By Casino Connection Staff

2006 will be a big year for Atlantic City and the gaming industry. With several pressing issues and new projects due
this year, along with increased competition from surrounding states, changes are coming.
The ten people profiled in this feature have the ability to make sure those changes are good ones. They will shape events and issues across the spectrum—from politics to technology, marketing to business development, this group of people are the true power brokers in the city and state.
Some may be very recognizable, others may be unfamiliar, but all will have an impact on their area of influence. So keep an eye on these folks in 2006. Some of them may have something to say about the future of Atlantic City and the gaming industry here.
[Recipe for Success]
Barry Gutin, Owner, Cuba Libre & 32 Degrees
Step into Cuba Libre and you've entered a different world. Past the 1951 Buick Super Convertible at the front door, and past even the long, chiseled bar, you'll find it. You've escaped to Old Havana. Against a backdrop of Spanish music and Cuban art, the cozy restaurant's flickering candles illuminate the night—or day—and transform a mere meal into an international experience. It's no wonder that this restaurant has become a destination for many of Atlantic City's visitors and locals alike.
Sitting there, owner Barry Gutin glows with a palpable energy. His passion for the restaurant business is clear. For him, it's not only a career; it's a calling.
"My family has been in the restaurant business for two generations," he says. "It was inevitable that I would join them, despite the fact that I didn't do it until I was nearly 20."
Gutin did his first stint in Atlantic City, working two days as a bus boy at the Stanley restaurant on Atlantic Avenue, to help his uncle. He then worked at the family restaurant, the Deptford Tavern, for nearly a decade. But he began carving out his own career in the mid '80s, starting with TGIFridays. He went on to night club management with Pulsations in Delaware County, Pennsylvania, and Taylor's, in Cherry Hill, New Jersey.
All this time, he was searching for a place of his own. He met Larry Cohen, an industry icon known for creating huge food events serving half a million people. With support from others, Cohen and Gutin opened Egypt, then Shampoo, both in Philadelphia. Then it was time for Cuba Libre.
"We saw an increase of Latin influence in American pop culture," says Gutin. "We set out to create a restaurant that would not just offer cuisine but architecture, culture and ambience. We wanted the place to have a certain rhythm."
Customers connected. They came to Cuba Libre in Philadelphia for the Late Night Latin floor show and free salsa lessons, for the Cuban art, and to learn a little history from servers who had been trained in Cuban culture. It was such a success that when the Quarter was planned for Atlantic City—itself with an Old Havana theme—Cuba Libre was a natural.
Today, Cuba Libre caters to a steady stream of visitors as well as locals. For casino employees, there is a special night—Mondays—with discounted drinks and free salsa lessons starting at 10 p.m. In fact, Gutin welcomes liaisons with casino hotel employees and offers $3 in trade or $1 in cash for referrals. Just ask about the referral program.
The offer is good not only at Cuba Libre but at Gutin and Cohen's other ventures in the Quarter, Brûlée—the Dessert Experience and 32 Degrees, the bottle service lounge. Both were designed to meet needs that weren't being met.
"Brûlée is the first dessert-only restaurant in the area," notes Gutin, "and has gotten a lot of attention. Pastry-making is an art and here, we've raised it to the level of theater. A lot of the drinks and desserts are prepared table-side to enhance the experience."
"32 Degrees opens at 11 p.m. in the same location as Brûlée, when the dessert restaurant closes," he says. "It attracts a very high-end and young crowd. There's no dance floor but dancing is encouraged everywhere, even on the tables. And the wait staff there is among the most beautiful anywhere. We did a casting call of 500 models and actresses to pick our eight servers."
As for the future, look for Gutin and Cohen to open Vino Noir, a wine bar at the Pier at Caesars. Located on the restaurant level, Vino Noir will have no walls, and is expected to be the gathering place before and after meals.
At the end of each night, Vino Noir will auction off bottles of opened wine that people can get at bargain prices. Says Gutin, "For casino employees who are wine connoisseurs, this will be the place to be!"
It seems Gutin already knows the recipe for success. He's poised and ready to take Atlantic City wining and dining to the next level.
