Layoffs, loss at LV firm

Friday, March 23, 2001 | 11:10 a.m.

Mikohn Gaming Corp. reported a $21.5 million net loss for the quarter ending Dec. 31, the result of disappointing operations and $17 million in restructuring charges.

The company posted a net loss of $1.95 per share for the quarter. In the year-ago period, Mikohn reported a net loss of $2 million, or 18 cents per share. Revenues fell 10 percent to $24.2 million.

In addition to restructuring charges, Mikohn also blamed a soft overseas market, a decrease in casino systems sales and poor signage business for its disappointing earnings.

Because of strength in Mikohn's participation slot and table games business, which produces a recurring revenue stream for the company, Mikohn said it is now refocusing exclusively on this business. Proprietary slots produced by Mikohn include slots based on "Yahtzee" and "Battleship," which have enjoyed great success since their introduction.

As a result, 50 employees have been laid off. Mikohn said it anticipates the cutbacks will result in savings of $4 million to $5 million per year.