Monday, May 29, 2006

UK casino shortlist revealed

THE Casino Advisory Panel has announced the provisional shortlist of successful proposals that will be taken forward for further evaluation and reminded the public that "national policy about casinos has already been decided."

The contenders for the one regional casino licence are Blackpool; Brent; Cardiff; Glasgow; Greenwich; Manchester; Newcastle and Sheffield.

Meanwhile, Bath & NE Somerset; Bournemouth; Brighton; Canterbury; Chelmsford; Dartford; Dudley; Dumfries and Galloway; East Lindsey; Great Yarmouth; Hastings; Hull; Leeds; Leicester; Luton; Mansfield; Middlesbrough; Milton Keynes; Newham; NE Lincs; Peterborough; Restormel; Scarborough; Sefton; Solihull; Southampton; South Tyneside; Swansea; Thurrock; Torbay and Wolverhampton will contest the eight large and eight small licences.

After an invitation in January for local authorities to submit proposals, the Panel initially received 68 formal proposals from local authorities, though one proposal was later withdrawn, leaving 67 to be considered.

Chairman of the Panel, Professor Stephen Crow, said: "I know that our decisions will cause disappointment to some, not least to authorities who had looked to their casino proposal as a means of alleviating severe problems of deprivation or even improving social conditions and meeting the need for economic regeneration. But the competition has been very strong, and so it is inevitable that some proposals, good enough though they may be in themselves, have to yield before more powerfully justified cases.

"As for those who have successfully accomplished this stage, they have further rigorous examination to undergo before the final decisions are made. The provisional shortlists are now to be the subject of consultation before finalisation. This will be the occasion for consultees (regional planning bodies, regional development agencies and comparable bodies in Wales and Scotland) to pass to the Panel any further views and for members of the public to express their opinions on the proposals, whether of opposition or support. Here the public is reminded that national policy about casinos has already been decided by Parliament. The help here that the Panel is requesting is for people's views on the broad location of casinos.

"We would ask that any such representations be made to us by 28th June 2006. After this consultation, the Panel will further test the strength of selected competing proposals. This will be done either through the medium of public round-table conferences based on the method of examination-in-public (EiP) or through the examination and consideration of written representations and other material. EiPs are likely to take place from the end of August to the end of September and will be limited to proposals for the regional casino. Proposals for large and small casinos will be examined on the basis of written evidence."

Source: eCoinOp UK

Wednesday, May 17, 2006

Mallery Riled + Leisure Link Float + More News

Float in offing for Leisure Link

THE move which sees Britain's largest street operator Leisure Link sold and floated on the AIM "will be completed by the end of this month," according to a company insider. The business was put up for sale by owner Henderson Private Equity and it is believed that there were three bidders. Evolution Beeson Gregory, the stockbroker, made the list and offered an accelerated AIM listing. We understand that the company direction will not initially change but will expand rapidly into the European server-based gaming business. Meanwhile, good news for Leisure Link is that it has won the Most Innovative Technology award at next week's Gaming Technology Forum in Las Vegas. The award was for its Gala gaming platform developed by subsidiary company Inspired Broadcast Networks.

Mallery riled

HARRY Levy’s Colin Mallery is still furious with ATEI organiser Clarion - and he’s got a few issues with BACTA too. “This is the first time I’ve been disillusioned with BACTA - I feel they didn’t protect their members in this instance,” he told ecoin-op in Blackpool. “I’ve supported them all my life. It galls me to see the way we’ve been treated.”

Similarly, Clarion isn’t winning Mallery over as a fan. “The way Clarion did this wasn’t conducive to business. No correspondence was made. We needed a meeting but, rather than that, an ultimatum was delivered. Clarion could be left with a lot of egg on their face. Ordinary business is all about discussion,” he concluded.

Bell rings the changes
INDUSTRY veteran Chris Bell told ecoin-op at the Blackpool show this week that he started a new job with RLMS last week.

The ex-Deith and Cromptons man said: “I’m based in Ramsgate and will concentrate on sales to seaside arcades and pushers. Things have been quiet on this front, with everyone turning to Section 16 games, but I detect a renewal of interest in pusher products.”

The Deith Group’s Leon Deith said in Blackpool this week that the company is keen to get into the casino business.

“Our best-selling products at the moment are gaming devices, with traditional coin-op equipment such as video games taking a back seat. The gaming industry is where the money is and we are looking to expand our product portfolio for this market.”

Gamestec moves up a gear


GAMESTEC has significantly increased its business with new pub company Tattershall Castle Group.

Gamestec will now supply a further 30 per cent of the TCG estate, which brings Gamestec’s holding to 50 per cent.

TCG, led by chief executive Peter Brook, purchased 178 houses from the Spirit Group in September 2005 making the group a sizable high street managed house chain, which includes brands Henry’s and Squares. The newly formed pub company is reported to be investing over £8m upgrading and refurbishing the estate in the first year.

Gamestec has also put together a training programme designed for use at house level aiming to keep managers fully updated on machines, the market place and technology.
Rolf Nielsen, managing director of operations at Gamestec, said: “We are thrilled to have been offered the opportunity to develop our relationship with TCG and we are committed to maintaining the high levels of success we have already achieved, which will position us for an even more successful future.”

McCarthy bags JPM role

SIMON McCarthy has been appointed sales and marketing director at JPM International. McCarthy is leaving a similar post at Ainsworth UK, where he helped establish the brand in the UK casino market.

McCarthy was formerly with the Astra Group where he was sales and marketing director for Astra Games and Astra Casino Gaming.

It is full circle for McCarthy as prior to Astra he was for 17 years at JPM in customer services and senior sales roles. He will be based in Birmingham, will report to managing director Charles Walker and will drive the company’s sales in the UK and internationally.

Source eCoinOp News

Tuesday, May 09, 2006

S16 Market 'Bleak' + More News

Nova may take case to Europe

THE legal action between games designers Nova Productions and Gamestec and others over the use of the video pool game may end up in the European Court of Justice. Nova is awaiting a reference from the Court of Appeal to the European Court in the next couple of weeks. Now Nova is considering legal action over the widespread use of ‘serial games’ in the UK which it considers are copies.

Holts extends Gamestec deal

GAMESTEC has increased its long-term holding with top brewery Holts boosting its site coverage by 100 per cent.

Rolf Nielsen, managing director of operations at Gamestec, said: “We are delighted that Holts has chosen to extend its contract and we will continue to work together as part of a successful team.

Holts is keen to introduce more networked products to their sites and recognises the benefit of products like soft AWPs and SWPs. The coming months will see Gamestec’s multigame, soft AWP, Touch Casino, being rolled out across a number of Holts’ sites.

Gamestec’s wireless remote management system MIDAS will also be rolled out across all of the Gamestec managed sites offering yet another Gamestec innovation to maximise revenue opportunities and ensure that machine uptime is at an optimum.

Dave Topping, commercial director at Holts, said: “We have been constantly impressed with Gamestec’s level of service, product range and commitment. We continue to look forward to working with Gamestec and developing our partnership further, building for an even more successful future.

Section 16 market 'bleak'

ACCORDING to talk around the trade show floor in Prague, the UK AWP and Section 16 markets are currently very slow and there are at best mixed reports on ‘serial games.’ Overall, according to the manufacturers/distributors who collected together for the show, the outlook for the UK market is currently bleak.

Tote terms change

SALE terms for the Tote, the state-owned pool-betting operator, have been changed after the government bowed to pressure from the European Commission
Plans to sell the Tote to the horse racing industry at a ‘fair value’ triggered a Commission investigation over concerns that the deal would involve substantial state aid.

Source: eCoinOp UK

Online gaming saturated,Gambling bill ignored + More

Ladbrokes considers LCI bid

Ladbrokes is reportedly preparing a bid for casino operator London Clubs International.

A Ladbrokes spokesman said the rumour did not merit comment, but speculation over Ladbrokes' acquisition plans has been rife ever since it split from hotel group Hilton in February.