[Prodigal Son]
Tom Carver, Executive Director Casino Reinvestment Development Authority
As the new executive director of the Casino Reinvestment Development Authority, Tom Carver is not unfamiliar with Atlantic City or the casino industry. As president of the Casino Association of New Jersey, Carver was down in the trenches during the contentious years of the New Jersey casino industry in the 1980s. He experienced the ups and downs—mostly downs—especially the hard-fought, but ultimately unsuccessful, campaign to establish a referendum on sports betting in New Jersey in the early 1990s. Carver most recently had been serving as the commissioner of labor for New Jersey when Acting Governor Richard Codey summoned him to his office, and asked him to take over the CRDA upon the resignation of Curtis Bashaw.
"I was glad to honor his request when he asked me to come to the CRDA," says Carver. "Frankly, I'd collect tolls if he asked me to, but I'm glad to be able to assist in this way."
The CRDA has been very aggressive in the past several years. Bashaw had added a tourism component to the agency's duties, launching the "Summit on the Shore" series of public meetings that resulted in a blueprint to promote the Jersey Shore as a unique destination. Carver says he supports that effort, with some caveats.
"We can't do it alone," he says. "We've got to create a partnership with the other stakeholders and have a real plan to accomplish our goals."
Carver agrees, however, that Atlantic City is the prime driver of tourism in the state and wants the CRDA to focus on that.
"The number-one agenda for Atlantic City is to make it a great town," he says. "I think we can accomplish that."
When considering the difference between the Atlantic City of 2006 and the one that existed during his previous tours, Carver says one thing stands out. It's the unanimity of purpose between the public and private sectors.
"There's a vision of Atlantic City that wasn't there 10 years ago," he explains. "We want to carry out that vision. People seem to agree now on the direction we should be going and what we need to do to make Atlantic City great. There are some tremendous people in the industry and the city now, people with great vision and commitment."
Carver believes that, with the cooperation of everyone involved, Atlantic City can still reach their goals.
"We've gotten another reprieve because of Pennsylvania's ineptness and the inability of people in New York to make a decision about what they want gaming to be in that state. We've got to take every advantage we can," he says. "We have this window of opportunity and it is still open."
[Harrah's Is Happening]
Scott Barber, Senior Vice President and General Manager Harrah's Atlantic City
Harrah's Entertainment recently showered Harrah's Atlantic City with a cash avalanche that Scott Barber terms "Monopoly Money."
The company knew whom to trust as its banker. Barber, the senior vice president and general manager of Harrah's, presides over an exhilarating era for the property. He helped to design Harrah's expansion project, set to place a whopping $550 million upgrade into Atlantic City.
A 964-room hotel tower highlights the expansion, which includes 183 suites and 13 super-suites for high rollers. Room capacity of the hotel will jump to about 2,600 rooms.
"The degree of this expansion is unfathomable," Barber says. "It is the biggest expansion project in the history of our company. We'll have assets like a brand new coffee shop and a buffet, two new restaurants, and a smaller restaurant. And then retail is the other big piece. We'll have probably six to eight retail shops—branded and company-owned stores. It will be pretty amazing."
Barber, a Buffalo-area native, has made a career of "rejuvenating properties and taking them to the next level." He worked an extensive Las Vegas tour before helping Harrah's upgrade its Cherokee, North Carolina, property, nestled in the heart of the Great Smokey Mountains. Barber unfurls an enviable track record. He's been with Harrah's six years and has been promoted six times.
Like many operators in town, Barber credits Borgata with upgrading expectations and fueling the fever pitch of expansion. Combined, Harrah's and Borgata will pump nearly three quarters of a billion dollars into the Marina district next year.
"What the Mirage did for the Las Vegas Strip, Borgata did for Atlantic City by raising expectations," Barber says. "I'm happy that we are a big part the Marina district. It's quality versus quantity. We have nowhere near the masses on the Boardwalk, but we have a better customer."
As the parent company molds the four properties— Harrah's, Showboat, Bally's and Caesars—into non-competing slices of the company pie, Barber remains tireless.
