“Casino Club will venture in online gaming in Argentina only if there is a clear regulation on the matter”

Besides, Benedicto talked about the acquisition of Pinnacle properties in the province of Neuquen, and about the current situation of the casinos in the country, as well as the measure adopted to start charging an entrance fee to City Center Rosario, the entertainment center belonging to Casino Club and Cirsa.

At the beginning of May, Pinnacle Entertainment confirmed that it has sold Argentinian properties to a consortium comprised by Casino Club, Da Silvano, Compañía Gerenciadora de Inversiones and Correon. Which are the plans for these operations?
The 50% of the acquisition belongs to Casino Club, and the remaining 50% belongs to the group that operates Palermo Horse Racetrack. The contract has already been signed, but we are waiting for the approval of the province of Neuquén, which, we estimate, would happen this month. I esteem that we will be in charge of the operation next July.

Do you plan to perform more investments in Argentina? And in other countries?
We are always analyzing different things, but mainly in Argentina. We do not feel like leaving the country; we are comfortable here. We never wanted to leave; it should have to be something very special, although you never have to say “no”.

How is Argentina positioned compared to other regional markets?
It is one of the best Latin American markets; it is evident. I see it has a good present and a great future.

How important is the poker activity for Casino Club as operator?
We bring poker an important place because it is fashion, and nobody wants to be left out. Although from the business point of view it is not something very profitable, we do all the initiatives that help to attract more people to the complex. It is another modality.

What would the country need to have so the casino industry can continue growing?
At some point, online gaming should be regulated. It exists, and, as it is not ruled, the state is neither controlling it nor allowing its development. It is something that Argentina still doesn’t have.

Does Casino Club plan to venture in the online gaming sector?
Yes, as long as there is a clear regulation on the matter in order to allow a secure investment. We have shares in TecnoAcción, a company focused in this business modality, but with the current situation, we are not interested.

Compared to its most recent investments, Which is the balance of this five months of operation of City Center?
The balance is very good. Since the inauguration, the quantity of public has never decreased. At first, we thought that the affluence had to do with the novelty and the magnitude of the complex, but the number of visitors did not decrease. Now we will see how this decision of charging the entry affects us.

Which are the plans of City Center for the rest of the year?
The series of activities developed here are great and varied. We have a permanent program of shows every Wednesday, Friday and Saturday. We also have shows at the convention center frequently. We are also organizing box matches. Besides, we have a very strong activity in poker, we have four simultaneous tournaments and, in September, it will be held the LAPT final. Activities are permanent.

City Center Rosario started charging Tuesday 1st a us$ 0.76 access ticket. It happens because the local council stipulated, through the Deliberating Council, that an access entry of $ 1,75 (us$ 0,44) per person must be charged to all kind of public entertainment show, in which casinos are included. City Center was appointed as withholding tax agent of this tax which is completely allocated to a compensation fund of the Urban Transport Systems for Passangers in Rosario.

How did you start implementing the entry fee?
It was established in $3 (us$ 0.76) due to the operational cost that it represents for the company due to the team affected. Besides, the entry is also taxed with the VAT and local gross incomes, and a percentage is allocated to funds (one for disability and the other against adictions) established by previous local regulations. Almost all we receive with the entry fee is allocated to local, regional and national taxes.

The policy of the company consisted in having free access always, but it had to change.
To offset this situation, we are delivering, together with the entry, a promo ticket for $3 (U$S 0,76) so people may gamble in any of the casino slots. Probably, in short, we will start our players’ club and we ma have some kind of categorization to award with free pass cards to a certain number of people belonging to the club.