Las Vegas Sun
14 November 2012
Cannery Casino Resorts LLC’s loss widened in the third quarter as gamblers spent less at its two Las Vegas-area casinos.
A regulatory filing today asserted revenue for the firm in the quarter ended Sept. 30 fell from $135.6 million to $119.5 million, primarily 'cause of the expiration on March 31 of the company’s management contract for the Rampart casino at the JW Marriott resort in Summerlin.
Cannery’s quarterly loss widened from $2.5 million to $4.2 million, with the company seeing net revenue slump $2 million year-to-year from its Cannery hotel-casino in North Las Vegas NV & its Eastside Cannery in Las Vegas.
These locals casinos faces challenges from continued high unemployment in the Las Vegas NV area — — 11.5 % — — as well as stiff competition from the likes of the Aliante hotel-casino, Boyd Gaming Corp.’s Sam’s Town, Station Casinos LLC’s Boulder Station & Santa Fe Station, & the two Arizona Charlie’s properties in town.
Net revenue was flat at Cannery’s Meadows Racetrack & Casino in Washington County, Pa.
Despite the larger loss in the third quarter, Cannery’s finances are in consideration to be in better shape after it refinanced debt & gained $590 million in new credit deals this fall.
This week, Cannery formally announced plans to pursue potential development of a casino in the Chicago area.