Jupiters prepares for all eventualities with new boss

Jupiters – the famous casino on the East Coast of Australia – has announced that it is now under the control of a new boss, namely Frederic Luvisutto. The man who originally hails from France is seen by the business as the perfect choice to lead the hotel and casino through the possibly turbulent months ahead, which could see heavy regulations placed on pokie games machines – the company’s highest source of income.

Mr Luvisutto has also been brought in due to the fact that he has extensive experience when it comes to the creation and refurbishment of casinos – most of which came during his time as a senior executive in many of the top venues in the United States. Jupiter is already planning a massive overhaul of its premises, and Mr Luvisutto will be instrumental in ensuring that all of these plans are realized to their fullest extent.

The planned redevelopment of Jupiters is pencilled in to occur over two different stages, which when combined will cost the business upwards of $350 million – a clear indicator of the amount of profit that this resort makes. The first stage of the redevelopment will encompass a $175 million overhaul, which includes a new spas facilities, eight brand new restaurants, a club and a larger gaming area.

The second part of the redevelopment is only going to go ahead should the Gold Coast be successful in its bid for the 2018 Commonwealth Games – something that would bring not only a massive amount of extra visitors to the resort, but also huge amounts of publicity around the world as well. With the bidding process still only in its early stage, the result of whether this second phase will go ahead is still very much in the balance.

Of course, all of these redevelopments hinge on the future of the pokie machine in Australia. Should the government’s plans go through and there are restrictions placed on the amount of money that people can spend on pokies each day, the company will see their profits drop by large amounts and they could well struggle to justify the expense of these new developments. They will hope that the MPs still undecided on the issue will back the anti-reform movement, which is currently being led by the opposition to the government, as well as the hugely powerful gambling industry.

It is unclear as yet whether this new appointment of Frederic Luvisutto is really in preparation for the upcoming reforms, or whether they are trying to bring in the right man to steer them through the trouble that is on the horizon for their business. The general consensus is that both of these opinions are true. There is no doubt that Luvisutto is the right man for the job when it comes to refurbishment, but he is also one of the most experienced casino operators in the world, meaning that he has the necessary experience to head up a company that could find themselves struggling.

Whatever happens in the upcoming vote, the appointment of Luvisutto seems to be a shrewd move by Jupiters. With all of his expertise, Jupiters seem to have managed to cover all their bases with this restructuring of their management.

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Rob Oakeshott courts controversy within the gambling debate

The latest debate regarding the highly divisive plan on pokies reform in Australia was marred by a suspicious absence – that of Rob Oakeshott, who is the independent MP who could find his vote being decisive when the decision time comes.

A MP missing a debate isn’t something that would usually arouse such emotions in the government, but it is the manner of Mr Oakeshott’s absence that is the real reason behind the suspicion.  This is because he is away in Malaysia on a trip commemorating the Sandakan death march, which is organized by… Club Australia, one of the main opponents of gambling regulation reform.

Currently Mr Oakeshott could vote either way on the issue and it coud be interpreted by outsiders that Club Australia are using this as a way to lobby for his vote. What is more concerning though is that he accepted their invitation, as surely he knew that there would be whispering in the corridors of government regarding his conduct. One thing is sure though – should he vote against reform, then the chances are that this trip will come back to haunt him…

It isn’t just M Oakeshott who is arousing passions over this subject though – the whole topic has fuelled heated debate ever since its inception. The debate has become so fierce that the MP who proposed new regulations – Andrew Wilkie – says that he has even received death threats from the gambling industry due to his beliefs. Although if true this is obviously unacceptable behaviour, it just proves how much the gambling industry have to lose should these reforms go through.

Whether they will go through though is still very much in the balance, although a number of MPs have already declared their position on the matter. One of these is MP Adam Bandt, who has already said that he will be supporting the vote for reform – although there are others, such as Tony Windsor, who have said that they will be voting against. This split in opinions is a clear indicator that the vote will be a close one and could come down to just one or two MPs being swayed either way.

