Send me real-time posts from this site at my email
Motley Fool

Las Vegas Casinos Face Tighter Capacity Limits in New Threat to Recovery

Already struggling to rebound from the coronavirus pandemic that shut operations for four months, Las Vegas casinos are now facing a new threat. Nevada is imposing new rules that will limit maximum occupancy to just 25% of capacity, down from the 50% that was previously permitted.

As with prior restraints imposed at the outset of the crisis, some businesses will get a pass, such as grocery stores being allowed to maintain 50% capacity limits. Other venues like restaurants, bars, and gyms will need to comply with the new restrictions.

Image source: Getty Images.

Thankful to still be open

Casino operators including Caesars Entertainment (NASDAQ: CZR), Las Vegas Sands (NYSE: LVS), and Wynn Resorts (NASDAQ: WYNN) will need to comply with the new regulations for three weeks after they take effect beginning Tuesday.

Nevada Gov. Steve Sisolak is also limiting public gatherings to no more than 50 people, or 25% capacity, whichever is less, while private gatherings are limited to just 10 people and masks are mandated.

The Centers for Disease Control and Prevention has called for families to not travel for Thanksgiving, and several states have imposed similar limitations on the size and makeup of private gatherings.

New Jersey Gov. Phil Murphy, for example, just issued an executive order limiting private gatherings to 10 people, and public gatherings to 150, but he is getting resistance from police chiefs who say they won't enforce the order on private Thanksgiving dinners.

New Jersey's casino operators face additional restrictions, including curfews on dining after 10 p.m. MGM Resorts International's (NYSE: MGM) Borgata casino is laying off over 400 employees as a result after firing 18,000 Las Vegas employees in August.

Nevada's unemployment rate of over 13% is the second-highest in the country behind Hawaii. The rate had soared to more than 30% after the first restrictions were imposed in March.

10 stocks we like better than MGM Resorts International
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*

David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and MGM Resorts International wasn't one of them! That's right -- they think these 10 stocks are even better buys.

See the 10 stocks

*Stock Advisor returns as of October 20, 2020

Rich Duprey has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.


Source

Popular posts

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue