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Mohegan Gaming Authority Official Discusses Timeline of Proposed Massachussetts Casino

2011-12-28T05:16:00.004-05:00

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December 28, 2011

This installment of The Tribe In The Media is an article from The Republican in which Mohegan Tribal Gaming Authority (MTGA) CEO Mitchell Etess discusses what steps MTGA expects to take in their bid to open a casino in Massachussets. Massachussetts legalized casino gambling late this year and will seek applications for three casinos, of which MTGA expects to apply for the casino license slated for Western region of Massachussetts.

Mohegan Sun eyes vote next year for Palmer casino in Western Massachusetts
By Dan Ring
The Republican
December 27, 2011

BOSTON - The chief executive of the Mohegan Tribal Gaming Authority said he is confident that an agreement for a casino in Palmer will go before voters in the town next year.

In an interview Tuesday to discuss prospects for a Palmer casino during the year ahead, Mitchell G. Etess, chief executive officer of the authority, said he expects his company can negotiate an agreement with town officials in Palmer for a casino and then ask voters for approval via a binding referendum.

Etess said next year will be a pivotal one for Palmer and the Mohegan tribal authority.

Etess said that he will likely do some campaigning himself for the proposed Palmer casino.

"We feel very confident," he said. "We're not taking anything for granted but we feel good about the support we have in Palmer."

Under a law signed by Gov. Deval L. Patrick on Nov. 22, a casino would need approval of a majority of voters in the community where it wants to locate. Voters would cast ballots on the terms of a deal reached by the community and the casino.

The law authorizes up to three casino resorts in different geographic zones including one for anywhere in the four counties of Western Massachusetts.

Etess said the Mohegan authority is preparing to submit an application for a license for a casino next year.

A five-member Massachusetts Gaming Commission would regulate and permit casinos, but it is unclear if the commission will start accepting applications for casino resorts next year.

"The sooner they get going, the sooner they get jobs and tax revenues," Etess said.

The Mohegan has been planning the Palmer casino for more than four years including opening a storefront office in downtown Palmer two years ago.

Paul Burns
A casino company would need to pay for the costs of a local ballot question, according to the law.

"We feel very, very good about all the time and effort we've put in," Etess said. "It will certainly pay dividends for us."

The Palmer casino would cost about $600 million and would be located on 152 acres off Exit 8 of the Massachusetts Turnpike. It would create about 2,500 to 3,000 permanent jobs to operate the casino and 1,200 to 1,500 construction jobs each year during up to two years of building, according to company officials.

It would include a 600-room hotel and spa, slots, table games, restaurants and retail shops.

Etess said he is not surprised at the competition developing for a casino in Western Massachusetts.

At least three other casino companies are angling for a project in the region. Ameristar Casinos, Inc. of Las Vegas is planning a casino at the site of the old Westinghouse plant off Page Boulevard in Springfield.

Hard Rock International of Florida is proposing a casino for Holyoke, and Penn National Gaming of Pennsylvania has not announced a site yet but has said it is focusing on Western Massachusetts.

Etess said the authority still is seeking a financial partner for the Palmer project. He declined to comment at length, citing agreements for the talks to be confidential.

"There is a significant amount of interest in being part of Mohegan Sun in Palmer," he said.

The tribal authority needs a financial partner because of its heavy debt of $1.59 billion as of June 30. Etess said the authority is planning to refinance the debt but has not yet reached terms on a refinancing. "We're aware of our financial situation," he said.

The authority, an instrument of the federally-recognized Mohegan Tribe in Connecticut, owns and operates the Mohegan Sun casino in Connecticut and the Mohegan Sun at Pocono Downs in Pennsylvania.

Paul E. Burns, president of the Palmer Town Council, said Tuesday that it's possible an agreement between the town and the Mohegan authority can be ironed out by April.

"It's important we do it early and hit the ground running," Burns said. "We should continue to be the leader in the state on this issue."

Burns said a ballot question on the casino could be held by some time in the early summer.

Burns said an agreement with Mohegan would spell out certain details of the project including compensation for the town, plans for infrastructure such as removal of waste water, and road improvements such as a proposed "flyover" road off the Massachusetts Turnpike to carry motorists to the planned casino resort.

Palmer voters approved a non-binding ballot question for a casino in April of 1997, but casinos were illegal at the time. Palmer voters passed the measure 2,444 to 1,935, or 54 percent to 46 percent, according to an article in the library of The Republican.

Burns said he is confident voters in Palmer would approve a ballot question for a casino next year. "At the end of the day, it will pass," he said.

Mohegan Sun Reports 4.4% Decline In June Slot Revenue, Foxwoods Reports Less Than 1% Slot Revenue Decline

2011-07-18T08:21:00.002-04:00

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Mohegan Sun reported that customers lost $57 million at the casino's slot machines in June, a 4.4 percent decline from June 2010. Foxwoods reported $51 million in slot machine win, which is the amount customers lost, a decline of less than one percent from last June.

Patrons at Mohegan Sun redeemed $6.5 million in free slot machine play in June while Foxwoods reported $5.8 million in free slot machine play promotions.

Both casinos contribute approximately 25 percent of their slot machine win to the State of Connecticut.

Mohegan Sun Reports 6.2% Decline In May Slot Revenue, Foxwoods Reports About 1% Decline

2011-06-16T08:39:00.005-04:00

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Connecticut's two Indian casinos reported declines once again in its slot revenue despite increasing free slot play promotions given to customers.

Mohegan Sun reported that customers lost about $61 million at the slot machines in May, a 6.2 percent decline compared to the same month last year, while Foxwoods reported a 0.9 percent decline to $55.9 million.

Players redeemed about $5.9 million in free slot play at Mohegan Sun and $7.3 million at Foxwoods. The state's cut of the casino's May slot take was approximately $31 million.

In related news, the U.S. Department of Interior announced yesterday that it rescinded a Bush administration policy that resulted in denials of some off-reservation casino applications. The policy led to a denial of off-reservation Indian casinos proposed for the Catskill region of New York and other areas of the nation, including a Mohegan-backed casino proposed by the Menominee Tribe in Wisconsin.

Mohegan Sun CEO Hartmann Discusses Casino's Future

2011-05-29T15:04:00.007-04:00

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This installment of The Tribe In The Media includes two articles from the Hartford Business Journal Online in which Mohegan Sun CEO Jeff Hartmann elaborates on the Mohegan Gaming Authority's strategic plan.

Glitz will top convenience, Mohegan Sun CEO says
By Brad Kane
Hartford Business Journal Online
May 30, 2011

As far as CEO Jeffrey Hartmann is concerned, Mohegan Sun is the preeminent gaming property in the Northeast. Period.

Even though more gambling establishments are opening in key markets across the Northeast, the beauty and splendor of Mohegan Sun will keep those crowds driving past more convenient locations to the more awesome destination, said Hartmann, who took over as resort president and CEO on Jan. 1.

“Mohegan is special,” Hartmann said. “The beauty of the facility is unsurpassed. It would easily compete with any property in the Las Vegas.”
To drive the point home, Mohegan Sun launched its new Shine advertising campaign on May 15 to keep more customers coming.

Still, the goal of the Mohegan Sun casino isn’t increased revenues, Hartmann said. The goal is the long-term viability of the Mohegan tribe and the Mohegan Tribal Gaming Authority, known as MTGA.

If that means Mohegan Sun loses its position as Northeast market leader — a title held since 2004 — in favor of streamlined operations and increased profits, then so be it.

If that mean Mohegan Sun takes on a smaller role in a larger MTGA gaming network across the Northeast, then so be it.

“We feel very good where we are in terms of how the business operates,” Hartmann said.

Hartmann is one half of a major shake-up this year in Connecticut’s casino leadership. Both he and Foxwoods President and CEO Scott Butera took over their roles on Jan. 1, at a time when the state’s resort casinos are reaching a critical juncture.

Slot machine revenue at Foxwoods and Mohegan dropped by 20 percent over the past five years. As revenue decreased, the cost of borrowing for new projects increased. And New York and Massachusetts — the main out-of-state draws for Connecticut’s casinos — are moving toward expanded gambling.

Unlike Butera who took over the top job at a casino that had six chief executives in four years, Hartmann inherits the legacy of a long-time CEO who maintains a strong presence at Mohegan Sun.

Hartmann’s predecessor was Mitchell Grossinger Etess, who started as an executive of Mohegan Sun in 1996, before the casino even opened. In 2004, Grossinger Etess took over as CEO of the Connecticut casino, and in 2006 also became CEO of the organization that runs the casino, the Mohegan Tribal Gaming Authority, or MTGA.

In ceding control of Mohegan Sun to Hartmann on Jan. 1, Grossinger Etess maintained his position with MTGA, working to open other casinos across the Northeast and expand the brand to benefit the tribe.

The conflict inherent in Hartmann’s new role is he must maintain strong visitor counts and profits at the Connecticut property while MTGA expands its brand across the Northeast and draws directly from Mohegan Sun’s customer base.

In 2006, MTGA opened Mohegan Sun at Pocono Downs in Pennsylvania, which draws slightly from the Connecticut property. By 2013, MTGA will open a third casino in the New York Catskills region, nibbling away an estimated 1-2 percent of the Connecticut property’s clients.

The kicker will come if Massachusetts approves expanded gambling. MTGA is considered the front runner for a Western Massachusetts resort casino license, and the tribe already has property on the Massachusetts Turnpike in Palmer near the I-84 interchange.

A Palmer casino would significantly erode the Connecticut property’s client base, since 20 percent of its customers come from Massachusetts.

Losing customers to a MTGA casino in Massachusetts is much better than losing customers if another casino operator gets the license, Hartmann said.

With the economic recession and states looking to pad their budget revenues through any means necessary, it is a classic political environment to open more casinos, Hartmann said. MTGA shouldn’t waste the opportunity.

Mohegan Sun will remain the premier casino in the Northeast, and the Connecticut casino will be the central property in a hub-and-spoke system for MTGA, said Hartmann.

Thanks to the diminished economy and increased competition, Mohegan Sun’s revenues are shrinking. The Uncasville property is tracking to make $720 million in slot revenues for this fiscal year ending in June, its lowest since 2002. Meanwhile, Foxwoods is gaining market share, although Mohegan maintains its advantage 52 to 48 percent.

But slot revenues and market share aren’t what matters. Profits are, Hartmann said.

The Connecticut resort streamlined its operations — laying off 300 workers last September — and saw its net income rise in the first quarter of 2011 by 193 percent over the first quarter 2010.

“We had our best April in terms of profitability since April 2007,” Hartmann said.

But Mohegan Sun faces threats from many non-MTGA casinos, especially in New York. Mohegan Sun gets 15 percent of its customers from New York, more than any other New England gambling establishment.

Mohegan Sun already took a hit in convenience gaming when Empire City Casino opened at Yonkers Raceway, and faces another challenge when the Resorts World Casino opens this summer at the Aqueduct race track in New York.

“Retaining those customers is a challenge we are working on,” Hartmann said.

To keep those customers driving past convenient locations in favor of the more splendid regional destination, Mohegan Sun will invest more in the property, Hartmann said.

Mohegan Sun will start work on a new hotel in 2011, bring in high-quality entertainment, open new amenities such as the Italian restaurant BALLO, and complete a $10-million retrofit of the property’s 800-seat buffet.

To stay prominent in customers’ minds, the casino hired a new advertising agency — People, Ideas & Culture from New York City. On May 15, during the Boston Red Sox-New York Yankees baseball game, the casino launched its new Shine advertising campaign.

The old Mohegan Sun advertising campaign was antiquated, unexciting and geared for the wrong audience, Hartmann said. The Shine campaign tries to be younger and more energetic. It folds in online, interactive elements to make the property stand out and showcase its variety of amenities.

Hartmann wants the Shine theme to permeate the property beyond the advertising, so blackjack dealers, hotel personnel, restaurant servers and all employees know how to interact with the property’s customers. The product Mohegan Sun offers to patrons must be constantly refreshed.

New energy will be important as Mohegan Sun markets itself as a big-time destination, so people will drive past closer resorts to come to Connecticut.“It’s really about our time to shine, about how we are more than just slot machines,” Hartmann said.

Mohegans to build another CT hotel
By Brad Kane
Hartford Business Journal Online
May 30, 2011

The Mohegan Sun resort casino in Uncasville will start work on a 300-500-room Connecticut hotel by the end of this year, according to President and CEO Jeffrey Hartmann.

Hartmann said the resort’s 1,200-room hotel operates at 97 percent occupancy and the property needs another hotel to accommodate guests. A third-party developer will construct and own the facility, unlike the existing hotel which is owned and operated by the Mohegan Tribal Gaming Authority.

Casino spokeswoman Cathy Soper said the official size of new hotel and the timeline of its construction are dependent on the third-party developer. The Mohegans haven’t signed a deal with any developer yet, Soper said.

In 2007, the Mohegans started significant Connecticut expansion work — called Project Horizon — that included a 1,000-room hotel, a new casino and other amenities. When the recession sent gaming revenues plunging, the Mohegans suspended the project before any significant construction had begun. In 2010, the tribe had a $58.1-million impairment charge on the halted work.

Foxwoods resort in Uncasville — Mohegan Sun’s rival in Connecticut — completed its major property expansion just as the recession hit, a project that left the casino with close to $2 billion in debt.

But with the expansion, Foxwoods also has 2,100 rooms spread out over four hotels. Occupancy over the Foxwoods’ hotels runs in the high 90, said Foxwoods President Scott Butera.

Foxwoods is continuing with improvements to its various hotels, but the resort does not plan an expansion like Mohegan Sun is, Butera said.

The new Mohegan Sun hotel will not carry the Project Horizon name, as that project is dead, Hartmann said. The new hotel will be a fresh start.

The new 300-500-room hotel helps Mohegan Sun fill demand, especially when the property features major entertainment. Hartmann said when the rock band Bon Jovi held a concert in early May, the Mohegan hotel was sold out at $500 per room night.

More hotel rooms also help the Connecticut property book more meetings and conventions, Hartmann said. More hotel rooms equal bigger conventions.

The Mohegan Tribal Gaming Authority is in the midst of a significant brand expansion across the Northeast. Its Pennsylvania casino and racetrack — Pocono Downs — added table games in 2010. In early May, the authority announced a new casino property in the Catskills region of New York. The tribe also has plans for a Western Massachusetts casino in Palmer, if that state legalizes casino gambling.

Note: Last week, MTGA CEO Mitchell Etess told the Mid-Hudson News that he expects to break ground in New York by early July to build a racetrack-slot parlor. MTGA recently announced the new venture with the Catskill's Concord Hotel property owner, Louis Cappelli. Plans include a harness racetrack, a 258-room hotel, and 2,100 VLT slot machines. Etess said he fully expects to secure state approval in a matter of weeks. We presume that Etess did not mean horse weeks. See article at: http://www.midhudsonnews.com/News/2011/May/26/MoheganSun_plans-26May11.html

Mohegan Sun Slot Revenue Falls 3.3% In April, Foxwoods Slot Revenue Increases 9.3%

2011-05-16T14:17:00.020-04:00

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Updated 3

Mohegan Sun reported today that its slot machine win for the month of April fell by 3.3 percent to $61.6 million while Foxwoods reported $57.1 million in April slot win, an increase of 9.3 percent compared to last April.

Foxwoods gave out $8.1 million in free slot play in April to attract customers while Mohegan Sun gave out $5.1 million in free play to its slot machine patrons.

The state of Connecticut's cut of the the tribal April slot win, which is the amount lost by customers at the machines, is about $31 million.

A major credit rating agency downgraded Mohegan Tribal Gaming Authority debt last week because the authority, in part, has yet to refinance $925 million in debt that comes due next year. A lower credit rating translates into higher interest rates the authority will pay on future borrowings. MTGA currently pays $120 million in annual interest expense on its approximately $1.6 billion debt load.

"The Authority does not have sufficient funds to repay its outstanding indebtedness and its ability to otherwise refinance or replace its outstanding indebtedness is limited," according to today's MTGA quarterly report (10Q) to the Securities and Exchange Commission (SEC).

Today's SEC report covers the first three months of 2011, which is the second quarter of MTGA's fiscal year. The report includes the quarterly earnings figures announced on May 5 in addition to the authority's balance sheet and statement of cash flows. MTGA reported a respectable $25 million in profits for the first three months of 2011, up from about $20 million for the same three months in the prior year. The casino's operating expenses were lower across every reportable category.

MTGA distributions to the the tribal government, as opposed to any reimbursement payments or fees, are not deducted from the casino's reported profits.

Today on the Mashantucket Pequot Reservation, drink servers and bar porters at Foxwoods are voting under tribal law on whether they want to be represented by United Food and Commercial Workers Local 371. Last year, the same class of employees voted 190-145 in favor of the union under an election held pursuant to federal law. The results of that election are under appeal and have delayed management's bargaining with the union. Today's election is being held under tribal law and, if the employees once again choose union representation, is expected to facilitate the bargaining process.

Some employees at Foxwoods, including table game dealers, have already opted for union representation. No employees are represented by unions at Mohegan Sun.

Note:
1. SEC report at:
http://www.sec.gov/Archives/edgar/data/1005276/000119312511140966/d10q.htm

2. Moody's downgraded the MTGA corporate family debt rating and probability of default rating from Caa2 to Caa3, a designation that means there is a substantial risk of default, and downgraded all MTGA long-term debt ratings to a "negative" outlook. Standard & Poor's Ratings Services, another major credit rating agency, continues to keep MTGA on its CreditWatch list. S&P cited, among other reasons, limited clarity around MTGA's refinancing plans."

3. Beverage workers at Foxwoods voted to unionize under tribal law by a 133-90 margin on the same day this article was written.

Mohegan Tribe Announces Venture In NY's Catskill Mountains

2011-05-05T19:21:00.009-04:00

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The CEO of the Mohegan Tribal Gaming Authority, Mitchell Etess, announced today that the Tribe will work with the Concord Resort in the Catskill Mountains of New York to rebuild the hotel and develop the property into a $600 million racetrack-slot parlor within two years.

Etess said that the deal is the first venture of a new company called Mohegan Gaming Advisors. The owner of the Concord, Louis Cappelli, is a well-known real estate developer in New York and in Western Connecticut.

Cappelli announced his intentions to turn the Concord property into a gambling resort years ago but financing for the project's completion was not secured. Over $100 million was said to have already been spent in remediation and site preparation of the property's stalled development. Today's announcement did not shed much light on who will finance the poject.

The first phase of the project is slated to open in the Spring of 2010 and will include 2,100 VLT slot machines, room for 450 electronic table games (or presumably actual table games if ever legalized in New York), a harness horse racing track, a 258-room hotel, restaurants and meeting spaces. The 116-acre property is in Thompson, N.Y.

Etess' family once owned and operated a hotel in the Catskills that competed with the Concord hotel.

Mohegan Gaming Authority Reports $25.2 Million In 2nd Quarter Net Income

2011-05-05T13:57:00.003-04:00

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The Mohegan Tribal Gaming Authority reported net income, or profit, of $25.2 million for the three-month period ended March 31st. The net income reflects a 26 percent increase over the same three-month period last year.

MTGA's profit increased while reporting lower revenues at the Mohegan Sun casino on the reservation and higher revenues at the Tribe's Pennsylvania casino. The press release states that the increase in net income is primarily attributable to decreased expenses.

The Tribe also announced today that it entered into an agreement with the Concord hotel in New York's Catskill Mountains. The "Mohegan Sun Concord" is slated to open in 2013. According to The Day, Etess said the Mohegan Tribe would be a small, minority equity partner in the $600 million project.

Correction: March, March, March

2011-04-19T12:09:00.003-04:00

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In a recent article, March slot revenues at Mohegan Sun and Foxwoods Casino were incorrectly referred to as April slot revenues. The article has been corrected.

Charlie Sheen Performs At Foxwoods

2011-04-18T19:05:00.003-04:00

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This installment of the Tribes In The Media series is an article by Rick Koster in The Day newspaper describing his experience last night at the Charlie Sheen show at Foxwoods Casino.

Sheen, F-bombs and bare breasts
By Rick Koster
The Day
April 18, 2011

We've all heard about the caged chimp who throws his own, ah, waste at zoo visitors. Two things about that: the chimp doesn't continue to throw, ah, waste for 60 minutes and, also, zoo visitors presumably didn't pay $85-$150 for the privilege of dodging it.

Such were the anthropological issues at play Sunday night in the MGM Grand Theater at Foxwoods when Charlie Sheen appeared on part of his Laxative of Truth Tour - or whatever it's called. By now, based on mostly bad reviews of the several dates thus far, which consistently indicate Sheen has no real plan or concept for these appearances other than to show up and "wing it," we as consumers have essentially been forewarned.

And yet, though Sheen himself offered disjointed and meandering metaphorical waste based around his winning and tiger blood catchphrases, a late-breaking twist in the tour's concept sort of saved the day.

Comedian Jeffrey Ross - noted for his Comedy Central roasts - appeared about 30 minutes into Sheen's odd filibuster and actually roasted Sheen. It was very funny, and Sheen responded with gracious and apparently sincere amusement.