"This is an exciting business; every day presents something different," Barber says. "This is a growth industry, a very strategic business. We listen to our customers and find out what their demands are. We will continue to expand Atlantic City into a regional destination and insulate ourselves from gaming in Pennsylvania."
Barber appears modest about his accomplishments, but says his greatest thrill is "that everywhere I've gone, the results have been favorable."
So favorable, in fact, that Barber received the latest "Monopoly" stipend. In this variety of the game, however, the most expensive property won't be Boardwalk.
[Shadow Power]
Craig Callaway, President City Council of Atlantic City
Bob Levy may have been elected mayor of Atlantic City, but his accomplishments will be limited unless he can work with the president of city council, Craig Callaway. Right now, it looks as though the two will work hand in hand, but that was the impression given during the early days of Levy's predecessor, Lorenzo Langford. When Langford refused to give in to Callaway's demands, a split ensued, resulting in Callaway being elected to city council and subsequently becoming the president. Langford's four years were a power struggle between the two.
Callaway played a major role in the election of Levy, even though he dropped out of the race, citing "health reasons," opening the door for the Levy candidacy. He says city council's relationship with the Levy administration is strong.
"There is unanimity and solidarity between us," he says, "and I don't use either one of those words loosely. We've all seen the effects and the fallout of a divided city government. We have some repairing to do about the image of Atlantic City and we're all up to the task for that."
Callaway says there are too many important issues facing the city for any division to occur.
"Right away, we need to deal with making the neighborhoods much more safe," he says, "in both perception and reality. We're going to have a good relationship with the public safety departments and that will be good for the entire city. Even though crime is down as a whole, there are pockets where crime is rampant. We need to have a greater police presence and we will."
The upcoming revaluation of the city is also a crucial issue that must be resolved, according to Callaway.
"This is extremely important for everyone, from the working poor and senior citizens to the large businesses and casinos," he says. "We are up to this task and we will resolve it so that the process is fair and equitable."
Other things, such as clean neighborhoods and added development in the city, can be dealt with via good leadership.
"It doesn't take a rocket scientist to do these things," he says. "It takes good leadership and I think we finally have that in place.'
Callaway's influence is unquestionable in Atlantic City, and he's been accused of being the "puppet-master" behind Levy, an idea he vigorously disputes.
"Anyone who knows Bob Levy knows he's no one's puppet," says Callaway. "We both just want to work together for the good of the people of Atlantic City. That's our motivation and we know it takes cooperation. That's what the businesses and the people of Atlantic City want and what they can expect."
[Information Overload]
Virginia McDowell, Chief Information Officer Trump Hotels & Casino Resorts
When Jim Perry took over as CEO of Trump Entertainment Resorts right after the company emerged from bankruptcy, there were a few of his old Argosy Gaming executives that he wanted to bring along. One important member of his team, dating from the days when Perry was president of Atlantic City's Tropicana, is Virginia McDowell.
When she came aboard with Trump in September, her title as chief information officer was a somewhat curious one, since CIOs have traditionally been techies who enjoy putting together systems that talk to each other and gather information. Rarely did they get involved in interpreting that information or making business decisions that evolve from the collected data.
But as McDowell can testify, those days are over.
"The CIO position is evolving," she explains. "Information is the chief tool of the gaming industry and it applies to all areas of a gaming company. A CIO is now a business leader with diverse responsibilities. I am involved in reviewing all business practices, partners and priorities. We will concentrate on aligning the processes and systems, so that data we gather can be used to allow us to build our business around customers. And not just any customers, our most profitable customers."
At Argosy, Perry and McDowell, as senior vice president of operations, helped to transform a distressed riverboat company into one of the most progressive gaming companies in the U.S. It was so respected in the industry that last year Penn National Gaming purchased the company, and Penn now represents the third-largest gaming company in America.
While technically, the Trump properties run up-to-date slot and accounting, the processes are sometimes very different from property to property. But there McDowell discovered some problems after joining the company.
"Our first goal is to stabilize the business," she says. "It's no secret that there are some cap-ex maintenance issues within the company, so we have had to deal with that at the outset. And then we need to standardize procedures and centralize operations. But we'll only do this where it creates economies of scale and it makes sense."
