Caesars Entertainment CEO Tom Reeg told CNBC on Thursday that the return of business conventions to Las Vegas looks promising after a slowdown caused by the coronavirus pandemic.
“Our advance bookings for the second half of this year and in [2022] is extremely strong, ‘Reeg said in an interview with CNBC’s Contessa Brewer on “The Exchange.” Business groups want to come back. We just have to make sure we can accommodate it, ‘Reeg added.
Caesars approaches future events with more uncertainty than before the pandemic, according to Reg. One on the short-term horizon is the World of Concrete, which will be held in early June at the Las Vegas Convention Center. The opportunity for the concrete and masonry industry attracted more than 60,000 people in the years before Covid.
“We assume there is more weakening than normal for any group being discussed. We just do not know how fast people are going to come back,” Reeg said.
Caesars shares rose nearly 4% to about $ 96 apiece on Thursday. The share has risen by 28% so far this year and by about 425% over the past 12 months.
Las Vegas has been hit hard by the pandemic because health restrictions aimed at spreading the virus have led to the mandatory closure of hotels, casinos and restaurants in the city that depend on tourism. Following a relaxation, Nevada Government Steve Sisolak introduced stricter virus mitigation measures in November in response to increasing cases of coronavirus.
“The cases here were pretty scary, to be honest. As things went backwards, we saw that the restrictions eased and that we saw things come back,” Reeg said. leads to “further relaxation that allows us to offer full services to all our group businesses that are emerging.”
“You are definitely going to … wear masks for the foreseeable future,” he added.
As Covid vaccinations accelerate this year, casino operators are seeing positive signs for their businesses. Last month, Penn National Gaming CEO Jay Snowden told CNBC he saw “revenue and volumes I last saw years ago.”
Caesars, which he says is the largest casino entertainment company in the country, started a very strong demand in February, Reeg said. On his regional property, which is located in numerous states, including Indiana, Iowa and Arizona, the restoration was “extraordinary,” Reeg said. “There’s a lot of pent-up demand out there.”
U.S. public health officials have continued to stress to Americans that, despite advances in vaccines, the country’s Covid recovery continues to face challenges, such as highly contagious variants. The trajectory of the Michigan pandemic in particular is a cause for concern.
“This is a critical moment in our fight against the pandemic,” said Dr. Rachelle Walensky, director of the CDC, said last week. “We can not afford to let our guard down.”