April 08, 2008
Today at the Michigan Gaming Control Board monthly board meeting the Executive Director Rick Kalm advised the Board members that the Aggregate revenue and taxes for all 3 Detroit casinos for the month of March 2008 were up by 0.02% compared to the same month last year.
For the month of March 2008, gaming taxes for the 3 Detroit casinos were $11.805 Million compared to $14.97 Million for the same period last year. The decrease in State of Michigan's gaming tax revenue is due to the tax roll-back for MGM Grand Detroit Casino and MotorCity Casino.
Revenue for MGM was up by 5.94% in March 2008, while MotorCity Casino and Greektown Casino were down by 3.7% and 3.58%, respectively in March 2008, compared to the same month last year.
Topic: Board Approves Greektown Proposal Request in Part
The Board approved a request by Greektown Casino ownership to allow them to enter in an agreement with their lenders that foregoes the lenders' default remedies through June 30, 2008, with a possible extension to the end of July.
The Board did not approve a request by Greektown to relax a previous Board order that required Greektown to adhere to certain financial covenants. Those covenants have been broken since December 31, 2007, and the 120-day period to correct them is still in effect. This period expires on April 29, 2008. Greektown ownership says they are negotiating with a buyer for an equity infusion that would solve the covenant issues for 2007. This action should be concluded by April 30, 2008. The Board reserves its rights under previous Board orders to take whatever action is necessary in the event covenants are not satisfied.
Topic: Board Approves Dubai World Infinity Transfer of Interest Request
The Board took action allowing Dubai Infinity World to purchase on the public market shares of stock in MGM Grand Detroit, L.L.C. holdings from 9.5% up to 14.75% of total shares contingent on an investigation to determine if (Dubai World Infinity) is qualified and suitable to be licensed under the Michigan Gaming Control and Revenue Act.
