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In what is a first in this country, a casino is applying to increase the number pokie machines it has in return for closing down some table games.
SkyCity's Hamilton casino wants to add 60 machines to replace three blackjack tables.
It said this is to satisfy public demand, particularly at busy periods, such as Friday and Saturday nights and public holidays.
SkyCity said the extra 60 pokies would bring the number to 399 and the quid pro quo would reduce the black jack tables from 23 to 20.
This is a test case and SkyCity needs to prove the exchange is proportionate.
SkyCity lawyer Gillian Coumbe QC said the law allows for electronic gaming machines to be substituted for table games.
'We say the commission does not need a statistician to make its assessment and it does not need multiple formulas to make its assessment. The overall assessment is a much simpler, straight forward and common sense one.'
Ms Coumbe said the substitution offers broadly the same player numbers - 60-machines versus 63-seats at the 3-blackjack tables.
She said it is arguably the most straight forward comparison, although comparing the money spent may also interest the commission.
'The relevant consideration is whether you look at the minimum level of wagering, whether you look at the average level of wagering or indeed whether you look at the maximum level of wagering permitted for each of these types of games, you will find that the level of wagering on EGMs is far below that of table games.'
Hamilton casino general manager Michelle Bailey disagreed with comments from some opposed to the licence change that measures put in place to identify problem gamblers is weak.
'I think it is going to help us at those peak times to enable people to have a great customer experience. They will be able to get on to the machines that they want to get on to, which means they will have a great night out. I do not think it is going to increase harm at all.'
She was cross examined by Hamilton City Council lawyer James MacGillivray.
He asked her if SkyCity's application was successful, was it her expectation that there will be more people gambling at the Hamilton Casino than is currently the case.
Ms Bailey replied yes, at the peak times, on the machines.
Mr MacGillivray also asked her if it was her expectation that more money will be wagered on the 60 new EGMs than would be the case in keeping the 3 black jack tables..
'Yes.'
A sting operation conducted by Internal Affairs to check on the casino's response to problem gamblers was brought to the attention of SkyCity Auckland's group host responsibility manager, Robert Burrell.
The Hamilton casino failed in some of its responses to help a person, described as a mystery shopper, who was showing signs of being a problem gambler.
Mr Burrell dismissed it as a snap-shot in time which didn't reflect the company's host responsibility.
'If you think of the realities between a mystery shop which is scripted for someone to say something and react a certain way. The reality of problem gambling [is] people don't react in the same way. So mystery shopping is trying to mimic a certain behaviour to get a certain response.'
Michelle Bailey revealed that the Hamilton casino has been trialling facial recognition to help identify people who are excluded from the casino.
Sky City Pokies Images
The technology is now to be rolled out at each of SkyCity's 4 New Zealand casinos.
'Effectively it enables us to recognise people as they enter, so it is just another tool in our tool kit effectively to help recognise people who are self-excluded. We effectively put in photos of people who have been excluded, into the data base and the camera picks it up.'
The Gambling Commission received 250 written public submissions with the majority against any increase in gaming machines.
The application is also opposed by the Hamilton City Council, the Waikato DHB, Ministry of Health, Salvation Army, Anglican Action and the Problem Gambling Foundation.
They will have their chance to present evidence over the next few days.
Chief Gambling Commissioner Graeme Reeves said the hearing was just to determine a variation to the casino licence and was not in place to stray into irrelevant areas.
Copyright © 2019, Radio New Zealand
New Zealand-based casino operator SkyCity Entertainment Group has reopened its gaming, entertainment and hospitality facilities in Adelaide and also revealed that its recent NZ$180 million (US$115.3 million) share placing drew strong support from investors.
iGaming Business reports that consistent with its approach when re-opening casino properties in New Zealand, SkyCity’s Adelaide Casino will recommence operations in a staged manner, with reduced operating hours.
The casino had been closed for a number of months due to the COVID-19 pandemic.
Other measures that will be put in place at the property include only permitting active members of its rewards programme access to the casino, with capacity subject to a maximum of one customer per two square metres at any time.
This will mean that up to 2,200 people, including patrons and staff, will be allowed inside the property.
Sky City Pokies Pictures
SkyCity will also implement distancing measures, such as limiting the number of players at each gaming table, as well as introduce enhanced hygiene protocols throughout the facility.
Most food and beverage outlets will reopen at the casino, while SkyCity will put in place a new system to support contact tracing, primarily through surveillance, guest registers, identity scanning and loyalty card use.
The reopening was made possible after South Australia’s government moved to the third and final stage of reopening the state’s economy amid the relaxation of COVID-19 restrictions.
SkyCity reopens Adelaide Casino as Covid-19 measures eased https://t.co/5IZO62UP90pic.twitter.com/YyncZXlSS7
— iGB (@iGamingBusiness) June 30, 2020
SkyCity enters into massive equity raising measures
New Zealand-based casino company SkyCity Entertainment Group has launched an A$215 million (NZ$230 million) equity raising to strengthen its balance sheet after shutting down during the coronavirus pandemic.
Perth Now reported in June that SkyCity board chairman Rob Campbell said despite encouraging trading since reopening in New Zealand, the outlook remains uncertain as the company adjusts to the new social and economic settings.
SkyCity said it had secured waivers from its debt covenants through to mid-2021 as well as NZ$160 million in new bank funding, which was contingent on SkyCity raising NZ$200 million in net funding.
“The equity raising will ensure that SkyCity remains appropriately capitalised and provides certainty to allow for the delivery of the strategic plan for the business,” Mr Campbell said.
The equity raising consists of a fully underwritten NS$180 million institutional placement and a NZ$50 million share purchase plan.
The institutional placement will be at NZ$2.50, a 6.4 per cent discount on its last closing price of NZ$2.67 on the NZX.
SkyCity said its New Zealand properties reopened last month, except for its Queenstown wharf casino, while it expected Adelaide Casino to reopen later this month.
A NZ$330 million expansion of the Adelaide Casino is still on track to be completed by October.
SkyCity said it has received an initial NZ$105 million insurance payment for the New Zealand International Convention Centre project in Auckland, which was hit by a devastating fire in October, after a worker apparently left an unattended blowtorch on the roof.
SkyCity said the NZ government had granted it a two-year extension on the NZ$750 million project, to January 2, 2025.
SkyCity announces more job cuts amid the coronavirus pandemic
SkyCity has announced that it has let go 700 more staff members amid the coronavirus pandemic.
New Zealand is one of the countries that identified and contained COVID-19 most quickly and effectively.
Its response to the pandemic was swift and thorough, but hasn’t been enough to spare more job losses at the casino, which has venues in Auckland, Christchurch and Queenstown.
Casino Aus reported in May that New Zealand did so well at the restrictive level 3 recently that officials this week moved to Level 2.
Sky City Pokies Photos
This means New Zealanders can resume most of their regular activities.