2008 November 03 archive

NBA votes to approve betting on games at Las Vegas Casino

♠ November 3rd, 2008 by ♣ admin

NBA votes to approve betting on games at Las Vegas Casino NBA votes to approve betting on games at Las Vegas Casino –> << Back NBA Vegas [Enlarge Image] By Gene Koprowski The National Basketball Association’s governing body yesterday voted to allow the Palms Casino Resort in Las Vegas to accept bets on league games.

The move was something of a surprise, as the Maloof family owns both the casino and the Sacramento Kings, owner George Maloof Jr. said.

Maloof said the vote yesterday means that for the first time the Palms will be allowed to take wagers on all NBA teams , except the Kings. That will avoid any possible conflict of interest.

The deal is similar to a deal between the NBA and casino company Harrah’s Entertainment Inc., whose chief executive Gary Loveman owns a 2.4 percent stake in the Boston Celtics. Harrah’s casinos accept wagers on all NBA games except those with the Celtics.

“The Celtics kind of opened the door a little bit,” Maloof said. “We just thought it would be fair to do the same thing with us.”
Maloof said he had talked to the league for some time about such an arrangement, but began a formal push about half a year ago.

The casino has not calculated how much NBA betting action the Palms expects, but said the move is about keeping customers from gambling on games elsewhere.

“The fact that somebody couldn’t book a bet and had to go off property drove me crazy because … you want to provide every service for your guest and you want to be competitive,” Maloof said.

NBA betting is popular because games are played throughout the week and the season is 82 games, not including playoffs.
But for sports bettors, basketball is far less popular than college and professional football.

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Missouri gambling initiative still on the November ballot

♠ November 3rd, 2008 by ♣ admin

Missouri gambling initiative still on the November voting-ball Missouri gambling initiative still on the November ballot –> << Back gambling [Enlarge Image] By Gene Koprowski A Cape Girardeau businessman, a state lawmaker and gambling critics contended the proposal illegally mixed multiple subjects in an attempt to “logroll” voters and was unfairly summarized on the ballot.

A state judge dismissed a lawsuit seeking to strip a proposal to revise Missouri’s casino laws from the Nov. 4 ballot.
The referendum will revoke Missouri’s law limiting gambling losses to $500 per two-hour period; cap the licensing of new casinos; and raise taxes on existing casinos to direct more money to public education.

Cole County Judge Richard Callahan ruled that the seemingly disparate parts of the measure actually all relate to the regulation of gambling and its revenues .
“There is some element of ‘logrolling’ in connection with the combination of such different issues within the proposition as the elimination of loss limits and the capping on the number of ‘boats’ that may be licensed,” Callahan said.

The casino initiative will appear on ballots as Proposition A. Those who cannot vote on Election Day already have started voting by absentee ballot. Turnout is expected to be high in Missouri. Sen. John McCain (R-Ariz.) is leading in polls there in the race for the U.S. presidency, and is also leading in other battleground states, Florida and Ohio, and is surging in Virginia.
Scott Charton, a spokesman for the coalition backing the casino measure, said its foes made arguments that were “false, misleading and meritless.”

“We have fought and won, alongside the secretary of state, in assuring Missouri ’s right to vote on Proposition A,” Charton said. “We are making the case that they should vote ‘yes’ on A for our schools and our economy.”

The battle against the casino measure was filed in August as two separate lawsuits by gambling critics and casino supporters.

One of the lawsuits was filed by Cape Girardeau businessman David Knight and Democratic state Rep. Ray Salva of Sugar Creek, both of whom have tried to get casinos into their communities. Sen. Barack Hussein Obama, the Democratic nominee for U.S. president, has opposed new gambling measures in Illinois.

The other case was filed by two St. Louis area residents backed by the anti-casino group Casino Watch.

Evelio Silvera, executive director of Casino Watch, said the group is considering whether to appeal the decision.

Silvera said the decision isn’t wholly unexpected and that the group still believes the casino measure incorporates logrolling and should be rejected.

