Harrah's reports $195 million loss in first quarter
The loss was a 47.4 percent widening from the $132.7 million loss posted the same time last year, the gaming giant announced this morning.
Revenues slipped to $2.19 billion for the quarter ended March 31, a 13 percent decrease from the $2.54 billion posted first quarter in 2009.
Along with the impact of the recession on discretionary spending, the company also blamed downward pressure on room rates and severe winter weather in the Midwest and in the East for the revenue decline.
Property cash flow fell 12 percent to $493.7 million, down from the $561.3 million realized the same time last year.
In Las Vegas, the incremental revenues from the Planet Hollywood Resort acquisition in the quarter helped the company flatten out its revenues for the quarter.
Revenues declined less than 1 percent to $682.8 million from $686.4 million last year. Property cash flow slipped 3.9 percent to $190.9 million in the quarter from $198.6 million.
The company owns nine hotel-casinos locally including Caesars Palace, Planet Hollywood Resort, Rio, Harrah's Las Vegas, Paris Las Vegas, Bally's, Flamingo, Imperial Palace and Bill's.
Harrah's Entertainment paid $491.5 million in interest expense on its debt load and $47.4 million on the early retirement of debt in the quarter.
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