The new owners of Resorts East Chicago said Monday they plan a quick turnaround of the casino to the Ameristar brand.
Food and beverage venues are being overhauled, and the mix of slot machines is in store for a change, Ameristar Casinos officials said in a conference call with investors and analysts to report third-quarter results.
Company officials were upbeat about entering the Chicago-area gambling market with the September acquisition of Resorts, but said the East Chicago riverboat hadn't produced expected results in the first nine months of the year.
The Las Vegas-based casino company reported a third-quarter loss of $800,000 from the Resorts East Chicago property.
Taxes on the East Chicago property could climb by an estimated $1.5 million to $2 million based on an increase in assessed valuation, the company reported.
Ameristar plans to appeal the assessment.
The company's quarterly profit fell 5.2 percent to $20 million, from $21.1 million during the same period last year.
Revenue grew to $265.4 million, including $9.2 million from the East Chicago riverboat, from $253.6 million a year earlier.
The company plans to spend up to $25 million to bring Resorts up to Ameristar standards, CEO John Boushy said.
Improvements to food quality will start in the back of the house, followed by upgrades to the front of the house, Boushy said. Slot machines will feature the games most popular with gamblers.
The company also plans to install its "hands-on" management approach and to ramp up marketing, he said.
"We're facing a transition period until we can elevate guest experience," Boushy said. "We're confident in our ability to turn it around."
A proposed gambling expansion in Illinois could affect the scope of improvements to Resorts, officials said.
"Illinois continues to be very unpredictable," Ameristar co-chairman Gordon Kanoskey said.
© Copyright 2024, nwitimes.com, Munster, IN