Red Rock’s claims about board diversity rely on the problematic assumption that the pool of potential directors is too small because of the gaming license process. The gaming license process is not a justifiable obstacle to board diversity, as evidenced by the presence of women on the boards of every publicly traded Nevada-based gaming company except Red Rock.
Is there market demand for another Las Vegas Locals casino? How many “Durango Station” customers will come from Red Rock Casino? How will “Durango Station” compete against nearby mixed-use developments? What will happen to the Flamingo/I-215 site after “Durango Station”?
Red Rock Resorts should listen to public shareholders and adopt majority voting for directors and take steps to eliminate the dual-class share structure.
In the words of a recent Wall Street analyst report: “RRR’s dual-class share structure is suboptimal for most investors and has historically been an impediment to valuation optimization.”
Why did UBS end up by lending to the Fertittas personally but not to the public-traded company they controlled? And what caused the Fertittas to take on the margin loan in the first place?
In December, Station Casinos announced a company-wide new benefits package, immediately after the National Labor Relations Board (NLRB) announced there was going to be a union election at the company’s flagship Red Rock Casino. We estimate the new benefits would add nearly $70 million in operating costs on an annual basis, or a 400-bps hit […]