Casino Gambling: MGM Mirage lost big in Q4 of 2008

Casino gambling giant MGM Mirage became the next victim of the erring economy, posting $1.15 billion loss in the fourth quarter of 2008. Revenue at one of the world's largest casino gambling companies fell from $1.93 billion the year before to $1.6 billion in the Q4 of 2008, while analysts predictions were for $1.71 billion. The big loss and the added $1.18 billion charge related to some acquisitions made the in the previous years brought the company's loss to $4.15 per share. The Las Vegas casino company is blaming the economy woes for the decline in revenue and for the big losses taken by the gambling enterprise.

Meanwhile investors continue to worry about the health of the casino giant, as MGM Mirage said that the total loss for the entire 2008 was at $855 million, compared to the $1.58 billion profit it took in 2007. Also, officials at the casino gambling company said earlier this month that MGM may indeed default on on its debt related to the $8.6 billion CityCenter complex project on the Las Vegas Strip, unless the economy turns around and more people start gambling in the Sin City. As of the end of 2008 the MGM Mirage total debt was at $13.47 billion.

Published on 03/18/2009