Harrah's Entertainment may have their eye on a expanding their presence in the online gaming market, but that does not mean that they are turning their back on their land-based gaming interests. In fact, the gaming organization has now been authorized to take over the management of Las Vegas casino facility.
Subsidiaries of Harrah's Entertainment had submitted applications for a gaming license and on February 19th, 2010, the Nevada Gaming Commission approved the casino license. Now, Harrah's Entertainment is free to takeover the operations of the Planet Hollywood Casino. Harrah's agreed to acquire the struggling casino facility and will now work on implementing their policies at Planet Hollywood.
One of the main issues that will need to be addressed is adding Planet Hollywood to the Total Rewards program of Harrah's. That will happen during the 2nd quarter of 2010.
The Chairman, Chief Executive Officer and President of Harrah's Entertainment, Gary Loveman, said that Planet Hollywood Las Vegas is an excellent addition to their portfolio of casino resorts.
Loveman added that it will enable their Total Rewards guests to earn rewards at another Las Vegas casino property and enable them to reach a new customer market.
Harrah's Entertainment will now own seven casino resorts on the Las Vegas Strip. That may not be an advisable thing at a time when revenue has dropped over the past few years. The international players coming from Asia have chosen to stay closer to their home and play in Macau. US players have not spent as much cash in casino facilities since the financial crisis.
Last year, Harrah's Entertainment developed an online casino site, the first of its kind by a land-based US casino developer. While other developers like Steve Wynn, the owner of Wynn Resorts, have avoided the online gaming industry, Harrah's appears more than ready to embrace it.
03/02/2010 12:14 PM