Some of the changes already made at the Trump properties are actually bringing them into compliance with the rest of the Atlantic City casino industry.
"We have tried to flatten the organization so there is more control over specific departments and activities by the people who are responsible for them," she says. "We have a lot of talented people on board and we're going to encourage them to shine."
McDowell is excited to be back in Atlantic City, after nearly 10 years based in St. Louis, the former corporate home of Argosy.
"This is a great town," she says. "There are incredible opportunities here and we hope to be able to make the Trump properties among the most visited properties in Atlantic City."
[The Sum of the Parts]
Joe Kelly, President Atlantic City Mainland Regional Chamber of Commerce
Joe Kelly blends two conflicting ideals into a smooth business strategy. His high-integration, low-profile approach to the Atlantic City Regional Mainland Chamber of Commerce has borne fruit, with membership growing to 1,100, now that the Atlantic County Mainland Chamber has merged with the Atlantic City Regional Chamber.
Like most leaders, Kelly establishes policies, sets up organization events and attends business functions. Unlike many, he shares the limelight.
"This is a statement about the organization, not about me," Kelly says whenever he's asked to step into the spotlight. "You get a lot done when it does not matter who gets credit for it. We have an exciting organization that is moving forward.
"Besides," he adds, laughing, "my dad (a former Golden Gloves boxer) had a way of keeping me humble."
Kelly, raised outside of Buffalo, took an interesting route to Atlantic City. For training, he attended Salem College in West Virginia to specialize in nonprofit management. He later spent 17 years guiding the Toledo, Ohio, Chamber before moving here to fulfill a wedding-day promise to his wife Dee, a Rosenhayn native.
"We agreed that if the chance ever arose to get back here, we would," Kelly said. "In 1996, Atlantic City conducted a national search (for a Chamber president). I was honored to be chosen because I saw such a huge opportunity. This is the biggest small place I've ever worked in; it is very exciting. The economics are strong; the investment by business leaders is huge. The diversity of the membership base (casinos, financial, health care) is attractive. At the same time, it's really nice to have that small community feel."
The chamber functions in three major areas. It provides a networking forum for owners looking to publicize their goods and services. It seeks to make the regulatory environment healthy for businesses of all sizes, and it looks to lower the costs of doing business via advancements in technology. Events are also a main thrust of the Chamber. It gained increased visibility by hosting the Atlantic City Air Show for the last two years, welcoming approximately a quarter-million people to the city during a weekday in late summer.
As the merger between Atlantic City and Atlantic County chapters created a new organization, expectations have increased. A stronger business voice and mobilization vehicle has emerged for the body, which sports small business owners as 90 percent of its membership. Two-thirds of them operate on the mainland.
The Chamber's 2006 agenda includes work toward a technology park at the FAA. It would involve perhaps 60 companies and create 70,000-80,000 jobs.
[Being the Brand]
Sid Vaikunta, Vice President, Marketing Borgata Hotel Casino & Spa
At the tender age of 30, Sid Vaikunta is already a casino marketing veteran—particularly in the new Atlantic City that was virtually created by the property he serves as vice president of marketing, the Borgata Hotel Casino & Spa.
Vaikunta, in fact, was one of the architects of the Borgata's brand—a brand that has transformed Atlantic City into one of the new hot spots of the East Coast. Boyd Gaming hired him in 1999, four years before the property opened. He was Employee No. 7, plucked directly from his MBA program at Cornell University to participate on the multi-discipline team which would mold the Borgata out of what its research showed were the wants and needs of customers in major feeder markets who had rejected Atlantic City as a destination, as well as those who were already frequent customers of the casinos here.
Borgata President Bob Boughner recognized a perfect fit for his goals in Vaikunta, who had done undergrad work at the University of Massachusetts in hotel operations with a minor in marketing, but had concentrated more on development and brand-building in his graduate work. "I had come to understand that development was more than the bricks-and-mortar aspect," Vaikunta recalls. "You don't launch buildings—you launch brands."
Launching the Borgata brand involved research by street teams in cities like New York, Philadelphia and Las Vegas, organized by Boyd and the San Francisco research firm Tattoo. "No one from this market had reached out to these people in more than a decade, so we had to go out and find them," says Vaikunta.
