Issue 199
July 5 - 11, 2004
Volume 4
page 1
 

This Issue

Gaming News

Casino City's July Sweepstakes

Boyd Gaming, Harrah's Complete Mergers

Winnebagos will open new bingo casino in Emerson

Proposed casino in Auburn

Fox to Air Live Poker Game

 

Show Time
Faith Hill, returns to the stage in her first live performance in four years at The Colosseum at Caesars Palace.

Column
Expert Play Begins Long Before Popping In Coins By Lenny Frome

Check out our entertainment highlights & upcoming tournaments

See the lucky winners

 

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Boyd Gaming, Harrah's Complete Mergers
As reported by The Associated Press

LAS VEGAS -- Boyd Gaming Corp. and Harrah's Entertainment completed separate mergers on July 1, 2004, worth a total of $2.7 billion.

Boyd Gaming closed the $1.3 billion deal with Coast Casinos, creating the fifth-largest gambling operator in the country, while Harrah's Entertainment cemented its $1.45 billion merger with Horseshoe Gaming Holding Corp.

Harrah's now becomes the largest casino operator in the country with combined revenues of $5.1 billion. But it could quickly lose that title if regulators approve a pending merger between MGM Mirage Inc. and Mandalay Resort Group Inc.

The Boyd Gaming merger will create a powerhouse company in Las Vegas that will cater to area residents, Chairman William S. Boyd said Thursday.

"This brings us to a totally new level as one of the two major companies serving the dynamic and growing Las Vegas locals market," Boyd said in a prepared statement, referring to rival Station Casinos Inc.

Under the terms of the merger agreement, Coast will become a wholly owned subsidiary of Boyd Gaming. Michael Gaughan will remain Coast's chief executive and become Boyd's second-largest shareholder.

"We built a great company and now we are joining a great company," Gaughan said.

Boyd said Gaughan's agreement to stay on in a management role was critical to the deal.

The two companies signed the merger agreement February 6 and obtained approval from gambling regulators last month. The Coast brand will remain intact and all company management will be retained.

The combined companies will keep the Boyd Gaming name and will have revenues of about $2 billion, operating 18 properties with 10,000 rooms nationwide.

The Federal Trade Commission voted last month to close its investigation into the pending acquisition of Horseshoe Gaming by Harrah's, clearing the way for final regulatory approval of the deal.

The transaction also has been approved by regulators in Indiana, Mississippi and Louisiana.

Horseshoe Gaming operated riverboat casinos in Hammond, Ind., Tunica, Miss. and Bossier City, La. Harrah's operates 22 casinos in the United States, including Nevada, New Jersey, Louisiana. The company is Nevada's second-largest employer with 42,000 workers.

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