vpFREE2 Forums

More trouble coming for South Lake Tahoe Casinos

#1

The new Red Hawk Casino construction is coming along, and they expect
to open by the end of this year.

This new casino is located at Shingle Springs Ca. right off hwy 50. I
am going to guess that more than half of all gamblers (myself included)
pass by this casino on the way to the south shore casinos. Those of us
that drive in the winter time to the lake know the hassles of slippery
roads. They are located below the snow line, and less than an hour
drive from Sacramento.

This is no small casino. They will have 2,000 slots, 6 restaurants and
75 table games.

Here is a link for additional information: http://www.redhawkcasino.com

The webcamera is pretty good- check out the time lapse feature.

Remember what Thunder Valley Casino did to Reno?

#2

No, what did Thunder Valley Casino do to Reno?

···

On Tue, Jun 3, 2008 at 2:20 PM, hamstockman <ab6pq@aol.com> wrote:

This is no small casino. They will have 2,000 slots, 6 restaurants and
75 table games.

Remember what Thunder Valley Casino did to Reno?

[Non-text portions of this message have been removed]

#3

As I recall Thunder Vally Casino opened in June 2003. When they opened,
the casinos in Reno felt an immediate impact. No only did visitor
counts go way down, but so did profits. The first earnings quarter
after Thunder Valley opened- Boomtowns profits down 10%, Silver Legacy
down 44%, Circus Circus down 56% and some of the weaker casinos such as
the Golden Phoenix just closed.

···

--- In vpFREE_Reno@yahoogroups.com, gmblnmn <nktalbrch@...> wrote:

No, what did Thunder Valley Casino do to Reno?

#4

This is no small casino. They will have 2,000 slots, 6 restaurants

and 75 table games.

Remember what Thunder Valley Casino did to Reno?

My California contact tells me gas is $4.30 a gallon (87 octane) in
Sacto and $4.40 a gallon in the bay area. Diesel is worse at $5.00 a
gallon. The price of airfares are much higher as well versus last
year. Btw, when Thunder Valley opened up gas was about 1.80 a gallon.

I tried to hook up with my California team-mates a couple of times
and they say the high gas prices makes any trip cost prohibitive.
The rule of thumb we use is unless the EV is 5X of expenses, we don't
make the trip (think about 1X covers the expenses, leaving 4X to
compensate for our time, hassle factor, risks involved, etc). The
downside is we are letting about $1,000 (or more in some cases) in
free play expire unused each month.

In summary, the high gas prices must be killing the Reno / Lake Tahoe
casinos. That is a huge problem since HIGH GAS prices are HERE TO
STAY. America is about 5% of the world's population and we use about
25% of the world's oil and that is not sustainable.

···

--- In vpFREE_Reno@yahoogroups.com, "hamstockman" <ab6pq@...> wrote:

#5

For a while, after Thunder Valley, some of the Reno casinos became
quite profitable, by offering looser games, but then the corporate
types showed up, who know nothing about casinos, and figured they
would earn more money by squeezing the gamblers with tighter games and
less comps. They have been proved wrong. Looser games and promotions
attract more gamblers, which means the average skill level goes down,
which means casino profits go up. Of course, promotions do need to be
carefully thought out, just giving away money without play
requirements attracts street hustlers, not gamblers. Promotions need
to promote gambling, the assumption that if you get them into the
casino, they will gamble, is wrong.

···

--- In vpFREE_Reno@yahoogroups.com, "hamstockman" <ab6pq@...> wrote:

As I recall Thunder Vally Casino opened in June 2003. When they opened,
the casinos in Reno felt an immediate impact. No only did visitor
counts go way down, but so did profits. The first earnings quarter
after Thunder Valley opened- Boomtowns profits down 10%, Silver Legacy
down 44%, Circus Circus down 56% and some of the weaker casinos such as
the Golden Phoenix just closed.

--- In vpFREE_Reno@yahoogroups.com, gmblnmn <nktalbrch@> wrote:
>
> No, what did Thunder Valley Casino do to Reno?