Leroys could be on Queer street too

[railbird]

Leroys in trouble?
<HR style="COLOR: #0099ff; BACKGROUND-COLOR: #0099ff" SIZE=1><!-- / icon and title --><!-- message -->I can only hope so!!!

Posted by CowboyDan at LVA...

http://biz.yahoo.com/e/081215/betm.ob8-k.html

Form 8-K for AMERICAN WAGERING INC

15-Dec-2008

Creation of a Direct Financial Obligation or an Obligation under an Off-Bal


Item 2.03. Creation of a Direct Financial Obligation or an
Obligation under an Off-Balance Sheet Arrangement of a Registrant.
Victor Salerno, the Company's President, Chief Executive Officer and Chief Operating Officer, loaned the Company an additional $500,000 on December 1, 2008 due to the cash flow needs of the Company. Due to the urgency, the funds were advanced on an expedited basis without board approval. As reported in the Company's Form 10-Q for the quarter ended July 31, 2008, Mr. Salerno had previously loaned the Company $500,000 pursuant to a loan agreement dated April 21, 2008. The independent directors of the Company are considering for fairness a proposed amendment to that loan agreement to cover the total $1,000,000 that has been loaned by Mr. Salerno as well as other proposed terms and are considering other alternatives.

On December 11, 2008, U.S. Bank gave the Company verbal approval to extend the maturity date of the Company's $500,000 revolving line of credit for 90 days after the original maturity date of December 31, 2008 and to further negotiate the terms of the line of credit. However, until definitive agreements are signed, there can be no assurance the line of credit will be extended or that the terms of the line of credit can be renegotiated on terms atleast as favorable to the Company.



Item 5.02 Departure of Directors or Certain Officers;
Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On December 2, 2008, Mr. Salerno agreed to reduce his annual base salary to the amount sufficient to cover payroll deductions for benefits, effective November 24, 2008. Pursuant to the original terms of his employment agreement, Mr. Salerno is entitled to an annual base salary of $240,000.

Melody J. Sullivan, the Company's Chief Financial Officer and Treasurer, agreed to reduce her annual base salary by 20% effective January 3, 2009. Pursuant to the original terms of her employment agreement, Ms. Sullivan is entitled to an annual base salary of $180,000.

The salary reductions are intended to be temporary pending an improvement of the Company's cash flow.

 

[mofome]

Re: Leroys could be on Queer street too

Not good

 

[railbird]

Re: Leroys could be on Queer street too

could be good, maybe these casinos will get their own book.

 

[Wise Guy]

Re: Leroys could be on Queer street too

could be good, maybe these casinos will get their own book.

Leroy's has gone through several similar financial situations for years now. Even those of us who are are active in the local Las Vegas betting market pretty much ignore articles like this now (because we have read similar articles dozens of times over the years).

American Wagering, like all Nevada sports books, has funds on deposit with the Nevada Gaming Control people in the event they go out of business or default on their obligations. Those funds (which are on deposit) can be used to pay off winning tickets or pay out remaining deposits on telephone wagering accounts.

For a variety of reasons, there are all sorts of casinos in Nevada that choose not to run their own race and sports book. If Leroy's should go out of business (which I don't expect), then Luckys or Cal-Neva would step in to take over that space. Luckys and Cal-Neva are similar to Leroy's in the way they operate. The casinos where they operate are NOT going to open their own race and sports book. Those small casinos who don't have the expertise to run their own book either contract with Luckys, Leroy's, and Cal-Neva or they have no race & sports book.

And in defense of Leroy's, they run a pretty good sports book. They offer fair limits. They don't play stupid games, like offering a one sided line. By that I mean that some other sports books (which I won't name here) put up a line on the board that they don't really intend to honor unless you bet the side they want. If you come in to bet +15, well what you see on the board is a "mistake." Sorry we forgot to take that down, we will fix that "mistake." There, now we changed the line to 13 and you can bet +13 if you like. However, if you instead wanted to play a parlay or wager -15, then that line you see on the board is the right line. Leroy's does not play that game, they deal fairly with the betting public. I have no association with Leroy's but they run a pretty stand-up book and they have outlets in towns where they are the ONLY sports book. I hope they are here forever.

 

[DrunkHorseplayer]

Re: Leroys could be on Queer street too

Looks like things aren't going very well for Lucky's either.

http://www.thebeargrowls.com/?p=244

 

[The Prophet]

Re: Leroys could be on Queer street too

Leroy's has gone through several similar financial situations for years now. Even those of us who are are active in the local Las Vegas betting market pretty much ignore articles like this now (because we have read similar articles dozens of times over the years).

