Leadership by example
Leadership by example
Ameristar Casinos Chairman, President and CEO Craig H. Neilsen is reaping the rewards of his tireless attention to detail
By Andy Holtmann
Ameristar Casinos has enjoyed success in recent years, growing into a solid performing mid-cap gaming company, with strong prospects for continued growth. In 2005, the company recorded its fourth straight year of financial gains, with net revenues of $961.4 million, an increase of 12.4 percent over 2004 revenue. Operating income and EBITDA reached record levels of $168.7 million and $254.1 million respectively. Diluted earnings per share increased from $1.11 in 2004 to $1.16 in 2005.
For the company's chairman, president and CEO, Craig H. Neilsen, the keys to success have been a strong business sense, tireless analysis of the market and trends, and attention to detail at the company's seven regional properties. But building a winner has meant more than improving financials year after year. It's also about creating gaming and entertainment experiences that his customers rave about-and come back for time and time again.
"The basic commodities of our business-the slot machines and table games-are fairly standard across the board. What sets Ameristar apart is our premier properties, superior product quality and wide range of gaming, dining and entertainment options that provide a total entertainment experience," Neilsen said. "Ameristar casinos generally include the most spacious gaming floors and typically have the greatest number of games in our markets. Our properties emphasize slot play and feature state-of-the-art slot machines, virtually all of which incorporate convenient ticket-in/ticket-out technology and the newest multi-coin nickel and penny denomination games. Ameristar also offers a greater variety of dining choices than the other casinos in our markets. Our total entertainment strategy includes a wide range of entertainment, showcasing live regional and national acts."
Family business
In 1954, "Cactus Pete" Piersanti moved his small slot operation from Idaho to a dusty little town in Northern Nevada, bordering Idaho. He called his new operation, fittingly, Cactus Petes. That same year, another Idaho native, Don French, also moved his gaming business into the town, creating his Horseshu Club casino. The previously unnamed town was later called Jackpot, Nev.
Two years later, the Cactus Petes Desert Lodge was incorporated as Cactus Petes, Inc. in Jackpot, Nev., by Piersanti, A.L. "Bud" Gurley and Dale Wildman.
In 1958, Cactus Petes retained the Twin Falls, Idaho-based firm of Neilsen Miller Construction to build a 15-room motel at the property, aptly named the Desert Inn. By 1964, Cactus Petes assumed control of the Horseshu Club as well. Three years later, Gurley passed away and the combined properties' were restructured. Three new partners were added: Ray L. Neilsen from Neilsen & Miller Construction, Al Huber of Elko, Nev., and George Detweiler of Twin Falls, Idaho.
Craig Neilsen, meanwhile, worked closely with his father in the construction business. In 1971, Ray L. Neilsen passed away.
"I inherited the business after my father's untimely death and then grew it into a major area real estate development and construction company," Neilsen said. "Until the early 1980s, I remained primarily an investor in the casino property. Over time, I became more involved in casino operations and in 1984, became president of Cactus Petes."
The following year, Craig Neilsen was involved in a traumatic car accident while driving from the casinos in Jackpot to Twin Falls. The crash left him paralyzed with a spinal cord injury.
"After rehabilitation, I re-immersed myself in the business and focused on its continued growth," Neilsen said.
By 1991, Neilsen had shepherded the completion of a $22 million hotel and casino expansion at Cactus Petes. And there were opportunities on the horizon in new gaming jurisdictions. The company went public under the name Ameristar in 1993. Neilsen's mother Gwen (who passed away in 1999) played a key role in that transition, and was instrumental in the organization's strategic expansion.
"She was the face of Cactus Petes for so many years because she would attend a lot of our marketing functions. She had awesome people skills, so she could talk to Spanish-speaking dish washers without knowing the language. Somehow she could hold a conversation with them. She would converse with our guests. She was an interesting woman, and she liked meeting people. She was one of my role models," said Craig Neilsen's son Ray, Ameristar's corporate vice president of operations and special projects, who also recently served as the general manager of the company's Vicksburg property. "I would call her frequently for business advice. One thing she had was a lot of common sense."
In the last decade, Ameristar has grown from its origins as a tiny roadside casino to seven Ameristar-branded properties-expanding first into Vicksburg, Miss. in 1994, the largest casino property to be built in that market; a distinction it still holds today.
Two years later, in 1996, Ameristar Council Bluffs opened its doors in Council Bluffs, Iowa. That same year the company relocated its headquarters from Twin Falls to Las Vegas. In 1998, the company made its first-and to date, only venture-into the Las Vegas gaming market by opening The Reserve, a safari-themed resort in Henderson, Nev. For the first time, the company's revenues topped the $200 million mark.