What all of the MPs seem to agree on though is that pokie games machines are not something that are good for society. Where they are divided is on the feasibility of regulating them, as well as the knock on effects that this regulation could have. One of these effects is the fact that gambling companies currently have to give 1.5% of their revenue to charitable causes – something they have said they will have to stop should these new regulations come in to force. This would obviously have large knock on effects on society and ministers are keen not to lose this vital charitable income.

With the vote so close and the stakes so high, the argument comes back to the actions of Mr Oakeshott once again. Come decision time, will the fact that he accepted the chance to go away with one of Australia’s leading gambling companies affect the decision he makes, and will this be a fair representation of what democracy in Australia should represent? Only time will tell…

The Australian Gambling Debate Rolls On

In the ongoing investigation in to the Australian gambling business, the head of the gambling subsidiary of Woolworths has made the remarkable claim of pokies being similar to hamburgers – in that they are both liable to have addicts regarding them, but in the majority of peoples’ hands they are entirely safe and are simply a pleasurable activity. This latest sound byte is just one in a long stream that are being tossed about by the different sides in this debate – sound bytes that they hope will sway the public opinion in their favour.

This large inquiry was initiated from the very top of the Australian government, with the Prime Minister herself ordering the investigation in to problem gambling throughout the country. Don’t be fooled though, as this was undoubtedly not a moral act – she was more interested in gaining the support of Andrew Wilkie, whom she sees as a candidate to form a minority government with.

The Woolworths group has hit back though regarding the limiting of gambling throughout the nation, as they say that it will likely cost them about 20% of its gambling revenue. This would represent a huge hit to the company as a whole, as they say that their gambling side of the business is one of the areas that they see the highest profit margin in at the moment.

In a further announcement regarding the possible legislation regarding gambling in Australia, Woolworths made a less than veiled threat. They stated that should they find themselves being governed by more restrictive rules, they would be forced in to withdrawing much of the $36 million that it spends on charity ventures every year.

In terms of the national monetary interest, many have questioned the amount of money that would be needed to implement this new legislation on gambling. The current estimate of cost stands at around $1.5 billion, which a lot of citizens believe could be used far more effectively in other areas.

The head of the Gaming Technologies Association – Ross Ferrar – has also weighed in with his own take on this proposed new system. He states that it would be like “an ambulance at the bottom of the cliff” and that the new regulations would in fact hit the recreational gamblers harder than those that do have a problem.

His suggestions focussed on more immediate measures that would speak directly to those that have a problem with gambling. One of many measures that he suggested was to have a message that appears in front of the compulsive gambler and therefore means that they are warned of their habit’s possible side effects.

Whether this new legislation manages to make its way through the government remains to be seen, but it has certainly got the online pokies companies worried about their profits for the upcoming financial years. The question really has to be asked though – is the regulation of the gambling industry really the top priority for the government at this current time?

Wilkie’s gambling mission could be a good bet for success

Andrew Wilkie is currently the hot talking point of Australian politics, mainly due to his seemingly one man crusade to tackle the gambling industry head on and to introduce tough new regulations on them. The Tasmanian has also managed to gain $340 million from the government as well, in order to rebuild the main hospital in Tasmania – the Royal Hobart Hospital. With one of his goals achieved, he is now free to fully focus on gambling reform – a debate that he is determined to win at any cost.

Originally Mr Wilkie wanted the removal of every single pokie games machine in Australia – something that was seen by everybody to be a wholly unachievable goal. Where people underestimated Mr Wilkie though is in the fact that he too almost certainly knew this goal to be beyond the scope of reason – meaning that his proposal on reducing the maximum bet amount now looks much more pragmatic than it would have previously done.

In fact, Mr Wilkie has been even more clever in regards to the timing of his new proposal, as he has waited for the backlash to start from the gambling companies before introducing it. With the companies effectively saying that removing pokie games would be “un-Australian”, he is now in the position of looking like a reasonable man with reasonable ideas on reform – not the crusading anti-gambling zealot that he was perceived to be previously. This has strengthened his hand with the pubic throughout the country, as well as making him more attractive for the currently undecided MPs to back when the debate comes to a head.

