expansion project at The Star that was started in 2007 was completed on budget in January 2013… The quality result in our VIP business shows that these investments are starting to deliver.” He added: “The outcome of the Unsolicited Proposal put to the NSW government by Echo to further develop The Star was disappointing, however, the benefits of being the incumbent sole operator for at least another six years should not be
underestimated and we have a sharp focus on optimising that position to make sure we are a strong and effective competitor beyond 2020.” CEO John Redmond noted: “The Queensland properties experienceD soft revenue trends in FY13. The modernisation of the regulatory environment for electronic gaming machines should help provide some revenues momentum in FY14 despite the poor general macroeconomic conditions in our core markets. However, the Queensland properties will not reach their potential until further significant investment is made. [We] share the Newman government’s vision for tourism… We have a wonderful opportunity to be aT the forefront of that tourism push and we continue to work collaboratively with the government to help develop those plans.”
SHFL ENTERTAINMENT
Merger costs hit SHFL’s bottom line Detail: Total revenue growth was due primarily to a 79 per cent year-over-year increase in Electronic Table Systems (ETS) revenue to $10.8m (E8.1m). The Electronic Gaming Machine (EGM), Utility and Proprietary Table Games (PTG) businesses also contributed to overall growth in the quarter. Recurring revenue increased five per cent yearon-year with the increase in PTG recurring revenue contributing to 68 per cent of the overall increase in recurring revenue. The plan to merge with Bally Technologies has incurred a one-time cost of $3.6m. That helped push
REVENUE FROM LEASES AND ROYALTIES Q3: $29.3M E21.9M , +5.4% REVENUE FROM SALES AND SERVICE Q3: $44.2M E33.1 +24.5% NET REVENUE Q3: $73.5M E55M , +15.9% OPERATING PROFIT Q3: $8.5M E6.4M , 36.5% NET PROFIT Q3: $6.4M E4.8M , 38.5% NET REVENUE YTD: $209.7M E157M , +13% NET PROFIT YTD: $25.3M E18.9M , 9% net profit down $4m (E3m) year-over-year. Adjusted for one-time expenses related to the merger agreement, net profit was $9.5m (E7.1m) in the third quarter, still down on the prior year but only by 8.6 per cent. Gross margin decreased 80 basis points year-overyear to 62 per cent primarily driven by increased revenue
in the lower-margin ETS segment. Gross margin was also affected by a higher headcount, which added $1.6m (E1.2m) to the wage and benefits bill. New people also raised R&D expenses by $2.4m year-on-year, along with higher product approval expenses related to several initiatives across all product
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segments. Approximately $0.7m (E0.5m) of the increase was due to expansion of the iGaming department and platform development for the company’s online game content. Company quote: SHFL decided not to comment on the quarter’s results in the light of the ongoing merger
process with Bally. Profile: SHFL Entertainment operates in legalised gaming markets across the globe and offers products in five distinct categories: Utility products, which include automatic card shufflers and roulette chip sorters; Proprietary Table Games, which includes live games,
A TOUCH OF PROSPERITY
side bets and progressives; Electronic Table Systems, which include various eTable game configurations; Electronic Gaming Machines, which include video slot machines; and newly introduced iGaming, which features online versions of SHFL’s table games, social gaming and mobile applications.
