Inside Asian Gaming

the Asia Pacific region and EMEA will report to the COO, who will be based in Las Vegas and will also manage the Americas business, which had been presided over by Atul Bali as president. The goal, the company said, is to “ensure the Group derives maximum benefit in the marketplace from its strong new product portfolios, as a natural step in the progression of its product-led strategy.” The new position is expected to be filled by the middle of the year, Aristocrat said, “at the conclusion of a rigorous global search”. Mr Bali, who is leaving at the end of March, will be replaced on an interim basis by Chief Product Officer Rich Schneider. “I would like to acknowledge Atul Bali’s leadership and contribution during his time at Aristocrat, particularly in supporting our product strategy and helping to guide our growth in digital gaming,” said CEO and Managing Director Jamie Odell. Saipan Ready To Try Again The leader of Saipan’s House of Representatives has introduced a new bill legalizing casinos on the western Pacific island—the fourth in four years—and one that is expected, like its predecessors, to face obstacles in the Senate. “Things have changed over the past months,” Ralph Demapan told the Saipan Tribune . Mostly what’s changed is that the government of the US territory needs revenue more than ever. It has been mandated to pay annually into a retirement fund, pensions have been cut by 25%, and government health insurance premiums have increased, on top of other public health services. Which are the only reasons why Senate President Ralph Torres says he’s prepared to consider the latest measure. The Senate has nine members, three each from Saipan, Rota and Tinian, the three main islands constituting the Commonwealth of the Northern Marianas. Casinos are legal on Rota and Tinian, whose leaders have been protective of their tiny markets. They claim their casinos would be harmed if casinos are also allowed on Saipan, the largest island of the group. The most recent bill passed the House last June by a vote of 13- 7, but predictably it died in the Senate. Among Saipan’s population of 48,000, casinos remain a divisive issue as well. Voters have twice rejected them because of concerns about social impacts. Mr Demapan, however, says that with the recent legalization of machine gaming and video lottery on the island, this time is different. His new bill provides for only one license instead of the multiple venues envisioned by the earlier bills. The 25-year license will require a US$30 million payment up front and $15 million a year after that, along with a tax on gross gaming revenue and other taxes and fees. INTERNATIONAL BRIEFS “I don’t know whether we will ultimately bid but we have expressed an interest,” he said. If it does it would see SkyCity taking on Australian rivals Echo Entertainment Group and Crown Resorts in a competitive tender to develop the complex, which will be located on the riverfront in the state capital’s government district. Echo and Crown have said they’re prepared to spend A$1 billion or more on a casino and hotel and supporting attractions should they win the license. SkyCity’s interest comes after a tender for a Gold Coast cruise ship terminal by a consortium including SkyCity was “set aside” by the government, Mr Morrison said. The company is also in the throes of a $350million refurbishment of its Adelaide casino and is about to embark on construction of a NZ$400 million convention center in Auckland as part of a deal with the government that allows it to expand its flagship casino in New Zealand’s largest city. The disruption of the Auckland expansion was blamed in part for a 5.8% drop in normalized revenue (adjusted for volatility in VIP win rate) to NZ$467 million in the six months ended 31st December. Weakness in VIP volumes and unfavorable currency fluctuations also figured in the decline as measured against the same period in 2012. The bottom line was a 7.9% drop in net profit to $61 million on EBITDA that was down 6% to $143.6 million. The company reported a strong January, however, with normalized revenue up 11.9% on a constant currency basis, and will pay an interim dividend of NZ10 cents on 4th April. Aristocrat Searching for Global COO Aristocrat is restructuring its management worldwide in the wake of the departure of the head of its Americas business. The New South Wales-based, ASX-listed slots and systems giant is searching for a chief operating officer to oversee the group’s sales and marketing globally. Management in Australia and New Zealand, December 2013 | INSIDE ASIAN GAMING 45 Aristocrat Chief Product Officer Rich Schneider will assume COO responsibilities on an interim basis from next month. SkyCity Entertainment CEO Nigel Morrison