First things first, though. The theater was mostly full - who knows how true rumors were that a large number of seats went to casino regulars - and the demographics were surprisingly varied. Sure, there was plenty of the sort of NASCAR stereotype in attendance, but some of the folks clutching their $35 Sheen T-shirts or tour programs could well have been your obstetrician or accountant or the hip-hop act next door.

And there was a pleasant buzz of surprise when Sheen actually appeared onstage only 25 minutes late. After a short video montage of violent film clips, he began to pace the stage and talk. His pet guitarist, who provided odd riffage throughout the evening, was also in attendance. Who knows why?

Sheen joked that Foxwoods was built on an Indian burial ground, suggested that the crowd was so kind he should confine the tour to just Foxwoods - and dropped F-bombs like the carpet assault on Dresden.

For the record, when I departed for deadline purposes after 70 minutes - and apparently 10 minutes before the show ended, Sheen used derivations of F-ness 86 times. I counted to keep myself awake.

When Ross came out, we all had fun - though it would have been easier to pay $35 the next time Ross comes to town. Most of his remarks about Sheen were unprintable, but among them:

• "Charlie, you make your father ashamed he shares the same fake last name as you."

• "I'm used to roasting classier people than you. Like, Flavor Flav and Courtney Love."

After the roastage, Ross stayed onstage and assumed a moderator role. A Goddess came out - there's only one; Sheen said the other left in the dead of night - and then they got 10 audience members to come onstage and ask Sheen a question.

None of the questions were interesting, though one woman bared her breasts and managed to resurrect some momentum as the session continued interminably. Finally, fans back in the audience and with Sheen and Ross seated again, the comedian read a lengthy text message of encouragement to Sheen from filmmaker Michael Moore.

It was actually thoughtful but put the crowd in a snore. Sheen said it was "awesome." People began to leave. Me, too

Mohegan Sun Reports Decline In March Slot Revenue, Foxwoods Posts Inrease

2011-04-18T19:00:00.006-04:00

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Slot machine revenue at Connecticut's two Indian casinos remained about the same in March as it was during the month of March last year, despite customers cashing in on total free slot machine play of about $12 million in March.

Mohegan Sun reported slot revenue of $62.7 million in March, a decline of about 1.5 percent compared to March 2010, while Foxwoods Resort Casino reported $55.1 million in slot revenue, an increase of less than 1 percent from last year.

Among the performances held at the Mohegan Sun Arena in March were concerts by Elton John, Bon Jovi, Janet Jackson, and a concert with Stevie Nicks and Rod Stewart.

The slot machine revenues were about ten times the amount given out in free play in March. Foxwoods gave out $6.7 million and Mohegan Sun gave away about $5 million in free slot play.

Both casinos pay the state 25 percent of their slot machine revenues plus a smaller percentage of the free slot play. The total amount the casinos paid the state was slightly more than $30 million in March.

Cowlitz Tribe's Casino Bid Could Take Time

2011-03-23T16:31:00.003-04:00

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This installment of The Tribe In The Media is an article in The Columbian newspaper discussing that an appeal to the Cowlitz Tribe's application for reservation land could take a while to resolve.

La Center Casino A High-Stakes Case
By Stephanie Rice
The Columbian
March 20, 2011

A seasonal stream runs through Greg and Susan Gilbert’s property near Paradise Point State Park.

Build a proposed casino nearby, the argument goes, and a proposed 500,000 gallons of treated sewage daily and unknown amount of stormwater runoff will do irreparable damage to the stream and the East Fork of the Lewis River.

The Gilberts are plaintiffs in one of two lawsuits challenging the federal government’s approval of the Cowlitz Indian Tribe’s application to take 152 acres near La Center into trust.

The plaintiffs, which include Clark County and the city of Vancouver, all have concerns about the local environmental, social and economic impacts of the tribe’s proposed casino-hotel complex.

Their local concerns are a part of a case that may set a national precedent.

The fight over the Cowlitz parcel will take place some 3,000 miles away in a Washington, D.C. courtroom.

Members of tribes between here and there will be watching.

The challenge took on special significance after the Obama administration chose to make the Cowlitz land trust case a test case of a 2009 ruling by the U.S. Supreme Court.

In that ruling, known as Carcieri, the court said the government can only put land into trust for tribes that were under federal jurisdiction in 1934.

In saying the Cowlitz could establish a reservation, Assistant Secretary for Indian Affairs Larry Echo Hawk addressed Carcieri at some length.

“For purposes of our decision here, I need not reach the question of the precise meaning of ‘recognized Indian tribe,’ as used in the (Indian Reorganization Act,) nor need I ascertain whether the Cowlitz Tribe was recognized by the federal government in the formal sense in 1934, in order to determine whether land may be acquired in trust for the Cowlitz Tribe,” Echo Hawk wrote.

The Cowlitz were federally recognized in 2000; that ruling was challenged and reaffirmed in 2002.

“The Cowlitz Tribe’s federal acknowledgment in 2002, therefore, satisfies the IRA’s requirement that the tribe be ‘recognized,’” Echo Hawk wrote.

Kathryn Rand, a law professor at the University of North Dakota and co-director for the Institute for the Study of Tribal Gaming Law and Policy, said Clark County’s lawsuit is the first major challenge to the executive branch’s interpretation of Carcieri.

“The question, as Echo Hawk interprets the case, is not whether the Cowlitz Tribe was federally recognized in 1934, but whether the facts indicate that the tribe was under federal jurisdiction,” Rand wrote in an e-mail. “That approach is a reasonable interpretation of the court’s decision, but it’s not the only possible interpretation. The case most definitely will be important, and should speak to the (Bureau of Indian Affairs’) authority in applying Carcieri as narrowly as Echo Hawk did in the Cowlitz (decision).”

Clark County Commissioners Tom Mielke, Marc Boldt and Steve Stuart sent a letter last week to Washington State Attorney General Rob McKenna, asking him to join in the lawsuit.

“Our decision is not based on any opposition to the tribe but follows careful deliberations about the rationale provided by the department in approval of the land into trust and its interpretation of the decision in the U.S. Supreme Court case of Carcieri v. Salazar,” the letter reads. “Moreover, we think the department neglected to consider alternatives and to fully evaluate the environmental and governmental impacts of the tribe’s proposed development at the site as required by the National Environmental Policy Act (NEPA.)”

The state should have an interest in joining the lawsuit, commissioners wrote.

For one thing, “the correct application of the land into trust laws is a matter of importance for our region, where there are many tribes and the precedent arising from (Department of) Interior’s decision may have far-reaching results for many years to come.”

Another long wait
While the La Center City Council recently passed a resolution saying they want to work with the tribe, overturning the previous council’s resistance to the casino project, the lawsuits mean the trust land will likely remain untouched for at least the next few years.

Cowlitz Tribal Chairman William Iyall said the challenges were expected.

“There will be a strategy to delay, delay, delay,” Iyall said last week. He knows his tribe has been selected to be the post-Carcieri “poster child” for landless tribes wanting to establish a reservation.

“There are a lot of other tribes in the United States that will be relying on this issue,” he said.

He said the tribe has a clear record of its existence and the Bureau of Indian Affairs laid a solid foundation for the decision.

He said the delay harms not only the tribe, but the local economy. Construction would provide short-term union jobs.

At completion, the hotel and casino is projected to have 3,151 employees with an average annual wage of $28,000.

“We are going to go ahead with planning,” Iyall said. Once the legal challenges are resolved, “we hope to have everything ready to go.”

Executives from the Connecticut-based Mohegan Tribal Gaming Authority, who have partnered with Cowlitz tribal member and real estate developer David Barnett of Seattle to operate the casino, have already said plans might be scaled back from the $510 million complex that was planned before the economy tanked.

The authority recently scaled back plans for a casino in Massachusetts.

“This isn’t a build-it-and-they-will-come business model anymore,” Paul Brody, vice president of Mohegan Gaming Advisors, told a Massachusetts newspaper. “It is a very tightly margined business, and you have to watch how much you spend.”

The plans for the Cowlitz reservation, which would be west of the Interstate 5 interchange in La Center, call for a two-story casino with 3,000 slot machines, 135 gaming tables, 20 poker tables and a 250-room hotel, plus an RV park, 10 restaurants and retail shops.

The tribe has also expressed interest in building tribal headquarters, elder housing and a cultural center.

For now, everything will be on hold.

In a Feb. 1 letter from the U.S. Department of Justice to one of the plaintiffs’ attorneys, Justice Department attorney Gina Allery wrote that the Department of Interior has said that it will not take the land into trust until 60 days after the date of a U.S. District Court decision.

“The United States is committed to allowing appropriate judicial review of the secretary’s decision. However, I note that Interior continues to be concerned that any delay in the disposition of this case may adversely impact the Cowlitz Tribe,” Allery wrote.

Guy Martin, one of three plaintiffs’ attorneys from the Washington D.C. office of Perkins Coie, estimated the case may take more than three years to resolve.

“This is going to be a long process,” Martin said.

The defendants have until June 10 to respond.

Martin said attorneys will first argue over which documents are included in the official record, which the judge will rely on in making his decision.

Martin said the Department of Justice might also challenge the standing of the Grand Ronde tribe, which operates Spirit Mountain Casino in Oregon and filed a lawsuit the day after plaintiffs, led by Clark County, filed their lawsuit. Both lawsuits were assigned to the same judge.

It will likely be 2012 before the case even gets argued, Martin said. The judge will be asked to overturn or uphold the Cowlitz trust decision.

The ruling likely would then be appealed; from an appellate court, the sides could petition the U.S. Supreme Court for review.

The Supreme Court only accepts a small fraction of cases.

“This case has all the ingredients of a case that the Supreme Court would take, and that’s about all any lawyer could say,” Martin said.

While three pending cases involving other tribes do reference Carcieri, the Cowlitz case “is the only one in which the DOI (Department of Interior) theory about what constitutes ‘recognition’ under Carcieri is fully stated and at issue,” Martin said.

“At least at this moment, this stands to be the principal case testing whether the Interior Department and the BIA can essentially administratively ignore the Carcieri decision in certain cases,” Martin said. “It’s a very important decision.”

What is “Carcieri?
The 2009 U.S. Supreme Court decision in Carcieri v. Salazar has been shortened to refer to Rhode Island Gov. Donald Carcieri. Carcieri sued the federal government (the defendant refers to Kenneth Salazar, secretary of the Interior) for allowing the Narragansett tribe to take an additional 31 acres into trust.

Writing for the 6-3 majority, Justice Clarence Thomas said in order to take land into trust, tribes had to be under federal jurisdiction in 1934, when the Indian Reorganization Act (IRA) was enacted. The Narragansett tribe was not formally recognized until 1983.

Congress debated a “Carcieri fix” last year that would have amended the IRA, but it stalled in the Senate.

Del Laverdure, a deputy assistant secretary, was quoted saying the Carcieri ruling “was not consistent with the long-standing policy and practice of the United States … in treating tribes alike regardless of the date of acknowledgment.”

Joining Thomas in the majority was Chief Justice John Roberts and Justices Antonin Scalia, Anthony Kennedy, Stephen Breyer and Samuel Alito. Justice David Souter (now retired) filed an opinion concurring in part and dissenting in part, which was signed by Justice Ruth Bader Ginsburg. Justice John Paul Stevens (now retired) filed a dissenting opinion.

February Slot Revenue Increases By Less Than 1% At Mohegan Sun, Declines Less Than 1% At Foxwoods

2011-03-16T06:59:00.002-04:00

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Mohegan Sun reported about $58 million in Februrary slot win, less than one percent more than the same month last year, while Foxwoods reported $51 million in February slot win, less than a one percent decline compared to February 2010.

The state of Connecticut receives about 25 percent of the tribal slot take each month. The tribes will pay the state about $28 million in total for the month of February.

Photo: Mohegan Don Chapman With Navajo Code Talkers On Veteran's Day 2010

2011-03-09T18:07:00.006-05:00

Mohegan Sun CEO Hartmann Is Subject Of The Day Article

2011-02-22T11:17:00.003-05:00

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This installment of The Tribe In The Media is an article by Brian Hallenbeck on Mohegan Sun CEO Jeff Hartmann that appeared in The Day newspaper.

Mohegan Sun's new boss embracing role
By Brian Hallenbeck
February, 20, 2011
The Day

Jeffrey Hartmann finding his stride in leadership post

Mohegan - Jeffrey Hartmann, numbers guy, has been stepping out. He's been walking the floor at Mohegan Sun, glad-handing employees - they're his employees now, all 8,000 of them - and gathering input, the kind that flesh-and-blood people deliver when the boss seems intent on listening.

A certified public accountant long familiar with balance sheets, financial reports and SEC filings, he just might be toting a copy of Billboard or Brandweek, examples of his new taste in reading material.

The day after a January blizzard prompted some of the staff to stay overnight, he shed the suit and tie and donned a sweater, which is not to suggest he'll be working in a Hawaiian shirt any time soon. The CPA is, after all, the new CEO.

It's been barely two months since Hartmann took over as president and chief executive officer of Mohegan Sun, succeeding Mitchell Etess, who relinquished the key to the executive suite to focus on the Mohegan Tribe's outside ventures as CEO of the Mohegan Tribal Gaming Authority.

Actually, Etess kept his office. It was Hartmann, who still reports to Etess, who moved into new quarters in the casino's hotel.

Some have wondered whether there was more to the shake-up than Etess' stated desire to develop new revenue streams for the tribe. Given the authority's need to refinance debt and Mohegan Sun's emphasis the past couple of years on cost containment — salary rollbacks, layoffs, etc. — might investors be more comfortable with a numbers guy at the casino's helm?

"It's really a case of Mitchell deciding he wanted to move on," Hartmann says. "It was about where he was and where he wanted to go. It's really no more complicated than that."

Etess, the Sun's CEO for more than six years, and Hartmann, chief operating officer the past six years and chief financial officer for eight years before that, have been partners since the place opened in 1996.

"If you polled people who know us, the vast majority would say Jeff and I have totally morphed," Etess says. "It's like we've flip-flopped. I tend to be the one talking about finances all the time and he's been addressing the marketing."

Bruce "Two Dogs" Bozsum, chairman of the Mohegan Tribal Council, which serves as the authority's management board, said there was precedent for the change. The late Bill Velardo gave up the casino CEO's post in 2004 to concentrate on his duties as CEO of the authority, making way for Etess, then the casino's executive vice president of marketing, to ascend to the casino's top spot.

"Over time, Mitchell was getting too stretched out," Bozsum said of the latest change. "It's hard to stay focused on everything that's inside the walls of Mohegan Sun and on all the corporate stuff, too. Mitchell did a great job, but I think we were pushing him too far. It was a good move."

With the change, Etess says, comes a renewed commitment to increasing revenues as opposed to solely containing costs. "It's time to get out of survival mode, and this structure gives us a better chance to do that," he says.

Hartmann thinks it's possible to do both, to control costs and grow revenues at the same time. He quotes from Mohegan Sun management's bible, "Built To Last," the 1994 bestseller taken to heart by Velardo and his successors: "Chapter 1, shattered myths, the 'Tyranny of the OR.'" Visionary companies, the book asserts, "do not brutalize themselves with the … purely rational view that says you can have either A or B, but not both."

But how, at this point, can Mohegan Sun increase revenues?

There are "regional pockets" of the market that can yet be tapped, Hartmann says, and greater emphasis, marketingwise, can be placed on the breadth of the casino's offerings and the quality of service it provides its customers.

"We can focus on the destination," he says. "This is a one-of-a-kind facility. In my opinion, it will not be replicated in the next 15 years because the cost of financing casinos has gone up and because equity investors are seeking higher returns."

While the economic downturn has favored so-called "convenience" facilities that offer little more than slot machines, the recovery offers promise for the destination resort casino, with its full array of gaming and nongaming amenities, Hartmann says.

Convinced that the demand for more hotel rooms exists, Mohegan Sun continues to pursue a partnership with a hotel developer and a revival of expansion plans shelved in 2008. "We see the framework of a deal on the horizon," Hartmann says.

Mentors: Etess, Velardo

For the numbers guy, the prospect of becoming CEO was daunting. "There's a distinct difference between managing and leading," Hartmann says. He took a couple of days to consider the promotion, meeting with a career coach.

"Mitchell gave me the time to do it, which is symbolic of our relationship," Hartmann says. "It's a big commitment to lead 8,000 people."

But, it turns out, leading is not so foreign a concept to Hartmann, who co-captained the Eastern High School football team in Voorhees, N.J. He played center and linebacker. From middle school on, he held offices in student government.

At Mohegan Sun, he's had the examples of Etess and Velardo, who was a mentor to both Etess and him.

"He was very important in my life," Hartmann says of Mohegan Sun's first CEO. "What I learned from him helped me as much with my spouse and my kids as it did in the business. I realized that after he left."

Hartmann reconnected with Velardo when Velardo, who had left southeastern Connecticut for Las Vegas, returned in 2009. He died that November. "He was a great guy; he always had time for the employees," Hartmann says, locating a folder that Velardo used to teach from. "I learned from him the importance of being patient in stressful situations."

Hartmann strives to keep interviews in positive territory, and exudes confidence and stability, a trademark of Mohegan Sun management. He'll lead by consensus, he says, "not 100 percent consensus but sufficient consensus." He's trying to have more dialogue with "team members," fewer meetings, less e-mail.

"Meetings and e-mail can consume you," Hartmann says. "I tell people, 'If it's really important, call me. Better yet - if you have an idea - come see me.' "

The biggest change in making the transition from COO to CEO, he says, has been disciplining himself to walk around and say hello to employees, to sound them out. So, what's he been hearing?

"They're telling me they like it here, they like interacting with our guests," he says. "I ask them how I can help them do their jobs better. Here's one simple thing: Let's interact with each other more civilly. It doesn't cost a penny to show each other respect and dignity, regardless of what a person's title may be or the size of his paycheck."

Here's another Hartmann initiative that won't tip the balance sheet: He's called for more up-tempo music on the casino sound system in the evenings, a nod to the younger clientele on hand at that hour.

A risky proposition

Passion's no stranger to the numbers guy, either.

"The thing that's amazing about him," Etess says, "is that he's able to be extremely involved in his community and with his children despite how much he devotes to Mohegan Sun."

Hartmann is involved in the Old Lyme Little League and has coached youth baseball and basketball. He also chairs the board of the Connecticut Sports Foundation, the nonprofit that raises money for cancer research and to help families of cancer patients. His own mother is a breast cancer survivor.

"Jeff is one of those special people you meet along the way in your life," says John Ellis, the former New York Yankee catcher who founded the sports foundation. "When we joined with Mohegan Sun, Jeff and Mitchell Etess became an integral part of the foundation. I asked Jeff to become chairman, to lead us into the future and build our endowment. He's a good fishing buddy, too."

"I always wanted a boat," says Hartmann, who's now on his third one, a 25-footer with a center console. His two sons, ages 12 and 10, fish with him. His two girls, ages 18 and 16, are apt to pursue careers in music, not finance.

His wife, Marisa, was the one who advised him to go for it. It was 1991 and Hartmann was toiling at Price Waterhouse, the accounting firm, and living in a Manhattan apartment on 34th Street, between Park and Lexington avenues, when Al Luciani, from something called Foxwoods, called with a job offer.

"I might have made partner," Hartmann says, referring to the firm.

Instead, he joined Foxwoods' first management team, which assembled in a trailer. Foxwoods the casino had yet to be built.

"I kind of owe it to my wife," he says. "She said go for it."

Hartmann broke the news to his parents, the risk-averse Hartmanns of Voorhees, N.J.

"Hey mom, I think I'm going to take a job with the Mashantucket Pequots … in Ledyard," he remembers saying, then adds, "I've led a charmed life."

Feds Deny Stockbridge-Munsee Mohican's Application For Land In NY's Catskills

2011-02-21T11:21:00.001-05:00

Flash: Mohegan Sun Slots Fall 11.7% In January; Foxwoods Slots Fall 5.9%

2011-02-15T11:51:00.001-05:00

Feds Rumored To Reject Pending Stockbridge-Munsee Mohican's N.Y. Land Application

2011-02-09T04:44:00.005-05:00

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This installment of The Tribes In The Media is a New York Times article that questions whether the federal government will approve a land agreement struck between the Stockbridge-Munsee Mohican Tribe and N.Y. Gov. David Paterson. The agreement would award the Tribe land in the Catskill Mountains of N.Y. The principals in Trading Cove Associates have worked with Stockbridge-Munsee officials on proposed casino plans for the Catskills region.

The Stockbridge-Munsee Mohican Tribe's land-into-trust application for an off-reservation casino in the Catskills was rejected three years ago in a mass denial of numerous applications. The denials of were based on the application of a new policy that required off-reservation casinos to be close to a Tribe's reservation.

Tribe’s Plan for Catskill Casino, Backed by Paterson, Faces Rejection in Washington
By Charles V. Bagli
The New York Times
February 8, 2011

A proposed Native American casino on 333 acres in the Catskills is likely to be rejected by federal authorities next week, only three months after Gov. David A. Paterson approved the $560 million project in the waning days of his administration.

The former governor signed agreements with the Stockbridge-Munsees, a tribe based in Wisconsin with roots in New York, in November to permit a Las Vegas-style casino near Monticello, about 90 miles from New York City, and to settle the tribe’s land claim to 23,000 acres in upstate Madison County.