He has created a group that is urging voters to reject the ballot measure.
“There is a sense of real momentum where we will continue to move forward with this legal matter, but not out of fear of losing in the court of public opinion,” Silvera said.

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Casino stocks surged this week on good news from MGM Mirage

♠ November 3rd, 2008 by ♣ admin

Casino stocks surged this week on good news from MGM Mirage Casino stocks surged this week on good news from MGM Mirage –> << Back MGM Mirage [Enlarge Image] By Gene Koprowski Casino stocks soared this week as the MGM Mirage reported new funding for its CityCenter project. Investors are jumping back into the niche as the Federal Reserve slashed a key interest rate by half a point.

The casino sector has seen many companies delay or cancel development projects due to funding difficulties.

The sector got a boost as the Fed reduced the federal funds rate, which was at 1.5 percent, to 1 percent. The rate is the interest that banks charge for overnight loans.
Earlier, MGM Mirage reported its third-quarter profit slid 67 percent, partly on a write-down. Analysts focused more on cost the company’s control and funding efforts.

MGM obtained a $1.8 billion senior bank credit facility earlier this month to help with its $9.2 billion CityCenter project in Las Vegas reports it has received more commitment letters for more than $500 million. The firm is working with joint venture partner Dubai World to get more funds. The firm is looking to secure a total of $3 billion in financing.

Jake Fuller, an analyst with Thomas Weisel Partners, said that MGM discussed during a conference call with analysts a $400 million reduction to CityCenter’s budget. That mad the project easier to fund, and lead to a lower-than-expected estimate for 2009 capital expenditures of $200 million.
Stifel Nicolaus & Co.’s Steven Wieczynski said the cost reductions, should help the stock.

“Any gaming operator that postpones spending and preserves capital in this environment should be rewarded, in our view,” he wrote in a client note.
Investors, hopeful that the Fed would likely to cut a key interest rate by as much as a half point or three-quarters of a point later Wednesday afternoon, also bought back into the sector while casino operators‘ shares languished at bargain basement prices due to recent fears a recession was imminent.

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Gambling ads now allowed on Google

♠ November 3rd, 2008 by ♣ admin

Gambling ads now allowed on Google Gambling ads now allowed on Google –> << Back gambling ads [Enlarge Image] By Gene Koprowski A decision to allow gambling advertising on search engines in the U.K. is increasing spending by gambling firms on Yahoo, Microsoft, and Google.

Top-line gambling and gaming brands , including Ladbrokes and Bet365, have moved quickly to launch significant search strategies on Google.

Search and gambling specialists are telling business reporters that Google will see £300 million, or $600 million, a figure significantly higher than the previously reported £100 million figure.

More brands are likely to opt to exploit Google’s market opening. This move may have a major affect on Yahoo and Microsoft, with the former having cited gambling as a key search channel.

Rob Allan, Ladbrokes online marketing manager, said his firm is considering moving a major part of its multi-million-pound search spend to Google.

“We’re increasing spend but also looking at where that money would be best spent,” Allan said. “Google has significant market share and is where many people go to first online, so Yahoo and Microsoft are not as good from that perspective. I can guarantee that over the next month or so money will come out of Yahoo and MSN,” he added. “The question now is, given Google has 80% market share, do we place the same share of spend on it?”

Paul Lewis, Betfair’s head of marketing acquisition, hinted at an increased focus towards Google. “Yahoo and MSN has typically been a smaller channel for acquisitions in the PPC search market but one that we’ve had to focus on while Google was not available,” he said.

Another source, Simon Prodger, marketing director of poker site PKR, said, “It has been very frustrating not being able to work with Google, considering how valuable search is,” he said. “It’s the biggest search engine so it wouldn’t surprise me if gambling companies focus their attentions on Google, especially in the short-term.”

The firm, Bet365, was one of the first advertisers back on Google when the restrictions were lifted last Friday. Marketing manager Tom Galanis said, “It opens up a far bigger audience for us compared to that previously offered by just MSN and Yahoo.”

Ladbroke’s Allan also said the ability to advertise on Google opened up the richest vein for new acquisitions and outweighed the performance of other media.

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