But Neilsen and Ameristar's shareholders had their sights set on even more emerging riverboat markets. In 2001, the company sold its Las Vegas property and purchased two Station Casinos ventures in St. Charles and Kansas City, Mo. Ameristar began vigorous renovation and expansion projects on its properties in Vicksburg (2001-$10 million), St. Charles (2002-$360 million) and Kansas City (2003-$64 million). Later expansions and renovations to its properties would follow, and since 2000, the company has spent in excess of $550 million on renovation and expansion projects. That commitment is not slowing down any time soon (see sidebar).
In late-2004, the company acquired the Mountain High Casino in Black Hawk, Colo. for $119.5 million, and Ameristar immediately began making multi-million-dollar improvements to the property.
"Ameristar has created more than 7,000 jobs and established a reputation for offering the highest quality products and services, as well as being a good corporate citizen," Craig Neilsen said.
"He always has and always will think big," Ray Neilsen said. "He wants to grow the company."
Business sense
So what separates Craig Neilsen from many of his other gaming industry peers?
"His passion, his dedication and his vision," Ray Neilsen said. "I think, more than anything, he's very analytical. He's focused, hard-driving and extremely demanding. But he's also very fair with the people who work hard for him."
He cites Ameristar's experience with The Reserve as an example:
"When we were transitioning out of The Reserve, it was a tough period, but we told the directors at the property that they could come over to corporate and we would create a position for them. We did that. The majority of those folks are still with the company. I think that speaks pretty loudly about who we are. He felt that we had created a strong team and that he wanted to move that group to corporate and continue to work with them."
While there were some skeptics of the company's decision to sell The Reserve, for Craig Neilsen, there was never any doubt about the opportunity it created.
"The strategic decision to purchase the St. Charles and Kansas City properties doubled the size of the company, expanded our geographic distribution, continued to build the Ameristar brand and allowed us to enter two very appealing markets that have earned an outstanding ROI," he said.
By positioning itself well in the riverboat gaming markets, Ameristar seized numerous opportunities to grow upon its "locals casinos" concept into regional powerhouses.
"Our experience with the Reserve certainly contributed to helping us become better operators," Craig Neilsen said. "During that time we developed more analytical tools to look at the business on a micro basis. We became experts at labor management, and we also learned to utilize promotions and direct mail more efficiently."
Yet, as the company has grown, Neilsen hasn't shied away from re-entering the Las Vegas market, as evidenced by Ameristar's recent participation in the bidding war for Aztar Corp., operators of the Tropicana hotel-casinos on the Las Vegas Strip and Atlantic City. The back-and-forth bids for Aztar between four companies-Ameristar, Colony Capital, Pinnacle Entertainment and Columbia Sussex-raised the cost of the potential acquisition well beyond the value estimated by Wall Street gaming analysts. Ameristar's final offer was $47 per share, one that was exceeded by eventual winner Columbia Sussex's $54 per share offer, or $1.94 billion, plus assumption of the company's $676 million in debt.
"Our decision not to pursue the bidding for Aztar was an internal one. That said, I have to agree with analysts that the price for Aztar had reached very high levels," Neilsen said. "Shortly after we submitted our $47 per share bid, we decided that would be our best offer, based on our analysis of the value of the company."
"We'd like to be (in Las Vegas), but we need to be reasonable and rational," Ray Neilsen said. "We want to do what is right for the stockholders. If that means entering Las Vegas with a facility that creates solid ROI and would build the brand, that would be a good opportunity. But we have to make sure we have the right project to make our company stronger and better."
Positive influence
Neilsen's business sense and management style have had positive impacts on the company's other executives as well.
"I have a very hands-on management style, which is one that I encourage among all of our leaders at Ameristar," he said. "Our company also values a high level of collaboration and communication, which is essential to the pursuit of excellence. I'm also very analytical, pay attention to the details and am quality-driven. What's most important to me, and the message I try to impart to my staff, is to set high standards and not to compromise on them. That's true in every aspect of our business."
"It has been a great privilege to work with Craig. He is incredibly analytical, intuitive and intelligent, and I learn something every time I have the opportunity to meet with him," said Michelle Shriver, general manager of Ameristar's Black Hawk property. "His leadership style is quite collaborative, and he is well-known for asking others their opinion. Even when I was a mid-level manager in marketing, he would solicit my thoughts during a discussion."