The casino seemed to be on a fast track. Having negotiated with the Interior and Justice Departments for more than a year before signing the deals, the tribe expected to get the necessary federal approvals this month.

But in January, according to the tribe, federal officials suddenly expressed misgivings about the viability of the tribe’s land claim and the ability of the Interior Department to approve it without Congressional action, as the tribe wanted. In a Jan. 31 letter to the department, a lawyer for the tribe acknowledged that department officials had told him it was “highly unlikely” the officials would change their views.

The Interior Department has done “an about-face,” said Kimberly Vele, president of the Stockbridge-Munsee Community Band of Mohicans. If the agreements are rejected, Ms. Vele said, the tribe will resume its fight for the land in Madison County.

“We’ll go back to fighting it out in the court system, which is an unfortunate consequence,” she said. “I’m confident that the tribe has a very good case.”

Nedra Darling, a spokeswoman for the department’s Bureau of Indian Affairs, said only, “The Department of the Interior is in the process of reviewing the compact.”

The department must approve or disapprove the agreements by Feb. 18. Under federal law, the agreements would effectively be approved if the department took no action by then. But recently, the department has been reluctant to approve casinos far from a tribe’s home base.

Senator Charles E. Schumer, Democrat of New York, and local officials have supported the casino project, which they say would create jobs and bring visitors to an economically depressed area.

But the project has come under fierce criticism from some legislators and rival gambling operators, who have thousands of electronic slot machines at nine racetracks in the state. The Oneida tribe, which operates the Turning Stone casino near Syracuse, also objected to allowing what it called an out-of-state tribe to set up a casino in New York.

Last week, some owners of the slot parlors at the tracks, known as racinos, filed a lawsuit in State Supreme Court in Albany aimed at blocking the Stockbridge-Munsees from building the casino. At the moment when the state is facing a $10 billion deficit and thousands of layoffs, the racinos assert that a Stockbridge-Munsee casino would result in the loss of 1,000 jobs at racinos and of $400 million a year in slot revenue that now flows to the state.

They say the Catskill casino, with slot machines as well as roulette, blackjack and poker tables, would almost certainly wipe out the nearby racino at Monticello Raceway and lure customers from the Yonkers, Saratoga and soon-to-open Aqueduct racinos.

Officials at the racinos, particularly Yonkers and Aqueduct, are also worried about the possibility that a full casino could be built on Long Island by the Shinnecock Indians, who won federal recognition last year.

James D. Featherstonhaugh, an owner of the track and slot parlor in Saratoga, said racinos paid a tax of 42 percent on net gambling revenues, collectively generating about $1 billion a year for education. But, he said, Indian casinos pay a maximum of 25 percent of slot revenues to the state. “The Stockbridge-Munsee casino has an unfair competitive advantage that seriously jeopardizes the future of New York’s racinos and the horse racing industry as a whole,” he said.

Not long ago, Mr. Featherstonhaugh, who is also a prominent Albany lobbyist, represented the St. Regis Mohawks who tried to build a casino in Monticello.

The Stockbridge-Munsees say the casino, which would provide the equivalent of 4,900 full-time jobs, would be the single largest construction project in Sullivan County. The tribe has agreed to pay the state up to 25 percent of the slot revenue and provide the county with $15 million a year.

“Interior said this is the path you could pursue,” said Ms. Vele of the Stockbridge-Munsee. “I don’t know what happened.”

Source at: http://www.nytimes.com/2011/02/09/nyregion/09casino.html?_r=1

County In Washington State Files Challenge To Feds Decision On Cowlitz Reservation Land

2011-02-01T14:32:00.003-05:00

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Clark County filed a challenge in U.S. District Court in Washington D.C. to the federal Interior Department's decision to approve the Cowlitz Tribe's land-into-trust request. The county commissioners voted earlier this month to appeal the Interior Department's decision to take land into trust as reservation land for the Cowlitz Tribe.

The county contends that the Interior Department Secretary Ken Salazar did not fully understand the environmental impact and that the decision goes against the U.S. Supreme Court's decision in Carieri v. Salazar. That court decision ruled that the authority of the Interior Department to take land into trust on behalf of Indian Tribes only applied to tribes under federal jurisdiction before 1934.

Norwich Bulletin Erroneously Reports That Distributions To Mohegan Tribal Members Cut

2011-01-28T14:18:00.008-05:00

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The Norwich Bulletin posted an article to their website today falsely stating that distributions to Mohegan tribal members were reduced. The headline of the article is "Mohegan Sun adds another adviser as 1Q profit rises, revenue falls: Distributions to tribal members cut 83.5 percent."

Aside from the erroneous headline, the article mentions that distributions to tribal members were reduced "substantially" and again in a sentence that reads, "Distributions to tribal members for the three months ended Dec. 31 were cut 83.5 percent to $4.5 million from $27.3 million a year earlier."

The reporter confuses yesterday's MTGA press release that stated the amount the Mohegan Tribal Gaming Authority distributed to the Tribal government during the months of October through December with the actual distributions to members.

The Bulletin posted another article later in the day entitled, "Mohegan Sun slashes tribal distribution," in which it reports, "Mohegan Sun announced that it has cut distributions to tribal members substantially and has hired an additional financial adviser ...."

See Norwich Bulletin article at: http://www.norwichbulletin.com/news/x517527081/Mohegan-Sun-adds-another-adviser-as-1Q-profit-rises-revenue-falls and at: http://www.norwichbulletin.com/news/business/x1868082662/Mohegan-Sun-slashes-tribal-distribution

Pennsylvania Gaming Board Releases Its Reasoning Behind Revocation Of Foxwoods Philly Casino License

2011-01-27T10:49:00.002-05:00

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The Pennsylvania Gaming Control Board made public a document that gives its reasoning why it revoked the casino license for the Foxwoods Philly casino. A link to that document can be found in the left hand column of this blog under the title of "Adjudication of Foxwoods Philly's Casino License."

Mohegan Gaming Authority Reports 1st Quarter Profit Of $12.9 Million

2011-01-27T07:52:00.020-05:00

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The Mohegan Tribal Gaming Authority reported a profit of $12.9 million for the first quarter of fiscal year 2011. The first quarter is comprised of the three-month period of October through December. The figures include results at Mohegan Sun and the Tribe's Pocono Downs casino in Pennsylvania.

The profits are not reduced by the $4.5 million distributed to the Tribal government by the gaming authority in the first quarter. Last year, MTGA distributed $27.3 million to the Tribe in the same period.

The quarterly profit is an increase over the $3.9 million in net income, adjusted from $4.4 million, reported for the same three-month period in 2009 despite declining revenues in all categories except for table game revenue.

MTGA's overall gross revenues (money spent by customers at the casino properties and before deducting any expenses) for the three months were $361 million, down from $370 million for the same period last year.

MTGA reported that its Pennsylvania casino's income from operations, which doesn't take into account interest expenses, was $6.3 million for the quarter. This figure is a $4 million increase over the income from operations during the same period last year. Had interest expenses on debt related to the Pennsylvania casino been deducted from this figure, the result would be a loss.

The increase in MTGA's total table game revenue over last year is attributable to the addtion of table games in July at the Tribe's Pennsylvania casino.

MTGA reported $4.6 million in expenses over the three-month period related to its corporate diversification department. These costs represent about 30 percent of the quarterly profits. Diversification efforts have largely been focused on opening a possible casino in Massachusetts. Legislation to allow casino gambling has not yet been approved in that Massachusetts.

MTGA reported $68.5 million in adjusted EBITDA (which stands for earnings before interest expense, taxes, depreciation and amortization), a 7.3 percent increase over last year. The structure of a transaction between MTGA and the Mohegan Sun's former casino management company, which results in payments by MTGA to that company through 2014, ensures that the adjusted EBITDA figure will always reflect an increase through 2014, assuming all other variables being equal.

Interest expense for the three-month period was about $30 million, a slight increase over the same period last year, due to an increase in the weighted average interest rate of 7.1 percent on MTGA's debt compared to the weighted average interest rate of 6.8 percent reported for the same period last year.

MTGA had $1.7 billion in debt as of December 31, 2010 and reported that it hired Credit Suisse, to "assist in the evaluation of refinancing alternatives." MTGA reported last year that it engaged Blackstone Advisory Partners, L.P. to "assist in its strategic planning relating to its debt maturities."

MTGA's quarterly conference call with analysts will take place later this morning.

See press release at: http://www.sec.gov/Archives/edgar/data/1005276/000119312511015478/dex991.htm

Mohegan Gaming Authority To Announce On January 27 Its Operating Results For October Through December

2011-01-25T04:38:00.006-05:00

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The Mohegan Tribal Gaming Authority has set January 27 as the date when it will discuss with analysts its operating results for the three-month period of October through December. MTGA typically releases the operating results on the same day as its conference call with analysts.

The period of October through December represents the first quarter of MTGA's fiscal year 2011.

MTGA reported $4.4 million in net income, or profit, for the three-month period of November through December in 2009 and reported a $3.8 million loss for the same three-month period in 2008. Distributions made by MTGA to the Tribe are not deducted from these figures.

Foxwoods Philly Files Appeal In Pennsylvania Court Over License Revocation

2011-01-22T22:51:00.004-05:00

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The investment group that includes a gaming arm of the Mashantucket Pequot Tribe and was to build a casino in Philadelphia before its license was revoked by the state gaming commission is appealing the gaming commission's decision in Pennsylvania court.

The group of investors filed the appeal on Friday since it had not yet received a response from to its petition submitted to the Pennsylvania gaming board for reconsideration of the license revocation. The investment group, called the Philadelphia Entertainment & Development Partners (PEDP), also is unsure of whether it will be able to recoup the $50 million it paid for the gaming license in 2006. The state law and the gaming board are silent on whether PEDP is eligible to the return of its $50 million paid for the license.

The state gaming board, called the Pennsylvania Gaming Control Board, revoked PEDP's license in December after PEDP failed to line up financing to build the casino. At the last minute, PEDP secured a financing committment from Caesar's and various banks in exchange for ceding ownership and management interests to Caesar's but the state gaming board was not satisfied with the changes.

Pocono Downs Table Game Revenue Slips To Lowest Level Since Opening

2011-01-20T07:50:00.003-05:00

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Consistent with the seasonal nature of gambling in the Northeast, table game revenue at the Mohegan's Pocono Downs casino in Pennsylvania reached its lowest level in December.

Pocono Downs' table game revenue, the amount lost by customers at the tables, was $3.2 million in December. Table game revenue at Pocono Downs for the first five months of table game operations were:

August $3.5 million
September $3.4 million
October $3.5 million
November $3.6 million
December $3.2 million

Taxes and expenses related to table games are not deducted from the above amounts. Pocono Downs increased the number of table games from 72 in August to 84 table games in later months.

CT Senator Joe Lieberman Not To Seek Re-Election

2011-01-20T07:20:00.006-05:00

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U.S. Sen. Joe Lieberman from Connecticut announced yesterday that he will not seek re-election in 2012.

Sen. Lieberman, who will have served 24 years when he leaves office in 2012, said that he will still be involved in public service in some manner after he steps down from office.

Sen. Lieberman was a Democrat up until he lost the Democratic primary in 2008. He then became an Independent to win re-election for the Senate seat.

Connecticut's representation in the Senate will be markedly different without the seniority of Sen. Lieberman and former Sen. Chris Dodd, who left office after deciding not to seek re-election in 2010.

Sen. Lieberman was Al Gore's vice-presidential running mate in their unsuccessful presidential election bid in 2000 on the Democratic ticket. Sen. Lieberman supported the Republican candidate, Sen. John McCain, in the last presidential election and was rumored to be a potential running mate of Sen. McCain's in that election up until the selection of Sarah Palin.

Sen. Lieberman, a former attorney general for the State of Connecticut, was an original sponsor of the federal Tribal Law and Order Act.

Mashpee Wampanoag Forced To Look For New Proposed Casino Site

2011-01-19T05:49:00.003-05:00

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The State of Massachusetts will once again consider casinos but the Mashpee Wampanoag Tribe just lost their proposed casino site in New Bedford and must look for a new site. The article below, part of the Tribes In The Media series, is from The Cape Cod Online media outlet.

Fall River pulls plug on Wampanoag casino
By George Brennan
Cape Cod Online
January 18, 2011

Fall River officials have told the Mashpee Wampanoag tribe that their $21 million purchase of 300 acres in Fall River for a casino is off the table.

Instead, Fall River Mayor Will Flanagan and a contingent of city leaders are meeting with state economic development officials this morning to resurrect the idea of building a biotechnology park, known as the BioPark, on the land. The park would include a bioprocessing and training facility to be built by the University of Massachusetts-Dartmouth.

More Times Breaking NewsThe deed restriction that prohibits a casino on the property, as well as an ongoing lawsuit brought by 10 taxpayers to block the sale to the tribe were seen as hurdles that would be too difficult to overcome, said Kenneth Fiola, vice president of the Fall River Redevelopment Authority.

This appears to be another blow for the Mashpee Wampanoag, who have been pushing for a casino for nearly four years since gaining federal recognition in 2007. Once considered inevitable, the hurdles have stacked up against the casino.

In May, the tribe scrapped a deal it had in place with Middleboro, where there was vocal opposition, to pursue the Fall River land with new investors.

On Tuesday, tribal council Chairman Cedric Cromwell issued a statement saying that the tribe is optimistic it will find a new site in Fall River. “This remains an outstanding opportunity to create jobs for the tribe and the city, and we are working hard to make this project a reality,” Cromwell said.

After months of negotiation that began last Feburary, Flanagan announced in May the city had reached a deal with the Mashpee Wampanoag to sell the 300 acres near Route 24. The tribe said it would build a $500 million resort casino that would include three hotels and a shopping mall.

City and state officials raised immediate questions about the proposal because of a deed restriction that banned both a landfill and casino at the site and because the state had already invested $34 million to build an exit off Route 24 for the BioPark.

But Flanagan and Cromwell pressed forward saying the casino jobs would make a more immediate impact on the city's double-digit unemployment rate and they could convince the Legislature to remove the deed restriction. In October, the redevelopment authority agreed to sell 45 acres to the tribe for $4.5 million. The tribe also had an option on 255 additional acres for $16 million.

No money ever changed hands and before the city and tribe leaders had a chance to sign a written agreement, a lawsuit was filed to block it. In addition to the deed restriction, that suit objected to the redevelopment authority selling the land without going out to competitive bid.

A Bristol Superior Court judge imposed a preliminary injunction that has so far thwarted the city's efforts to sell the land to the tribe. That case continues to wind its way through the court.

King Inspired By Time He Lived In Connecticut And Worked On Connecticut Tobacco Farm

2011-01-17T09:05:00.006-05:00

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The following AP article, part of the ongoing Tribe In The Media series, discusses Martin Luther King's experience while working and living on a tobacco farm in Connecticut. The quality of the tobacco grown in the Connecticut River valley has been highly regardly since colonial days. The civil rights leader was born 82 years ago and is the only person who was not a former president to have a federal holiday named after him.

By John Christoffersen
Associated Press
January

NEW HAVEN, Conn. – Martin Luther King Jr. could hardly believe his eyes when he left the segregated South as a teenage college student to work on a tobacco farm in Connecticut.

"On our way here we saw some things I had never anticipated to see," he wrote his father in June 1944. "After we passed Washington there was no discrimination at all. The white people here are very nice. We go to any place we want to and sit any where we want to."

The slain civil rights leader, whose birthday is observed Monday as a federal holiday, spent that summer working in a tobacco field in the Hartford suburb of Simsbury. That experience would influence his decision to become a minister and heighten his resentment of segregation.

"It's clear that this little town, it made a huge impact on his life," said John Conard-Malley, a Simsbury High School senior who did a documentary with other students on King's experiences in Connecticut. "It's possibly the biggest thing, one of the most important things, people don't know about Martin Luther King's life."

Until then, King was thinking of other professions such as becoming a lawyer, Conard-Malley said. But after his fellow Morehouse College students at the tobacco farm elected him their religious leader, he decided to become a minister.

In his later application to Crozer Theological Seminary King wrote that he made the decision that summer "when I felt an inescapable urge to serve society. In short, I felt a sense of responsibility which I could not escape."

"Perhaps if he hadn't come to Connecticut, hadn't picked tobacco up here, hadn't felt like a free person, hadn't felt what life was like without segregation and been elected the religious minister, he may not have become such a leader in the civil rights movement," Conard-Malley said.

Nicole Byer, a junior at Simsbury High School who narrates the documentary, noted that King was roughly the same age as the students who produced the documentary. Such early experiences can have a profound influence on young people, she said.

"Everything right now influences us," Byer said. "Any small experience can change the direction of what we do right now."

In a letter to his mother three days after he wrote his father, King marveled over a trip he took to Hartford.

"I never thought that a person of my race could eat anywhere but we ate in one of the finest restaurants in Hartford," King wrote. "And we went to the largest shows there."

He wrote a week earlier of going to the same church in Simsbury as white people. His new calling as a religious leader was emerging, too.

"I have to speak on some text every Sunday to 107 boys. We really have good meetings," he wrote.

William Duschaneck, an 88-year-old Simsbury resident interviewed by the students, said he played baseball with King in town. King was a strong pitcher, though the future preacher of nonviolence never drilled a batter, he said.

"He was a good ballplayer. He beat us a couple times," Duschanek told The Associated Press, laughing. "It was interesting to hear him talk. He had a nice voice. He talked about God and so forth."

King described the work on the tobacco farm as easy.

"I have a job in the kitchen so I get better food than any of the boys and more. I get as much as I want," he wrote to his mother.

In a speech in Hartford in 1959, King recalled how hot it was working on the tobacco field and how he looked forward to relaxing on weekends in Hartford.

Byer says King and other students often worked in temperatures that reached 100 degrees or higher. The students, who were earning money to pay for college, made about $4 per day, Byer said. They lived in a dormitory built at the edge of the tobacco field.

King was nicknamed "Tweed" by his friends because he often wore a tweed suit to church, said Alexis Kellam, whose late father, Ennis Proctor, worked with King that summer in Connecticut.

King's friends teased him that the hot sun in the tobacco fields caused him to preach, his sister, Christine Farris, told The AP.

In her book "Through It All: Reflections on My Life, My Family, and My Faith," Ferris wrote that her brother underwent a "metamorphosis" as a result of his time in Connecticut.

"That was quite an experience," Farris said.

King's widow, Coretta Scott King, wrote in her memoir, "My Life With Martin Luther King Jr." that her husband talked of the exhilarating sense of freedom he felt in Connecticut that summer.

That taste of freedom ended as King returned home. When he got to Washington, he had to ride the rest of the way to Atlanta in a segregated train.

"After that summer in Connecticut, it was a bitter feeling going back to segregation," King wrote in his autobiography. "I could never adjust to the separate waiting rooms, separate eating places, separate rest rooms, partly because the separate was always unequal, and partly because the very idea of separation did something to my sense of dignity and self-respect."

Clayborne Carson, a history professor and director of the Martin Luther King Jr. Research and Education Institute at Stanford University, said King's time in Connecticut played a role in his decision to become a minister and in influencing his views about segregation. He said shortly before King came to Connecticut that summer, a bus driver ordered him to give up his seat for a white passenger on the way to Atlanta.

"These experiences came fairly close to each other," Carson said. "I think the two things together sharpened his sense of resentment about segregation in the South."

Foxwoods Slot Revenue Increases 1.2% In December; Mohegan Sun December Slot Revenue Declines 6.3%

2011-01-15T04:35:00.002-05:00

Feather News

Foxwoods reported a 1.2 percent increase in slot machine win, the amout lost by customers at the machines, in December compared to the same month last year while Mohegan Sun reported a 6.3 percent decrease in slot win compared to December 2009.

Slot win at Foxwoods totalled $45.1 million in December. Mohegan Sun registerd $53.4 million in December slot win. Both casinos continue to attract customers by offering millions of dollars of free slot play. Foxwoods still offers more free slot play, redeeming $5.2 million worth of free slot play in December while Mohegan Sun redeemed $3.4 million in free slot play.Foxwoods sent $12 million of its win to the state Division of Special Revenue. Mohegan Sun contributed $13.5 million to the state.

Both tribal casinos will pay the State of Connecticut just over $25 million in total as a cut of the December slot machine action.

County To Appeal Federal Decision To Establish Cowlitz Tribe Reservation

2011-01-14T06:55:00.007-05:00

Feahter News

The first shot was fired to delay the establishment of the Cowlitz Tribe's reservation and proposed casino in the State of Washington's Clark County.

Clark County commissioners agreed to appeal the U.S. Department of Interior's decision made in late December to take land into trust as reservation land for the Cowlitz Tribe. The Cowlitz Tribe hopes to build a casino on the land which would be managed by the Mohegan Tribe.

The appeal will challenge the federal Department of Interior's authority to take the land into trust, claiming that the 2009 U.S. Supreme Court's decision in Carcieri v. Salazar does not permit the transaction. In that case, the Supreme Court denied the authority of the Interior Department to take land into trust for the Narragansett Tribe, ruling that the Tribe was not under federal jurisdiction before 1934 as required under a new interpretation of a 1934 federal law. The 1934 law previously allowed the Interior Department to take land into trust for all federally recognized tribes, regardless of when the tribes were deemed to have been under federal jurisdiction.

