Harrah’s Changes Name to Caesars
Harra’s will trade from now on under the name of Caesars Entertainment Corp. The aim of th new company is to significantly enhance its presence and increase its revenue stream within the casino industry whilst the globe is still gripped by economical uncertainty.
Formerly known as Harrah’s Entertainment Inc will still stay one of the company’s brands, alongside Caesars, Horseshoe, Total Rewards and the World Series of Poker. The new name has a very strong correlation with its most well-liked casino, the well-known Caesars Palace situated on the Las Vegas Strip. The company is also the owner of Caesars casinos in Atlantic City, N.J. and Windsor, Ontario and operates under this name for its various internet casinos in the UK.
Under the Harrah’s brand the company owns and manages 16 internet casinos across the United Kingdom. Shortly after Harrah’s cancelled its IPO the new name change followed suit. Assuming it decided to sell its shares, the figure raised would have been after costs has been deducted $469.4 million.
The company operates fifty two casinos in 12 states across the U.S and in six other countries. Currently its global staff totals 70,000 and last year its proceeds were in excess of $8.9 billion. Chief executive for Caesars, Gary Loveman, feels strongly that the name bodes the start of good things to come for the company and that Caesars is the world’s best known and most credible casino brand.”
“The name change cost us a pittance not even $1 million”, said Jan Jones, “the time was right for a name change and hopefully the worst is behind us know and we look forward trading under the new brand name.”
“We have explored all avenues financially available to us and the most viable solution came to us in the form of a name change, we sincerely hope that business would improve again and the economic recession would blow over,” Jones said. “Our business models have been restructured which is in line with the monetary slump and hopefully this will place us in a strong financial situation as the economy gains momentum again.”
Harrah’s and its related casinos has felt the economic downward spiral, this resulted in fewer tourists’ spending cash on gambling and various other modes of entertainment, food and staying at casinos. Its revenue depreciated radically from $10.8 billion in 2007 and is way below 2009 levels at $6.7 billion for this year’s first nine months so far.
Harrah’s has reaped the benefits last year showing a revenue spike of $472.8 million when it slashed its operating costs by 30 percent, this year’s first three quarters it lost $634.4 million.
If it decided to press ahead and raised the money on the stock exchange the funds would have been utilised for various projects, such as: a dining and entertainment area connecting the Imperial Palace and Flamingo casino-resorts on the east side of the Las Vegas Strip, at Caesars Palace a hotel tower that still needs to be finished.
The company might amalgamate with another company on development projects in Ohio, some lucrative prospects in Pennsylvania and broaden its online presence, which includes various casino games such as poker and bingo in the United Kingdom.
Jones said the company has changed the name of its golf course in Macau to Caesars as well, it aims pursue other business ventures in Europe and Asia.[addtoany]