|By Steve Green, Las Vegas
SunMcClatchy-Tribune Regional News
May 11, 2012--Even as it hopes for financial improvements with a capital investment program, the Riviera on the Las Vegas Strip reported Friday that it lost $4 million during the first quarter ending March 31.
The property's parent company, Riviera Holdings Corp., said net revenue of $20.86 million was up from $20.65 million in the year-ago quarter.
The $4 million quarterly loss compares to a profit in the year-ago period of $82.8 million, which was boosted on a one-time basis by $85 million in benefits related to the company's emergence from bankruptcy.
In the most recent quarter, Riviera said, casino revenue was off by 1.7 percent.
Table game drop, or the amount wagered, jumped from $9.8 million to $22.1 million, thanks to an initiative to market Asian-style games such as baccarat and pai gow. But the percentage won by the casino tables fell from 20.6 percent to 7.9 percent.
The tables won $1.7 million while slot machines generated $6.9 million, flat from a year earlier.
Room revenue fell 2.5 percent as the average daily room rate fell $4.16 from the $62.40 reported in the 2011 quarter.
Looking ahead, Riviera said the outlook for the gaming and hospitality industries is "highly uncertain" as customers continue to be squeezed by the economic slowdown, high unemployment and falling home values.
On May 2, a Riviera official told the state Gaming Control Board the 2,075-room property will receive a refurbishment at a cost of $20 million to $30 million. Funding will come from Riviera Holdings' recently-closed sale of its casino in Black Hawk, Colo.
(c)2012 the Las Vegas Sun (Las Vegas, Nev.)
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