Only a fool would say that Mr Wilkie has won already though, as the pokies lobby are an unbelievably powerful force throughout the country. They have huge amounts of capital to spend and are currently running an aggressive advertising campaign in an effort to sway public opinion towards their beliefs. They can also rely on several MPs to back their efforts, as many are concerned about the economic problems that could be caused should gambling clubs start to go out of businesses – namely rising unemployment and therefore more people claiming benefits from the government. This means that the voters on the fence must decide – what is worse, a gambling problem or the fact that many people could lose their jobs?

Ultimately, the decision regarding whether this reform goes through will come down to two men – MPs Rob Oakeshott and Tony Windsor, who are both independent from either side and also still undecided on how to vote. Expect both sides to woo these two men in the coming weeks, as with their votes secured either side will be virtually guaranteed victory.

As we are talking about gambling, then the smart money is definitely on Wilkie though. His track record for getting what he wants ans his desire to see reform mean that the odds are stacked in his favour when it comes to reforming what many see is a poorly regulated and problematic gambling industry in Australia.

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Sky City Darwin continue to attract the punters.

With the looming debate over gambling reform hanging over the heads of the Australian gambling community, the casinos seem to be making one last push to boost their profits before proposed pokie reforms come into effect. Nowhere else is this more evident than at Skycity in Darwin, who continue to offer a huge number of promotions in a bid to attract in customers to their business. With these deals encompassing everything from roulette to free pokies, they are banking on the fact that they have offered something for everyone to enjoy.

Undoubtedly the main focus of their campaign is on those in their more senior years, as they look to fill the club during daytime hours. Some of the tactics that they are using to gain the custom of the older generation include a Senior’s Monday deal, whereby seniors receive a free voucher book upon entry, as well as a coffee and cakes morning every Wednesday – both of which they hope will drive the seniors towards their pokie machines and gambling tables.

As well as targeting seniors, they are also putting on a number of other deals to attract customers, with the biggest of these being the Jackpot Joe’s Cash Wednesdays offer, whereby a draw takes place that sees every customer have the chance to win at least $5000, which increases by $1000 after every week without a winner. The question regarding whether clubs should be flashing the cash like this when they are complaining of the financial ruin they could face if new reforms are introduced is one that can be argued another day…

For those that love pokies – which means the majority of people who go to these clubs – Skycity are also offering a number of special offers as well. One of these is the chance to win double points every Tuesday when playing the pokies, while another is weekly pokies tournament, which is held every Thursday with a prize of $2000 for the winner. When the clubs are making so much money due to the extra revenue gained through these offers, it is easy to see how they are able to offer such great cash rewards to players of the game.

The final offer of note is the one that they are running on Tuesdays, which sees everyone who earns 10 points getting a ticket for the chance to win either money or prizes through spinning the barrel and seeing what comes out. The jackpot for this competition is $500, although every time someone registers it increases by a further $1.

As can be seen, this is one gambling company that is doing it all can to attract punters before they are faced with the possibility of a huge loss of income. One can’t blame them for trying every trick in the book – after all, the upcoming vote on reform could see many places such as this one go out of business in the very near future. It is up for everyone to make their own mind up whether this is a good or a bad thing though…

Pro-gambling lobby fight Aussie Goverments moves to curb the gambling industry with “It’s un-Australian” campaign.

A $20m advertising campaign title “It’s un-Australian” and backed by Clubs Australia and the Australian Hotels Association has been launched in a bid to tackle the proposed changes being made to the Australian pokies industry.

This pro-gambling advertising campaign has been in full swing now for a while, and gambling groups had been quietly pleased with its success. When combined with the huge amounts of money being spent on public relations at the same time, they had become confident of their ability to sway public opinion on the matter.

The campaign focuses on the Labor government’s plan to introduce electronic cards which would be given to pokie players on a compulsory basis before they play pokie machines. These cards would be loaded with a predefined amount, which would limit the amount of money that a player could lose over a set period of time.

