[Clarkmeister]

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Harrah's will never sell those properties. And if they did, they will 100% remove any TR functionality. Anyone buying the property will be lucky to even be left with a database, but in this case it's moot. They aren't selling anything in Vegas unless it's the Rio.

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Clark - there seems to be two camps at this stage, those who believe all strip facing properties will be sold off for the value of the realestate is greater than the value of the properties, and the camps that believe that Harrah's will maintain the strip properties.

I have also read an article postulating that the #1 asset of Harrah's besides the realestate was the Total rewards program, that there is value in licensing this out to third party operators.

Is it fair to say you think those who are postulating the strip properties will be sold off are probably wrong? Your record has been pretty good so far, I'm interested to hear what you think.

PS: Both sides are buzzing that the Rio will be sold, and often this buzz comes with the WSOP.

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Assuming that the new owners don't radically change course, I think they will take a wait-and-see approach to the center strip, observe how the Vegas market reacts to the current wave of capacity that is coming, then make a decision from there. They are cash flowing plenty, and there's no rush. It's the obvious and prudent move.

TR is way too much a core part of their competitive advantage. Smaller operaters won't be able to afford it, and I just can't see why they would sell it to any of their direct Vegas competition. I mean, who is their market? I just see zero chance of this. It's a big part of the value of the company, absolutely, but more as a huge part of their edge as opposed to something they could/should monetize.

The Rio will ultimately go is my guess, but given the multiple that was paid for the company and the undeveloped land on the site, it's not like it'll be a fire sale. They'll want at least the same multiple as their implied purchase price plus some sort of absurd per/acre price for their 25 or so undeveloped acres on the site. That's just a big price and it'll likely take some time to find a buyer.