July 16 (Bloomberg) -- The Revel Casino-Hotel in Atlantic City eliminated 75 salaried positions as part of a cost-cutting drive by the resort, which emerged from bankruptcy in May.
The cuts amount to 2 percent of the workforce, the New Jersey casino said yesterday in a statement. Revel also said it recorded its first profitable week this month, after posting a loss of $150 million for the 12 months ended March 31.
The casino, Atlantic City’s first new property since 2003, opened in April 2012 at a cost of $2.6 billion. New Jersey Governor Chris Christie jump-started the project with $261 million in tax incentives as part of an overall plan to revive the state’s gambling industry, which has lost customers to neighboring markets.
Revel’s strategy of targeting customers who were not regular Atlantic City visitors by offering smoke-free gambling and high-end restaurants flopped, and the property regularly ended up toward the bottom of the state’s monthly casino reports. The bankruptcy filing by Revel AC Inc., owner of the business, reduced its debt burden by more than $1 billion.
Creditors taking over the property replaced senior management and introduced a marketing campaign last month under the slogan “Gamblers Wanted.” In addition to adding a smoking section and more affordable restaurants, Revel is also refunding slot-machine losses over $100 for the month of July to players who sign up for the property’s loyalty card.
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