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Dream expansion
DREAM DEAL: CHILEAN CASINO CHAIN DREAMS HAS ACQUIRED TWO GAME ROOMS IN PERU, EDEN AND MIRASOL, FOR A REPORTED PRICE OF $3.85M
AGEM
Better business plus M&As equals higher share prices Large M&A deals are not unexpected as the industry emerges from the depths and is back on a sustained growth trajectory. The AGEM Index reflects the higher share prices that have resulted but it is also proving a reliable bellwether of operators’ increasing confidence and buying power. he AGEM Index reported a month-tomonth increase for the second consecutive month in August of 2013. The composite score was 180.30, up 3.07 points (1.7 per cent) on July 2013 and up 57.61 points (46.9 per cent) on the same month in 2012. The index has reported month-to-month declines in just two of the past eight months. In the latest reporting period, 10 of the 18 quoted global gaming suppliers that make up the index reported monthly increases in stock price. Of the eight operators that reported declines, only one was down by more than 10 per cent. The AGEM Index increased in August while broader stock markets did not fare as well, with each
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seeing month-to-month declines of between one and more than four per cent. Among the positive contributors to the AGEM Index in August were two from Australia: Ainsworth Game Technology, whose stock price reached A$4.06 (E2.84), up 12.8 per cent, and contributed 1.13 points. With its shares up 4.2 per cent to A$4.52 (E3.17), Aristocrat Technologies contributed another 0.92 points. However, on the other side of the equation, Crane Co, a new addition to the Index, subtracted 1.16 points, after a 5.7 per cent tumble in its shares to $57.41 (E43.04). A number of the gaming equipment manufacturers continued to report positive
BUSINESS BRIEFS Nevada revenues down in July Nevada’s statewide revenues in July reached $925.7m (E693.6m), the Gaming Control Board has announced. That was eight per cent lower than July 2012, which was the highest revenue-earning month since 2008. The Strip revenues were down 14.4 per cent to $511.4m (E383.2m), while Downtown revenues fell 4.5 per cent to $39.4m (E29.5m). In Reno revenues rose 5.8 per cent to $48.9m (E36.6m).
Ainsworth pre-tax profits up 50 per cent
earnings in the latest reporting period while consolidation has emerged for a few manufacturers.. WMS reported net revenues of $202.8m (E152m) in its Q4, up 3.5 percent from the same period a year ago thanks to a 32.8 per cent increase in gaming operations revenues. However, the increase was offset by a 10.3 per cent decline in product sales revenues, which fell to $119.4m (E89.5m). WMS Industries is in the process of being acquired by Scientific Games. Bally reported a 7.6 per cent increase in net revenues to $264.4m (E198.2m) during the company’s fiscal fourth quarter of 2013, due to substantial increases in gaming operations revenues and systems revenues. Gam-
ing operations revenues increased 9.7 percent to $102.8m (E77m), due to a 38 per cent increase in the installed base of WAP games. Meanwhile, systems revenues increased 31.8 per cent to $72.9m (E54.6m), partially attributable to a 25per cent increase in maintenance revenues. On August 27 Bally’s proposed acquisition of SHFL moved one step closer to completion with the completion of the Hart-ScottRodino waiting period required under the Antitrust Act of 1976: the Federal Trade Commission did not raise any concerns during the period. The transaction is still awaiting approval from SHFL’s shareholders and the necessary regulatory agencies.
Australian manufacturer Ainsworth has reported full year revenues up 31.5 per cent to A$198.1m (E138.7m). EBITDA was up 39 per cent to A$74.1m (E51.9m), while pre-tax profits rose 50 per cent to A$69.3m (E48.5m). A tax benefit from the previous year and a tax expense in 2012/13, however, saw profit after tax fall 18.8 per cent to A$52.2m (E36.5m). Revenues from its domestic market rose 21 per cent to A$124.4m (E87.1m) off the back of more orders for the A560ST cabinet and Quad Shot in NSW and Queensland, as well as from rolling out the new Reels of Wheels and Multiplay Big Time II. International revenues rose 55 per cent to $73.7m (E51.6m), with a big boost in orders from South America.
GROUPE PARTOUCHE
Revenues continue to fall in France August AC revenues continue fall
NET GAMING REVENUE Q3: E75.1M, 4.2% GROUP CASINO REVENUE Q3: E94M, 4.9% GROUP NET REVENUE Q3: E109.1, 3.3% GROUP CASINO REVENUE YTD: E295.5M, 4.9% GROUP NET REVENUE YTD: E328.7M, 3.5% Detail: Restaurants and shows, which contribute to the casino revenue, were affected by a lower number of customer visits in the third quarter and fell by five per cent to E19.5m. The company’s hotels, led by the Hilton in Lyon and the Garden
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Beach in Juan-les-Pin, saw revenues from that stream rise 6.4 per cent to E12.3m. The fall of 13.7 per cent in revenue at the Partouche Interactive to just E1.3m reflect the company’s closure of its online poker product finally in June.
