Pinnacle pull Atlantic City plug

Feb 9, 2010 4:59 PM

Gaming Insider by Phil Hevener |

Pinnacle (PNK) made it official last week, formally extinguishing all hope that the company might find some way of moving ahead with plans for a resort at the former site of the Atlantic City Sands.

But the formality of turning off life support systems for the East Coast project had been headed toward this decision for well over a year as the deteriorating economic climate has pushed assorted big thinkers and prospective developers toward the sidelines. Project after project has been canceled or put on a back burner as business leaders have looked for some sign of a turn-around that shows no sign of arriving in the near future.

Only Revel Entertainment CEO Kevin DeSanctis continues showing significant enthusiasm for building multibillion-dollar resorts in Atlantic City. And the announcement by Pinnacle CEO John Giovenco cannot have done much to boost DeSanctis’s efforts to find Revel financing in China or wherever. Each new negative headline out of Atlantic City has to be explained to prospective lenders who will take their own sweet time assessing and then digesting everything they consider important.

Question? Comment? E-mail me at: Phil Hevener