Clark County's decision to appeal the establishment of the Cowlitz Tribe's reservation was not unexpected and will further delay a possible casino to be built on the land.

New Jersey Legislature Approves Online Gaming

2011-01-14T02:59:00.002-05:00

Feather News

New Jersey's legislature overwhelmingly approved a bill that could make it the first state to legalize online poker if Gov. Chris Christie signs the bill into law.

To avoid running afoul of federal interstate online gambling laws, players would only be able to access the websites from within the state.

Online versions of table games, in addition to poker, would also be part of the games offered. If approved, only casinos in New Jersey will be licensed to operate the sites.

The state Senate voted 34-2 to approve the bill while the Assembly voted 63-11, with three abstentions. Senator Raymond Lesniak estimated that Internet gambling could add $100 million to casino revenues.

Attempts by the U.S. Congress to pass Internet gambling have failed recently and chances at federal approval are seen to be increasingly unlikely with a Republican-controlled House of Respresentatives.

If Sticking A Card On Your Forehead Seems Too Obvious, Try Hiding The Card Up Your Sleeve

2011-01-05T06:53:00.002-05:00

Feather News

This installment of The Tribes In The Media series is a Norwich Bulletin article on an alleged swindle run by Korean citizens who hid cards up their sleeves while playing baccarat at Foxwoods casino.

Foxwoods cheater hid cards up sleeve, police say
Expert: Casino foiled by old trick
By Greg Smith
Norwich Bulletin
January 4, 2011

In just two weeks of gambling at Foxwoods Resort Casino last year, four Korean nationals walked away from the baccarat tables with more than $870,000 in winnings.

It wasn’t luck or skill, according to newly unsealed police reports, but a cheating instrument known as a holdout device, that allows a player to hold a card up their sleeve.

Young Su Gy, 50, had the device concealed on his left forearm while his partner, Wookyung Kim, 34, acted as a blocker, waving score cards to obstruct the view from other patrons and baccarat dealers, police reports show. Police said two other people were working with the couple on various dates between Sept. 8 and Oct. 20. Federal authorities are investigating a link to an international syndicate.

Baccarat is a card game in which two or more players gamble against the banker. The winner is the one who holds two or three cards whose total is closest to nine.

Gy used the mechanical device to drop a card down to fit his hand and switch it with one he had picked up, saving the card until it fit another hand, according to the arrest warrant affidavit prepared by Detective Martin Graham, a member of the state police casino unit.

Spotted on camera

Most of the activity was captured by casino surveillance, but only after the group was gone. The Foxwoods Office of the Inspector General contacted state police Oct. 22 and filled them in on the scheme. Foxwoods security determined who the players were because they had obtained Foxwoods Player Dream Cards with their Korean passports. A month later, state police were contacted by the Department of Homeland Security to report the couple were back in the country, arriving at John F. Kennedy Airport in New York on Nov. 19.

The couple were back at Foxwoods the same day, where they were served with a warrant.

Two other Korean nationals were arrested at the same time on a similar warrant issued by New Jersey authorities. A link is unclear, though federal authorities have been present at several court appearances.

Assistant State’s Attorney Stephen Carney, who is prosecuting the case, declined comment while the case was pending.

Former baccarat dealer, professional cheater and self-proclaimed cheating expert Richard Marcus said the cheating scam and use of the holdout device is nothing new.

Old West device

“It is mainly used in poker games, dating back to Mississippi Riverboat days and the Old West,” Marcus said. “It simply allows a player to stash cards removed from a game or brought with him prior to the game up his sleeve where the device is hidden. Then when he needs to enter the cards into the game, he releases them from the holdout device, which generally holds up to six cards comfortably, depending on the device.

“It is simply incredible and a shame on Foxwoods surveillance that this old trick was used to beat them for that much money,” Marcus said.

Gy and Kim remain held in prison on $500,000 and $150,000 bonds, respectively. Their passports have been seized and they have entered not guilty pleas to a host of charges that include multiple felony counts of first-degree larceny and cheating. They are due back in New London Superior Court on Feb. 7.

A representative from Foxwoods Resort Casino could not be reached Tuesday for comment.

Source: http://www.norwichbulletin.com/casinos/x493323465/Foxwoods-cheater-hid-cards-up-sleeve-police-say

Feds Agree To Establishment Of Cowlitz Tribe's Modern-Day "Initial Reservation"

2010-12-24T12:58:00.008-05:00

Feather News

The federal Department of the Interior agreed to take a 152-acre parcel of land into trust as reservation land for the Cowlitz Tribe in the State of Washington. The tribe plans to build a casino on the land with the backing of the Mohegan Tribe.

Casino opponents are likely to challenge the federal government's decision, arguing that the U.S. Supreme Court decision in the Carcieri v. Salazar case does not allow the feds to take land into trust for the Cowlitz Tribe because the Tribe was federally recognized in 2000.

In a February 24, 2009 Feather News article, we wrote, "The ruling may not affect the Cowlitz Tribe's ability to have land taken into trust for its initial reservation" while the Mohegan Tribal Gaming Authority noted in its quarterly Securities and Exchange Commission filing following the 2009 court decision that "The Cowlitz Tribe did not receive federal recognition until 2000, so the tribe must establish that it was under federal jurisdiction in 1934 by separate means."

The next challenge will be to line up the financing for a casino. A $510 million casino was orignially planned but that figure could change based on the current economy and the inherent risk to investors and bankers of financing casinos on Indian lands.

The Feather News estimates that the Mohegan Tribe has invested at least $30 million in the project since a casino development and management agreement was made with the Cowlitz Tribe in September 2004.

2010 To End Without Congressional Approval To Fix Tribes' Ability To Add To Reservation Land

2010-12-23T05:25:00.010-05:00

Feather News

Almost two years have passed since the U.S. Supreme Court ruled that the federal government can no longer increase the size of Indian reservations for tribes "not under federal jurisdiction" after 1934 and all congressional attempts to fix that court ruling by re-writing the law have failed.

The authority of the federal Department of the Interior to take land into trust as reservation land on behalf of tribes was turned on its head in 2009 when the State of Rhode Island argued that the 1934 law that authorized the federal government to take land into trust for tribes should only apply to tribes under federal jurisdiction as of the date that 1934 law was enacted. Since the Narragansett Tribe was not recognized by the federal government until 1983 and it was not shown that the Tribe was otherwise under federal jurisdiction before the 1934 law was enacted, the State of Rhode Island claimed the Secretary of Interior had no authority to add a parcel of land in Charlestown, R.I., to the Narragansett's reservation. The Supreme Court agreed.

Since the ruling in that case, Carcieri v. Salazar (Carcieri is the governor of Rhode Island and Salazar is the Secretary of the U.S. Interior Department), tribes have advocated a simple change to the law that would allow all federally recognized tribes to increase their land bases.

President Obama publicly supports such a 'fix' but Congress would not take up the amendment this week. Many in Congress are concerned that a simple 'fix' does not address what some legislators see as a troubling problem: tribes that seek to add land that is not close to their reservations for the purpose of building casinos in strategic locations. For that reason, a simple fix will likely not be so simple.

Photos: UConn Women's Basketball Team Sets National Winning Streak Record

2010-12-22T05:25:00.009-05:00

The University of Connecticut women's basketball team set a new record for the longest college basketball winning streak after posting their 89th consecutive game last night. UConn surpassed the record of 88 consecutive wins set by the UCLA men's basketball team in the early 1970's. The UConn women, coached by Geno Auriemma, beat their 89 opponents by an average of 33 points per game.

The Mohegan Tribe's WNBA team, the Connecticut Sun, draws a host of its players from former UConn teams.

Aaron Athey To MC At Rock, Rattle And Drum Powwow On New Year's Eve Weekend

2010-12-20T18:03:00.011-05:00

Feather News

Aaron Athey (Mohegan) will be the Master of Ceremonies at the Rock, Rattle and Drum Powwow that begins on New Year's Eve in Albany, N.Y., and lasts through January 2.

"Come stomp, dance, sing and shake your 'tail feathers' as we honor and recognize the original people of this land by celebrating New Year’s Eve at an American Indian Pow Wow with family and friends," the poster reads.

The event will be held in the Grand Ballroom at the Crowne Plaza Hotel, Albany City Center, State and Lodge Streets, Albany, N.Y.

On New Years Eve, (that's Friday, December 31 for those of you who switched to the Mayan calendar) the doors open at 6 p.m. and the grand entry is at 8 p.m. On Saturday, January 1, the powwow will last from 10 a.m. until 10 p.m. and the grand entry is at noon and 7 p.m. On Sunday, January 2, the powwow will be from 10 a.m. until 5 p.m. and the grand entry will be at 1 p.m.

In addition to dancing, drumming, arts and crafts, a special performace will feature Grammy & Nammy Award Winning Flute Player Joseph FireCrow.

For more information, contact Healing Winds at 413-443-2481 or www.healingwinds.net
For special overnight rates for dancers, drum groups and vendors (and presumably anybody else who can pass themselves off as dancers, drum groups and vendors) call the Crowne Plaza Hotel at 518-427-3018. Use the Reservation Group Code: CPB at www.cpalbany.com.

Mashantucket's Circle Of Care To Sponsor Intertribal Youth Skating Party On Dec. 30 In Groton

2010-12-20T16:21:00.000-05:00

Feather News

The Mashantucket Pequot's Circle of Care, which assists tribal youths and families in New London County to live healthier, is sponsoring an intertribal skating party on Thursday, Dec. 30 from 5 p.m. until 8 p.m. at the Galaxy Roller Rink, 210 Bridge St., Groton, CT. Tribal youths living in New London County age 12-22 are invited. For more information, call 860-396-6248.

Spirit Lake Indian Social Saturday Dec 18 In Groton

2010-12-18T01:27:00.003-05:00

Feather News

The Spirit Lake Foundation is holding a social on Saturday, Dec. 18, in Groton from 5 p.m. until 10 p.m.

The theme for the social is “Come Round Dance With Me” and will be held at at the City of Groton's City Municipal Building, 295 Meridian Street, Groton, CT.

Kenny Merrick says of the event: "Mr. Sheldon Sundown of the Seneca Nation will be the master of ceremonies for the evening. To all the children, Santa Claus will be there to take your Christmas list back to the North Pole and even take a picture with you. So tell mom and dad to bring you out for a fun evening. There will be Native American vendors from through out the New England area selling their arts and crafts, for the last minute Christmas shoppers. Dana Rondel, author of children’s books, novels, short stories, anthologies, essays and poetry. Will be signing and selling her new children book, The Sunflower and Rose, a hardcover with audio CD of music done by Kenny Merrick Jr. with a portion of the proceeds being donated to the Spirit Lake Foundation. We hope you can bring the whole family out for a great night of Native American Round Dancing, Singing, Food, Fun and Intertribal culture. Hope to see you all there. Merry Christmas and Happy New Year!"

Flash: ABC News Reports That PA.Gaming Board Revokes Foxwoods Philly Casino License

2010-12-16T13:49:00.005-05:00

Feather News
Updated

ABC News just reported that the Pennsylvania Gaming Control Board revoked the Foxwoods Philly group's casino license.

According to the Philly.com media outlet, "The [state gaming] board seemed to focus on three reasons in questioning the investors today: They submitted incomplete documents on the deal going forward, they changed the way charities would benefit from casino profits and the project as designed today is notably different than the project approved in December 2006." The gaming board voted 6-1 for the license revocation.

In other news, shares of Wynn stock rose over 5 percent by early afternoon.

Source: http://abcnews.go.com/Business/wireStory?id=12413162

Editorial: Pennsylvania Should Allow A Re-Worked Foxwoods Philly Casino To Become A Reality

2010-12-16T04:38:00.018-05:00

Feather News
Updated

The Pennsylvania Gaming Conrol Board has the opportunity today to assure that a second Philadelphia casino will soon become a reality. The gaming board will consider a petition to revoke the license awarded to Philadelphia Entertainment & Development Partners. The state's best bet is to go forward with the new plans presented by the group, which includes a gaming arm of the Mashantucket Pequot Tribe and some prominent Philadelphians who have given much to the community.

The casino group contends that an agreement with Harrah's, which changed their name to Caesar's in recent days, will secure the needed changes to make the casino a reality. What more assurances are needed? To delay a decision will be yet another uneccessary roadblock that could doom the project, partly because of new state gaming board appointments in the coming year.

What's the alternative? Revoke the license and tack on several more years until a second Philadelphia casino is built?

Not all of the misteps were made by the casino group. The state should lay the blame where it belongs. Philadelphia city officials threw as many roadblocks as they could in the path of the proposed casino investors in defiance of the state gaming board that awarded the license. In defiance of a state Supreme Court ruling too, if I remember the events correctly. These early stumbling blocks were done intentionally by city officials and, what's worse - maliciously, at a critical time for the casino investment group. At a time when the group could have gone forward with building the casino. Since then, the group fell on difficult economic times.

The investment group never guaranteed they could build a casino over an indefinite time period. The gaming board awarded the casino license based, in part, on its review of the casino group's finances at the time the license was issued. So the gaming board agreed then that the casino could have been built early in the process. But for the malicious tactics of city officials that strung out that process, to the point where it was no longer feasible, the casino would be open by now.

If a lack of good faith is to be laid at anyone's door, it belongs at the door of city hall, not at the casino investors' door.

I don't criticize the mayor's office lightly. I've walked through the city hall's doors many times, albeit under the administration of the previous mayor and current governor while I worked at the city government's former 1600 Arch Street office.

So why blame the casino investment group? Earlier this year, the group relied on what seemed to have been a deal in the making with Steve Wynn. It fell through. Stuff happens but the investment group has consistently acted in good faith throughout the ordeal. Perhaps the same cannot be said for other parties involved throughout the entire process.

The petition to revoke the group's license should be denied. Nobody loses. If it later becomes apparent that the casino group can't follow through, then another petition can always be submitted. But not denying the petition today will be a tremendous injustice not just to the casino group but to the charitable groups that will get a cut of the profits, and to the integrity of gaming board's licensing process.

Let Gov. Rendell check off one last item on his list before he steps down from office next month.

Mohegan Sun And Foxwoods Report A Decline Of About 4 Million Bucks In November Slots

2010-12-16T02:51:00.008-05:00

Feather News

Mohegan Sun and Foxwoods reported yesterday that their November slot machine revenues, or the casino's win, fell by about $4 million at each casino compared to November 2009.

Mohegan Sun reported November slot machine revenue of $55.6 million, a decline of 6.7 percent compared to the same month last year, while Foxwoods reported slot revenue of $49.5 million, a decline of 7.8 percent. One year ago, in November 2009, Mohegan Sun posted $59.6 million in slot machine revenue while Foxwoods reported $53.7 million in that same month last year.

Over the past twelve months through November, Mohegan Sun's slot machine revenue is down 3.9 percent compared to the prior 12-month period. Foxwoods slot machine revenue has fallen by 5.3 percent in the most recent 12-month period compared to the prior 12 months. Over the three-month period of September through November, Mohegan Sun's slot revenue is down 5.6 percent while Foxwoods slot revenue is down 3 percent. Foxwoods redeemed about $7 million more than Mohegan Sun in slot machine "free play" promotions, given to attract customers to the casinos, over that three month period.

Both casinos redeemed more in slot machine free play promotions given out to customers this November than last year. Foxwoods has historically given out more free play to its customers on a monthly basis than Mohegan Sun and this November was no different. Foxwoods redeemed $5.5 million in free play during the month of November, about $1.2 million more than last November. Mohegan Sun redeemed $4.3 million in slot machine free play in November, about $800,000 more than November 2009.

Mohegan Sun's most profitable November monthly win at the slot machines was in 2006, when the casino recorded $73.3 million in revenue, about $18 million more than this past November's amount. Foxwoods' most profitable November at the slot machines was in November 2003, when the casino recorded almost $65 million in slot revenue, or about $15 million than the most recent November.

Foxwoods no longer overwhelmingly outguns the Mohegan Sun casino in the number of slot machines on its gaming floor. While Foxwoods had about 750 more slot machines than Mohegan Sun a year ago, Foxwoods reported only 200 more slot machines than did Mohegan Sun in figures reported yesterday to the state Division of Special Revenue. Foxwoods reported that 6,605 slot machines were in use during November and Mohegan Sun reported 6,405 machines.

Both casinos paid out to customers about 92 percent of the amount played at the slot machines (Mohegan Sun 91.96%, Foxwoods 91.82%).

Both casinos pay the state 25 percent of their net slot revenues to the state in addition to a fraction of their free play promotions. Combined, both casinos will pay the state about $27 million out of November's slot revenues.

Feather News Stock Picks

2010-12-13T20:27:00.007-05:00

Feather News

Since its inception, the Feather News has only overtly proclaimed one buy/sell recommendation on a stock. That stock was Empire Resorts. Last February we said in a Feather News article, "If you buy it, cash out fast because Empire is a dog based on its financial statements ...." On that day, Empire Resorts was $2.26 per share. Today, the share price is $1.01, less than half its value since the day we recommended to dump it.

For some this was, and for some still is, a play on the Catskills casino dream. Empire Resorts runs the Monticello Raceway in the Catskills. Kien Huat Realty III, LTD, became the company's largest shareholder last year and is not to be underestimated. A related company of Kien Huat, the Malaysians that financed Foxwoods, won the bid to build and operate a slot parlor and other amenities at the Aqueduct Racetrack in Queens, N.Y.

We're not in the business of making stock picks but, just for the record, we withdraw any recommendation from earlier in the year. We're not saying that it won't go lower, we're just saying that we withdraw any suggestion on this stock.

No Empire Resorts stock has been purchased by an insider since last May. One director of Empire Resorts has been selling shares consistently since last Spring. While sales of a stock by an insider (a director or large shareholder) can mean anything, there's usually only one reason stock purchases are made - to make money.

It should be noted that over the period of the last 11 months, when Empire Resorts took a nosedive, other gaming companies skyrocketed.

So what stocks should we buy? There are plenty of good companies out there, some that pay better dividends than the interest rates you're getting at the bank and that also give you an upside potential on the stock price itself. Of course, there's always that downside potential too. Stay tuned.

Foxwoods Lands Exclusive Advertising For Last Five Minutes Of Games At Madison Square Garden And MSG Televised Games

2010-12-07T04:41:00.007-05:00

Feather News

Viewers watching the last five minutes of New York Knicks, Rangers, Islanders and Devils games on the MSG network will soon see the Foxwoods logo on their television screen.

Inside Madison Square Garden, the Foxwoods name and logo will appear on the scoreboard for the last five minutes of Knicks and Ranger games. The name and logo will also be superimposed on the glass behind the goals during the last five minutes of hockey games.

The announcers will also mention Foxwoods during the five-minute sponsorship intervals.

The 'Final Five' sponsorship deal is the first deal of its kind for the Madison Square Garden sports conglomerate and was estimated to be worth a million bucks for, you guessed it, Five Years, according to an industry analyst who spoke to the New York Times. Five attempts to contact Brokenwing to confirm this amount were not successful.

Foxwoods inked a sponsorship last year with the WNBA New York Liberty team, which resulted in the placement of the Foxwoods logo on the players' jerseys. The Liberty advanced to the Western Conference finals last season.

Rob Victoria, Foxwoods' chief marketing officer, said that number of visitors from the New York area who visited the casino increased by three percent since the casino's sponsorship deal began with the Liberty.

The new MSG sponsorship deal is expected to be announced today by MSG and Foxwoods.

Tribal Social To Be Held Sunday 1 p.m. - 5 p.m.

2010-12-02T09:00:00.002-05:00

Feather News

This Sunday the Mohegan Tribe will host an intertribal social event at the Mohegan Sun Casino from 1 p.m. to 5 p.m.

The social will include dancing, singing, giveaways, crafts, storytelling and refreshments. Guests are welcome to donate non-perishable food items that will be go to a local food bank.

The event will take place in the Mohegan Sun Casino's convention center. Call 1-860-862-6277 for directions. Invited drums only.

Mohegan Gaming Authority Credit Rating Slashed

2010-12-02T08:56:00.003-05:00

Feather News

This installment of The Tribe In The Media series is an article in The Day newspaper yesterday on the downgrading of the Mohegan Gaming Authority's credit rating.

Mohegan Sun credit ratings lowered over financial woes
By Brian Hallenbeck
The Day
December 1, 2010

Moody's Investors Service downgraded its bond ratings Tuesday on the Mohegan Tribal Gaming Authority and raised doubt about whether the authority can avoid a financial restructuring.

The agency lowered its corporate and probability-of-default ratings on the authority from "B3" to "Caa2," a designation reserved for high-risk debt.

The Moody's downgrade followed similar action last week by Standard & Poor's, another credit-rating agency, which lowered its rating on the authority from "B" to "CCC."

The gaming authority operates the Mohegan Sun casino in Uncasville and Mohegan Sun at Pocono Downs in Wilkes-Barre, Pa.

Leo Chupaska, the authority's chief financial officer, said the downgrades were not unexpected.

"We thought it would happen," he said. "Since we announced we're working with Blackstone (a major corporate advisory firm), there's been a lot of speculation about how we're going to deal with our (debt) maturities. Right now, we're in a refinancing mode. We haven't talked about restructuring. We really haven't said anything. We're still talking about refinancing."

In a refinancing, a debtor typically negotiates better loan terms, including extending maturity dates, while a restructuring often involves a creditor receiving less money than it is owed.