Profile: Founded in 1973, Groupe Partouche now operates 49 casinos in France, Switzerland, Belgium, Spain and Tunisia. It also the offers a wide range of hotels and restaurants, spas, golf courses and beaches.
Total casino win in Atlantic City in August fell 4.8 per cent to $298.1m (E223.4m). Slot machine win was down 2.6 per cent to $219.5m (E164.5m) while table games were down 10.5 per cent to $78.6m (E58.9m), due to lower hold percentages. Borgata led the pack with revenues of $62.6m (E46.6m), 13.3 per cent up on the same month last year. Fastest faller was Harrah’s, down 18 per cent to $32.9m (E24.6m). Trump Plaza remains the lowest earning venue with revenues of $8.8m (E6.6m), down 17.2 per cent on last year.
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Leeds to set up poverty fund via Partouche casino
LISTINGS
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58 | casinoreview October 2013
eeds City Council, the emerging city in the north of England, is considering setting up a fund to support those in poverty, using money generating from granting a casino licence earlier this year. The council is proposing a new Social Inclusion Fund using the £1m generated from granting a casino licence to Global Gaming Ventures (GGV). As part of the agreement, the council also receives an annual payment of £450,000 or four per cent of net gaming revenue.
ARCHITECTURE & DESIGN Casino design veterans earn MIA award
C
uningham Group the architects behind Margaritaville casinos in Bossier City and Biloxi - have been awarded the American Institute of Architects Minnesota Firm Award, which recognises advancement in technology, service, and design.
I-5 riding high following Isleta and G2E
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-5 Design headed to G2E 2013 fresh from their success at the Isleta Casino in Albu-
Richard Lewis, executive member for economy and development, said: “The establishment of a Social Inclusion Fund provides a timely boost to our anti-poverty agenda at a time when on-going and unprecedented funding cuts, the economic downturn and substantial changes to the welfare system are contributing to growing concerns about the social and economic exclusion of vulnerable people in the city. As well as enabling us to create this much needed social inclusion fund, the
new casino will provide a major boost to the local economy. The leisure economy already attracts thousands of visitors to Leeds, and this new large casino at Victoria Gate will add an extra dimension to the existing popular attractions in the city.” Leeds City Council’s licensing committee granted a provisional statement for a large casino licence to GGV, which is partnering with French operator Partouche and wants to open a new casino as part of the Victoria Gate development scheme.
querque. The team were tasked with renovating a 60,000 sq ft casino floor in just 12 weeks and achieved results that have been described as “outstanding” by Isleta CEO, Pam Gallegos.
resorts worldwide and X2 Computing have developed a pair of multiple charging solutions. The PowerRAIL is a desktop charger which can hold 4, 8, or 12 devices. The beefier PowerCRATE charges up to 20 devices simultaneously.
BETTING SERVICES Fujitsu breaking new ground in Vegas
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ujitsu Frontech North America Inc. made their debut at G2E last month, demonstrating a new G750L bill recycling unit for the first time. “We believe…the G750L will have a bright future in the gaming space,” said Randy Fox, Senior Director, currency handling and identity product solutions.
COMPUTER HARDWARE X2 Computing allow for large-scale tablet charging
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ablets are becoming increasingly prevalent in gaming
FOOD & BEVERAGE Savoury sandwiches on show in Vegas
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apriotti’s Sandwich Shop is hoping to increase its casino footprint following this year’s G2E. Five casinos are already serving their culinary concoctions, with another to be added in the near future. “As we continue to expand our Las Vegas presence, we anticipate further growth in the casinorestaurant market,” said CEO Ashley Morris.
