Speedway Casino operator posts income gains

Friday, May 5, 2000 | 11:57 a.m.

MTR Gaming Group Inc., owner and operator of the Speedway Casino in North Las Vegas, reported first quarter net income of $3.4 million, or 13 cents per share, an increase of 245 percent over the year-ago period.

Revenues, cash flow and net income were all driven substantially higher by MTR's expansion of its Mountaineer resort casino in Chester, W.Va. Net win at the Mountaineer rose 63.4 percent to $30.9 million.

Overall, MTR reported $36.3 million in revenues, a 65 percent increase, while cash flow increased 113 percent to $7.6 million.

MTR's Speedway Casino in North Las Vegas and its Speakeasy Casino in Reno contributed $1.6 million in revenues during the quarter. The Speedway opened in March, while Speakeasy held its grand opening in April.

Separately, West Virginia-based MTR announced its board has authorized the repurchase of up to $3 million in stock over the next year on the open market. The company currently has $67.2 million in outstanding stock.

The company also announced that Wells Fargo Bank, its primary lender, has permitted MTR to suspend principal payments on its credit facility while it completes its West Virginia expansion. This project is expected to be complete in September.