In a Nov. 12 filing with the U.S. Securities and Exchange Commission, the authority announced that Blackstone Advisory Partners LP was providing help with "strategic planning and analysis in connection with its business and financial goals, including operational improvements, contemplated hotel projects and … bank and bond maturities."

Authority executives declined to elaborate on Blackstone's involvement during a Nov. 23 conference call with investors and gaming industry analysts.

During the call, Mitchell Etess, chief executive officer of the authority and of Mohegan Sun, announced that as of Jan. 1 he will turn over responsibility for the day-to-day operation of the casino to Jeffrey Hartmann, executive vice president and chief operating officer, who will succeed him as CEO of the casino. Etess said he will concentrate on developing new business opportunities as CEO of the authority.

MTGA executives also discussed the authority's financial results for the quarter and fiscal year that ended Sept. 30, reporting a net loss of $26.3 million for the quarter and a profit of $9.7 million for the fiscal year.

Standard & Poor's, which announced its ratings downgrade the day after the call, noted that the gaming authority also reported a 6.5 percent decline in adjusted EBITDA - earnings before interest, income taxes, depreciation and amortization - for the fiscal year.

"We had previously cited our expectation that EBITDA would be relatively flat in fiscal 2010," Standard & Poor's said. The agency also placed the gaming authority on "CreditWatch" with negative implications.

"The ratings downgrade and CreditWatch listing reflect weaker-than-expected operating performance in the fiscal year ended Sept. 30, 2010, in addition to substantial refinancing needs beginning in 2012, when MTGA's $675 million bank credit facility and $250 million senior subordinated notes mature," Melissa Long, a Standard & Poor's credit analyst, said in a statement.

Moody's lowered its rating on each of six layers of the authority's outstanding bonds. In announcing the downgrades late Tuesday afternoon, it said the authority could have trouble refinancing upcoming maturities "without some impairment to bondholders given its high leverage … limited near-term growth prospects for Mohegan Sun Casino, the likely continuation of weak consumer gaming demand trends in the Northeastern U.S., and the strong possibility of gaming in Massachusetts."

Moody's said its "negative ratings outlook" for the authority reflects the short time frame in which MTGA has to address "a significant capital structure issue." If the authority is unable to refinance by March 2011, its $675 million revolving bank loan will become due, Moody's said. The same holds true for the authority's $250 million senior subordinated notes if they are not refinanced by April 2011.

Moody's had placed the authority on review for a possible downgrade in September, after layoffs of hundreds of Mohegan Sun employees. Both rating agencies warned that they could lower their ratings further if the authority proceeds with a restructuring plan that results in bondholders being offered less than they are owed.

Mohegan Sun's neighboring competitor, Foxwoods Resort Casino, has been seeking to restructure more than $2 billion in debt for more than a year. It has defaulted on a $700 million revolving bank loan and a series of bond interest payments.

Casinos across the country have faced financial difficulties brought on by the recession, which has curtailed gamblers' spending and, consequently, casino revenues.

Credit Rating Agency Downgrades Mohegan Gaming Authority Debt

2010-11-30T23:16:00.010-05:00

Feather News

A report was issued yesterday by Moody's Investor's Service, a Wall Street credit rating agency, that is expected to announce a downgrade in the Mohegan Tribal Gaming Authority's debt.

A second major Wall Street credit ratings ageny, S&P, cut the rating on MTGA debt to 'CCC,' according to Bloomberg News. The credit rating reflects the highly speculative nature of MTGA's debt.

S&P is anticipating MTGA's "increasingly likely" need to restructure its debt load. Of MTGA's approximately $1.6 billion of total debt, $925 million will be due for repayment in 2012. Bank debt accounts for $675 million of the $925 million amount while the other $250 million represents senior subordinated notes bought by investors and registered with the Securities and Exchange Commission. The $250 million was borrowed in 2002 and has an 8 percent coupon rate.

The credit downgrades come on the heels of MTGA's announcement last week that it lost $26.3 million in the months of July through September. A major factor in the loss was a result of writing off $66.4 million, spent primarily on a stalled hotel project, which MTGA determined "did not have any future benefit."

About three weeks ago, MTGA annnounced publicly that it retained Blackstone Advisory Partners as a financial advisor. According to The Day newspaper, Blackstone also works with some of the holders of debt owed by the Mashantucket Pequot Tribe.

The Mohegan Tribe's gaming arm also announced a shuffling of executives last week. Today, MTGA filed with the federal Securities and Exchange Commission the following report on those changes:

"On November 23, 2010, the Mohegan Tribal Gaming Authority (the “Authority”) announced certain changes to its senior executive management structure effective January 1, 2011. Mitchell Grossinger Etess, age 52 and President and Chief Executive Officer of the Authority and Mohegan Sun, will be ceding day-to-day responsibilities of Mohegan Sun to Jeffrey E. Hartmann, age 49, who will become President and Chief Executive Officer of Mohegan Sun. Mr. Hartmann is currently the Executive Vice President and Chief Operating Officer of the Authority and Mohegan Sun. Mr. Etess will continue as the President and Chief Executive Officer of the Authority. Raymond Pineault, age 44, will become Executive Vice President and Chief Operating Officer of Mohegan Sun to replace Mr. Hartmann. Mr. Pineault is currently Senior Vice President of Casino Operations for Mohegan Sun."

It's Official: New York Signs Over Land In The Catskills To Stockbridge-Munsee Mohicans

2010-11-24T07:55:00.006-05:00

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New York Gov. David Paterson settled a 23,000-acre, 14-year old land claim with the Stockbridge-Munsee Band of Mohicans on Monday by transferring rights to the Tribe for 333 acres in the Catskill Mountain location of Sullivan County and 1.84 acres in Madison County.

The federal government must still approve taking the land into trust for the Tribe as reservation land.

The Stockbridge-Munsee Mohicans moved from Stockbridge, MA, to settle on land that is now Madison County in 1785 at the invitation of the Oneida Indian Nation but later removed to Wisconsin, the current location of the Tribe's reservation.

Representatives of the Oneida Nation are upset over the deal and said it should be investigated. “The deal made by Governor Paterson and Madison County leadership with the Stockbridge Munsee was shrouded in secrecy,” said Mark Emery, an Oneida Nation spokesman.

The land deal brings the Stockbridge-Munsee Mohicans one step closer to their goal of building a casino in the Catskill Mountains as well as reclaiming aboriginal lands. The principals of Trading Cove Associates, the group that built and managed the Mohegan Sun Casino, are partners of the Stockbridge-Munsee in their quest to build a casino about ten miles from the Monticello Racetrack in the Catskill Mountains.

U.S. Senator Chuck Schumer joined Paterson when the agreement was announced. "This compact is not a guarantee, but it's the closest we've come. Our message to the Department of Interior is simple: Just say yes," said Schumer.

Editorial: Etess To Be Replaced By Hartmann As Mohegan Sun CEO

2010-11-23T12:20:00.007-05:00

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Update

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Updated

During this morning's conference call with analysts on the Mohegan Tribal Gaming Authority's fourth quarter loss, it was announced that MTGA CEO Mitchell Etess will be replaced as the CEO of Mohegan Sun by the authority's chief operating officer Jeff Hartmann.

Etess is a marketing genius, Hartmann is a financial guru. The changeover to Hartmann is a relief. Hartmann knows the operations and adds a strong financial perspective that is needed in these precarious times.

The Tribe is fortunate to have someone like Jeff ready to take the helm.

Etess will focus his energy toward developing new business opportunities for MTGA.

The changeover will take effect January 1, 2011.

Note: This article was updated to reflect that Etess will be replaced as CEO of Mohegan Sun. Etess will continue to retain the title of CEO of the gaming authority.

Flash: Mohegan Gaming Authority Reports $26.3 Million Loss In 4th Quarter

2010-11-23T11:12:00.012-05:00

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Updated

The Mohegan Tribal Gaming Authority reported a $26.3 million loss for the fourth quarter of fiscal 2010.

The fourth quarter is the period of July 1 through September 30, the busiest three months of the year for the gaming company.

Last year, MTGA reported a profit of $66.4 million for the same three months.

Three unusual transactions had a material effect on the bottom line number:

1) This year's loss includes a $58.1 million impairment charge related to halting the hotel construction. The pit of steel and cement in the ground that was to be a hotel was basically written off, finally.

2) MTGA expensed $9.9 million during the quarter that related to severance packages resulting from the mass layoffs that took place over the summer.

3) The loss would have been $52 million and not $26.3 million had it not been for the accounting treatment of the Trading Cove contract, which allowed MTGA to add $26.5 million to the fourth quarter's bottom line under the assumption that Trading Cove (which is paid 5 percent of Mohegan Sun's revenues, not including revenues generated in the Casino of the Wind area or anything off the reservation) will be paid less over the course of the 15-year contract that ends on December 31, 2014.

Had MTGA not booked the above three transactions, MTGA would have ended up with a profit of about $15 million for the quarter. This figure is comparable to last year's fourth quarter where profits were reported at $66.4 million but that figure included a $45.7 million adjustment related Trading Cove. Had that annual adjustment of $45.7 million not been included, then profits in the fourth quarter of 2009 would have been $20.7 million.

Distributions from MTGA to the tribal government are not taken into account when determining MTGA's profits and losses. The distributions reduce a balance sheet item, retained earnings, and are not deducted as an expense. "Distributions to the Tribe totaled $61.5 million and $71.5 million for the fiscal years ended September 30, 2010 and 2009, respectively," according to the press release.

Here is what the report said about the stalled hotel project on the reservation: "During the quarter ended September 30, 2010, the Authority re-evaluated its options with respect to the new hotel element of the project, and based on a modified plan, which encompasses a smaller hotel to be located closer to the existing hotel, determined that certain assets did not have any future benefit to the Authority. Accordingly, the Authority recorded a $58.1 million impairment charge during the quarter ended September 30, 2010."

Gaming revenue at Mohegan Sun fell 1.1 percent to $265 million and non-gaming revenue was abourt $64 million, an increase of 8.1 percent over the same three-month period in the prior year. A decline in slot revenue at Mohegan Sun was bolstered by an increase in table game revenue for the quarter. At Pocono Downs, slot revenue increased 1.6 percent over the fourth quarter in 2009.

Total debt was reported at $1.64 billion and interest expense for the entire fiscal year was $116 million.

The figures in the press release are not audited yet. The fourth quarter's financial statements, which will be audited and also include the balance sheet and statement of cash flows, are expected to be released at the end of December.

Foxwoods Philadelphia Casino Plan To Become Harrah's Philadelphia Project In Three Weeks

2010-11-19T05:06:00.004-05:00

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Pennsylvania's gaming regulatory body, the Pennsylvania Gaming Control Board, gave investors in the stalled Foxwoods Philadelphia casino project a three-week deadline, possibly their last chance, to show that a deal has been inked with Harrah's Entertainment and that financing will be available to make the casino a reality.

The investors that hope to keep the gaming license, called the Philadelphia Entertainment and Development Partners, includes Foxwoods and high-profile Philadelphians with close ties to Pennsylvania Gov. Ed Rendell, whose term as governor ends in January.

The December 10 deadline was given to the investors at a gaming board meeting yesterday. The PEDP group showed the state gaming board new illustrations of what the South Philly casino would look like under their tentative plans. The first phase, projected to cost $275 million and open for business in the summer of 2012, would include 1,500 slot, 80 table games and three restaurants.

Should the investors produce the required documents to meet the December 10 deadline, the group still would require gaming board approvals for a change in ownership, financing, design modifications and a gaming license extension.

N.Y. Governor's Office Issues Statement That It Is Ready To Settle Land Claim With Stockbridge-Munsee Band of Mohicans

2010-11-17T06:08:00.010-05:00

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A spokesperson for New York Gov. David Paterson said yesterday that the administration is close to settling a land claim with the Stockbridge-Munsee Mohicans that would result in a one-acre reservation in Madison County, N.Y.

The one-acre parcel would settle the Stockbridge-Munsee Mohican's 24,000-acre land claim in Madison County.

The Tribe's last attempt to secure land in New York was rejected by the Bureau of Indian Affairs in January 2008 when the BIA rejected about a dozen land-into-trust proposals that sought lands for off-reservation casinos. The BIA rejected the Stockbridge-Munsee Mohican land-into-trust proposal because the land sought in the Catskill Mountains was too far from their land base in Wisconsin. The BIA's rejection of several land-into-trust proposals marked the first use of a controversial policy that denied land applications based on their distance from a tribe's reservation base.

The details of the land claim settlement plans are not yet public but the distance from the town of Stockbridge, located in Madison County, to the Catskill Mountain location where the Tribe wants a casino and owns land, is about 150 miles. The distance could be slightly less, depending on which parcel is targeted for settlement.

The developers of a possible Stockbridge-Munsee Mohican casino are the principles of Trading Cove Associates, the group that developed and managed the Mohegan Sun casino and, later, purchased and expanded the Twin Rivers slot parlor in Rhode Island.

The proposed casino location in Bridgeville, in the Catskill Mountains, is less than 100 miles from New York City and the Mohegan Tribe's casino in the Pocono Mountains of Pennsylvania.

Despite an MSNBC commentator's description this morning on the Morning Joe show describing the Tribe as the Milwaukee Braves, the Tribe settled in the town of Stockbridge, N.Y., in the late 1700's and claims the land was illegally taken.

Mohegan Gaming Authority To Release 4th Quarter Operating Results On Tuesday, Nov. 23

2010-11-16T18:23:00.004-05:00

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The Mohegan Tribal Gaming Authority will release its fourth quarter operating results on Tuesday, November 23, 2010. The period to be reported on will be for the three months of July through September, which is the last quarter in fiscal year 2010.

The operating results will show how table games have impacted the Tribe's casino in Pennsylvania. Table games at the Pennsylvania facility began in the month of July.

A conference call with financial analysts will also be on Tuesday, Noveember 23.

Foxwoods Slot Revenue Increases 4.5% In October, Mohegan Sun Slot Revenue Declines 4.2% In October

2010-11-15T17:53:00.004-05:00

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Foxwoods reported a 4.5 percent increase in its October slot machine revnue when compared to the same month last year while Mohegan Sun reported that its slot machine revenue fell by 4.2 percent in October.

Foxwoods reported slot machine revenue, the amount lost by customers at the machines, of $57.2 million in October while Mohegan Sun’s October revenue fell 4 percent to $60.3 million.

Both tribal casinos pay the State of Connecticut 15 percent of their slot machine revenue.

Mohegan Gaming Authority Expected To Release 4th Quarter Profits As Soon As Next Week

2010-11-12T07:28:00.013-05:00

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If last year is any indication, then the Mohegan Tribal Gaming Authority could release its fourth quarter results from operations as early as next week. The results from operations report is essentially a glimpse at profits, in this case the profits for the three-month period of July through September.

Last year, MTGA released the figures on November 20 but the release date this year could be different from last year's date. We have not confirmed the release date (the Feather News is considering an investment in a telephone in the upcoming year, which we are told is a useful tool in the reporting industry). The three-month period, which is MTGA's last quarter in the fiscal year that ended on September 30, is also expected to be the busiest quarter of the year given the seasonal nature of gambling in the Northeast.

Profits were slim over the summer months last year. The Feather News reported on November 20, 2009, " Profits (or net income) for the fourth quarter [of fiscal year 2009], which is the three-month period of July through September, was reported to be $66.4 million but this figure includes a one-time annual adjustment of $45.7 million that relates to estimated payouts to the casino's former management company, Trading Cove Associates. Had the one-time annual adjustment of $45.7 million not been included, then profits would have been $20.7 million for what is by far the busiest three-month period in MTGA's seasonal calendar. Note that distributions to the tribal government are not deducted from the profit figure."

Basically what that means is that even though MTGA pays out money to Trading Cove Associates, the manner in which the accounting is done allowed MTGA to treat the transaction as adding to profits. In a nutshell, during the fourth quarter of every fiscal year, the accountants estimate what the total remaining payout to Trading Cove will be up until the contract ends on December 31, 2014 (which is recorded as a liability on the balance sheet) and since the payouts over that entire period were estimated to be lower than previous estimates, they take that difference and it goes to the fourth quarter's bottom line.

And, poof, a bad year looks much better on paper. It is impossible to understand MTGA's financial statements without a clear understanding of the accounting treatment of the Trading Cove contract.

In 2001, when the expansion first opened, MTGA had a bad year and the accounting treatment of the Trading Cove contract added to profits in that year also even though MTGA paid money out to Trading Cove. But the closer MTGA gets to that 2014 contract end date, the smaller the adjustments will be to the estimated remaing Tracing Cove payout.

Editorial: Veteran's Day Tribute

2010-11-11T00:53:00.007-05:00

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I continue to be surprised that despite the tragic treatment of Indians since colonization, our Indian nations are always cognizant of the value of military service given by Indians on behalf of the United States of America.

Indian veterans carry the flag of the United States side-by-side with with their tribal flags or staffs at the head of many tribal ceremonies. Or, in military parlance, at the point position.

More Indians have died serving the United States in battle than any other ethnic group, on a per capita basis. Yet Indian lands appropriated through colonial conquest is recognized as the foundation of land title law in the United States. Go figure.

Mohegans, as well as Indians of other tribal nations, have served this country in every war since the Revolutionary War.

The warrior tradition runs deep in Indian Country, predating the colonists, and plays a large part in explaining what to many is a value system difficult to comprehend given the history between the nations. Even if the U.S. flag flies over this land, it is still the land where we come from and the land that is to be protected.

As a military veteran - formerly a military cop, demolition specialist, and combat engineer officer - I want to extend my best wishes to the other veterans reading this, pause to remember those who gave their lives, and wish those in battle a safe return.

Rhode Island's Twin River Slot Parlor Emerges From Bankruptcy With Debt Cut In Half

2010-11-10T04:56:00.003-05:00

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The Twin River slot parlor in Lincoln, R.I., emerged from bankruptcy yesterday with new owners and a balance sheet that is about $300 million lighter in debt.

Over the 17 months that Twin River was under bankruptcy protection, besides slicing its debt almost in half, the facility's owners convinced the state to allow it to remain open 24 hours a day and to eliminate its money-losing, dog-abusing greyhound races.

Twin River is now owned by a group of banks and financial firms.

Twin River was not successfull, however, in convincing the governor to approve a bill that would have resulted in a referendum on allowing table games.

Mashantucket Pequots Elect Two Tribal Councilors, Appoint New Foxwoods Casino CEO

2010-11-10T03:13:00.002-05:00

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The Mashantucket Pequot Tribe elected current councilor Marjorie Colebut-Jackson and former councilor Fatima Dames to the Tribal Council on Sunday.

The Tribe also named Scott Butera to the position of president and chief operating officer of the tribally-owned Foxwoods Casino. Butera, a former investment banker and chief operating officer for Trump Hotels & Casino Resorts, will leave his job as the president and CEO of Tropicana Entertainment. Butera will replace Foxwoods' current interim president, William Sherlock.

Mohegan Tribe's Don Chapman To Participate In NY Stock Exchange Opening Bell Ceremony

2010-11-06T22:18:00.005-04:00

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Don Chapman, the senior advisor on Native American affairs to the U.S. Secretary of Commerce, will be part of the New York Stock Exchange's opening bell ceremony on the morning of November 11. Chapman will participate along with Navajo Code Talker veterans.

Chapman is believed to hold the highest ranking federal office of any Mohegan tribal member.

Chapman also took part in his federal capacity today in a ceremony to unveil a 2,400-pound sculpture of an Indian on the James River in Richmond, VA. The dedication, which marks the statue's removal from its previously controversial spot at the minor leage baseball stadium of the Richmond Braves, also kicks off Native American History Month.

Blumenthal Wins Senate Seat As Republicans Take Control Of House Of Representatives

2010-11-03T11:42:00.011-04:00

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Updated

Connecticut Attorney General Richard Blumenthal beat Linda McMahon yesterday to capture the retiring Sen. Chris Dodd's seat in the U.S. Senate.

Sen. Dodd, who has been extremely supportive the Mohegan Tribe, will leave the Senate at the beginning of January.

Repubicans won control of the U.S. House of Representatives yesterday and picked up more seats in the U.S. Senate, which will inevitably lead to a greater discussion over future legislation.

Democrat Dan Malloy was declared the winner over Republican Tom Foley in the election for governor of Connecticut.

Gov. Deval Patrick won re-election in Massachusetts and Andrew Cuomo will be New York's next governor.

Native Veterans Invited To Ceremony At Mashantucket Pequot Museum On Nov. 13

2010-11-01T06:47:00.003-04:00

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The annual ceremony honoring Native Veterans will be held at the Mashantucket Pequot Museum and Research Center from 12:00 until 2:00 on November 13. Information on the event can be found below:

Selected November events posted by the museum are as follows:

Saturdays, Nov. 6, 20, & 27, 1 & 3 pm
November Films Honoring Native Veterans
The Pequot Museum is screening three films, each about an hour long, to recognize and honor Native warriors in the armed forces of the United States and Canada. Free with Museum admission, free to Museum members.

Nov. 6, 1 & 3 pm: Forgotten Warriors. Canadian aboriginal soldiers fought for their country only to return home to face discrimination, including the loss of tribal lands to returning non-Native veterans. A National Film Board of Canada production.

