Wynn Resorts, Limited
’s (WYNN - Free Report
) board of directors and top executives have decided to forego between 33% and 100% of their salaries in the light of the coronavirus-induced economic downturn. Matt Maddox, CEO, has agreed to give up 100% of his salary in exchange for shares for the rest of 2020.
These savings will be utilized to compensate ongoing employee payroll and other expenses. Despite the closure of its resorts in Boston and Las Vegas, the company has already announced that it will pay all of its employees, which also include their average tips.
Owing to the ongoing coronavirus pandemic, the shares of this Zacks Rank #5 (Strong Sell) have fallen 39.9%, compared with the industry
’s decline of 44%. Other stocks like MGM Resorts International (MGM - Free Report
) , Melco Resorts & Entertainment Limited (MLCO - Free Report
) and Century Casinos, Inc. (CNTY - Free Report
) have tanked 54.4%, 24.3% and 64.8%, respectively, in the past month.
Coronavirus Impact on Gambling Industry
The coronavirus outbreak has been impacting the Casino gross gaming revenue (GGR) in Macau. In February, gaming revenues from Macau decreased 87.8% to 3.1 billion patacas ($387 million). Notably, the casino operators in Macau were already grappling with a slowdown in China and the trade war between Beijing and Washington, the coronavirus outbreak has only aggravated the woes.
In Macau, casinos were shutdown beginning Feb 5 owing to the coronavirus-induced crisis. Although, casinos were reopened on Feb 20, travel restriction and limited number of tables at casinos continues to hurt the industry. Moreover, with the coronavirus becoming a pandemic, the impact has become visible across the world.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.