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Mohegan To Service Niagara Bundle

Published: September 10, 2018 2:58 pm ET

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The Ontario Lottery and Gaming Corporation has selected Mohegan Gaming & Entertainment (MGE) as the service provider for the Niagara Gaming Bundle, following a competitive procurement process.

The Niagara Gaming Bundle includes Fallsview Casino Resort and Casino Niagara. MGE will also operate the future 5,000-seat Niagara Falls Entertainment Centre, located adjacent to Fallsview.

"Selecting Mohegan Gaming & Entertainment is the latest step OLG is taking in our land-based gaming modernization, which is investing in communities and providing customers with new and exciting entertainment options," said Stephen Rigby, OLG's president and CEO. "By leveraging the success of the Niagara casinos and integrating with the wide mix of entertainment and tourist offerings in the area, MGE will help ensure the long-term competitiveness of the Niagara gaming market—particularly in relation to markets across the border."

"As a brand known for our all-encompassing entertainment destinations, we are excited to work with OLG, the City of Niagara Falls, Canadian Niagara Hotels Inc., Niagara Falls Entertainment Partners and other local stakeholders in supporting a twin-anchor strategy that is critical to the success of tourism throughout the Niagara region," said Anthony Casdia, senior vice president of Business Intelligence, Mohegan Gaming & Entertainment. "The Niagara Falls Entertainment Centre will be used to create unique experiences for the benefit of the Niagara Region, create more jobs, and encourage economic growth. As the operators of one of the most successful arenas in the U.S. over the last 15 years, we are eager to put our experience to work and establish Niagara Falls Entertainment Centre as one of Canada's top-ranked venues."

MGE plans to leverage the existing Fallsview Casino Resort and Casino Niagara sites in conjunction with the future Niagara Falls Entertainment Centre to create a dynamic entertainment experience that is expected to drive increased visitation to Niagara Falls. Customers will be offered world-class entertainment and amenities while the region is expected to benefit from economic development and increased job opportunities. MGE looks forward to becoming an important part of the Niagara community and partnering with multiple local stakeholders, including Canadian Niagara Hotels Inc., the current landlord of Casino Niagara and a local developer, as well as Niagara Falls Entertainment Partners, the developer of the Niagara Falls Entertainment Centre.

"In selecting Mohegan Gaming & Entertainment, OLG has selected an internationally recognized gaming destination operator which will take Niagara's casinos to the next level. I am confident MGE will work collaboratively with the community," said Dino DiCienzo, President, Canadian Niagara Hotels Inc.

While MGE will be responsible for the day-to-day gaming operations in the bundle, OLG will continue to:

  • Provide strategic oversight of the Niagara Gaming Bundle and Ontario gaming marketplace—including approvals related to material operational changes

  • Conduct and manage gaming in the bundle

  • Require compliance with applicable laws, regulations and standards

  • Be the owner of key player information

  • Require service providers to uphold the high standards of OLG's Responsible Gambling program, including the self-exclusion program

  • Make Municipality Contribution Agreement payments to the host community

Fallsview Casino Resort and Casino Niagara employees are employed by Falls Management Group L.P. Although employees of the Niagara casinos are not OLG employees, OLG is requiring MGE to retain them for a period of no less than 12 months. This is consistent with all other gaming bundles in Ontario. Unionized employees will transfer to the service provider under the terms and conditions of their current collective agreement.

OLG has entered into a Transition and Asset Purchase Agreement with MGE for the Niagara Gaming Bundle, which sets out the customary closing conditions to be satisfied for OLG and MGE to enter into a 21-year Casino Operating and Services Agreement.

To OLG, the integrity of its procurement process is of the utmost importance.

In order to ensure an open and transparent process for all proponents, OLG has engaged the services of an impartial Fairness Monitor to advise throughout the process and provide oversight on the fairness of the procurement.

OLG expects that the service provider will take over day-to-day operations in the summer of 2019.


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