Nov. 20, 1 & 3 pm: Warriors. The story of Native Americans who served in Vietnam, including their experiences after the conflict. A MacArthur Foundation Library Video Project, the film is distributed by the Native American Public Broadcasting Consortium.

Nov. 27, 1 & 3 pm: Navajo Code Talkers. Navajo tribal members played a crucial role during World War II as radio operators in the Pacific Theater. A MacArthur Foundation Library Video Project, the film is distributed by the Native American Public Broadcasting Consortium.

Saturday, Nov. 13, 12-2 pm
Honoring Native Veterans Ceremony
Join Mashantucket Pequot and other Native veterans in a ceremony acknowledging the contributions of all members of the armed services. Guest speaker discusses code talkers; Mystic River Drum provides honoring-the-flag songs. The public is invited; Native veterans register for the event by calling (860) 396-6954 by Nov. 10. Free with Museum admission; free to Museum members.

Saturday, Nov 13, 2:30-3:30 pm
Comanche Code Talkers of World War II
In conjunction with the Honoring Native Veterans Ceremony and the Mashantucket Gallery's exhibit, Native Words, Native Warriors, Dr. William Meadows speaks about Native American code talkers in WW I and WWII. Free with Museum admission, free to Museum members. The Smithsonian Community Grant program, funded by MetLife Foundation, is a proud sponsor of this public program.

Saturday, Nov. 20, 10-11 am
Pequot War: Technology & Tactics
Join Museum Research Director Dr. Kevin McBride and military historian David Naumec to gain insights into the weapons and tactics used during the Pequot War. Examine artifacts from the Mystic Fort and other sites recovered during 2010 field work. Demonstrations show the warfare used by each side in the war. Free with Museum admission, free to Museum members.

Saturday, Nov. 20, 1-5 pm
Battlefields of the Pequot War Bus Tour
Museum Research Director Kevin McBride leads a tour of battlefields, routes of march and retreat, and campsites of the Pequot War of 1636-1638. Examine historical records and physical evidence relating to the war, use a military terrain model to help plot battlefield sites, and take a bus to the sites that have been identified and studied in Groton and Stonington. Dress for the woods and difficult terrain. Rain or shine. Limited to 25, ages 12 and older. $30/$25 Museum members. Call (800) 411-9671 by Nov. 13 to register.

Source:
http://myemail.constantcontact.com/MPMRC-November-2010-Events.html?soid=1102230220298&aid=nogjWaXAIiI

Foxwoods Philly Casino Revived With Harrah's Talks

2010-10-27T07:47:00.004-04:00

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This installment of the Tribes In The Media is an article in the Atlantic City Press on a tentative deal between Harrah's and the group licensed to build a Foxwoods Philadelphia casino in Pennsylvania.

Harrah's Entertainment seeks minority ownership to run Philadelphia's Foxwoods casino
By Brian Ianieri and Eric Scott Campbell
October 27, 2010

Harrah’s Entertainment, the world’s largest gaming company and owner of four Atlantic City casinos, wants a larger stake in the rival market growing across the Delaware River.

Harrah’s announced plans Tuesday to salvage the troubled Foxwoods casino project in Philadelphia. Under the terms, Harrah’s would take a minority ownership and run the riverfront property on South Columbus Boulevard.

The plan drew mixed reactions from Atlantic City observers, analysts and state legislators as Harrah’s seeks a stronger hold in a new market an hour’s drive away on the Atlantic City Expressway.

“Harrah’s only interest is their corporate bottom line in Nevada. They don’t care about Atlantic City. They don’t care about New Jersey,” said state Sen. Raymond Lesniak, D-Union, a proponent of bringing video lottery terminals to the Meadowlands. “They made a corporate decision they’ll make more money in a casino in Philadelphia than they’ll lose draining it from Atlantic City,” he said.

Others believe there could be benefits to Atlantic City by having Harrah’s own casinos in both markets — potentially building a larger base of loyal gamblers.

The deal between Harrah’s and the existing Foxwoods investors, Philadelphia Entertainment and Development Partners, hinges on regulatory approval and sufficient financing. The existing investment partners include the Mashantucket Pequot Tribal Nation in Connecticut and a large group of Philadelphia-area investors.

The Pennsylvania Gaming Control Board is considering stripping the license of the proposed Philadelphia casino beset by years of delays due to financial problems and neighborhood opposition. Oral arguments are scheduled for today.

Investors in Foxwoods hope the casino can open in 2012 with 1,500 slot machines, more than 70 table games, restaurants and a sports bar.

“Atlantic City has known for several years now that there was going to be a second casino in Philadelphia. The more supply there is outside Atlantic City, the less demand there will be inside Atlantic City,” said Joe Weinert, senior vice president at Spectrum Gaming Group in Linwood, a consulting firm that previously worked with Harrah’s.

The proposed deal means existing creditors, which include Harrah’s and Citizens Bank, would agree to restructure interests, the investment company said in a release Tuesday. Through the partnership, Harrah’s would invest more money in the property and be given a management role.

For a number of years, Harrah’s has discussed a role it could play in the proposed Foxwoods casino, said Jacqueline Peterson, spokeswoman for Harrah’s.

Harrah’s is limited in what it can say because it is in a “quiet period” mandated by the federal Securities and Exchange Commission as it plans to move from a private company to a publicly traded one.

Harrah’s owns the Harrah’s Chester Casino & Racetrack in Pennsylvania. Philadelphia’s first casino — the $355 million SugarHouse Casino — opened in September. The Foxwoods property is a vacant riverfront lot close to Interstate 95 interchanges. Pennsylvania legalized casino gambling in 2004. The first slot parlor opened in 2006, and the first casinos with table games opened this year.

New Jersey state Sen. Jeff Van Drew, D-Cape May, Cumberland, Atlantic, said the potential move illustrates the need to make Atlantic City a location that cannot be replicated elsewhere, one that’s cleaner, safer, brighter, with more dining and more shopping.

“It’s a stark reminder of the competitive nature of this business and of how important it is we make Atlantic City a very unique experience, because if we don’t we are going to be in deep trouble,” Van Drew said. “If we don’t do that, it’s a moot point whether it’s Harrah’s or somebody else.”

Atlantic City Mayor Lorenzo Langford said of the Harrah’s arrangement, “I really don’t know what that might mean,” declining further comment.

Republican Gov. Chris Christie’s office declined to comment on Tuesday.

Jane Pedreira, a gaming analyst for FBR Capital Markets & Co., said the move makes sense for Harrah’s.

“It allows them to hedge a little bit, to mitigate the declines they’ve had,” she said.

“I would say it’s very synergistic,” Pedreira said. They’ll have customers that will want to play in Atlantic City as well. I don’t feel it necessarily means they’re going to take Atlantic City customers and steer them in any direction, but I think it makes their customers more loyal if they have a choice.”

“I don’t think it’s necessarily a positive for Atlantic City, but I think it’s probably the least negative,” she said. “If you’re going to have an owner, might as well make it an owner with (four) properties.”

In Atlantic City, Harrah’s owns Bally’s, Caesars, Showboat and Harrah’s Resort.

“All of those (Pennsylvania) properties are just another form of convenience gaming, and Atlantic City needs to be much more than that,” said Assemblyman Vincent Polistina, R-Atlantic, who said he was confident Harrah’s would use Foxwoods to divert customers to Atlantic City for a richer experience.

Assemblyman John Amodeo, R-Atlantic, said another Philadelphia casino will create more competition.

“As a partner in Atlantic City they should try to concentrate on Atlantic City and not worry about developing in a neighboring state where that competition has targeted us. I have friends in Pennsylvania that still want to travel to our amenities ... there’s a world of difference.”

A group called Casino Free Philadelphia has been pushing the gaming board to revoke Foxwood’s license to block casino gambling in the Philadelphia.

“It’s been four years since they got the license. They haven’t been able to put together the financing,” said group spokesman Dan Hajdo.

Groundbreaking For New York City Slot Parlor Is Thursday

2010-10-26T07:40:00.004-04:00

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The groundbreaking for a facility that will hold the first 1,600 VLT slot machines at the Aqueduct Racetrack in Queens, N.Y., will be on Thursday.

Resorts World New York, as it will be known, will eventually grow to include about 4,500 VLT slot machines.

Resorts World is about 130 miles from the Mohegan Sun and will likely be the casino's next competitor since the first phase of the slot parlor is expected to be completed in May.

Genting New York LLC, was awarded a 30-year franchise during the summer to build and operate the slot parlor. Genting is a subsidiary of the Malaysian company that financed the building of Foxwoods casino.

Palmer City Council Presidents Says His Support For A Mohegan-Backed Casino Is His Personal Viewpoint, Not Speaking For City Council

2010-10-23T03:29:00.005-04:00

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This installment of The Tribe In The Media is an article in The Republican media outlet of Massachusetts concerning the Palmer Town Council President stressing that his support of a possible Mohegan-backed casino in Palmer reflects his personal viewpoint and that he is not speaking for the City Council.

Casino backer aims to clear air
Lori Stabile
The Republican
October 22, 2010

PALMER - It's no secret that Town Council president Paul E. Burns supports a casino opening in Palmer, but some people still apparently have a problem with him.

Burns read from a prepared statement at a recent Town Council meeting reiterating that his views on the casino are his own, and are not reflective of the council, which has not taken an official stand on the issue.

Because Burns has been such a proponent of Connecticut-based Mohegan Sun's plan to build a resort casino across from the Massachusetts Turnpike exit on Route 32, he also has opened himself to criticism - from people he said he bumps into at the store to his fellow councilors who have told him that it seems like he's speaking for them.

"I felt it was necessary," Burns said about making the public statement.

In the statement, Burns explained that he will continue to advocate for a casino and that he views it as a fight for jobs and economic development opportunities for the town. He also said he thinks it will provide a significant source of revenue "in a time of declining revenues in general."

"As an elected official, I feel advocating for jobs, development and revenue is an appropriate role," Burns said.

"Having said that, I know there are concerns on the part of some on this council and in the community that my statements and comments may be construed to imply the approval of the Town Council for this development. While I make it a point to state that I am only speaking for myself when I present my views on the issue, that statement is not always included in media coverage," he said.

Burns said he hopes that by making the public statement he finally will put the issue "to bed."

At-large Councilor Michael R. Magiera and District 4 Councilor Roger R. Duguay Jr. have said that they think Burns has been clear that his views were his own.

Burns is the only councilor, however, to regularly appear at Mohegan-related functions and send out press releases in support of the project. He also spoke at a gaming summit in Connecticut.

But he is not the only one who has publicly voiced his support either. In October 2009, Burns issued a press release saying Magiera, District 1 Councilor Philip J. Hebert and at-large councilor Karl S. Williams support the concept of a casino in Palmer. Hebert also has appeared at Mohegan functions and pro-casino rallies, but not as often as Burns.

James L. St. Amand, Northeast Realty's community liaison, said Burns as council president has every right to take a stand on the issue.

"When you're involved in politics you're always going to have people take a different position. He's done not only a fine job with the casino but a nice job on economic development just by letting people know that Palmer is available for development," St. Amand said.

Northeast Realty is leasing the property off Thorndike Street (Route 32) to Mohegan so it can build a casino, should casino gaming become legal in the commonwealth.

Kathleen C. Norbut, of Monson, past president of United to Stop Slots, had this to say about Burns and St. Amand. St. Amand also is vice-chairman of the School Committee: "Why have two local elected officials taken such strong positions for proposals that don't adequately protect the town when our wizened state senator and their equally astute state representative voted no?" Norbut said.

Norbut was referring to state Sen. Stephen M. Brewer, D-Barre, and Rep. Todd M. Smola, R-Palmer, who voted against the casino legislation that ultimately failed this summer.

Source:
By Lori Stabile, Casino backer aims to clear air, The Republican, Oct. 22, 2010, at: http://www.masslive.com/hampfrank/republican/index.ssf?/base/news-29/1287645793258670.xml&coll=1

Mohegan Sun At Pocono Downs Adds More Table Games, Generates Lower Table Game Revenue In September

2010-10-22T05:51:00.011-04:00

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Table game figures for the month of September were released by the Pennsylvania Gaming Control Board yesterday, which reflect lower table game revenues in September at the Mohegan Sun at Pocono Downs than the month of August while the number of table games on the casino's floor were increased from 72 to 84 tables.

In September, the amount lost by gamblers at the Tribe's Pennsylvania casino was $3.4 million, compared to $3.5 million lost by gamblers in August. The amount lost by gamblers is commonly referred to in the industry as the "win" or table game revenue. These figures do not take into account any expenses associated with running the games or the table game taxes paid to the state.

The following are the results for the month of September, in descending order of table game revenue. The number of table games at each casino is shown next to the name of each casino. Note that the Tribe's table game revenue was rounded off to $3.4 million in the above narrative.

Mount Airy and Sands Bethlehem are the Tribe's two closest competitors in Pennsylvania. A public suitability hearing will take place in November on a possible third close competitor, the Bushkill Group, which is seeking a Category 3 gaming license for a casino in the Pocono Mountain county of Monroe.

Parx Casino - 57 tables, $6,529,448
Harrah's - 99 tables, $5,326,848
The Rivers - 85 tables, $4,942,013
Sands Bethlehem - 89 tables, $4,876,562
Mount Airy - 72 tables, $4,038,919
Mohegan Sun at Pocono Downs - 84 tables, $3,366,195
Penn National - 54 tables, $2,725,799
Meadows - 66 tables, $2,485,586
Presque Isle - 48 tables, $1,708,391

Note: The Sugar House Casino in Philadelphia was not open for the full month of September. Sugar House opened in the last week of September and generated $866,366 on its 40 tables.

20th Annual Powwow At Warwick, R.I.'s Trudeau Center On Oct 23-24

2010-10-20T05:08:00.000-04:00

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The 20th annual powwow will be held at the Arthur Trudeau Memorial Center in Warwick, R.I. on October 23-24. The event will be held from 10 a.m. until 4 p.m. on both days. The host drums will be the Split Feather Singers and the Wolf Cry Singers.

The admission is free. The Arthur Trudeau Memorial Center is located at: 3445 Post Road, Warwick, R.I. Contact Ed Egan for information at 401-739-2700, ext. 278.

Akwesasne Mohawks Become Second Tribe In New York To Halt Casino Payments To State

2010-10-20T04:04:00.004-04:00

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The Akwesasne Mohawk Tribe said they are halting casino revenue sharing payments to the State of New York. The Tribe becomes the second tribe in the state to stop casino payments to the State of New York, following the Seneca Nation's refusal to send over $200 million in payments to the state, objecting to alleged violations of the Tribe's gaming exclusivity agreement on the part of the state.

The Tribe says that their refusal to pay the state has nothing to do with the controversy over taxing cigarettes sold on the reservation and was not done in coordination with the Seneca Nation's decision to halt payments to the state, according to an AP article.

Hamilton Elected To Tribal Council

2010-10-19T05:40:00.003-04:00

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The following installment of The Tribe In The Media is an article in today's The Day newspaper on the election of Jonathan Hamilton to the Mohegan Tribal Council and the subsequent election of Council officers.

Bozsum to again head Mohegan Tribal Council
By Brian Hallenbeck
The Day
October 19, 2009

Mohegan - Bruce "Two Dogs" Bozsum, chairman of the Mohegan Tribal Council from 2005 to 2009, was returned to the office Monday in a vote of the council's nine members.

The election of council officers, held in private, followed a special election in which tribal members chose Jonathan Hamilton to fill a vacancy on the council.

"It's a role that I feel very comfortable in," Bozsum said of the chairmanship in a phone interview later in the day. "I've had the position before, and I said it was something I was looking forward to doing again someday - and today is that day."

The council governs the Uncasville-based tribe and also oversees Mohegan Sun, the tribe's casino.

Bozsum, council vice chairman since 2009, had been acting chairman since August, when former Chairwoman Lynn Malerba resigned from the council to become the tribe's chief for life. Malerba had unseated Bozsum as chairman following the 2009 council elections.

The 50-year-old Bozsum, who is also the tribe's ceremonial pipe carrier, was first elected to the council to fill a vacancy in 2004. He acknowledged that he returns to the chairmanship at a difficult time.

"We're challenged every day with the economy the way it is," he said. "Our goal is to protect everything we have and to keep things going and alive. As a council, we're closely involved with the day-to-day operation of the casino. We make all the final decisions, whether it's marketing, financial dealings … every piece goes through the council."

Last Friday, for example, the council approved the design of a new restaurant scheduled to open at the casino in the spring.

Bozsum said the tribe remains "very committed" to pursuing a casino project in western Massachusetts, where it has optioned property for a smaller version of Mohegan Sun in the town of Palmer in the event Massachusetts approves expanded-gambling legislation.

"It's very important that we stay active," Bozsum said. "It's a very competitive landscape."

He said Massachusetts would be fortunate to have the tribe build a casino in the Bay State, given its "proven record" in operating Mohegan Sun and Mohegan Sun at Pocono Downs, a racetrack casino in Wilkes-Barre, Pa.

Mohegan Sun and its competition in Connecticut, Foxwoods Resort Casino, face the prospect of additional competition from New York state - where slot machines are being introduced at Aqueduct Racetrack in New York City and where Long Island's Shinnecock Indian Nation plans to pursue casinos - and from Rhode Island, where Twin River, a slots parlor in Lincoln, has pushed for the approval of table games.

Amid shrinking revenues and the need to refinance debt, Mohegan Sun laid off more than 350 employees last month.

Bozsum, who lives in Kingston, R.I., said no further cuts are planned at the casino or in tribal government, which was downsized in early 2009. He also noted that construction of the tribe's $74 million government and community center, halted amid the recession in 2009, has resumed. The project is being financed by federal loans.

Hamilton, the newly elected tribal councilor, emerged in balloting concluded Sunday. He and Mike Bozsum, Bruce Bozsum's brother, were vying for the seat vacated by Malerba, although Mike Bozsum said last week he had to withdraw as a candidate because of illness.

Hamilton, of Old Lyme, has been an editor in the tribe's publications office for nearly 12 years and is a graduate of the University of Massachusetts and the University of Connecticut School of Law, according to the tribe.

The other members of the tribal council are James Gessner Jr., vice chairman; Allison Johnson, recording secretary; Kathy Regan-Pyne, corresponding secretary; Thayne Hutchins Jr., treasurer; Mark Brown, ambassador; William Quidgeon Jr.; and Cheryl Todd.

Source:
Brain Hallenbeck, Bozsum to again head Mohegan Tribal Council, The Day, Oct. 19, 2009, at: http://www.theday.com/article/20101019/NWS01/310199891

Foxwoods September Slot Revenue Closes In On Mohegan Sun But At A Cost

2010-10-18T04:28:00.008-04:00

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Mohegan Sun has traditionally held a comfortable advantage over Foxwoods in the total share of money fed into slot machines in Connecticut but both casinos reported close to the same amount in slot revenues for the month of September.

On Friday, Foxwoods reported that its September slot machine revenue was $56 million while Mohegan Sun reported $57.6 million. A major reason for Foxwoods gain of market share in September was due to a promotion that offered customers the ability to get paid more in cash for the points they earned from gambling at Foxwoods.

Foxwoods also gave away substantially more free slot play to its customers, $7.6 million versus the $4.6 million in free play given away by Mohegan Sun in September.

Both Indian casinos pay the state 25 percent of their slot machine revenue and on a portion of the free slot play promotions when that promotion exceeds a certain monthly minimum amount.

Of course the entertainment lineup at the two facilities also plays a part in attracting customers.

Foxwoods September slot revenue reflected an increase of 2.1 percent over the same month last year while Mohegan Sun's slot revenue declined by about 3 percent compared to September 2009. Mohegan Sun's 6,400 slot machines paid out 92.14 percent of the total amount played on their machines while Foxwoods' 6,900 machines paid out 91.78 percent.

The promotion in September, in which players could were paid $1 in cash for every accumulated players' club point garnered from playing at the casino, reportedly drew a significant crowd to the casino, which helped Foxwoods take a 49 percent of September's total Connecticut slot market "win" compared to Mohegan Sun's 51 percent market share.

Mohegan Sun's September Slot Revenue Falls 3%, Foxwoods Slot Revenue Increase 2.1%

2010-10-15T14:45:00.001-04:00

Founder Of Mohegan Sun's WineFest Leaves Hartford Magazine

2010-10-15T06:25:00.003-04:00

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Michael J. Guinan, who founded the Mohegan Sun WineFest along with his former company (Marketing Resource Consultants), was let go yesterday from his position of co-publisher of the Hartford Magazine, according to the Hartford Courant.

The Mohegan Sun WineFest is run by a company related to the publisher of the Hartford Magazine, Life Publications, Inc. Guinan founded the Hartford Magazine in 2003 before selling it to Life Publications in 2007.

Source:
By Kenneth R. Gosselin, Guinan Fired As Co-Publisher Of Hartford Magazine, The Hartford Courant, Oct. 14, 2010, at: http://www.ctnow.com/business/hc-guinan-fired-1015-20101014,0,990855.story

Nevada Casino Revenue Increases 11.5% In August; Atlantic City Casino Gaming Revenue Declines 12% In September

2010-10-15T06:11:00.004-04:00

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Casino revenue in Nevada increased by 11.5 percent in August, with casinos on the Las Vegas Strip leading the state with a jump of 21 percent in its August revenues.

