Feb. 27, 2003 - MGM Mirage plans to launch a new affirmative action program with UNLV to help recruit and support minority students, company Chairman Terry Lanni said Wednesday. 

In making the announcement at the second annual MGM Mirage diversity meeting, Lanni said his company has made some great strides in improving minority recruitment but is handicapped by the University of Nevada, Las Vegas, College of Hotel Administration's low diversity enrollment. 

In 2002, the third year of its diversity program, he said MGM Mirage learned "when searching for executive-level talent, there is a lack of qualified minority candidates who possess experience in our industry." 

The company found only 2.3 percent of undergraduate students in the hotel college are black and only 6 percent are Hispanic, Lanni said. 

"We agree with UNLV that this level of minority representation is unacceptable," he said. 

Lanni, saying the partnership would require more than good intentions, said MGM Mirage would contribute $500,000 to fund the program at the hotel college over the next five years. 

"Once enrolled at UNLV, MGM Mirage will provide these students' scholarships, internships, mentoring and job exposure experiences," he said. "Working together and taking full advantage of the world-class laboratories our properties represent to students and faculty, we can attract bright young students who will be prepared for successful careers in our industry." 

Lanni also announced a supervisory training program would be conducted with Nevada Partners and the Culinary Local 226 to allow the largest number of front-line employees the best opportunities for promotion. 

Lanni called purchasing the most challenging element of the company's diversity program but said the company has made progress. 

MGM Mirage spent almost $700 million on biddable purchasing programs last year, 10 percent of which was spent with women-owned, minority-owned and disadvantaged businesses. That is an improvement from the 5.5 percent of almost $450 million spent with such companies the year before. 

Lanni also cited progress in minority employment. Overall, MGM Mirage increased the proportion of its minority work force from 50.5 percent in 2001 to 51.7 percent in 2002. At the same time, it maintained its "almost perfect (50-50) balance" between men and women. 

Among managers, the proportion of minorities increased from 26.3 percent in 2001 to 28 percent in 2002. 

To help achieve its diversity goals, Lanni said MGM Mirage has hired a Los Angeles-based, multicultural advertising agency, Muse, Cordero, Chen & Partners. To help it target minority customer prospects, it has also hired a Dallas-based, public relations firm, Howland Public Relations. 

And to enhance relationships with minority communities nationwide, it has hired the Caraway Group, a Washington, D.C.-based, public relations firm. 

"While our management ranks are becoming more reflective of the America in which we do business, we are still motivated to further diversify our management ranks," Lanni said. 

MGM Mirage announced a new diversity program in late 2000 after civil rights leaders complained that the company was not doing enough business with local minority contractors. 

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