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YXYXYXY Supplier News: jw@sjc.co.uk
ARCHITECTURE & DESIGN BETTING SERVICES COMPUTER HARDWARE FOOD & BEVERAGE HOSPITALITY MARKETING PRODUCT DEVELOPMENT PROMOTION RETAIL ROULETTE SECURITY STAFFING TRANSPORTATION
MARKETING & PROMOTION
ETHICAL BUSINESS
European Business Ethics Network awards Intralot
Rymax unveil promo popularity data
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layer loyalty solutions providers, Rymax, have revealed which of their merchandise rewards are most popular with gaming consumers. Electronics leads the way with 33% of redemptions, followed in order by kitchenware, fashion accessories, and jewellery.
Content management evolved by Multi-Choice Cash
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he gaming division of ATM Merchant Systems - Multi-Choice Cash - have developed a new way to deliver content to ATM displays and digital signage. Their Marketing Content Manager system was launchedin Las Vegas at G2E and allows content to be controlled remotely from a web-based interface.
“
HOSPITALITY TECHNOLOGY
PRODUCT DEVELOPMENT PDT report highlights gaming parallels
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YLS kick off G2E in style
roduct innovation and design firm PDT have published a report comparing the video game and gambling industries, with a focus on how the latter can prepare for the imminent influx of millennials.
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RETAIL
roviding the spectacular light show at the Welcome Reception of this year’s G2E was YLS lasers. The company has been providing special effects, programming, and instillations to casinos since 1990.
Interblock continues G4 Roulette rollout
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nterblock’s G4 Organic Live Roulette™ tables have been installed in Casino St. Gilles Croix De Vie. “The stations offer good comfort as well as nice playing ergonomics,'' said Casino Director Ms. Noëlle le Boulicaut.
SECURITY & SURVEILLANCE eConnect™ provide financial security in the Philippines
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POVERTY FUND The establishment of a Social Inclusion Fund provides a timely boost to our anti-poverty agenda at a time when on-going and unprecedented funding cuts, the economic downturn and substantial changes to the welfare system are contributing to growing concerns.”
ROULETTE
he Solaire Casino in the Philippines has confirmed the installation of eConnect™’s Casino Connect™ Ratings Module. The anti-fraud software integrates with Bally’s ACSC-iSeries Casino and Slot Management System and will provide staff at Solaire with a vital audit trail.
STAFFING & PERSONNEL McGladrey’s approved by Working Mothers
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cGladrey’s National Gaming Practice provides not only accounting and consulting services to the gaming industry, but also a flexible work environment, according to Working Mother magazine. The company were named on the publication’s 100 Best Companies list.
Agilysys debuts mobile POS
TRANSPORTATION
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Norwegian casino cruises favoured in Caribbean
he InfoGenesis™ Mobile v2.0 android application from Agilysys allows food & beverage servers to take orders on the move. "InfoGenesis Mobile is the perfect addition to our property, because we wanted simplicity without compromising function," said Antonio Sosa, Director of Information Technology & Telecommunications at Mandarin Oriental, Las Vegas.
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ntralot has been distinguished with the Gold certified award in Social, Environmental and Ethical Governance by the European Business Ethics Network (EBEN), following a comprehensive assessment process. This year, the award received by the company has been extended and especially recognises top performance in the sectors of business analysis including, for the first time, best practices in corporate social responsibility and reporting and effective IT management. In addition, Intralot also maintained its distinction in the areas of regulations and communications in internal auditing and performance assessment, received in previous years. For the last six consecutive years Intralot has been rewarded in multiple criteria for its reiterated commitment to operate under the principles of integrity, responsibility and business ethics by EBEN GR and has won the gold award for the last four years. At the award ceremony held in Athens on September 18, Intralot senior manager of public relations and CSR, Chryssa Amanatidou, stressed the importance of integrating corporate governance and social responsibility into business strategy, as a means to create shared value while advancing business goals. “Business excellence in all aspects of our operations is paramount to our strategy of sustainable leadership and focus on ensuring our stakeholders’ trust; customers, shareholders, employees and local communities,” she said. EBEN president, Antonis Gortzis commented: “EBEN’s newly re-conceptualised model of governance provides certification to businesses for the first time and helps them implement systems and policies that contribute to corporate sustainable development as well as to wider social progress.”
