Your Source For Michigan Gaming News

Since 1997, the Michigan Gaming website has been a comprehensive resource regarding gaming in the state of Michigan. This site is an RMC Ventures, LLC publication, with contributions by the original creators of the site, Attorney David Waddell and Gaming Analyst Robert Russell, and additional contributions by Attorney J.J. Burchman.

Mr. Waddell,  Mr. Russell and Mr. Burchman are also associated with Regulatory Management Counselors, P.C., which proactively assists clients in managing regulatory issues in an effort to maximize company profits and avoid legal problems.

Volume 24, Issue 21

July 13, 2018

Printable Version

 

MICHIGAN GAMING CONTROL BOARD RELEASES DETROIT CASINO REVENUES & WAGERING TAXES FOR JUNE 2018 AND SECOND QUARTER 2018

In a press release dated July 11, 2018, the Michigan Gaming Control Board (“MGCB” or “Board”) released the June 2018 revenue figures for the three Detroit casinos – MGM Grand Detroit Casino, MotorCity Casino and Greektown Casino.

The three Detroit casinos reported $119.1 million in aggregate revenue for June 2018, a 5.3 % increase from the same month last year. The results were 4.4% below the monthly revenue  for May 2018.

Please see the linked  State of Michigan official financial report.

Revenue increased at MGM by 6.6% to $51.8 million. MotorCity recorded a revenue increase of 4.4% to $39.6 million. Greektown revenue increased by 4.4 % to $27.7 million compared with June 2017 results.

The June 2018 market shares for MGM Grand Detroit, MotorCity Casino and Greektown Casino were 44%, 33% and 23% respectively.

During June 2018, the three Detroit casinos paid $9.6 million in gaming taxes to the State of Michigan, compared with $9.2 million for the same month last year. The three casinos reported submitting $14.2 million in wagering taxes and development agreement payments to the City of Detroit in June.

All three casinos are subject to a wagering tax of 19%, with 10.9% of this levy payable to the City of Detroit and 8.1% payable to the State of Michigan.

The figures released by the Board are the gross receipts less winnings paid to wagerers. The figures do not include: 1) any fees or other relevant city,

state or federal taxes; 2) wages and benefits paid to casino employees; 3) payments to suppliers, services providers or vendors; nor 4) other normal business expenses.

Second Quarter Results 2018:

The three Detroit casinos posted a 3.9 percent increase in aggregate revenue during the second quarter compared with the same period in 2017.

MGM’s quarterly revenue was $157.4 million, up 5.8 percent from second quarter 2017 results. MotorCity recorded $124.9 million in revenue, a 3.4 percent increase. Greektown’s $85.6 million in revenue was up 1.2 percent from second quarter 2017 results.

 

SAGANING EAGLES LANDING CASINO GROWING WITH $55 MILLION EXPANSION

On Wednesday, July 11, the Saganing Eagles Landing Casino in Arenac County celebrated reaching the half-way point of its huge $55 million expansion with a topping off ceremony as the last beam was placed atop the new five story hotel being built on the property. The hotel should be open by August 2019.

When the expansion is complete, the Saganing Eagles Landing Casino will have more gaming space, including the 148 room hotel to accommodate guests. The expansion also includes a full-service restaurant and additional gaming space.

"This is going to be the largest property in the region north of Bay City," said Ron Ekdahl, chief of the Saginaw Chippewa Indian Tribe in an interview with ABC News 12.

The casino attracts about one million visitors a year, but that number is expected to grow when the $55 million expansion project is complete.

"When you go to a casino, you are there. You want to spend a night or two. A lot of times you stop for a half hour or a couple of hours, have lunch and move on," said Ray Brenny, CEO of Soaring Eagle Casinos to the news station. "People will actually stop and spend time here."

The tribe will be increasing its workforce as well. The Saganing casino is currently the largest employer in Arenac County with about 300 employees. There will be 160 new job openings created with the expansion.

"We are going to have an aggressive recruitment effort," Brenny said. "We are going to start way in advance and we are going to try and pull people from the local area. If not, from out of the county or out of state."

"It's going to be a boon," Brenny said. "People are going to start looking at the development in the area and I think it's going to attract other businesses to move into this region."

 

GAMING DISTRIBUTIONS FROM THE KEWEENAW BAY INDIAN COMMUNITY ANNOUNCED

Since 1993, The Keweenaw Bay Indian Community (KBIC) has been making bi-annual payments from gaming proceeds of its casinos to local units of government and to the State of Michigan. These payments are two percent and eight percent respectively and come from the net win from all slot machines. The two percent payments are made each year in May and November.

For the October 1, 2017 - March 31, 2018 period, a total of $117,339.99 was distributed to governmental units in Baraga County from funds that came from the Ojibwa Casino Resort-Baraga. The approved payments were distributed amongst Baraga and L’Anse area schools, township and village entities.

Distributions totaling $146,129.63 were made to local units of government in Marquette County from the Ojibwa Casino-Marquette for the same October 1, 2017 - March 31, 2018 period. Distributions were made to Chocolay Township and Marquette County and city services as well as Onota Township and Powell Township services.

Eight percent payments are made to the Michigan Economic Development Corporation.  The May 2018 distribution from the Ojibwa Casino-Baraga was $469,359.90. The amount from the Ojibwa Canion-Marquette was $584,518.49.

The next cycle of awards from the KBIC will be made in November.  Local units of government within Baraga and Marquette counties may apply in a written request by September 30, 2018.

 

IAGA ANNOUNCES DATA PRIVACY WEBINAR

The International Association of Gaming Advisors (IAGA) announced the next session in its free webinar series focusing on critical issues facing global gaming.  The webinar, Data Privacy Challenges and Concerns: Protecting Your Gaming Operation from Growing Cyber and Other Threatswill be presented on Wednesday, July 18 at 9:00am PST.

This webinar will provide a look into several critical issues that arise from both front line and back-of-the-house systems, including threats to payment systems, customer databases, websites, internal email and employee communications. The panel's experts will discuss the components of a successful data privacy and cyber program, including tips on how to assess, investigate, remediate, eradicate and respond to regulatory and other disclosure requirements, including global data privacy laws.

The webinar will be moderated by Taimur Ghaznavi, Manager of Assurance Services, Fraud Investigation and Dispute Services (FIDS) with Ernst & Young. Charlie Britt, Senior Privacy Attorney, NCR will be on the panel.

Please click here for more information or to register for the webinar.

 

CASINO CAREERS TO PROVIDE FREE RESUME REVIEW TO JOB CANDIDATES

Casino Careers, the leading job board providing talent-acquisition services to employers in the gaming - hospitality, regulatory, technology, and manufacturing sectors, has partnered with TopResume, the largest resume-writing service in the world, to offer all Casino Careers candidates a free review of their resume. TopResume writes and analyzes millions of resumes and LinkedIn profiles.

“We are delighted to partner with an organization that has the same goals: to help others present their expertise in the best light, so as to attain opportunities to advance professionally and care for their families,” said Beth Deighan, president of Casino Careers in a press release dated July 13.

 

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