Can you guess the year that an article appeared in Forbes magazine with these quotes?
— “Las Vegas is showing signs that it is becoming overbuilt.”
–“With traffic growing more slowly than capacity, older casinos have been hurting. Atlantic City casinos fared much worse last year.”
— “Steve Wynn put it this way: ‘The old formulas don’t work anymore. Customers won’t come just to see a Sinatra. You’ve got to give them an entire resort experience with spectacular scenery.”
–“Nevada Gaming Board [sic] data show that 42% of Las Vegas’s casinos were unprofitable last year. Casino bond issues totaling $612 million are in deafult with a number of others on shaky ground.”
Read after the break for the answer….
Is it 2008? That’s the obvious answer, right?
Maybe 2002?
1998?
Actually, those were pinched from an article by H. Rudnitsky, “Who’s got the royal white tigers?” in the September 30, 1991 issue of Forbes. Before MGM Grand, Treasure Island, Luxor, Mandalay Bay, Bellagio, Wynn, and much else.
The more things change, huh? One last quote gives some food for thought:
— “When Circus Circus and MGM Grand open their new megafacilities with 8,000 rooms, the pressure on profit margins will be on again.”
Substitute Fontainebleau and MGM Mirage, and we’re right there today, aren’t we?