Harrah's CEO: Economy is changing casinos

Nov 20, 2008 11:32 PM

Staff & Wire Reports |

The chairman and chief executive of Harrah's Entertainment Inc. says problems with the economy are prompting a "significant sea change" for casino companies.

Gary Loveman said at a casino industry conference Wednesday in Las Vegas that Harrah's, the world's largest gambling company by revenue, and its competitors will have to change how they do business for the rest of his professional life.

Casinos were in an "arms race" to build bigger and better destination resorts, he said, and they were spending capital "like drunken sailors."

MGM Mirage Inc. Chief Financial Officer Dan D'Arrigo, speaking at the conference, predicted no new developments will come to Las Vegas for at least five years.

Related Articles:
G2E kicks off 8th expo -- up to 30,000 expected
Small casinos could be in for big trouble