Consequently, the Borgata, instead of being tailored to customers who were already here, was designed according to what both current and potential customers wanted to see—and what would make what Vaikunta calls "Atlantic City rejecters" change their minds.
We've all seen the results.
What's next? With the Borgata's facility, programs and positioning firmly established, the focus for 2006 is on a $200 million expansion that will again respond to what customers want. The poker room is tripling in size, from 35 to 85 tables. A new nightclub will be created. There will be a new high-limit area for tables, more slots, and—perhaps most significantly—three new celebrity-chef restaurants: Michael Mina's Sea Blue restaurant, Bobby Flay's first steakhouse, and Wolfgang Puck's first upscale casual restaurant on the East Coast. For 2007, says Vaikunta, expect a new upscale hotel adjacent to the Borgata.
Vaikunta says the new plans are Borgata's next step to be taken, even as the rest of the market is making moAves to emulate the amenities it brought to Atlantic City. "We opened a destination that became appealing to a broad range of people," he says. "Now, we are adding more brands, so as to leapfrog the competition and establish Borgata as a national brand with a regional audience."
[AC Advancement]
Gary Musich, Vice President, Convention Development, Atlantic City Convention and Visitors Authority
In the early 1990s, Gary Musich was among the first executives in the Atlantic City casino industry to preach the gospel of non-gaming attractions as the key to the market's future growth.
As a vice president developing convention business for Bally's and subsequently Caesars Entertainment, Musich was often quoted stressing that the key to bringing in people other than gamblers was to broaden the attractions the city offers.
By the time he joined the Atlantic City Convention and Visitors Authority last September after Harrah's Entertainment had completed its acquisition of Caesars, his early ‘90s opinions had been proven right many times over. Now, as the authority's vice president of convention development, he has the tools and the credibility to spread the word about Atlantic City's many attractions to a much broader market of meeting planners.
"The market has moved exactly in the direction we thought it should," Musich says. "With the expansion of shopping, restaurants and entertainment, this is a city going in the right direction."
This year, ACCVA has retooled to take better advantage of the opportunities to bring the business world to town. Musich says he has instituted a redeployment of the sales staff to exploit the most likely prospects for conventions, deploying staff according to market segments and focusing efforts regionally.
The authority also has made it much easier for the business planner to choose Atlantic City. This year marks the launch of a new website, www.meetinac.com, dedicated to the meeting planner. The site is designed to make it simple to plan conventions, trade shows, or any other kind of group meeting.
"A meeting planner can go to meetinac.com and submit an RFP for the convention center, and a request for one, two, three, five hotels—anything they need—in conjunction with it," says Musich. "The site will have access to media services, 360-degree views of the convention center, and lists of our hotel partners and casino partners. Meeting planners will be able to research their entire program with one dedicated website."
The website is coupled with ACCVA's new business model, called "Total Meeting Resource." The authority is getting the word out that any association, corporation or group can get all the information needed to plan any size of event with a single phone call. "You will be able to make one phone call and get all of your questions answered," says Musich. "Hotels, the convention center, media questions, transportation issues—you'll be able to do it all with one phone call, instead of five or six."
With the new methods in place, Musich says the ACCVA will be well-equipped to support a resort industry that continues its explosive growth.
"We continue to get the word out, and the city is starting to sell itself because of what's going on here," he says. "I think our opportunities are limitless."
[Son of South Jersey]
Anthony Rodio, President Atlantic City Hilton Casino Resort
Ever since Harrah's Entertainment sold the Atlantic City Hilton to Colony Capital last year—part of a multi-property deal that established Colony's Resorts International Holdings subsidiary as a six-property powerhouse—eyes and ears have been trained on the southwest end of the Boardwalk to ascertain the next move for the property.
Industry watchers saw the renaissance Colony instituted at Resorts Atlantic City, breathing new life into the city's first casino with additions, expansions and a sleek new design. Now, the same was possible with a property that had not seen any capital improvements since a tower addition in 1998.
