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$32.59 -0.03 (-0.09%)
9/8/2008 11:49 AM

MGM Mirage (MGM)

CAPS Rating:
**

Through its wholly-owned subsidiaries operates a number of casino resorts both in the U.S. and international markets including the MGM Grand, Bellagio, and The Mirage.

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Recs

8

Avatar Mesh111 (< 20) Submitted: 6/28/08 7:32 AM : Outperform Start Price: $34.01 MGM Score: -3.13

As far as Las Vegas goes- there are only three brands that anyone views, locally, as the big dogs. Wynn. LVS. MGM. I completely believe MGM Mirage is the best of the 3 otherwise I would not work for them. Bellagio, our flagship, is still the best casino on the entire strip. Our mid-tier casinos compete with and prevail over Harrah's mid-tier casinos. I don't even consider Harrah's a major player. Caesars is a decent casino, but locally that's all Harrah's has in their pocket.

We are cutting back costs all over the place and marketing existing and new customers as if our lives depended on it. City Center opens about a year and a half from now. There will be a new president elected. things a year from now might be better or worse- no one knows. As an employee, I stand by our brand regardless. We have strong ownership. City Center is going to trump what our competitors are doing. And forget what people are saying about tourism taking a hit in Las Vegas. Summer is our slow season and receipts are always down (though in this economic climate it may be a little more drastic for '08). The real litmus test will come the day after Christmas, which begins the busy season for us through March. We're getting a lot of business from Europe too, especially the UK. Hotel is always between 93-100% occupancy every night.

When the economy goes back online, this is where people are going to want to be.

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Avatar rudejokerz (< 20) Submitted: 7/16/08 11:27 AM

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You must be on the management end in the mgm world. The vision of mgm in their "mid tier properties" which I am part of is way off base. Your opening high price restaurants in these casinos where we have only a burger king crowd. I see people on a daily basis headed for the other properties because of the ill fated management of mgm properties.

All they preach is "diversity", but more than half of the frontline staff speaks broken"at best" english. It reminds me of a mexican resort filled with cheap labor, good for mgm bottom line but horrible for repeat business.

Our "'recession proof"economy in Vegas has bit us right in the behind. What use to be a nice economical experience to visit town has turned into twenty dollar martini's, not what the usual visitor will pay on a repeat performance.

Your management team is filled with fresh grads out of the UNLV system and in my fifteen years in this sector, I have never, ever seen this much incompetence. I would give mgm mgmt a solid F. If this company can be a leader in this indusry, I have to believe Lewis Black when he basically said" you open the door, turn on the lights and get the f*** out of the way !


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