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urveyors of floating casino entertainment, Norwegian Cruise Line, have been named the “Caribbean’s Leading Cruise Line” at the World Travel Awards. "It is such an honour to receive this award from travel partners and consumers worldwide," said Kevin Sheehan, CEO of Norwegian Cruise Line.
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Marketing BRICKS & CLICKS
Nicky Senyard, CEO of affiliate network Income Access, explains how a US freeplay gaming and marketing strategy for online casino sites has benefited forward-thinking land-based brands and casinos ahead of further intrastate regulation.
E 60 | casinoreview October 2013
Freeplay paves the way for full online gaming by US casinos
ver since the US Department of Justice (DoJ) issued an unexpected public clarification on the Wire Act in December 2011 stating that, “interstate transmissions of wire communications that do not relate to a ‘sporting event or contest’ fall outside the reach of the Act”, US land-based casinos have been hurriedly doing all they can to ramp up their previously non-existent online operations. Eighteen months later and we can see
the result of their efforts, most of which have been spent building relationships and partnering with the largest and most reputable European eGaming operators or suppliers in order to make full use of their online knowledge and expertise. A large part of their operational activity over the last year and a half, however has been planning and launching online brands with free-to-play and/or social gaming content in order to build up a pres-
The Stratosphere in Las Vegas recognised early the potential of freeplay gaming online
ence, marketing buzz, traffic and content stickiness ahead of further intrastate regulation following the change of law in Nevada, New Jersey and Delaware. Freeplay sites and games have long been used in Europe to entice existing and new casual players into playing largely casino products in the hope they convert into real-money-depositing and eventually loyal customers. Well established brands are also looking to free-to-play offerings as
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EDITORIAL Editor: Hugh Sorrill Email: hugh.sorrill@virgin.net Tel: +44 (0)247 667 8077 Managing Editor: Ken Scott Email: ks@sjc.co.uk Tel: +44 (0)1273 699 900 Sections Editor: James Walker Email: jw@sjc.co.uk Tel: +44 (0)1273 699 900 Reporters: Joseph Ewens, Jennifer Riddall
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a means of maintaining brand engagement and mitigating the risk that players seek out new brands based on bonus offers. In the US, the larger Las Vegas Strip casinos and well known properties in the soonto-be regulated state of New Jersey, for example, appear to have shied away from directly investing in a free-play strategy, confident their brands will be able to stand alone and attract large traffic volumes immediately from real-money launch. Meanwhile, a number of other medium sized, off-Strip casinos, brands and larger tribal properties have chosen instead to invest in adding free-play and or social free-play games to their platforms via the likes of IGT-owned DoubleDown that has integrated its casino application onto a variety of these sites.
TOO SOON t may be too early to tell how financially successful this type of pre-regulatory, freeplay social casino games strategy has been to this point; however immediate monetisation, whilst a priority, will come in the form of building a targeted pool of gamers and enthusiasts that will turn into future revenue generating customers. The effective marketing of freeplay online and social games to a casino’s current land-based audience has contributed to a number of land-based properties realising significant uptake both from new and existing players. Among the strategies deployed by some properties including Foxwoods, that owns one of the largest US tribal properties in Connecticut, is the addition in its landbased casinos of online digital touch points featuring freeplay and social games.
