The news was disclosed in its quarterly earnings report filed today.
The deal was struck on March 21, but Full House Resorts said today that on May 7, it informed Majestic Star that it probably would not be successful in obtaining financing to purchase Fitzgerald’s. “As a result, we have requested Majestic Star consider termination of the agreement.”
Full House’s report showed a net loss of $1.1 million in the first quarter of 2014. During the same time frame in 2013, it had a $600,000 profit.
“Our first quarter 2014 performance was impacted by unusually extreme weather conditions across the country, increased competition and soft consumer trends,” said Andre Hilliou, chairman and CEO of Full House.
Full House also owns the Silver Slipper Casino in Bay St. Louis, where it is spending $17.7 million to build a 142-room hotel.
The Tunica market — once one of the top three casino destination sites in the country — has been hit hard by increased competition and a changing customer base. One casino, Harrah’s Tunica, has already announced it will close this summer, and industry analysts expect to see more closures. There are nine casinos in Tunica County.
BEFORE YOU GO…
… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.
If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.Click for more info