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Friday, July 31, 2009 | 4:20 p.m.
MGM Mirage and Boyd Gaming Corp. today said New Jersey regulators are moving ahead with plans for a hearing on whether MGM Mirage's partner in Macau is a suitable business partner for the gaming company.
The New Jersey Division of Gaming Enforcement recommended in May that the New Jersey Casino Control Commission find Pansy Ho to be unsuitable and that MGM Mirage, as a New Jersey casino licensee, be directed to disengage itself from any association with Ho.
MGM Mirage and Boyd, both based in Las Vegas, are partners in the Borgata hotel-casino in Atlantic City.
The New Jersey commission in June 2005 renewed their joint venture's gaming license for a five-year term.
Boyd said a letter from the New Jersey Division of Gaming Enforcement requesting that the commission reopen the Borgata licensing hearing "noted that the division had found that Boyd Gaming had no involvement with MGM Mirage's development activities in Macau ..."
Boyd said the letter "also expressed the division's confidence that the commission could thoroughly examine the issues" raised in the report on Ho as to MGM Mirage's qualifications "without negatively affecting the (joint venture) casino license or Boyd Gaming."
MGM Mirage said that during the evidentiary hearing on the allegations it will be able to present evidence and legal arguments.
In June, an MGM Mirage executive for international development said MGM Mirage would challenge the report calling Ho, daughter of Macau casino mogul Stanley Ho, unsuitable because of her father's ties to organized crime.
MGM Mirage hasn't commented on what it would do if the Pansy Ho recommendation is upheld, but it's believed that because it and Ho operate in Macau under a subconcession from the Macau government, MGM Mirage wouldn't try to buy out Ho's interest.
That means an unfavorable ruling to MGM Mirage could require it to divest either the New Jersey or Macau investment.
80% of the licensed people in Nevada are "unsuitable business partners".
if mgm has to divest from macau, they'd probably have to go into bankruptcy.
Genting Group is waiting and will volunteerly take over the gaming licence for Macao....
If you want to dance to see another day, it's best to make your customers the first partners in song. Good decision.
Now, much more difficult, if only there was a way to help employees with some of the same lenders on underwater homes and forceclosures. City Center (over) development contributed to those high home values. What's that line, "5 new jobs for every new 800,000 to one million dollar hotel room, rippling economic impact."
Even the best case scenario for some of great wages and tips for seven years into 2017 won't change the employee's credit report.
Correction: Above post was meant to comment the article on a decision to renegotate City Center condo contract prices.
Answer is simple ... MGM sells its share of Borgata to Boyds who has the $$ , MGM solves the NJ problem, gets some cash they need, and Boyds can continue to run it, but keep all the income ..
as stated before Genting are just waiting, they already have a % of MGM shares and run a junket room in the MGMGrand Macau. Problem for MGM in MAcau is they are running a bad last in a 6 horse race. Which is to be expected considering their expertise in china, they have a scottish guy in charge of casino marketing who has never worked in asia, and they think name alone will get people in the door. Get ready for more bad news as there is another casino accross the road from MGM about to open and WYnn (also next door)is about to open more VIP areas with his new hotel tower. I can see MGM pulling out, and lose alot of money and genting getting ready to pick up a bargin.