While the gambling giants see this as something that will seriously hit their long term profits, they are also concerned about the short term costs as well, as all machines will have to be upgraded to take this system before 2014.

This date was set in stone when Labor agreed to them in order to gain support from MP Andrew Wilkie in their minority government. Also agreed was the fact that laws regarding the issue had to be passed by May 2012 – should this not happened then Mr Wilkie is likely to withdraw his support for the government and effectively topple them from power. When one considers the possible consequences of these regulations not going through, it is clear to see why the government are so keen to get the ball rolling as quickly as possible.

Going back to the issue of the advertising campaign by the gambling businesses, the government are going to be quietly hoping that the ads are pulled from the screens. With the debate teetering on a knife edge, they know that public support for the change could be a decisive factor in the minds of those MPs who are yet to make up their mind.

The removal of the advert would remove the most effective way that the public can be influenced by the gambling industry, therefore allowing the supporters of gambling reform the ability to win over the minds of the public without competition.

Should the adverts not be removed from the television screens though, then the fight would still be very much on. With the argument at such a pivotal point in its course, this decision by the consumer watchdog could well decide the fate of pokie games machines throughout the gambling clubs of Australia.

Woolworths looks to further strengthen grip on pokie industry

Woolies – already one of the major players in the Australia pokie machine industry – are set to further tighten their grip on the sector as they prepare to go in to partnership with Arthur Laundy, who is one of the major hotel owner in Queensland and New South Wales. This would see the vice like grip of Woolworths further increase and catapult them in to the leading position in the world in regards to the amount of pokie machines owned.

In fact, after this partnership goes through, they will own more machines than the top 5 Las Vegas casinos – something that really shows just how much the pokie games machine craze has swept through Australia. After the deal Woolworths would be the owners of 13,300 machines, while the Las Vegas giants would be about 1,000 behind this figure. Granted, Woolworth’s machines are spread over a large number of premises but still – it is a record they are likely to brag about.

The specifics of the agreement between Woolworths and Mr Laundy would see Woolworths take control of 40 of the hotel magnate’s most gambling oriented hotels. Should Mr Laundy then buy the freehold of the properties as expected though, he would still be in control of the building, but not the actual business venture – effectively being Woolworths’ new landlords in a strange twist of fortunes.

One problem that Woolworths could face in regards to this deal is the fact that it has to be approved by the authorities first – something that means the acquisition isn’t a done deal yet. This is because Woolworths already have a huge market share when it comes to pokie machines, meaning that this purchase could effectively see them gaining a monopoly of the market – something that the government won’t stand for.

Should it go through though then Woolworths will become the proud owners of some of the most profitable gambling hotels in the states of New South Wales and Queensland though – including the Belfield Hotel, which is the 25^th most profitable pokie club in the state of New South Wales. This venue turns over $90,000 per week through machines alone, which is a huge indicator regarding the amount that Australian citizens love to gamble and would raise further the profile of Woolworths in the area of gambling – a profile that is already higher than any other company’s in the country.

It is this huge gambling craze that is threatening the like of Woolworths in the long run though and this acquisition comes at a time when they find themselves under threat of further regulation from central government. With the vote looming regarding gambling reform, is this move by Woolworths to purchase this huge amount of property one that will backfire, or is it a prudent move designed to maximize their chances of surviving a “yes” vote unscathed? Although we can all speculate, only time will tell what the future holds for the industry as a whole.

Are the gambling reform proposals right for Australia?

There is no doubt in the mind of most reasonable Australian citizens that pokie machines have become a problem in many areas of the country.


With more and more people becoming addicted to these gambling machines, the pressure has long been mounting on government officials to remedy the problem in a way that will not only help those suffering from addiction, but in a way that will also not damage the coffers of state finances in the process.

This is why the new legislation being proposed is such a contentious area, because many people see the reforms as incredibly harmful to the wealth of each state in Australia.