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Opinions expressed in this publication should not be regarded as the official view of GB Media Corporation Ltd, except where stated. Views, opinions and recommendations contained in this publication are put forward for consideration only. No action should be taken in reliance upon any such views, opinions or recommendations. Neither GB Media Corporation Ltd nor contributors accept any responsibility for any loss occasioned to any person howsoever caused or arising as a result of or in consequence of action taken or refrained from in realiance on the contents of this publication. Notes for contributors The Editorial Board welcomes the submission of articles for consideration by the editor with a view to publication. Articles submitted will not be returned and accordingly contributors making submissions should retain copies. Submission of an article will be held to imply that the article contains original unpublished work which GB Media Corporation Ltd may lawfully publish. All submissions are made at the owner’s risk. © GB Media Corporation Ltd 2013 All rights strictly reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means without the prior written permission is given, full acknowledgement of author, publisher and source must be given.
positions ACEP and acePLAYpoker.com for the regulated launch of real money online gaming in Nevada.
FLICKING THE SWITCH or some the transition from freeplay to real money hasn’t come soon enough, but for others in the middle of reaping the rewards of an intelligent, integrated online gaming marketing strategy – that extends across multiple acquisition channels including affiliates, media buying, social media, and search engine marketing (SEM) – what is most appealing is that their current free-play solution will also be their real-money platform. With this work in place these brands and properties will be far more prepared than their competitors when legislation permits them to flick the realmoney switch. As a senior executive from one of the largest US tribal land-based casinos said of his freeplay product earlier this year: “It’s not going to be switched out. It’s the same platform, same technology, and same integration into third party games.” Following on from the work we have done in free-to-play social games in the US, Income Access will shortly be announcing a list of social gaming partners who will be taking part in the company’s soon-to-launch social gaming affiliate network. This strategy will leverage the company’s existing network, software and marketing expertise and second-to-none relationships with operators and affiliates in order to create an environment where early adopter affiliate businesses drive traffic to partner social gaming sites. Watch this space.
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IGT’s DoubleDown has partnered with dozens of casinos now benefiting from the better marketing possibilities alone
This engagement and exposure has helped to promote, encourage and significantly increase online player experience, brand loyalty. The fact that a number of land-based casinos in Nevada, New Jersey and other states are benefiting from the results of implementing freeplay and social games has been fascinating. Not only are large swathes of the existing land-based casino clientele engaging with online games before and/or after they arrive and leave the physical property, new players are also being attracted. Income Access’s partner, ACEP Interactive, which represents the Stratosphere Hotel, Casino & Tower in Las Vegas, the local casino brand Arizona Charlie’s, and the Aquarius Resort in Laughlin, Nevada, is one such example of a early-to-market
free-to-play offering. They launched www.acePLAYpoker.com, a free-to-play online poker portal to the US market in March this year. The digital marketing strategy has since focused on the development and implementation of a progressive, integrated marketing framework for the group’s online and land-based gaming properties. The site gives players the chance to win a number of unique prizes, including free hotel stays at ACEP properties, restaurant, live poker seats, show tickets and thrill rides at the iconic Stratosphere Casino, Hotel & Tower. For Alec Driscoll, the company’s director, the free-to-play site allows them to “bring the excitement of play” found at their properties to anyone with internet access, no matter their location; this approach simultaneously
www.msi.com/ipc
ipcsales@msi.com
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CONFERENCES
ICE unveils comprehensive conference programme
A In addition to the innovative products and services on display on the show floor at the largest B2B gaming exhibition in the world, the organisers of ICE have once again curated a comprehensive conference programme that focuses on the most important issues currently affecting all sectors of the industry. 62 | casinoreview October 2013
