MGM Resorts International announced Wednesday that former Nevada Governor and MGM Resorts President of Global Gaming Development Brian Sandoval will be leaving the company to pursue the position of President of the University of Nevada, Reno.
"We are grateful to Governor Sandoval for all that he has accomplished in his time at MGM Resorts. He helped to advance our efforts in Japan, in jurisdictions where we were seeking expanded access, and areas where we pursued sports betting opportunities," said Acting CEO and President Bill Hornbuckle. "We wish him the very best in pursuit of this next opportunity and thank him for his commitment to MGM Resorts."
"I'm grateful for the opportunity and privilege to have worked at MGM with Jim Murren and Bill Hornbuckle, two of the giants in the gaming industry, and the amazing MGM family," said Sandoval.
"Having accomplished my goals at MGM, I have decided to put my time, energy and public and private experience to work as an applicant to become the next president of the University of Nevada, Reno. I am thankful for the experiences I had, and the people I got to know, while at MGM and wish everyone good health and safety during these challenging times," he concluded.
Furthermore, Hornbuckle took a $300,000 pay cut this week and agreed to take his new $1.1 million salary in stock, not cash. Two other MGM executives also took pay cuts and Hornbuckle and other insiders bought stock in MGM Resorts International, the parent company of MGM Springfield, according to documents filed with the federal Securities and Exchange Commission, as reported by Mass Live.
MGM chief financial officer Corey Sanders agreed to a $1 million base salary, which was reduced from his prior salary of $1.25 million. Sanders will take half of his base salary for the year’s remaining pay periods in stock.
Similarly, John McManus, executive vice president and general counsel, agreed to a base salary of $700,000 per year which was reduced from his prior salary of $850,000. He likewise will take half that in stock.
All three men are also eligible for bonuses, according to the documents.
The moves show one way that MGM Resorts International is adjusting to a tougher financial reality with resorts, and most everything else, closed in the face of the novel coronavirus. The stock has fallen from $33.66 in February to just under $12 in trading Wednesday, a 65% drop.
MGM’s resorts are closed, including MGM Springfield, where employees began running out of two-weeks’ notice pay this week and started qualifying for unemployment.