Casinos in Atlantic City, the nation's second largest gambling market behind Las Vegas, posted a decrease in September gambling revenue of 12 percent compared to the same month last year.

Atlantic City casino performance continues to suffer from new competition, the latest being the advent of table games in neighboring Pennsylvania and a new casino that opened three weeks ago in nearby Philadelphia, PA.

Nevada's reporting of casino figures lags behind the reporting of Atlantic City casinos by one month.

Credit Rating Of Seneca Tribe's Gaming Arm Cut Due To Uncertainty Over Dispute With State

2010-10-14T07:11:00.005-04:00

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The following installment of The Tribe In The Media is an October 11 article on a credit rating downgrade of Seneca Gaming Corporation, the gaming arm of the Seneca Indian Tribe, due to the uncertainty involved in a dispute between the Tribe and the State of New York.

Moody’s Cuts Seneca Gaming Rating as Tribe Disputes State Fee
Bloomberg News
By Sapna Maheshwari
October 11, 2010

Moody’s Investors Service downgraded Seneca Gaming Corp. and $500 million of its senior unsecured debt as the casino operator disputes New York state’s claim that it owes $214 million in overdue fees for its gambling business.

Moody’s cut the rating to B1 from Ba2 and said in a note today it’s reviewing the possibility of further cuts. The Seneca Nation American Indian tribe, which operates three casinos in western New York through Seneca Gaming, is withholding payments because it says the state violated an exclusivity agreement by introducing slot machines at racetracks and allowing gaming at private businesses.

The casinos are the “sole source of debt repayment” for Seneca Gaming’s $500 million of notes due in 2012, Moody’s said.

New York Governor David Paterson’s counsel Peter Kiernan sent a letter to Seneca President Barry E. Snyder Sr. on Oct. 6 saying the nation’s failure to remit revenue-sharing payments for the past two years constitutes a breach of contract and that the state is entitled to terminate an eight-year-old gaming compact. Kiernan gave the tribe 14 days to resolve the matter.

The disputed payments aren’t in a restricted account or being held by an independent third party so “there is no formal assurance that the Nation will have or make these funds available if it is determined that as part of any settlement, all or a portion of it has to be paid,” Moody’s analysts Zhenyu Zhao and Kendra Smith wrote.

Seneca Gaming exchanged $200 million of freely tradable, registered 7.25 percent senior notes due in 2012 for similar, privately placed securities in 2006, according to data compiled by Bloomberg. The notes were initially issued on May 23, 2005, according to a regulatory filing.

Bond Price

The debt traded at 10:22 a.m. at 99.25 cents on the dollar to yield 7.77 percent, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority.

“In the extreme event that a settlement is not reached and the Compact is terminated, SGC’s ability to operate a class III gaming facility would be in jeopardy,” Moody’s said.

The Seneca Nation occupies three New York reservations, including the City of Salamanca, about 60 miles (97 kilometers) south of Buffalo. More than 7,200 people are members of the tribe, according to its website.

Seneca Gaming operates two hotels in addition to the casinos. It employs almost 4,000 people.

Source:
By Sapna Maheshwari (with assistance from Brendan A. McGrail in New York. Editors: Sharon L. Lynch, Mitchell Martin), Bloomberg News, Oct. 11, 2010, at: http://www.bloomberg.com/news/2010-10-11/moody-s-cuts-seneca-gaming-rating-as-tribe-disputes-new-york-state-payment.html

Quinnipiac Poll Shows Blumenthal With Double-Digit Lead Over McMahon

2010-10-14T06:57:00.003-04:00

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Connecticut Attorney General Richard Blumenthal (D) is leading his Republican opponent, Linda McMahon, by 11 points in the race for the U.S. Senate seat now held by Sen. Chris Dodd, according to a Quinnipiac poll conducted between October 7 and October 11.

The poll surveyed about 1,100 likely voters and has a margin of error of about 3 percentage points.

The election will be held on Tuesday, November 2nd.

Columbus Statue In Providence Defaced

2010-10-13T04:56:00.005-04:00

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The Boston Globe reported that red paint was thrown on a Christopher Columbus statue in Providence, R.I., and a sign that read "murderer" was hung around the statue's waist.

The statue was seen in the defaced condition on Monday, which is recognized by many as the Colombus holiday and others as the day of the indigenous resistance.

According to the article, "A representative of the Sons of Italy (told) WPRO-AM that he would like the vandalism to be investigated as a hate crime against Italians."

Feather News Vacation - Will Return Oct. 12

2010-10-01T06:00:00.002-04:00

Mashpee Wampanoag Linguist Is Recipient Of $500,000 MacArthur Foundation Prize

2010-09-29T08:47:00.004-04:00

Feather Newsw

Mashpee Wampanoag Tribal member Jessie Little Doe Baird was one of 23 recipients to receive $500,000 from the MacArthur Foundation, awarded for her dedication toward reviving the Wampanoag language.

Recipients can do what they want with the money but Little Doe said she has a number of possible uses in mind, including donating some to the Mashpee's language department, creating software to teach the language and starting a language school devoted to the Mashpee language.

Little Doe, the program director of the Wôpanâak Language Reclamation Project, said that her 6-year-old daughter is the only child since the 1800's raised to speak the language since birth.

The language reclamation project is a collaborative effort that includes the Assonet, Mashpee, Aquinnah, and Herring Pond Wampanoag communities. Little Doe is also one of the principle authors of a 10,000-word Wampanoag-English dictionary.

Little Doe said, “The opportunity to hear what my fifth great-grandfather had to say, even though he’s gone, because he wrote it down, really is a powerful motivation."

See article by Laura Collins-Hughes "‘Genius grant’ a boost to linguist as she revives a native language," The Boston Globe, (Sept. 27, 20101), http://www.boston.com/lifestyle/articles/2010/09/28/reviving_wampanoag_earns_linguist_a_genius_grant/

Union Takes Issue With Mashantucket Pequot's Tribal Member Hiring Preference

2010-09-24T04:50:00.006-04:00

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The incompatibility of federal labor oversight at the Mashantucket Pequot's Foxwoods Casino might become apparent if the Tribe's federally-authorized Indian hiring preferences are questioned by the National Labor Relations Board.

The federal labor board held a hearing yesterday after the Mashantucket Pequot Tribe claimed that Local 371 of the United Food and Commercial Workers union disrupted a July union vote by Foxwoods beverage servers by "making inflammatory appeals to voters' racial and ethnic prejudice," according to an article in The Day newspaper.

Beverage servers, porters, lounge hosts and bartenders voted 190-145 to join the union. The Tribe asserts that the election was not a fair election.

Public reports of the Tribe's plans to halt stipend payments caused one Foxwoods employee to worry whether the Tribe's hiring preferences would mean that more tribal members will be hired at Foxwoods. That's the short version.

The union requested four years' worth of information on the amounts paid to Mashantucket tribal members but when labor board Judge Raymond Green said it was enough for him just to know that halting the payments could mean more members would apply for jobs at Foxwoods, the union withdrew the request.

"The Mashantucket Pequot Tribal and Native American Preference Law states that the tribe must provide preference first to tribal members, then to spouses of tribal members and then to other Native Americans," the article states.

The Tribe's attorney, Elizabeth Conway, said the federal labor board's exercise of jurisdiction on labor issues intrudes on the Tribe's sovereignty.

See article by Brian Hallenbeck, Foxwoods promotion preferences at issue, The Day, (Sept. 24, 2010), http://www.theday.com/article/20100924/BIZ02/309249831/1044

Mohegan Debt Placed On Review By Credit Agency

2010-09-22T06:10:00.004-04:00

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The Mohegan Tribal Gaming Authority has been place under review by Moody's Investors Service for a possible credit downgrade "due to its inability to reduce its debt."

Yesterday's announcement by Moody's came on the same day that the Pennsylvania Gaming Control Board reported the first full month of table game revenues for casinos in that state.

The Mohegan Sun at Pocono Downs' table games revenue for the month of August was about $3.5 million before taking out Pennsylvania state taxes.

Editorial: New England Gaming Summit At Mohegan Sun Begins Today, I Think

2010-09-20T05:15:00.012-04:00

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The New England Gaming Summit kicks off today at Mohegan Sun even though keynote addresses will be given tomorrow by Mashantucket Pequot Tribal Council chairman Rodney Butler and Mohegan Tribal Gaming Authority CEO Mitchell Etess.

What is the purpose of the summit?

How did Mohegan Sun and Foxwoods end up in their current situation given their casino monopoly in Connecticut? Did the two Indian casinos overextend themselves? Those topics are not likely to be on the agenda.

It will be interesting to see if anything new comes out of the gaming summit that we don't already know. That's unlikely in my view.

Maybe the gaming commission could spice up the event and raid the summit, you know ... like that famous Appalachian summit of mob bosses in the 1950's, and we can hear about gaming executives fleeing the scene, running into slot machines, hiding underneath craps tables, eluding process servers, problem gambling specialists grabbing handfuls of chips as they sprint past tables.

But instead, there will just be a lot of talk about more casinos in the near future and how the economic recovery is anything but that.

Speeches will probably cover the likelihood that Massachusetts will approve casinos this year or next year. That a new slot parlor will be in New York's Aqueduct Racetrack next year. That some states are holding gaming referenda. That Philadelphia's first casino will be opening this week. Oh, that's right, Philadelphia ain't New England. Neither is New York but they affect New England. Does that count? What happens if someone talks about states that aren't in New England? Maybe that could be the reason for a gaming commission raid on the event.

Speaking of Pennsylvania and mob bosses, did you know that the Pennsylvania Gaming Control Board does not ban mob members from the state's casinos? That's not really relevant to the gaming summit but I haven't been able to fit that into an article by itself. Yet. Just sayin'.

People will speak about problem gambling and other impacts of gambling on the community so maybe some real strides can be made on those topics.

The New England Gaming Summit is run by BNP Media and Spectrum Gaming Group and is the first New England Gaming Summit. Spectrum is from Joisey.

Note: This editorial is intended to be humorous. The Feather News in no way is inciting raids, comparing gaming executives and tribal officials to mob bosses, or encouraging problem gambling specialists to steal chips. We are not even positive if a gaming summit is taking place today so any actual event holding itself out as a New England Gaming Summit, run by BNP, with two keynote addresses scheduled for tomorrow is strictly coincidental.

Seattle Storm Win WNBA Championship

2010-09-18T08:02:00.002-04:00

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The Seattle Storm swept Atlanta in three games to win the WNBA Champpionship on Thursday.

Mohegan Sun Reports A 2.8% Decline In August Slot Revenue, Foxwoods Slot Revenue Falls By 6.3%

2010-09-15T16:16:00.007-04:00

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Connecticut's two Indian casinos reported declines in their slot machine revenue for the month of August compared to the same month last year.

Mohegan Sun reported $67 million in August slot revenue, a decrease of 2.8 percent compared to August 2009, while Foxwoods reported $59.2 milion, a decrease of 6.3 percent.

The amount of free slot play, given by both casinos to customers as an incentive to visit their properties, is not yet available for August.

Both casinos pay the State of Connecticut 25 percent of their slot revenues in exchange for their casino monopoly in Connecticut.

The Mohegan Sun at Pocono Downs reported a 0.7% decline in slot machine revenue in August when compared to August 2009. Table game figures for Pocono Downs for the month of August, the first full month of table games in Pennsylvania, has not yet been reported.

The Mohegan Tribal Gaming Authority reported to the Securities and Exchange Commission today that post-employment severance charges as a result of eliminating 475 employee positions, a move that was announced yesterday, is estimated at $8 million to $10 milion and will largely affect the fourth quarter that ends on September 30, 2010.

MOHEGAN SUN TO CUT 5% OF EMPLOYEE POSITIONS, CLOSE SUNBURST BUFFET AND OTHER FOOD OUTLETS

2010-09-14T17:56:00.008-04:00

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The Day newspaper's Brian Hallenbeck is reporting this afternoon that the Mohegan Sun will pare its workforce by 475 positions, close the Sunburst Buffet, "a snack bar in its race book and two food-court outlets that will reopen under third-party management."

The news comes two weeks before the end of the Mohegan Tribal Gaming Authority's fiscal year and hours before tomorrow's release of August slot revenue figures. The end of the gaming authority's fiscal year is likely one reason for the timing of the announcement.

Last quarter the gaming authority reported an approximately 50 percent decline in its three-month profits so if the quarter that ends in two weeks isn't projected to show much improvement, the bankers and analysts will absolutely want to see proactive moves taken by casino management to address the sliding profits.

Yesterday's final approval on what will become New York City's first mega-slot parlor, to be located at Aqueduct Racetrack in Queens, N.Y., is not good news for Mohegan Sun.

Mitchell Etess, Mohegan Sun’s president and chief executive officer, said that 120 employees whose jobs were being cut would be transferred to other positions. Out of the 475 positions to be eliminated, 200 are in the food and beverage department and 75 positions are at the level of manager or above.

"The food outlets closing include the Sunburst Buffet, Chief’s Bagels, Subs and Sweets and Woodland Wok," according to the article.

The 475 positions represent about 5 percent of Mohegan Sun's 9,000 employees.

New York City's First Slot Parlor Gets Final Approval

2010-09-14T04:09:00.002-04:00

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New York State comptroller Thomas DiNapoli signed off yesterday on the 30-year franchise contract to operate what is destined to become a 4,500-VLT slot parlor at the Aqueduct Racetrack in Queens, N.Y.

Genting New York, LLC, was chosen during the summer to build and operate the slot parlor after three previous rounds of bidding were voided. The state initially approved slot machines at state racetracks in 2001 and the Aqueduct Racetrack will be the last of those racetracks to open a slot parlor. The Mohegan Tribal Gaming Authority partnered with Australian racing executives to form a group that was previously rejected in one of the rounds of bidding for the franchise.

Aqueduct Racetrack is about 130 miles from Mohegan Sun and is likely to become the casino's next competitor for slot customers.

Public statements made by Genting indicate that they expect to open the first phase of the slot parlor with 1,700 video lottery terminal machines by next May, possibly earlier. All that remains to seal the deal is for Genting to pay the state its upfront fee of $380 million.

Genting is a subsidiary of the Malaysian company that financed the building of Foxwoods casino.

Atlantic City Casino Revenue Falls By About 11% In August Amid Pennsylvania's Table Games Debut

2010-09-14T04:08:00.002-04:00

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The first full month of table games at Pennsylvania's casinos certainly affected the casinos in the neighboring state of New Jersey.

The 11 casinos in Atlantic City, N.J., reported a decline of 11.3 percent in August revenues when compared to the same month last year. The 11 casinos reported $347.5 million in August. Slot revenue was $245.1 million, a decline of 11.3 percent from the same period last year while table game revenue was $102.4 million, a decrease of 11.4 percent.

Pennsylvania's state gaming board has yet to release table game revenues for the month of August.

Slot revenues for the month of August have, however, been released. Mohegan Sun at Pocono Downs' slot revenues for August decreased by 0.7 percent compared to August 2009. Pocono Downs' two closest competitors reported mixed results: Sands Bethlehem Casino reported an increase of 11 percent in August slot revenue while Mount Airy Casino reported a decrease of 4.8 percent.

Photo: World Trade Center On September 11, 2001

2010-09-13T05:55:00.002-04:00

Photo by Ken Davison of lower Manhattan taken from Liberty State Park on the morning of 911.
Copywrite. All rights reserved. This image may not be published, broadcast or redistributed.

Mickey Brown Resigns As Empire Resorts Chairman

2010-09-13T05:42:00.007-04:00

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Michael "Mickey" Brown resigned from his position of chairman of Empire Resorts due to health concerns, according to New York's Times Standard newspaper.

Brown previously ran Foxwoods when it first opened in 1992 until 1997 and was appointed as chairman of Empire Resorts' board of directors last year when Kien Huat Realty III acquired a controlling interest in the company. Brown worked in law enforcement in New Jersy prior to working for the Connecticut Indian casino.

Brown was also identified as a key person in Genting New York, LLC, the company that is planning to build and run the slot parlor at Aqueduct Racetrack in Queens, N.Y. Genting won the bid and is expecting the state controller to sign off on the contract this week, representing the last layer of approval requrired to seal the contract for the Aqueduct gaming franchise.

Brown reportedly underwent a triple by-pass operation last month. We wish him a speedy recovery.

WNBA's Championship Series To Begin Today

2010-09-12T02:41:00.007-04:00

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Updated with footnote

Atlanta will face Seattle today at 3 p.m. Eastern Standard Time in the first game of the WNBA basketball championship series. The game will be televised on ABC.

The next game of the best-of-five series will be on Tuesday night at 9 p.m. EST and will be aired on ESPN2.

The Connecticut Sun, owned by the Mohegan Tribal Gaming Authority, did not make the playoffs this year.

Note: Seattle won the first game on Sunday by a score of 79-77.

Former Mohegan Tribal Councilor Roberta Harris-Payne Passes On

2010-09-10T06:57:00.003-04:00

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Roberta Harris-Payne, 60, passed away on Saturday, September 4. Roberta previously served as the corresponding secretary on the tribal councilor and as a development coordinator for the Tribe. She will be missed.

Mohegan's Don Chapman Is Lead Story In "Indian Country Today" Edition

2010-09-09T05:35:00.004-04:00

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I clicked on Indian Country Today, well, today, and saw that the lead story was on Don Chapman, a member of the Mohegan Tribe and the senior advisor on Native American affairs to U.S. Commerce Secretary Gary Locke. Today's installment of the Tribe In The Media is this story:

My business is your business
Conference spotlights ins and outs of Indian entrepreneurship
By Rob Capriccioso
September 8, 2010

WASHINGTON – If the MEDweek minority business conference had a slogan, it might well be “my business is your business” – for the Indian and non-Indian participants.

The conference, hosted by an office of the Department of Commerce the week of Aug. 23, is an annual event catering to minority business owners nationwide. The goal has long been to gather them to support their needs, help them network, and hopefully to strengthen their economic endeavors. Since the federal government often funds a substantial chunk of minority projects, it’s seen as a wise investment.

Throughout the American business and government sectors, there’s long been plenty of lip service paid to getting Indian-owned businesses in on the minority business action, but this year’s gathering, held in downtown Washington at the Omni Shoreham Hotel, went beyond the words.

Attendees said the event offered meaningful engagement with Indian businesses and showcased unique opportunities for interaction with them.

Native speakers and information was presented throughout the five-day conference, and an entire track with unique discussions and panels was devoted to Indian topics, like special bonding issues and unique challenges to partnering with reservation-based projects.

One of the key organizers of the Indian-themed components was Don Chapman, the Mohegan senior advisor on Native American affairs for Commerce Secretary Gary Locke. In that capacity, he is responsible for leading the Office of Native American Affairs and for coordinating tribal consultation policy and Native American economic development issues. The position, which he entered last fall, is new in the agency.

Chapman said this year’s Minority Business Development Agency conference featured the greatest Indian country participation in the history of the event.

“One of my first initiatives after arriving here at Commerce back in October 2009 was to more closely integrate MBDA with NCAIED (the National Center for American Indian Enterprise Development) and establish a closer collaboration between the two entities on behalf of tribally-owned and individually-owned Native American businesses. The two have parallel missions, goals and objectives.”

Increased Native inclusion is important, Chapman said, because a great deal of non-Native businesses do not understand the unique federal contracting status of Native-owned companies and many times are unaware of the level of sophistication and bandwidth that Native firms have today.

“MEDWeek 2010 really provided significant insight to many minority-owned businesses to not only get a better understanding of Native business capabilities, but to also meet and strategize potential areas of business, collaboration, and potential mutual customers together,” Chapman said.

Continuing the good will between Commerce and the National Center, Margo Gray-Proctor, chairwoman of the organization’s board of directors, said a $100 discount would be offered to business leaders who attended MEDWeek and go on to attend the 2011 Reservation Economic Summit. The annual gathering features a large audience of Indian business networkers.

“We need incentives for us all to get together. When we help each other, we help us all,” Gray-Proctor said, calling her offer “the chairwoman’s special.”

The goal for the next RES is to expand the number of attendees from 2,700 this year to 5,000 in 2011, said Eric Trevan, NCAIED president and CEO.

Kent Paul, CEO of the AMERIND risk management organization, gave a real world example of a new program being planned to strengthen minority relations. He said his organization is “on the cusp” of launching an alternative bonding program that can better meet some of the needs of minority businesspeople who want to work with Indian country. He estimated that the new program would launch within the next nine months.

Others spent a great deal of time discussing ways for companies to leverage their contracting opportunities with tribes and Indian businesses.

One point many Indian attendees hammered home was that there are many partnership opportunities to be made with tribes, but cultural respect is crucial for success.

“You might not have to worry about so many cultural issues when doing business with other entities,” said Gray-Proctor, during one of the event’s sessions. “But each tribe has its own unique sovereign nation structure that will help determine how you should interact.”

She offered an example of a time she was in a meeting with a matriarchal tribe where presenters were only addressing a male tribal staffer. The female leaders ended up doing business
with someone else.

“They didn’t know their culture, so it cost them.”

