As 2020 begins, one Massachusetts casino appears determined to make its second year better than its first. A change in the executive position at MGM Springfield may contribute to achieving that goal. Philip Kelley has replaced Paul Mathis as the president and COO of the casino. Kelley is now tasked with improving the profitability of the property.
Typically the credentials within the new MGM Springfield govt
Kelley goes to the Gulf State following spending the past eight several months in a very similar role at another MGM asset. He was the COO and VP of MGM Northfield Park in Ohio. Before that, he was the CFO at the MGM Grand Detroit. Kelley got his start in the casino business as the general manager of the Ancianas Casino & Resort in San Diego. During his time at Northfield Park, he oversaw the transition of the property from Hard Rock branding. Although he won’t have to conquer that in Springfield, there are still challenges ahead. Jorge Perez, regional portfolio director of MGM Resorts International, sees him as qualified to take them on. According to Perez, Kelley’s experience in “rebranding and integrating a property and introducing MGM to the community will be an asset for Springfield.” If Kelley is as successful in Massachusetts as in Ohio, it should be evident on the bottom line. That’s where MGM needs the most help.
Discouraging results moved Kelley for the Bay Talk about
In MGM Springfield’s first two years, the business wasn’t as lucrative as MGM had anticipated. The casino underperformed its projection due to the first couple of years . During that time, the casino also had to cut 500 jobs. Another negative sign for the casino is that the adjacent retail space remains vacant. Despite these disappointing results, a local analysis states that the casino contributed half a billion dollars to the state’s economy. Nevertheless, Kelley’s superiors at MGM are likely seeking further improvement at the casino. It is uncertain how much profit the facility generated from its $250 million in revenue during its first year. Considering that it was projected to bring in $400 million during that time, the profit margin was probably not that substantial. It’s Kelley’s job to enhance that situation. He may choose to follow in the footsteps of his predecessor in certain ways.
Might Kelley be running for wagering legalization?
During his time in the position, Mathis was a vocal advocatte for sports betting legalizationin Massachusetts. Kelley has made no statement on that matter yet.
It’s hard to imagine Kelley taking the opposite stance on that issue, however. Legalized sports betting could represent a significant new revenue stream for MGM Springfield.
While the current operations of the casino will likely consume most of Kelley’s attention, Massachusetts residents shouldn’t be surprised if he follows in Mathis’ footsteps and advocates for legalization as well.
Given his position, his words could carry weight in the state. Regardless of how quickly that happens, however, Kelley has the task of increasing the profitability of MGM Springfield. If he can achieve that, he should have job security in Massachusetts for as long as he desires.
Derek Helling may be a lead blogger for PlayUSA and the boss of BetHer. He is some sort of 2013 graduate student of the School of New Jersey and protects the intersections of sports with organization and the legislation.
