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Casino closing---1,300 out of work

beneteaubeneteau Member Posts: 8,552 ✭✭✭
edited March 2014 in General Discussion
The economy must be bad when a casino has to close.

Harrah's Tunica will close; 1,300 employees will have to find new jobs


TUNICA COUNTY, MS -

(WMC-TV) - Caesars Entertainment Corporation will close Harrah's Tunica before the summer hits.

The property, including three hotels consisting of 1,356 rooms, will cease operations on June 2. Officials based the decision on persistent declines in business and increased competition.

"After exploring every other viable alternative, we have come to the difficult but necessary conclusion to close Harrah's Tunica in an effort to appropriately position our business for the current market opportunity and ensure the long-term viability of our remaining operations in the vicinity," said President of Central Markets and Partnership Development John Payne.
Harrah's patrons are shocked. The property, which sits on 2,000 acres, will remain fully operational until its closure and will honor all room reservations and events until that time.

All 1,300 employees will have to find new jobs. In a news release, Caesars Entertainment said they will work to find new positions for as many Harrah's Tunica employees as possible.

"We are extremely appreciative of the enthusiasm, professionalism and commitment made by the employees of Harrah's Tunica to provide outstanding service to our customers. We are determined to provide them with resources to help them in this transition," said Payne.

Tunica County has the second highest unemployment rate in Mississippi.
"It's not a Tunica issue, it's Mid-South issue. The economy of the entire Mid-South relies heavily on the expenditures by employees of people, who work here, go home, and spend that money," said Webster Franklin with the Tunica Convention and Visitors Bureau.

Caesars has been trying to sell Harrah's for three years, but its size makes it less desirable. . In addition to the hotels, it has a golf course and a 2,500-seat event center.

"It's a large property to maintain and it requires mass crowds to come in, and through this economic downturn we just haven't see those types of crowds here," said R. Scott Barber with Caesars Mid-South.

Harrah's has struggled to regain its business since a major flood brought destruction to the area in May 2011. The river was over eight feet high, even the doors to casinos were blocked by floodwaters.

Business was essentially cut in half from 2010 to 2011. Not only did money stop coming into the casinos, but they were forced to spend money on repairs. It took nearly a month for casinos like Harrah's to reopen their doors.

According to the Caesars Entertainment Corporation's website, the casino-entertainment company began in Reno, Nevada more than 75 years ago. The company's resorts operate primarily under the Harrah's, Caesars, and Horseshoe brand names.
Caesars and Tunica county are holding out hope that the recent sale of The Fitz casino means someone may just buy Harrah's. Caesars is working with the county to help figure something out something to do with the huge property.
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Comments

  • grumpygygrumpygy Member Posts: 48,464 ✭✭✭
    edited November -1
    Talk about bad my state run liquor store closed.
  • sharpshooter039sharpshooter039 Member Posts: 5,897 ✭✭✭
    edited November -1
    Tunica is a dump, it never recovered after the floods. Now dont get me wrong there are some nice buildings but almost every casino has old woreout machines and the felt on the tables is even so wore many of them have holes. I used to play turnament poker over there at least once a month and it got so bad I quit going. I drive to Oklahoma to the Indian casino's to play now
  • Ray BRay B Member Posts: 11,822
    edited November -1
    There is only so much money going into any sector of the economy and gambling/resort is no different. The economy has been so saturated with casinos as well as on-line and other venues it will be a normal event to see those businesses no longer able to hold market share will be closing.
  • legearlegear Member Posts: 6,716
    edited November -1
    It doesn't help them that Alabamas Indian casinos built big hotels and game areas.

    Our Indian casinos were just temporary portable buildings for years.
    Now that they made it thru the states lawsuits they have built 18+ story hotels and a casino and buffet that looks better than those in biloxi.

    I think the one in wetumpka is the second
    tallest building in the area until you get to bham.
  • JunkballerJunkballer Member Posts: 9,309 ✭✭✭✭
    edited November -1
    Harrahs stayed until they recouped their intial investment and decide to invest in a better location, the House never loses....long term [;)]. another case of Obamanomics at play [:(!]

    "Never do wrong to make a friend----or to keep one".....Robert E. Lee

  • Ox190Ox190 Member Posts: 2,782 ✭✭
    edited November -1
    A friend of mine did a huge renovation for a casino out in Tunica several years ago, they owed him over $350k when they filed bankruptcy.
  • pwilliepwillie Member Posts: 20,253 ✭✭✭
    edited November -1
    quote:Originally posted by legear
    It doesn't help them that Alabamas Indian casinos built big hotels and game areas.

    Our Indian casinos were just temporary portable buildings for years.
    Now that they made it thru the states lawsuits they have built 18+ story hotels and a casino and buffet that looks better than those in biloxi.

    I think the one in wetumpka is the second
    tallest building in the area until you get to bham.
    Mobile has the tallest building RSA Tower!
  • mark christianmark christian Member Posts: 24,443 ✭✭✭✭
    edited November -1
    quote:Originally posted by Junkballer
    Harrahs stayed until they recouped their intial investment and decide to invest in a better location, the House never loses....long term [;)]. another case of Obamanomics at play [:(!]



    That was my first thought. It would be interesting to find out if certain tax breaks and other incentives that Caesars might have received when they decided to build the casino have now expired.
  • JgreenJgreen Member Posts: 2,579 ✭✭✭✭✭
    edited November -1
    What kills casinos is the requirement that they have hotels. We have three in detroit. Who wants to stay in detroit?

    But part of the deal is that if they want the location, they have to build somethign that is totally useless...
  • nutfinnnutfinn Member Posts: 12,808 ✭✭✭
    edited November -1
    Hope and change [:D] This is what majority of Americans wanted [:I]
  • nards444nards444 Member Posts: 3,994 ✭✭
    edited November -1
    quote:Originally posted by nutfinn
    Hope and change [:D] This is what majority of Americans wanted [:I]


    and thats equated to casinos. come on casinos is a mainly a state game and one of back doors deals and smoke mirrors.
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