London Clubs has also been the subject of bid speculation for months, mostly linked to Malaysian shareholder Genting, which took it’s stake to 29.9 per cent a year ago, stopping just short of the 30 per cent at which it must launch a full takeover bid.
Genting also holds over 20 per cent in London Clubs' rival, Stanley Leisure, leading to speculation it wants to merge the companies.

Kerzner to go private in $3.2bn deal

The Cayzer Family and its UK-listed Caledonia Investements is selling casino company Kerzner International to its management for $3.2bn. Kerzner International is based in the Bahamas and listed in New York and the agreement went through yesterday after the management raised its offer from $76 a share to $81 a share. The MBO is led by chairman Sol Kerzner and his son Butch, the chief executive, with backing from the Untied Arab Emirates and other investment houses. Kerzner recently signed a deal with Greenwich Council in London to develop a super-casino on land next to the Millennium Dome.

Good UK turnout at Prague show

Despite the Svet Zabavy show being a predominantly domestic one, a number of UK-based industry folk were spotted in Prague last week.

Neil Chinn and Robert Higgins of Astra were on the giant AGI stand, supporting their firm's Czech distributor EDP. Heber's Richard Placito and John Malin were, as ever, looking for further business opportunities, as was Heath Samples from Hot Games.
Additionally, Gamesoft's Phil Thomas, Eurocoin's John Stergides and Sega's Martin Riley were spotted on the show floor. London-based money handling firm Global Payment Technologies had its own stand, but Robert Dunn was less than enthusiastic about the apparent lack of visitors when InterGame spoke to him on day two of the event. On the other hand, David Mixa, of JPM's eastern European distributor Synot, was buoyed by the amount of custom his firm had enjoyed. He was full of praise for the role JPM's managing director Charles Walker had played in driving the two companies' partnership forward.

Online gaming market 'saturated'

Online casino gaming in the UK could be nearing saturation point, meaning that the industry will have to consolidate quickly, according to a survey from KPMG and YouGov.

The report claims that just three per cent of the UK population have not yet tried online casinos but would be prepared to do so.

Fourteen per cent have tried online casinos at some point, compared to 16 per cent who have been to a land-based casino, claims the survey.

However, a further 19 per cent say they would be prepared to visit a land-based casino, leaving more scope for them to grow compared to the online businesses.
Commenting on the results, Mark Summerfield, head of travel, leisure and tourism at KPMG, said: “Our survey supports the view that, rather than being a nation of gamblers, there is a limit to the number of people who are interested in gambling, whether on-line or in a bricks and mortar casino. However, while the land based casinos seem to have plenty of potential customers still out there; the pool of untapped on-line players seems to be declining.”

Dutch merger imminent

The big news this week from the Netherlands is a deal which will see the two big Dutch-based gambling machine testing houses merge their interests in this sector. NMi, based in Dordrecht, is thought to be buying Kema's (Arnhem) machine testing activities. A formal announcement is expected later this week.

Gambling Bill ignored our needs, says BACTA

THE UK coin-op industry is undergoing a ‘protracted period of uncertainty’ due to pre-legislative scrutiny in reaching the Gambling Bill, according to the head of BACTA.

Keith Smith was speaking at a Conservative Party seminar to discuss the Bill, which he described as ‘the biggest reform in gaming laws for a generation.’

“Reform was a long time coming. Too long in some people’s view,” he said.
“The Government deserves credit for trying to forge a consensus on what was inevitably going to be controversial legislation. However, it was unfortunate that the protracted period of pre-legislative scrutiny did not avoid the needs for sudden shifts in policy.

The result has been a protracted period of uncertainty for my industry. No industry likes uncertainty. It makes planning difficult and harms investment.”

Smith said that there was still ‘uncertainty’ over the final shape of the legislation and that BACTA felt that the casino sector’s needs had taken precedent over other areas of the industry.

“The Act has updated our antiquated laws, bringing long needed powers to deal with internet gaming, in particular, in what is a very tricky area to legislate,” he said.

“BACTA acknowledges the reasoning behind the Government’s last minute concessions to the casino industry in relation to machine numbers and casino stake and prize levels.

