ATLANTIC CITY, NJ—Caesars Entertainment Corp., the largest operator of casinos here, says it is looking to further reduce costs as gaming facilities in Atlantic City continue to struggle, including considering possibly closing properties.
In a conference call on Wednesday, Caesars CEO Gary Loveman said, “We are looking at all of our options to reduce the cost of doing business here. All the businesses in A.C. are under tremendous pressure.”
While he did not specifically state the Las Vegas-based firm would shutter any Atlantic City casinos, the company has already instituted measures to reduce costs, such as reducing restaurant hours, according to a spokesman. The company in March stated it would close a property in Tunica, MS. The company owns Caesars, Bally's, Harrah's and the Showboat in Atlantic City. Caesars reported yesterday that its loss in the first-quarter increased to $386.4 million from $217.6 million in the same period last year, according to Bloomberg News.
In discussing Atlantic City's current woes, Loveman said, “These markets can reach points when no new supply is indeed the right answer. In some cases reducing supply is the right answer.”
In response to the recent closing of the Atlantic Club in Atlantic City, he noted, “That's the normal, self-correcting healing that you'd like to see in a market like this.” See story at Bloomberg News.
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