Before that would happen, Resorts International would receive a bonus from Harrah's—the addition of veteran executive Tony Rodio, former finance VP for Harrah's Atlantic City casinos, as the new president of the Hilton. The Hammonton native and 24-year casino veteran would oversee the rejuvenation of the jewel that was created 25 years ago by Steve Wynn as the Golden Nugget.
The rejuvenation has already begun, although Rodio says the grand plan for expansion on the property's substantial unused acreage will not be revealed until later. The first order of business, he says, was to maximize the profitability of the existing facility. While long-term plans are in the works, Rodio's team has repositioned the existing property from the beach-resort marketing of Caesars into promotion as a spot for true gamblers.
While the Hilton ultimately will add the kinds of non-gaming attractions cropping up all around town, "these are the kinds of things that take time," says Rodio. "For us to compete in the short term, we needed to differentiate ourselves, and the best way we thought we could do this is to take on a gambling-centric positioning. I think the timing is perfect, because we're talking about our 25th anniversary, and this place has a rich gambling heritage."
Steve Wynn emphasized the gambling element better than anyone, Rodio says, and the Hilton is now building on that legacy. The first two physical additions came last month, with the opening of a second-level poker room and an adjacent Asian game room. The next two additions will be unveiled by Memorial Day. By then, there will be a new player's lounge overlooking the ocean.
This year, the Hilton will also significantly upgrade its slot product—neglected by Caesars after it was clear the property would be divested—to add the newest games.
For the longer-term plans everyone is awaiting, Rodio will only say his team is exploring all the possibilities for two parcels—one adjacent to the property and another eight-acre site a block away—to complement the existing hotel and casino, which, he notes, "looks as magnificent today as it did 25 years ago."
Whatever the plan turns out to be, Rodio says it will be a welcome reward to the Hilton's employees and customers, both among the most loyal groups in the city (the Hilton has over 300 day-one employees serving a fiercely loyal clientele).
The excitement is already palpable.
[The Spirit of Retail]
Kim Butler, General Manager, Marketing Director Atlantic City Outlets—The Walk
Years ago, before the Walk came to Atlantic City, it was hard to imagine visitors coming here for the shopping. The casinos, sure, the fine dining, of course, and the world-famous Boardwalk, that was a given. But the shopping?
Kim Butler has helped to change all that. As general manager and marketing director for the Cordish Company, which owns Atlantic City Outlets—The Walk, Butler has been instrumental in promoting shopping in town.
"It makes me feel great when I get calls from people who are coming to Atlantic City to shop," says Butler. "It means that we, and others, are doing a good job in promoting all of the city's assets."
Butler brings a unique perspective to the Walk, one that was honed by experience in several different industries including media and the casinos. She was an on-air radio personality for WMGM-FM/WOND-AM. In the early 1990s, you may have heard her as Kim Martin during your morning commute or seen her at live appearances. (You can still hear her when she fills in for Pinky Kravitz on his weekly talk show.)
Butler went from broadcasting to public relations, working first for Trump Plaza, then Trump Taj Mahal, and finally for the corporation, Trump Hotels and Casino Resorts.
She moved on to Resorts International, where she helped develop the public exhibit "Resorts: A Century of Memories," in honor of the casino's 25th anniversary.
Her tenure at the Walk began in July 2003.
"My career has given me a unique perspective on what drives people to Atlantic City," says Butler, "and I can capitalize on those experiences to help drive traffic to the Walk. I'm a firm believer in partnerships. What's good for one is good for everyone. We can get mutual benefits from a citywide promotion. First Wednesdays is the perfect example."
On First Wednesdays, a variety of Atlantic City merchants offer specials and discounts. On any day, the Walk also gives Preferred Customer Cards, for discounts, to groups of 10 or more.
Butler is passionate about how the Walk has impacted Atlantic City. "It has connected the Convention Center to the Boardwalk," she says. "It has really helped to make Atlantic City a more cohesive experience and broadened the opportunities of things to do here. And you don't need a car. You can park it and stroll."
The Walk has been so successful that plans are underway for a Walk II with additional parking areas. According to Butler, they'll begin construction sometime in 2006.
"The incoming retail will double in size and we're really excited about it," she said. "The future of Atlantic City is exploding. We're on the brink of great things to come."