Connecticut Casinos Report Substantial 2020 Gaming Revenue Declines

Posted on: January 6, 2021, 02:12h. 

Final up to date on: January 6, 2021, 02:12h.

As anticipated, the 2 Native American casinos in Connecticut reported dismal monetary years as a consequence of COVID-19.

Connecticut casinos Mohegan Sun Foxwoods
Connecticut’s two casinos ailed through the COVID-19 pandemic. Income at Mohegan Solar fell 28 p.c, as gamblers stayed away. (Picture: Mohegan Solar)

Mohegan Solar and Foxwoods, of their fiscal 12 months 2020 reviews, revealed simply how dangerous regional journey bans and stay-at-home orders contained in the Nutmeg State strained their companies.

Mohegan Solar, owned and operated by the Mohegan Tribe, reported web income of $715.67 million. That’s a virtually 28 p.c drop from the fiscal 12 months 2019 when the on line casino generated income of $992 million.

Foxwoods fared even worse. The Mashantucket Pequot on line casino mentioned web income totaled $539.2 million, a 31.6 p.c year-over-year decline.

Internet income incudes revenue from gaming, meals and beverage, lodge, retail, leisure, and administration and growth companies. The revenue outcomes have been disclosed in Mohegan Solar and Foxwoods’ annual filings with the US Securities and Trade Fee (SEC). Their 2020 fiscal years ended September 30.

Connecticut receives 25 p.c of the 2 tribal casinos’ gross gaming income derived from slot machines. All desk win stays with the tribes, as does different income.

Mohegan Optimistic

Casinos throughout the nation suffered steep losses due to COVID-19.

After years of authorized setbacks, the Mohegan Tribe and Mashantucket Pequots determined final month to formally fold on their three way partnership in East Windsor, Connecticut. The long-delayed satellite tv for pc on line casino was accredited by Connecticut lawmakers in 2017 to stop crucial gaming {dollars} from flowing north throughout the Connecticut-Massachusetts border to MGM Springfield.

The tribes mentioned the $200-$300 million growth shouldn’t be a viable mission presently. Regardless of the hardships, Mohegan stays bullish on its future.

Trying past the virus, we stay optimistic as our enterprise has been optimized to profit from what we foresee to be vital pent-up demand for leisure consumption within the months and years forward,” a launch from Mohegan Gaming and Leisure (MGE) declared.

Along with Mohegan Solar, MGE owns and/or operates casinos in Pennsylvania, Atlantic Metropolis, Canada, Washington, and Louisiana. Internet income companywide was $1.114 billion — a 20 p.c lower from FY19.

MGE is ready to vastly increase its footprint. The corporate will deal with on line casino operates at Virgin Lodges Las Vegas when it opens this 12 months, and is spending billions of {dollars} to assemble built-in resorts in Incheon, South Korea, and Athens, Greece.

The Mashantucket Pequots solely personal their Foxwoods Resort On line casino.

Workers Reduce

The SEC filings additionally revealed the personnel penalties of COVID-19.

MGE mentioned, as of September 30, its international workforce totaled about 11,000 individuals, 70 p.c being full-time staff. That’s down significantly from the 12,000 workers drive the corporate commanded as of September 30, 2019.

MGE’s median worker is compensated round $25,600 yearly. Mohegan Gaming CEO Mario Kontomerkos’ compensation, as reported to the SEC, was $949,299.

Foxwoods is using roughly 2,500 full- and part-time staff. Previous to the pandemic, the tribal on line casino employed greater than 5,000 staff. Government compensation was not disclosed within the SEC submitting.

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