ZZZ - GMG - VEGAS INC 2011-2014

VEGAS INC C OV E R STO RY TOP STORIES, From page 1 REAL ESTATE, DEVELOPMENT on The rise; transportation projects delayed BRIAN NORDLI GRAND RE-OPENING: Firefly Tapas Kitchen and Bar's new Paradise Road location. Firefly's salmonella outbreak A simple meal out at Firefly Tapas Kitchen, one of the valley's most popular restaurants, ended this spring with almost 300 people sick from salmonella poisoning. Southern Nevada Health District officials later named the culprit cooked chorizo, used in many of the restaurant's most popular dishes. At least 294 people from 27 states and two foreign countries became infected. Scientists determined the virus likely originated inside the kitchen. While many of the people who were sickened lined up to sue the restaurant, health department officials forced Firefly to close after finding 44 health code violations. Inspectors said kitchen employees handled food with bare, unwashed hands and stored ingredients, including meat, at improper temperatures. They also found a thermometer that read 100 degrees despite being submerged in ice water. A health district epidemiologist called the outbreak the largest she'd seen in more than 10 years of fieldwork. Firefly has since reopened. Online gaming In February, Nevada became the first state in the country to approve intrastate online gaming, and resort companies have lined up to get a piece of the action. The first to offer online, for-money play was Station Casinos' Ultimate Gaming, which dealt its first hand of poker April 20. Dozens of other companies have since applied for licenses to be site operators, technology providers or regulators. But only one company so far has stepped up to challenge Station. Caesars Interactive, a subsidiary of Caesars Entertainment, launched its World Series of Poker website Sept. 19. Several competitors say they are close to launching as well. Meanwhile, New Jersey began play within its borders last month. Delaware isn't far behind. Critics say there aren't enough Nevada residents or visitors to make in-state online poker financially lucrative. Gov. Brian Sandoval hopes to enter online gaming compacts with other states to allow play across borders. He has begun negotiations with Delaware. 14 20131216_VI01_F.indd 14 steve marcus CASINO REINVENTED: From left, Seth Schorr, CEO of the Downtown Grand, Las Vegas Mayor Carolyn Goodman, former Mayor Oscar Goodman and Bill Doak, first vice president of the CIM Group, cut a ribbon Nov. 12 during an opening ceremony for the Downtown Grand. Downtown redevelopment Grand. It's no surprise that much of the development is the handiwork of the Downtown Project, which with the help of Tony Hsieh, is investing $350 million to develop tech, small business, education, entertainment and real estate downtown. But the changes didn't come without some hiccups. Krave, designed to be the world's largest gay nightclub, closed after only a short time in business after the state slammed owners for tax problems. Fremont Street also experienced growing pains as crowds took over the area after First Friday events. Many stakeholders complained about underage drinking, business owners feared violence, police set up barricades and numerous people were arrested. Caesars' financial problems paying down its debt. At the same time, it angered many customers by rolling out resort fees at many of its Las Vegas properties. Caesars saved about $65 million in the third quarter when it refinanced Octavius Tower at Caesars Palace and its mixed-used Linq project. It raised another $200 million in a public equity offering, the largest since its initial public offering. And all is not lost. Caesars staved off bankruptcy and launched a real-money poker website. Looking forward, the company hopes to generate $420 million in the fourth quarter by selling a golf course in Macau. So much happened downtown this year, it was hard to keep track of it all. The Downtown Project bought the Gold Spike in April, closed it down and reopened it three weeks later as a bar/restaurant with no gambling or smoking. The hotel rooms also were converted to apartments. Zappos moved into its new headquarters in old City Hall in October, bringing 1,500 employees downtown from Henderson. The same month, the Life is Beautiful festival kicked off, attracting tens of thousands of people to the city's inner core. Slotzilla began to rise from the ground, offering an even longer Fremont Street Experience zipline, and the Lady Luck transformed into the Downtown With 44 resorts in 13 states and six countries, Caesars Entertainment is the big man on the global gaming campus. But the company also carries the highest debt among its competitors – $23.5 billion. This year was particularly difficult for the gaming giant, which in October reported a third quarter loss of $761.4 million. The news came after the company severed ties with Suffolk Downs for a casino in Massachusetts. CEO Gary Loveman said he was "disappointed and angry" with how things shook out. The company had invested close to $100 million in its Massachusetts bid and made little progress in | 16 DECEMBER 2013 | 12/12/13 3:57:33 PM

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