Gaming briefs for Jan. 30, 2004

Friday, Jan. 30, 2004 | 11:31 a.m.

Asbestos won't delay reopening, Harrah's says

The reopening of Binion's Horseshoe in downtown Las Vegas is not expected to be delayed by asbestos concerns, an official with Harrah's Entertainment Inc. said Thursday.

Harrah's isn't planning any major renovations or a demolition of the property, which would disturb the asbestos that exists in the walls and ceilings of the building and trigger a cleanup process that could delay the reopening, Harrah's spokesman Gary Thompson said.

Harrah's announced a deal this month to purchase the Horseshoe from owner Becky Behnen and has pledged to reopen the property, which closed Jan. 9 after funds were seized from the casino cage on behalf of union pension and welfare funds. The company has begun to assess the building and hasn't said when it will reopen the Horseshoe, a process that requires approval from state gaming regulators.

Reports: Company offers $500 million for license

CHICAGO -- A Pennsylvania company has bid $500 million for Illinois' last-available casino license and proposes transferring it back to the state in exchange for long-term management rights, according to published reports.

If the bid by Penn National Gaming were to be accepted, Illinois would become the first state to own a casino.

Details of the proposal were reported in today's editions of the Chicago Tribune and Chicago Sun-Times. Both newspapers cited unidentified sources.

The bid from Wyomissing, Pa.-based Penn National, which owns Hollywood Casino in Aurora, is at least $150 to $200 million more than any of the other six casino companies that have bid on the license, according to the newspapers.

The casino would be in Rosemont, a suburb of Chicago. Currently, rights to the state's final riverboat are held by the bankrupt company Emerald Casino, which planned to open in Rosemont until it was blocked by state regulators.

The nine casinos operating in Illinois are privately owned, but Gov. Rod Blagojevich and Chicago Mayor Richard Daley have both at times expressed interest in the idea of having publicly owned casinos run by hired management firms.

The move would also help Blagojevich meet his goal of raising at least $350 million from the transaction to help ease the state's budget crisis.