American Wagering, like all Nevada sports books, has funds on deposit with the Nevada Gaming Control people in the event they go out of business or default on their obligations. Those funds (which are on deposit) can be used to pay off winning tickets or pay out remaining deposits on telephone wagering accounts.

For a variety of reasons, there are all sorts of casinos in Nevada that choose not to run their own race and sports book. If Leroy's should go out of business (which I don't expect), then Luckys or Cal-Neva would step in to take over that space. Luckys and Cal-Neva are similar to Leroy's in the way they operate. The casinos where they operate are NOT going to open their own race and sports book. Those small casinos who don't have the expertise to run their own book either contract with Luckys, Leroy's, and Cal-Neva or they have no race & sports book.

And in defense of Leroy's, they run a pretty good sports book. They offer fair limits. They don't play stupid games, like offering a one sided line. By that I mean that some other sports books (which I won't name here) put up a line on the board that they don't really intend to honor unless you bet the side they want. If you come in to bet +15, well what you see on the board is a "mistake." Sorry we forgot to take that down, we will fix that "mistake." There, now we changed the line to 13 and you can bet +13 if you like. However, if you instead wanted to play a parlay or wager -15, then that line you see on the board is the right line. Leroy's does not play that game, they deal fairly with the betting public. I have no association with Leroy's but they run a pretty stand-up book and they have outlets in towns where they are the ONLY sports book. I hope they are here forever.

Gaming Contol condones this...?

By that I mean that some other sports books (which I won't name here) put up a line on the board that they don't really intend to honor unless you bet the side they want. If you come in to bet +15, well what you see on the board is a "mistake." Sorry we forgot to take that down, we will fix that "mistake." There, now we changed the line to 13 and you can bet +13 if you like. However, if you instead wanted to play a parlay or wager -15, then that line you see on the board is the right line.

FWIW:

American Wagering, Inc. (BETM)

Last Trade 0.15
Time 12:55pm
Change -0.03
Prev Close 0.18
Open 0.17
Bid 0.14
Ask 0.15
1yr Target Price N/A
Day's Range 0.15 - 0.17
Year's Range 0.25 - 1.12
Volume 16200
Ave Volume 9361
Market Cap 1.2M
P/E Ratio N/A
EPS Est 0.00
Div/Share 0.00
Div Yield N/A

 

[Wise Guy]

Re: Leroys could be on Queer street too

Gaming Contol condones this...?

You mean, does the Gaming Control Board condone this bs of putting up a one sided line? And by that, I mean the book leaves 7 on the board -- and if you want to bet +7, they won't accept that wager (and they change the line as you stand at the counter) but if you want to parlay or bet -7, then they gladly accept your wager without changing the line.

Well, effectively, Gaming Control condones this. Everyone who is on the inside knows this goes on. Only at a few shit books, not everywhere. It is totally offensive but what am I (just an individual bettor) going to do? Those who complain about it are wasting their time. I have seen guys complain to Gaming Control about this and nothing ever gets corrected.

This is what happens every time: Someone complains or goes to one of the local newspapers. Gaming Control issues a public statement that this is VERY SERIOUS INDEED and they are going to look into it. They don't. Gaming does not even bother to visit the offending casino. And you never hear a thing about it again.

And what are you going to do about it? If you don't get the number you want, you go somewhere else.

I hope that I answered your question.

 

[Wise Guy]

Re: Leroys could be on Queer street too

Gaming Contol condones this...?

Now, I don't mean to imply that you are always going to get the number on the board when you place a wager at Leroy's. Because they have 60+ locations. If the number is juicy, someone else knows that too. So, if someone bets the same time as you, they may get the number and you may be offered the new updated number.

But that is a lot different from visiting a book that has ONE location, no satellites, and the supervisor is half asleep. And when you try to bet something juicy on the board, he refuses if you are getting the advantage (because he can see what the prevailing number is around town and offshore on his display screen). Naturally, he accepts if the casino is getting the advantage.

 

[The Prophet]

Re: Leroys could be on Queer street too

You mean, does the Gaming Control Board condone this bs of putting up a one sided line? And by that, I mean the book leaves 7 on the board -- and if you want to bet +7, they won't accept that wager (and they change the line as you stand at the counter) but if you want to parlay or bet -7, then they gladly accept your wager without changing the line.

Well, effectively, Gaming Control condones this. Everyone who is on the inside knows this goes on. Only at a few shit books, not everywhere. It is totally offensive but what am I (just an individual bettor) going to do? Those who complain about it are wasting their time. I have seen guys complain to Gaming Control about this and nothing ever gets corrected.

