Gulf Stream slots lose money
 

Magna loses on everything they touch, it seems.
http://www.thoroughbredtimes.com/nat...for-Magna.aspx

I wonder what Frank is paying in salary to himself. It is easy to lose money when you are overpaying yourself.

They lost $50 Million last quarter on revenue of $115 Million. How the F can you do that??? Put me in, coach.

Despite owning something like 2% of Magna's parent company shares, there is some kind of wacky "voting shares" deal there where he basically controls the Board. He recently brought in a Russian Mafia Oil Baron in to help run the company which is worth $10 Billion +.

Frankie takes down $50 Mil+ a year. He's a wiz at the auto parts business but has failed at racing as well as building a giant theme park, starting an airline and high end real estate development.

It doesn't look good for the upcoming meet.

May as well open up Hialejah and build his coveted condos at GP.

I hope the MD General Assembly comes to their senses and allows for an auction of slots licenses in MD instead of just giving one to Magna - assuming the creeps are even capable of passing a slots bill.

Word from Frank yesterday on the first day of hearings on the new bill submitted by Gov O'Taxey (D) is that he's going to have to shut down Pimlico if he doesn't get slots.

When you consider the giveaway to Joe DeFrancis he agreed to when he first bought part of MJC, there's almost no way he can make any money for Magna. I think I've read he will have to give 65% of net profits from slots revenue to Joe and his band of thieves for the first five years slots are in place.

When you make deals like that, it's no wonder Frank's other racing assets are going down the tubes.

And I thought that Donald Trump was the only idiot that could lose money running a casino.

dont they already have on site automated teller machines? maybe if they gave a crap for the guy who plays $10,000 a day on the ponies instead of the kissin ass of the nickel slot player they may do a bit better!

According to the Isle of Capris Casino's website (Pompano Park) the following is a recent press release.
-- In Florida, favorable legislative changes helped to improve operating
results. Daily win per unit during the last week of August was $223,
and the Company's Pompano property continues to lead the three Broward County racinos with a market share of approximately 54%.

Don't know the Greyhound track's numbers, but I would be fairly certain they exceed Gulfstream Park's numbers.

Both of these facilities design are much better than Gulfstream and there should be no surprise generating larger revenue that GP (not even including the Hard Rock Casino).

Average gross take per machine for quarter ending September 30:

Gulfstream $74
Mardi Gras (Hollywood Dog Track) $167
Isle Casino (Pompano PArk) $214

In January and February, Gulfstream averaged $326.

Gaming lobbyists claimed the three would average $500 per machine per day, year round. Experts now say Gulfstream got hurt by not having $.01 machines.

http://www.baltimoresun.com/news/bal...3.story?page=1

I wonder why the machines haven't met the expectations, projections, etc. that all the studies and reports had claimed.

Eric

new math??

If not, rhetoric?

Eric

Maybe because there are two competing slots parlors that are nearby? The Hard Rock as a fullblown casino has a lot more to offer than GP and the dog track or Mardi Gras or whatever its called is less than a mile away.

Without question. Certainly this is a factor, and certainly this was known as well.

Eric

when you make more money and you still want to claim a loss, all you have to do is claim more expenses.

Just go to the 3 places and you will clearly see why Gulfstream cannot compete with the Dog and Harness Tracks (if you are looking to play slots). The Harness Track (Casino part) is beautiful. Not only are the slot machines making money, but the Poker tables are always full. Things are only going to get worse for Gulfstream this winter.

They recently passed legislation that allows Calder, Pompano, etc to simulcast the Gulfstream Meet (and Vice Versa). Many people from the north are betting Calder at Pompano Park during the day. This will continue (to a lesser extent) when Gulfstream opens. They will still get the simulcast handle, but on site attendance should be way down. They will get decent attendance for some of the big Saturday's, but it will be a ghost town during the weekday.

I an guessing even when Gulfstream opens for live racing they will still have less slot revenue than the harness track.

Gulfstream will bounce back a little this year because they should have the casino part completely up and running when the meet starts, unlike last year. They need more big time concerts. I even liked it better when they just had weekly B-list concerts.

It still can't compete with places like the Hard Rock though.

The thing that sucks about Gulfstream is the seating and the track configuration. It is almost like they really just wanted to make it a casino that has horse racing instead of horse racing with a casino.

I don't have them on me, but the slots revenue at Charles Town is - and will continue to be - unreal. You'd think the folks down at Gulfstream would have taken a look at the successful racino business models before doing what they did down there.

Hard Rock is not a full blown casino. Slots and poker; that's it.

Pompano is nice. They did a nice job there. And they still have $1 beer nights. Too bad their takeout starts at a usurious 20.5% w-p-s. But the place is absolutely packed on weekends.

I haven't been to HollyDog since they put in slots. But it sure has to be easier for slot people to get in and out of there than Gulfstream.

Personally, I like Gulfstream. I have never been there on a day when the grandtand is full, despite it's size. That includes F-Derby Day and Sun Millions Day. On the other hand, the simulcast area is packed on weekends. That is what people want.

I expect Gulf to have a poor meet again. Bad management and FairGrounds purses should be way up this year. Gulf has noone to blame but themselves. They have had the pick of the liter as far as quality horses go and they have had lousy meets the past 3-4 years.

The Hard Rock is hardly a full blown casino.

gulfstream is under construction again with a mall and hotel being built. the parking and traffic wil be a nightmare again this year and probably next as they have just barely broke ground

Ahhhh, but it's a small price to pay for completing the work of the Great Racetrack Visionary!!!!!

(That would be Frank Stronach, btw)......

At least, that's according to his latest lemming, Steve Calabro. I've never worked in the corporate world so I wonder what it is like to make a bunch of money just to be one of Frank's mouthpiece b!tches...... guess cashing that paycheck lets you lie to yourself everday!

yes. And the steeds crap medium-rare sirloin steaks that go for $2.59.

You should run and get in line now.