Wall Street on Roy Horn

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Postby Carl Mercurio » 10/07/03 11:39 AM

Mon October 6, 2003 12:58 PM ET -- NEW YORK (Reuters) - The mauling of magician Roy Horn of the famed "Siegfried and Roy" duo at the Mirage hotel and casino in Las Vegas could cost its operator, MGM Mirage, MGG.N annual earnings of 5 cents to 10 cents a share, a Deutsche Bank analyst said on Monday.

The duo's show, which has been canceled until December, sold out a 1,500-seat showroom seven times a week, with tickets ranging around $100 each. The increased traffic spurred sales at restaurants, bars and gambling tables.

"We expect lost ticket revenues, as well as lower food and beverage, gaming and retail revenues as a result of reduced foot traffic at the Mirage while the show is closed," said Marc Falcone, an analyst at Deutsche Bank.

The show brought in $51 million in annual revenue for MGM Mirage, the third-largest U.S. casino operator, and the lost business will be hard to make up at other properties since other shows are also typically sold out, Falcone said.

But business interruption insurance could mitigate some of the losses, he added.

MGM Mirage representatives were not available for comment. Horn was in critical but stable condition on Monday after being mauled by a white tiger during a performance at the Mirage on Friday. Back to top
Carl Mercurio
 
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