Heather Dawn Thompson, a partner with the Sonnenschein Nath & Rosenthal law firm and a panelist at the event, explained the situation another way: “Imagine you are traveling to a foreign country when working with Indian country, and your relationships will go more smoothly. … It’s a very different community to break into.”

She noted that Indian country in general tends to be mistrustful of working with outsiders given the many times tribes and Native individuals have been abused.

Trevan said he didn’t want any non-Indian businesspeople to leave the conference with the idea that Indian country is closed to relationship-building, it’s just in a unique situation, given that tribes are governments, so special rules exist in many cases.

“Indian country is definitely open for business. Now let’s make it happen.”

Massachusetts Governor Asks Legislators To Return And Approve Gambling Bill

2010-09-07T04:52:00.002-04:00

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This installment of the Tribes In The Media is a Boston Herald Article from today on Massachusetts Governor Deval Patrick urging state legislators to go into a special session and approve a gambling bill.

Gov. Deval Patrick prods lawmakers to rethink casino stance
By Richard Weir
The Boston Herald
September 7, 2010

Gov. Deval Patrick yesterday urged state lawmakers to return to session and resuscitate a near dead-and-buried casino bill in an effort to spur job creation.

“We’ve been there for the people who want and need the jobs that can come from resort casinos. The Legislature should come back and finish this right now and let’s get it done,” Patrick told several hundred state political and union leaders gathered at the Park Plaza for the Greater Boston Labor Council’s annual Labor Day breakfast.

But the odds that state pols will return to Beacon Hill to end the stalemate that killed the bill are slim at best. In July, they approved three resort casinos and slots at two racetracks. Patrick stripped the so-called racinos from the measure and tossed it back to the Legislature, whose members packed their bags before resolving whether to override or approve the governor’s changes to the bill.

Senate President Therese Murray has said that two-thirds of the Senate will not support coming in to take up Patrick’s nixing of slot machines at racetracks.

“Nothing’s changed,” said Murray spokesman Dave Falcone. “We don’t have the votes to come back into session.”

Seth Gitell, spokesman for House Speaker Robert DeLeo, said that while the “speaker has not taken it off the table,” the issue remains moot.

“It requires two-thirds of both chambers to come back into session. The speaker has indicated that the Senate is not coming back,” he said.

By revising the Legislature’s casino bill instead of approving it, Patrick risked alienating organized labor groups who counted on the gambling bill to put its members back to work.

Patrick yesterday tried to rebuild ties to the labor groups, saying, “I have been there for you,” but he had a caveat: “I know we don’t agree on everything. And some of you are so mad about these disagreements that you will support someone else or sit the race out. But we have shown you that I do not, and will not, take you for granted. And I think you had better be careful not to take me for granted either.”

Foxwoods-Sponsored New York Liberty Advance To WNBA Conference Finals

2010-09-07T03:59:00.003-04:00

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The Foxwoods-sponsored New York Liberty basketball team advanced to the Eastern Conference finals and faces Atlanta in a best-of-seven series, the winner of which will go on to the WNBA championship series against the winner of the Western Conference finals.

New York will play its second game against Atlanta tonight. Atlanta won the first game in the series by a score of 81-75.

In the Western Conference finals, Seattle won its first two games against Phoenix.

The Connecticut Sun (15-15), owned by the Mohegan Tribal Gaming Authority, did not make the playoffs.

Hurricane Earl Expected To Stay Out To Sea As It Passes By New England Tonight; Many Local Schools Plan To Close Early Today

2010-09-03T04:59:00.007-04:00

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Hurricane Earl was well off the coast of the Carolinas this morning and losing its strength as it travels in a north-northeasterly path off the East Coast in the Atlantic Ocean.

Many local schools in Southeastern Connecticut will be closing early today while the the hurricane is predicted to remain out at sea due east of Connecticut sometime tonight. As of early this morning, the hurricane has weakened to a Category 2 and should weaken further to a category 1.

Massachusetts and Rhode Island announced a state of emergency in anticipation of the storm's passing.

Connecticut will likely get some rain and high winds. In Massachusetts, the effect of the huricane on the outer Cape, jutting into the Atlantic Ocean, and the island of Nantucket could be much worse.

Federal Judge Temporarily Blocks Cigarette Tax Collection For Two Tribes In N.Y.

2010-09-01T07:02:00.002-04:00

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This installment of The Tribes In The Media is an article by The Post Standard reporting on New York state's implementation of a cigarette tax collection policy, which takes place today.

Federal judge blocks implementation of cigarette tax for two western NY tribes
By Glenn Coin
September 1, 2010
The Post Standard

Syracuse, NY - The state will move ahead Wednesday to collect taxes on cigarettes sold by most Indian tribes, including some in Central New York.

A federal judge in Buffalo on Tuesday halted enforcement on cigarettes sold by the Cayuga and Seneca tribes, but tax officials said that ruling does not apply to the state’s seven other tribes. “The ruling specifically mentions only the Seneca and Cayuga,” said Brad Maione, spokesman for the state Department of Taxation and Finance. “The enforcement plan moves forward.”

As of today, wholesalers who sell cigarettes to Indian retailers must pay the $4.35-per-pack tax upfront and then collect it from the tribes.

The Oneidas and the Onondagas have said they won’t pay the taxes and, instead, would stop selling name-brand cigarettes in favor of Indian-made brands. The Seneca brand, made by Seneca Indians, is already the biggest seller at the Onondaga Nation smoke shop, said Tadodaho Sid Hill. Senecas sell for $30 a carton at the Onondaga smoke shop, compared with $59 for a carton of Marlboros.

Smokers might not notice the lack of name brands immediately, because tribes can still sell tax-free whatever inventory they have on hand. When they place new orders with wholesalers, however, the wholesalers must pay the tax and affix state stamps to each pack.

Under federal law, Indians can buy cigarettes tax-free on reservations, but states can require non-Indians to pay the tax. The tribes argued that the regulations that provided for tax-free cigarettes for tribal members were cumbersome and would impose excessive burdens, turning them into tax-collectors for the state.

The Cayugas argued in court that the regulations would crush the tribe’s cigarette business, its only source of revenue, and “make it impossible for the nation to provide vital tribal services.”

U.S. District Court Richard Arcara agreed Tuesday afternoon to delay enforcement of the law for the Seneca and Cayuga tribes for up to two weeks and possibly longer. Arcara will meet with lawyers next week to schedule a hearing on whether to issue a longer injunction.

The court ruling was a victory for the two Indian nations, which had filed suit last month. “Judge Arcara’s ruling sets the stage for an orderly and thoughtful legal review of what we believe is an illegal, ill-conceived attempt by New York state to use (tribes) as piggy banks to balance the state budget,” said J.C. Seneca, a Seneca Nation of Indians tribal councilor, in a prepared statement.

The state’s convenience store owners, however, saw the ruling as another blow to their cigarette sales, already down following the July 1 tax hike that made New York’s cigarette taxes the highest in the nation.

“We’ve lost 25 to 45 percent of our sales, and our customer counts are way down,” said Jim Calvin, president of the New York Association of Convenience Stores. “We were expecting some relief and those customers returning from the reservations tomorrow, and now that’s not going to happen.”

State officials had estimated the tax would bring in $150 million this year, although other groups had estimated as much as $1 billion would be collected. Indian nation stores sold about 24 million cartons of cigarettes –— 240 million packs — in 2009, according to state records. The Seneca sold about half those cigarettes.

Tuesday’s two-page ruling capped a flurry of activity as the collection deadline drew near:

Monday afternoon, a state Supreme Court judge in Erie County lifted an injunction issued last year that had prevented the state from enforcing the taxes. Monday night, the Seneca nation voted to withhold a casino payment to New York, claiming the state has violated terms of a 2001 gambling agreement. The tribe has paid more than $700 million in slot-machine fees to the state. Tuesday afternoon, even as the federal court hearing was under way, the state tax department issued a memo saying collection would start today.

A lawyer for the Onondaga Nation, Joe Heath, said tribes had been meeting with state officials to try to work out an agreement but had gotten nowhere. “It will take a lot more work and a lot more time,” Heath said.

The Oneida Indian Nation announced last week it would move its cigarette manufacturing plant from Western New York to Oneida to put its own brands out of reach of state tax collectors.

Mohegan Council Of Elders Election Results

2010-09-01T04:46:00.004-04:00

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It has been reported that an election for three seats on the Mohegan Council of Elders took place, which resulted in the re-election of Marie Pineault (currently the vice-chair of the elder's council) and Robert Soper Sr. (currently the chair of the elder's council) and the election of Bill Gucfa (currently working with the Tribe's Public Safety Department). Gucfa will occupy the seat currently held by Councilor Maynard Strickland, who will be stepping down in October.

The terms for the remaining four members on the seven-member Council of Elders expire in 2012.

The Tribes In The Media: Great Balls Of Fire

2010-08-31T05:57:00.005-04:00

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The following Buffalo News article captures the state of affairs in upstate New York that is characerized largely by the pending tax collection on cigarettes sold on the Seneca reservation. The Senecas agreed Monday to stop paying the state its slice of casino revenues, court action will take place today in an attempt to halt the cigarette tax collections and attempts are being made to stem any violence when tax collection take effect Wednesday. All of this is taking place against the backdrop of a suspicious attempt to derail a passenger train traveling over Seneca land last month.

State lawyers win another round in cigarette tax battle
Collections by state to start Wednesday unless tribes obtain injunction in federal Dan Herbeck
The Buffalo News
August 30 2010

The stakes are high, and the clock is ticking.

Lawyers for the Seneca Nation and other Indian tribes have one more day to convince a judge that the state's efforts to tax millions of dollars in Native American cigarette sales to non-Indians are illegal.

Lawyers for New York State won the latest round in the legal fight Monday. State Supreme Court Justice Donna M. Siwek lifted two injunctions previously issued by another judge, which had prevented the state from taxing any Native American cigarette sales.

With tax collections scheduled to begin Wednesday, the Seneca Nation and other Indian tribes will get another chance to fight the law in federal court tuethis afternoon.

They will ask U.S. District Judge Richard J. Arcara to issue an injunction delaying the implementation of the new law, which could ignite some violent demonstrations by angry Senecas.

"For us, these are grave circumstances," said Robert Odawi Porter, a Seneca Nation lawyer and tribal presidential candidate who attended Monday's proceedings. "For the first time in decades, the state is making a real effort to put an embargo on our tobacco economy."

Meanwhile, Seneca tribal leaders voted Monday night to withhold future casino slot machine revenue payments to New York State, contending that the state has violated terms of its 2001 Gaming Compact with the nation.

"We have run out of patience. We are tired of the ongoing process of the state violating more of our treaty rights, our sovereign rights and the Gaming Compact," Tribal Council Co-Chairman J.C. Seneca said.

In a ruling issued late Monday afternoon on the cigarette issue, Siwek said she agreed with state lawyers who argued that the state acted legally in enacting a new tax-collection law earlier this year.

"I find that the state has met its burden," Siwek said, reading her order from the bench of her downtown Buffalo courtroom.

Lawyers for the Seneca Nation and two businessmen had argued against implementation of the law. Today they hope to have better success in Arcara's court.

The legal fight is held against a backdrop of deep concern over the possibility of violence by Senecas who feel that their livelihoods are being unfairly threatened by the state.

Some Seneca officials, as well as a number of state and federal law enforcement officials, have expressed concern about the possibility of violent and destructive protests if the law goes into effect as planned.

Seneca President Barry E. Snyder Sr. issued a statement saying tribal leaders met with federal, state and local law enforcement officials last week in hopes of maintaining the peace.

"Everyone's top goal is the public safety of our community and the surrounding communities," Snyder said. "There have been many statements made about the potential for violence tied to the tobacco tax situation, even by New York State's governor. As I have said several times, the Seneca Nation is committed to working through this in an orderly, peaceful process."

Porter said his worry is that some Senecas may disregard the advice of their leaders and engage in destructive protests.

"Our president is doing everything he can to prevent any kind of conflict and disruption, but he doesn't control every Seneca," Porter said. "The shocking thing is that Gov. [David A.] Paterson made a statement last week where he seemed to accept violence and death as a consequence of enforcing this state tax law."

Police told The Buffalo News they are concerned about the possibility of train derailments and forced closings of the Thruway on Seneca land if enforcement of the tax law is not delayed in state or federal court.

"I'm concerned about the violence. There could be people dying on both sides. That's how upset people are," said Sue Lindgren, a Seneca who attended Monday's legal arguments in Siwek's courtroom.

The FBI and the State Police already are investigating the attempted derailment July 5 of a passenger train carrying 354 people on Seneca land in the Town of Irving. The train was moving at 70 mph and took a mile to stop after crashing into railroad ties that were placed on the tracks.

Big money and high emotions are in play. Monday, Andrew D. Bing of the State Attorney General's Office estimated that the state could collect $110 million in cigarette taxes from Native American businesses in the first six months after the law takes effect.

Paterson has vowed to collect $4.35 in state taxes for each pack of cigarettes sold by Indian businesses to non-Native Americans. Traditionally, such sales have not been taxed.

Seneca leaders insist that the taxation would violate Indian treaties dating from 1794, but state lawyers dispute this.

Lawyers for the Senecas and other tribes tried to make their case before Arcara last week. The federal judge reserved judgment Friday but said he would reconsider the matter this week.

During Monday's arguments, a former federal magistrate judge, Carol E. Heckman, represented the Seneca Nation, and a former city judge, Margaret A. Murphy, represented two tobacco businesses that would be affected by the law. Bing argued the state's case.

In addition to the proceedings before Arcara, Murphy said she plans to appeal Siwek's ruling to the state appellate court.

U.S. Attorney William J. Hochul Jr. confirmed that he and other law enforcement officials -- including representatives of the FBI and the State Police Ñ met with Snyder and other Seneca leaders last week.

"The Senecas told us that their goal is to keep the peace," Hochul said, "and that is our goal, too."

Meanwhile, what the state gains with one hand it might lose in another.

The Seneca vote to withhold future exclusivity payments -- a percentage of slot machine revenue from the Buffalo Creek, Seneca Allegany and Seneca Niagara casinos -- is a reaction to the cigarette tax plan and to continuing state efforts to move into the slot machine game, said Seneca, the Tribal Council co-chairman.

Seneca referred to the Hamburg Casino at the Fairgrounds, Batavia Downs Casino and Finger Lakes Gaming and Racetrack as examples of state breaches of the compact.

Seneca Gaming Corp. has paid the state $707.2 million in "slot fees" on its casinos, including $58.2 million in 2009 and $32 million this year through June.

"Timing is everything," Seneca said. "In regards to the gaming issue, we've been pretty outraged for a while now, as far as the way the state has expanded its gaming operations into casinos. The games being played there are mirroring what we do in our casino operations. We've been concerned and outraged about this for a long time and with the recent events, I think everything is coming to a head."

Buffalo News Staff Reporter Charlie Specht contributed to this report.

Mohegans In Talks To Purchase Land In Massachusetts

2010-08-30T06:27:00.004-04:00

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Paul Brody, the vice president of development for the Mohegan Tribal Gaming Authority, told The Republican media outlet last week that the Tribe is in discussions to purchase the 150-acre Palmer, MA., site that it is currently leasing.

According the casino bill that is now on hold in Massachusetts, gaming companies must own the land where they will propose to locate their casinos.

Two years ago, the Mohegan gaming authority entered into a 50-year lease on the site with Northeast Realty, with an option to extend it to 99 years.

"We're in conversations now with (Northeast's manager Leon Dragone) and his group about how we'll address it. It's clear we're going to have to own it. It's clear that unless there's a change of heart in Boston that the operator has to own the property," said Paul I. Brody told The Republican.

"We're too far into this," Brody said.

Should Massachusetts ever pass new gaming legislation, the Mohegans intend to propose a $600 million casino resort but that number could change.

A casino bill was expected to be approved in Massachusetts over the summer but got hung up over how many slot parlors should be included in the plan.

The Massachusetts Senate and House agreed on three casinos and two slot parlors but Governor Deval Patrick was not willing to agree to any more than one slot parlor to augment the three casinos. Gov. Patrick refused to sign the bill and asked the two legislative bodies to reconvene and change their proposed plan.

So far there has been no word on whether the Senate and House will take up the issue in a special session. If they do not reconvene then discussions on a revised gambling bill will have to wait until the new legislative session begins in January.

In the meantime, the two federally recognized tribes in Massachusetts, the Mashpee Wampanoag and the Aquinnah Wampanoag, are trying to figure out how they can open up casinos under federal Indian gaming laws.

Fears Of Death Loom Over Collection Of Cigarette Tax On NY Indian Reservations This Week

2010-08-28T14:27:00.003-04:00

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The New York Post ran a story yesterday entitled, "Tribal warfare looms over push for cig tax" and mainly quotes New York Governor David Paterson on a law that takes effect this Wednesday requiring the state to collect taxes on cigarettes that are sold on the Indian reservations in the state.

"This is a very dangerous situation," Gov. Paterson told WOR-AM radio station. "There is a, I think, high alert. The State Police tells us over and over again that there could be violence and death as a result of some of the measures we're taking."

The tribes say that they are not required by treaties to collect sales tax on behalf of the state and any attempt to collect taxes is an affrot to their sovereignty.

The Post says "Gov. Paterson is on the warpath" and says he is committed to collecting the taxes which, technically, are to be collected from the wholesalers except for limited amounts of cigarettes that will continue to remain tax-free for tribal members' personal use.

Some estimates suuggest that 1 in every 3 packs of cigarettes sold in the state of New York are sold on the Indian reservations. The reason for the new law is simple: the state wants the tax dollars to help offset budget shortfalls.

In 1997, when the state tried to collect the taxes, protesters shut down a section of the New York Thruway.

"There will be quite an uprising and protest to this, but I am going to maintain this policy," Gov. Paterson said.

New York City's Mayor Bloomberg said two weeks ago that Paterson should put on a cowboy hat and get a shotgun when they start to collect the taxes. Bloomberg said that would make a great video clip. Paterson responsed last week by saying some people "may just not understand how serious the situation is," and said he is hoping for a peaceful resolution.

"I love the mayor, but this is a very dangerous situation," Paterson said.

According to the Post, "Bloomberg spokesman Stu Loeser shrugged off Paterson's remarks, saying, 'The governor said the state will start collecting the taxes next week, and we think that's great.'"

Pennsylvania Releases Table Game Revenue Figures For First Time

2010-08-27T04:40:00.005-04:00

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Pennsylvania's state gaming regulatory body released their first table game report yesterday which shows revenue earned by the nine casinos in their first (partial) month of hosting table games.

The list below is in order of the casino with the highest table game revenues to the lowest. The number of table games at each casino are noted in parentheses after the casino's name. Mohegan Sun at Pocono Downs was at the bottom of the list, attributed to an "unlucky month" according to an official.

Note that these figures are before deducting the table game tax, which is 16 percent ($202,000 for Mohegan's Pocono Downs casino), and before deducting any casino expenses associated with operating the table games. In other words, these amounts are basically the amounts the customers lost to the casino playing table games.

The Rivers (85) 3,052,531
Parx (57) 2,328,599
Mount Airy (72) 2,028,827
Harrah's (99) 1,972,181
Meadows (62) 1,911,064
Penn National (50) 1,830,558
Sands Bethlehem (89) 1,655,357
Presque Isle (48) 1,499,569
Mohegan Sun (62) 1,260,653

Note: Mohegan Sun began its table games on July 13, 2010.

Mashantucket Pequots To Hold Green Corn Festival Friday-Sunday At MGM Grand

2010-08-26T08:50:00.003-04:00

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The Mashantucket Pequot Tribe will hold its Green Corn Powwow this weekend on the Grand Terrace of the MGM Grand at Foxwoods. Admission is free.

The event begins on Friday when a sunrise ceremony will happen at 6 a.m. Traditional eastern woodland dances will take place on Friday at 11 a.m. A sculpture by Bruce La Fontaine will be dedicated at noon.

Grand entry will be on Saturday and Sunday at 1 p.m. Dance competitions on these days will last until 9 p.m.

Connecticut Sun Loses Final Game Of Season To Foxwoods-sponsored New York 88-87

2010-08-24T04:22:00.005-04:00

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The Connecticut Sun basketball team lost the season's last game to the Foxwoods-sponsored New York Liberty by a score of 88-87.

The Sun (17-17) did not make the playoffs, which are set to begin this week. Wednesday's playoff games will feature Atlanta vs. Washington and Los Angeles vs. Seattle. Thursday's games are Indiana vs. New York and San Antonio vs. Phoenix.

The WNBA Connecticut Sun is owned by the Mohegan Tribal Gaming Authority.

Mohegan Wigwam Festival This Weekend

2010-08-19T11:53:00.003-04:00

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The Mohegan Tribe will hold its wigwam powwow event this weekend - on Saturday and Sunday from 10 a.m. until 7 p.m. at Fort Shantok in Uncasville, CT. Admission is free to the public and grand entry is at noon on both days.

This year, the Mohegan Veterans will have an information booth for all veterans and their families to discuss veteran benefits and to collect and archive oral stories from veterans as part of Project Storykeeper. Veterans can stop by the booth or contact Bill Donehey at wdonehey@yahoo.com or (860) 861-6137.

To attend the wigwam festival, the public is asked to park at the Mohegan Sun Casino and take a bus from the casino's bus lobby or the Thamesview garage to Fort Shantok.