“But I have to say we were puzzled and frustrated that one section of the industry should have its needs addressed while others did not, especially given the economic plight we faced.

“Because the past few years have been tough for our industry. We see it every day in our businesses with jobs lost, income down and costs up. Pubs, clubs, arcades and bingo halls are all affected. And of all our sectors, machine manufacturing has suffered the most.

The facts are stark. In the past year alone our manufacturing industry has suffered the loss of well over 1,000 jobs. And that’s on top of almost 1,000 jobs in the industry lost the year before.”

Smith added that research from IRN, an independent research company, showed that the number of machines manufactured in 2005 were down by almost a quarter, from 53,000 in 2004 to 41,000 in 2005.

Smith also hit out at what he called ‘the biggest problem of all’ - the lack of a triennial review on stakes and prizes.

“This has had the effect of making our products less appealing to customers, which has driven down demand, which in turn has cut profits and therefore investment in new product, which has in turn driven down demand. A vicious circle if ever I’ve seen one.”

Greenway gets RIGT role

The Responsibility in Gambling Trust has appointed John Greenway, MP, as its new chairman.

Greenway succeeds Sir David Durie today, May 5. As an MP, he has demonstrated both a professional and personal interest in matters pertaining to the gambling and racing worlds. The robust and independent manner of his chairmanship in 2004 of the All Party Scrutiny Committee earned him the respect of those on all sides of the debate.
John Greenway has been MP for Ryedale since 1987. He has taken a special interest in gambling issues over a long period, first as a member of the Home Affairs Select Committee (1987-97) and as shadow Minister for Gambling, both in Home Affairs (1997-2000) and Culture, Media and Sport (2000-03). He resigned from the Conservative front bench in the summer of 2003 to take up the chair of the pre-legislative Scrutiny Committee for the draft Gambling Bill.

Gambling licensing guide available

The UK Gambling Commission has published the revised version of its Guidance to Licensing Authorities.

Under the Gambling Act 2005, local authorities will have a range of new responsibilities related to gambling. These include licensing any premises used for gambling, regulating the use of gaming machines and the playing of games such as poker in pubs and clubs, and granting permits to certain types of amusement arcades. The Gambling Commission is responsible for advising them on these functions.

This final version of the main part of the commission’s Guidance to Licensing Authorities reflects the views of over 150 local authorities that attended the commission’s consultation events or sent in comments on the previous version.

Before the new Gambling Act comes into force in September next year, all licensing authorities are required to publish a three-year licensing policy statement. This will set out their proposed approach to their functions, and how they will meet the objectives of the Gambling Act, of keeping crime out of gambling, ensuring it is fair and open, and protecting children and vulnerable people.

Gambling Commission chief executive Jenny Williams said: “The guidance we have published will help licensing authorities develop their policies for licensing gambling establishments in their areas. We are encouraging them to consult widely so they can take full account of local views, while having regard to the commission’s best practice guidance. We are publishing our guidance now to allow sufficient time for them to do so.”

Copies of the Guidance to Licensing Authorities are available to download from the commission’s website at www.gamblingcommission.gov.uk.

New UK report shows gambling attitudes largely unchanged

A new report by KPMG claims that liberalised UK gaming laws are set to make less difference than expected to people’s gambling behaviour.
When asked whether they would be more likely to visit a casino if it was part of a larger leisure and retail complex or super casino, only 21 per cent said they would be more likely to visit with 69 per cent claiming it would make no difference to them whatsoever.

The report also claims that there are also few signs that the UK is about to see an upsurge in gambling with casinos on every high street. When asked what factors stop people going to a casino, 36 per cent claimed it was the fear of losing too much money while a further 18 per cent cited a lack of knowledge of the games played in casinos.

In addition, the average gambling spend per person in the UK over the course of 12 months was £114. That figure rises to £168 among those people who do visit UK casinos, but the majority of gambling spend can be attributed to a small percentage of gamblers; the five per cent who spend between £500 and £1,000 per year and the three per cent who spend over £1,000.

Source: eCoinOp UK