If we take just one state as an example then the scope of this issue can be seen in a glaring way, and in a light that casts doubts over the idea that Mr Wilkie and the Labor government have proposed to combat gambling addiction.

The state of Victoria has a huge amount of pokie gaming machines throughout the bars, pubs and clubs of its territory, all of which were made possible by a financially weak government in the early 1990s.

They were allowed due to the huge amounts of tax revenue that they would bring in, therefore increasing the amount of wealth available for the government to spend on essential projects such as housing and healthcare.

This has put the finances of Victoria in a tough position though now, as currently they are hugely reliant on the money that pokies bring in to continue providing the services that their citizens have become so used to.

Should these new gambling laws go through, then Victoria will be put in a difficult position. Yes, they will have a population that is safer from the vice of gambling, but at the same time they will have to find new ways of increasing their revenue.

This could lead to a rise in taxes, or to the cutting of budgets – both of which would not be seen as favourable by the majority of voters. This begs the question – is it right that the minority of the population who have gambling issues should be allowed to control the wealth of a whole state?

If we analyse the figures, then the scope of Australia’s gambling problem can be seen in its full light. Throughout the nation there are about 600,000 people who play pokies once a week, with nearly 100,000 of them saying that they find this habit to be one that they are unable to control.


While these numbers seem large though, it must be remembered that this figure of 100,000 is only a very small percentage of the overall population – meaning that the huge majority of people are going to have their lifestyles disrupted by the fact that a few can’t control themselves.

The introduction of these new proposals would be the wrong thing for Australia to introduce.


Trying to curb gambling addiction through these means won’t prevent people from gambling – it will just see them turn to other means, such as online pokies. As with many problems education is the answer, and the money being spent on reform would be far more useful if used to teach children throughout the land about the problems that gambling can lead to.

Aristocrat Leisure and Club Australia join the gambling debate

The Australian gambling debate continues to roll on, with Aristocrat Leisure being the latest gambling company to weigh in with proposals as to how they think that the problem could be more easily regulated. Many see their proposal as one that is stuffed with self-interest though – including the man heading up the inquiry, MP Andrew Wilkie.

The proposals put forward by Aristocrat Leisure encompassed many different points, but the one that was the most talked about was their idea for a “machine based” solution to end the problem of gambling addiction in the country.

This was due to their belief that a monitoring system – an idea muted by the government recently – wouldn’t be achievable by the government’s target of 2012, mainly due to the complexity of the task. In fact, their submission stated that this wouldn’t even be possible by 2014, therefore putting the whole overhaul of the system back by 2 years.

The main reason why pro-reform figures see this announcement in a suspicious light is due to the fact that Aristocrat Leisure say they would roll out this system as part of their normal replacement cycle, which means that they would not have to interrupt operations in order to comply with any future regulations.

This would obviously save the company huge amounts of money and would therefore ensure that their business remains a viable one through the period of change.

In response to this scepticism, Aristocrat Leisure stated that a new pokie games machine retails at about $25,000, whereas implementing a software upgrade would cost them just $3000 per machine.

This, they said, means that their suggestion in fact would cost them more to implement – therefore meaning that they have taken a cut in profits in order to assist those with gambling problems.

In addition to Aristocrat Leisure weighing in with their argument yesterday, Club Australia also joined the chorus of businesses opposing the methods that the Australian government want to introduce to curb gambling problems.

In a long statement they essentially said that the Australian government have underestimated the amount of work and logistics that will need to go in to setting up the system that they have proposed.

They also stated that the system will have a hugely detrimental affect on the smaller clubs in Australia, who current only see about $25 worth of profit a day from each machine that they own.

This, they say, means that the disputed figure for the amount of money the government thinks a machine will lose per day under new regulations - $1.50 – will actually represent a large percentage of income for these clubs.

The final results of these inquiries are still very much in the balance, with both sides seeing significant numbers of support being gained in recent weeks.

Whatever does happen though, everyone can be sure that it will be rather a long time before the ramifications of any changes are seen in their entirety.

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