This is what happens every time: Someone complains or goes to one of the local newspapers. Gaming Control issues a public statement that this is VERY SERIOUS INDEED and they are going to look into it. They don't. Gaming does not even bother to visit the offending casino. And you never hear a thing about it again.

And what are you going to do about it? If you don't get the number you want, you go somewhere else.

I hope that I answered your question.

Thanks for the reply. 12io4j2w90

I was merely asking if you knew if Gaming Control had received a written complaint regarding the issue you cited, I?ll assume they have not, since you didn?t state that they did or mentioned a current status if they had.

I know a punter with a Coast call-in account that complains about not always getting confirmation on 2nd ? basketball action, the message goes into a waiting for supervisor approval mode then simply disconnects the call. Can you confirm or know anyone else receiving the same?

Thanks
.

 

[Wise Guy]

Re: Leroys could be on Queer street too

...I know a punter with a Coast call-in account that complains about not always getting confirmation on 2nd ? basketball action, the message goes into a waiting for supervisor approval mode then simply disconnects the call. Can you confirm or know anyone else receiving the same? Thanks

Yes, I know exactly what he is talking about. He is telling you the truth. Getting approval for any size at Coast on their telephone betting, well forget it because it will drive you insane. I should not get started on the problems with Coast telephone betting because I will start raving and ranting like that madman, Dave the Meatman. Telephone betting at the Coast is a total farce.

And this is a perfect example of why nearly everyone who bets a lot and lives in Las Vegas -- also has accounts with Pinnacle, CRIS, Olympic, etc. I do -- and I hardly use my local telephone betting accounts.

 

[Wise Guy]

Re: Leroys could be on Queer street too

...I was merely asking if you knew if Gaming Control had received a written complaint regarding the issue you cited, I’ll assume they have not, since you didn’t state that they did or mentioned a current status if they had....

Yes, Gaming Control has received written complaints on this issue. And they pretend that they are going to TAKE THIS COMPLAINT VERY SERIOUSLY -- and you never hear about it again. They pretend to investigate and eventually the whole issue just fades away.

And what is the individual bettor going to do about it? You can't sue the Gaming Control Board to force them to do something. If you push it, eventually they issue a finding that the complaint was investigated and no evidence could be located.

I have never submitted a written complaint about this issue because it is a total waste of time -- and I have better things to do with my precious hours.

 

[Wise Guy]

Re: Leroys could be on Queer street too

The reality is, you try to bet into the best line that you can. If you can't get a particular number, you go elsewhere. If a book is regularly posting lines that they don't honor, the words gets around. And their handle suffers because bettors don't even bother.

The fix is to have someone other than empty suits upstairs who can figure out what is going on. Some folks upstairs know how a sports book works, but far too many are simply empty suits who came from accounting or the pit -- and -- have no clue what makes a sports book tick.

 

[The Prophet]

Re: Leroys could be on Queer street too

Yes, I know exactly what he is talking about. He is telling you the truth. Getting approval for any size at Coast on their telephone betting, well forget it because it will drive you insane. I should not get started on the problems with Coast telephone betting because I will start raving and ranting like that madman, Dave the Meatman. Telephone betting at the Coast is a total farce.

And this is a perfect example of why nearly everyone who bets a lot and lives in Las Vegas -- also has accounts with Pinnacle, CRIS, Olympic, etc. I do -- and I hardly use my local telephone betting accounts.

Thanks for the reply and information I will inform the complaint of your confirmed findings.

I believe many don’t understand the depths of the unethical conduct of these regulated providers in Nevada as well as those throughout the world, while there is many other questionable issues than what’s being discussed here.

I also believe Nevada books simply don’t care about projecting an ethical public business relationship no more than a street pimp does. After all, it’s all about the easiest methods of parting suckers from their money.

The don’t play if you don’t like it sucker attitude.

And who’s to argue?

Suckers are the only ones allowed to play until they’re broke or wise-up, then they’re 86’d.

Regulation is an example of shared interests…a perceptional shell-game protecting the book’s interests at the public’s expense.

Again, thanks for taking the time to share the info. 12io4j2w90


.

 

[Wise Guy]

Re: Leroys could be on Queer street too

...Suckers are the only ones allowed to play until they?re broke or wise-up, then they?re 86?d...

One more thing - if one wagers small, you slide under the radar. Your friend will avoid most problems with Coast telephone wagering if he bets $100 or under on each play.