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AGEM Board of Directors Actions

March 2020

AGEM Board of Directors Actions
  • AGEM in conjunction with the American Gaming Association (AGA) recently released a fact sheet designed to help combat the spread of unregulated machines in multiple markets throughout the U.S. The informational tool sets out to clearly distinguish between regulated and unregulated gaming machines and their negative consequences. This is an ambitious project spearheaded by AGEM, but the impact of this initiative is already very positive, having touched more than 3,000 key individuals ranging from state legislators to law enforcement and media outlets. In addition, 23 industry organizations have signed on in support of the initiative and in turn have distributed the fact sheet to their membership and key stakeholders. An intense six-month rollout process is under way with some key states such as Virginia, Missouri and Pennsylvania now considering legislative changes to directly address unregulated gaming.
  • The AGEM Board approved the position of opposing two new tax proposals in Nevada. The Clark County Education Association is proposing to add a fourth tier to the state’s gaming tax. The Nevada Resort Association, which represents more than 70 gaming resorts in the state, came out strongly against the initiative, stating the proposal would be very damaging to the state’s economy, job creation, capital investment and future economic development. The gaming industry currently generates nearly $68 billion annually for the state’s economy, pays almost 40 percent of the state’s general fund revenue and supports more than 450,000 jobs statewide.
  • AGEM members approved a slate of annual contributions to key problem gambling initiatives. The National Council on Problem Gambling (NCPG) received an annual contribution of $50,000. The organization serves as the national advocate for programs and services to assist people and families affected by problem gambling. GamCare, the U.K.-leading provider of information, advice and support for anyone affected by problem gambling, receives a contribution of £5,000. The 14th Annual Nevada State Conference on Problem Gambling, taking place June 4-5 at South Point, Las Vegas, receives sponsorship of $7,500, and the 17th Annual Midwest Conference on Problem Gambling and Substance Abuse, being held June 17-19 in Kansas City, Missouri, receives sponsorship of $5,000.
  • As the spread of coronavirus continues globally, the impact has caused the organizers of G2E Asia to postpone the show until July 28-30. Will Wise, VP at Reed Exhibitions, addressed AGEM members at the recent monthly meeting, telling them that they are constantly reviewing the situation to ensure the safety of attendees and exhibitors. At the same meeting, Brian Sullivan, event director of the NIGA show, gave an update on the show taking place March 24-27. The organizers are taking advice from key stakeholders but concede the situation is very fluid and they are constantly reviewing the situation. There was much discussion on whether the show should go ahead or not, with the prime importance being the well-being of AGEM member-company employees.

FORTHCOMING EVENTS

  • Discovery Conference on Problem Gambling, will take place in Toronto, Canada, April 14-16. AGEM is a proud sponsor of this conference, which is the largest and longest-established problem gambling/responsible gaming event in Canada.

AGEM INDEX

The AGEM Index decreased by 71.59 points in February 2020 to 468.91 points, a 13.2 percent decline from January 2020. The drop was driven by stock price declines for all 13 AGEM Index companies as markets around the globe reacted to the uncertainty surrounding the COVID-19 outbreak. The stock price for Aristocrat Leisure Limited (ASX: ALL) dropped by 8.5 percent, accounting for a 28.12-point decrease in the AGEM Index, while Crane Co. (CR) experienced a 20.5 percent stock price drop that led to an index contribution of negative 15.56 points. All three major U.S. stock indices decreased as the Dow Jones Industrial Average and the S&P 500 experienced monthly declines of 10.1 percent and 8.4 percent, respectively. The NASDAQ also experienced a drop of 6.4 percent.