s the gaming industry gears up for ICE Totally Gaming, which takes place at ExCeL London on February 4-6, event organisers Clarion Gaming have unveiled a rich conference programme that will run parallel to all the action on the show floor. ICE’s eight conferences will provide an in-depth opportunity to learn through case studies, interactive discussions and focused networking about the most exciting areas in gaming, such as social gaming, mobile, regulation and game innovation. Ahead of the ribbon cutting ceremony on Tuesday, February 4, the 6th International Casino Conference will be held on Monday. This flagship casino industry event, organised in partnership with the European Casino Association (ECA), will bring together casino executives from across the world. Speakers include Damià Calvet, director, of the Ministry of Economy and Knowledge, Government of Catalonia; Harrie Temmink, DG Markt, European Commission; Luca Frigerio, CEO, Casino de la Vallée; Roger Seshadri, senior vice president and chief information officer, Melco Crown. Discussions will include Barcelona World, the EC action plan, bringing each casino floor up-to-speed with technological innovation, securing customer loyalty through multi-channel marketing and harnessing the potential of social and mobile gaming. The World Regulatory Briefing will
begin on February 4. Helping operators to find the right balance between regulation and commercial enterprise, the conference will bring together the world’s leading regulators and gaming professionals for a day of educational discussion in an attempt to manage the complexities of multi-jurisdictional licenses for online gaming across Europe, the US and Latin America. Delegates will hear from the European Commission, Dutch Gaming Authority, UK Gambling Commission, Alderney Gambling Control Commission, Belgian Gaming Commission, SKAT, Italian Customs and the Nevada State Gambling Control Board as they provide in-depth, comprehensive updates on regulation in key international jurisdictions. Day three of the ICE conference programme will focus on CRM, loyalty and customer retention. “As users switch from online to mobile and tablet and competition heats up in terms of customer acquisition, how can you create a sustainable and engaged user base without engaging in a race to the bottom as bonus culture grows?” Clarion said. “With speakers from Paddy Power, Bwin, SkyBet, BetVictor and many more, you’ll have the chance to see how your peers are tackling the challenges you face. We’re also delighted to welcome guest speakers from notonthehighstreet.com, Aimia and BT, who will inject a new perspective into the conversation.” ICE’s Mobile Gaming conference pro-
gramme, meanwhile, will help industry stakeholders explore how to deliver a compelling, seamless and engaging customer experience, capturing their customers for deeper and longer sessions across smartphone, tablet and smart TV screens. Over 30 senior executives from leading operators will discuss content discovery, affiliate tracking, notifications, social, distribution and payments with a focus on overcoming specific challenges in a multi platform iOS and HTML5 environment. Speakers include mobile leaders from key operators such as Evez Leket, head of mobile, Unibet; Stuart McGowan, head of totepool, Betfred; and Alex Deacon, sportsbook product director, Betfair. On Wednesday, February 5, the Cybercrime, Security and Regulatory Compliance in Gaming conference will see experts discuss crucial compliance issues including international regulations, amendments to the 4th AML Directive and KYC, as well as innovations in mobile, online and social gaming. Three further conference sessions Monetising Social Gaming, Game Design and Development and Next Generation Lotteries - will also take place on February 5. ICE Totally Gaming February 4-6 ExCel, London www.icetotallygaming.com
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BEGE • SOFIA / ICE • LONDON / SAGSE • BUENOS AIRES / WRB • PHILADELPHIA WrB 22-23 November
EASTERN EUROPEAN GAMING SUMMIT 21-22 OCTOBER BEGE 21-22 OCTOBER WRB 22-23 OCTOBER SOCIAL GAMBLING CONFERENCE 6-7 NOVEMBER SAGSE 12-14 NOVEMBER
IGAMING
| DIARY
How to regulate internet gambling in the US
OCTOBER
ith all eyes now set on New Jersey, Nevada and Delaware, which are expected to prove the business case of their decision to legalise and regulate internet gambling, it has been reported that at least a dozen other states are considering following in their footsteps. They have, however, adopted a wait and see approach in expectation of the revenue results that the newly launched iGaming frameworks will have produced. State legislation of iGaming will be the main topic of discussion during the World Regulatory Briefing on October 22-23 inPhiladelphia. State legislators from Florida, New Jersey, Delaware and Pennsylvania are amongst the keynote speakers who will debate when and how online gaming can be a sustainable revenue source to the state, what is the appropriate cost/
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benefit ratio analysis that should be made prior to implementing iGaming in various regulatory and licensing scenarios and what local circumstances influence the creation of a particular regulatory and taxation framework. The timing of the conference should also be perfect to analyse the first results of the launches in Nevada and Delaware from the perspective of revenue they will have generated, the impact on the existing land-based operations and the effect on consumer addiction to gambling. On hand will be regulators from New Jersey, Nevada, Arizona, Iowa, California, Pennsylvania, Massachusetts, Alderney, Malta and Canada. They will be joined by a high-level line-up of industry experts and political speakers including Florida Rep Jim Waldman, New Jersey Asm John Amodeo, Delaware Rep Helene
Keeley and chairwoman of the Pennsylvania House Gaming Oversight Committee, Rosita Youngblood, who will share their views on the feasibility of increasing the states’ revenue from iGaming by pooling liquidity across state borders and creating multistate compacts. Rep Waldman, who is president of the National Council of Legislators from Gaming States, said: “I am looking forward to discussing with fellow state legislators, regulators and industry representatives the optimal route to the legalisation of iGaming that will respect requirements and needs and of the local population and of the existing industry stakeholders.” World Regulatory Briefing USA October 22-23 Philadelphia, Pennsylvania, USA www.wrbriefing.com/usa
21-23 Eastern European Gaming Summit Inter Expo Centre, Sofia, Bulgaria www.eegamingsummit.com 22-23 Balkan Entertainment and Gaming Expo (BEGE) Inter Expo Centre, Sofia, Bulgaria www.balkangamingexpo.com
Rep Jim Waldman, president of the National Council of Legislators from Gaming States
LATIN AMERICA
EASTERN EUROPE
Later dates give boost to SAGSE
Online and offline issue to be aired in Sofia
ow that the show takes place less than two months after G2E, the organisers of SAGSE Buenos Aires are confident that attendees will be attracted by the prospect of seeing the very newest games on their own territory. It’s a virtuous circle they believe: the more operators are attracted to the Argentinean capital by the latest products, the more the exhibition is of value to exhibitors. Organisers Monografie said: “We are working to ensure the presence of as many operators as possible from across Latin America in the next edition of SAGSE. That will reduce contact costs across the industry and avoid manufacturers having to travel from market to
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8-10 EiG – European iGaming Summit Fira Barcelona, Barcelona, Spain www.eigexpo.com
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market in search operators.” It continued: “SAGSE Buenos Aires, with its size, internationality, quantity and quality of exhibitors and visitors, is among the most important exhibitions in the world along with Las Vegas and London. It is the entry to the Latin American market be it land-based or online.” As in previous years, the show will be complemented by the EY13! conference organised by Yogonet, Global Gaming Women - Latin America (GGW LATAM) and the traditional awards ceremony Gran Gala del Juego.
he line-up of topics and speakers at the Eastern European Gaming Summit, which takes place alongside the Balkan Entertainment and Gaming Expo (BEGE), has been finalised. The main focus will be on online gambling, on the approaches taken in Eastern Europe and whether anything can be learned from other jurisdictions, especially in the EU and the US. Speakers and panellists include operators, lawyers, regulators and association representatives from across the world. In addition, the EEGS will conduct a workshop focusing on social responsibility, featuring a case study from Casinos Austria, and a masterclass on how to get the best out of casino management systems.
SAGSE Buenos Aires 2013 November 12-14 Buenos Aires, Argentina www.monografie.com
Eastern European Gaming Summit October 21-23 Sofia Bulgaria www.eegamingsummit.com
22-23 WrB (World Regulatory Briefing) Philadelphia, USA www.wrbriefing. com
NOVEMBER 6-7 Social Gambling Conference Dexter House, London, UK www.socialgamblingconference. com 12-14 SAGSE Buenos Aires 2013 Centro Costa Salguero, Buenos Aires, Argentina www.monografie.co m/sagse_bsas 14-16 Macau Gaming Show CotaiExpo at Venetian Macau, Macau www.macaogamingshow.com 18-20 Table Games Conference Paris Las Vegas, USA www.tablegamesco nf.com
FEBRUARY 2014 4-6 ICE Totally Gaming ExCeL, London www.icetotallygaming.com
October 2013 casinoreview
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