Shriver noted that even though she had walked the Black Hawk property every day leading up to Ameristar's rebranding in April of this year, Neilsen, on a visit to the property, found things she had overlooked..."things that would make the property even better, and improve the guest experience."
Shriver added that Ameristar is a collaborative company, and that Neilsen values others' opinions. She recalled a particular meeting to discuss an agency presentation for a new advertising campaign. The meeting included: Shriver, who at the time was corporate director of marketing; Neilsen; the senior vice president of operations; the vice president of marketing; the vice president of administration; and several others.
"After the agency presentation, true to Craig's style, he wanted to hear others' thoughts before giving his opinion. Much to my surprise...and anxiety...he asked me first. After being as respectful as I could about a concept that I thought completely missed the mark, Craig said, 'So, you didn't care for it?' I answered, 'No, I don't think it will accomplish what we're trying to achieve.' He smiled and said, 'You're being too nice...it was one of the worst concepts we've seen.' Relieved, and laughing, I agreed with him," she said.
Ray Neilsen said his father has also made an impact with the company's 7,000-plus employees.
"I think we want to make sure our team members understand how important they are. It's important for people to have access to my dad. If they send an e-mail, he'll respond," he said. "I think there are very few primarily family-controlled companies left in the industry, and I think that does separate us from the competition. People know that we care."
He also notes that one of the things he and his father are both proud of is that Ameristar has not been shy about advancing women to executive positions.
"I have never encountered a glass ceiling at Ameristar," Shriver said. "I am one of three female general managers for the company, and I have always felt that I am rewarded for my talent and contributions, not based on what gender I am or who I know. I am proud to work for a company who truly values the diversity of people that work for them."
And as for Craig Neilsen's disability? Ray Neilsen said it's more of a motivator than a deterrent.
"He was just as strong before the accident," he said. "I think what he's trying to do is instill in others that there is hope. You can have these deficits, whatever they may be, but you can be successful. He never looks at himself as having a handicap. I don't think we should either. I think it inspires his employees and people around him. He's very capable in what he does, and at times it is inspirational."
Giving back
With Craig Neilsen at the helm, Ameristar has become a philan-thropic force in the gaming industry as well.
"I'm proud to point out that my success allowed me to establish The Craig H. Neilsen Foundation in 2003," Neilsen said. "The foundation's primary purpose is to help those living with a spinal cord injury by supporting cutting-edge research and innovative rehabilitation programs throughout the United States. The foundation also matches funds for donations made by Ameristar's team members for designated SCI rehabilitation organizations through the annual Ameristar Cares workplace giving campaign."
In addition, the Craig H. Neilsen Foundation and Ameristar jointly created the Ameristar National Charity Golf Classic in 2005. The Miami Project to Cure Paralysis has been the beneficiary of more than $1.6 million in proceeds from this event. This year's event is September 11-12 at Ameristar Kansas City.
Ray Neilsen said one of his father's priorities has been giving back, and many charities have benefited from the company's philanthropic efforts.
"He spends a lot of time thinking of ways to help people," Ray Neilsen said. "If you look him up on the Internet you'd probably find more articles on his charity work than you would in terms of gaming. He really enjoys helping people."
The company's Ameristar Cares charitable giving program is a key example.
"It encompasses our direct financial contributions to community nonprofit organizations, our annual team member workplace giving program and team member volunteerism," Neilsen said. "In 2005, we gave more than $9 million to our local communities in direct donations. Also last year, Ameristar team members donated more than $1 million to the five causes in our workplace giving campaign. I'm proud to say that we have an extraordinary participation rate: more than 75 percent of our team members gave to the campaign. To support their efforts, the company matches each dollar they give, and my foundation matches each contribution to the local spinal cord injury rehabilitation organization-so our total impact was $2.3 million. We have truly made a significant difference to many worthy organizations. Giving back to our communities is an important part of the Ameristar culture."
Sidebar:
Reinvestment strategy
Part of Ameristar's success stems from constantly refreshed facilities; and more projects are on the way
Since 2000, Ameristar Casinos has invested more than $550 million in expansion and renovation projects. But that doesn't mean the company or its chairman, president and CEO, Craig Neilsen, are content or will become complacent. In fact, the company has another $500 million worth of projects underway.
Neilsen said the company has committed to investing $380 million in the Ameristar Black Hawk property (formerly Mountain High Casino) in Colorado-a property it spent $119.5 million to purchase. Ameristar completed its first phase of rebranding the property in April, with expanded parking, refurbished dining venues, additional gaming space and new slot product.
Additional development will include an upscale hotel and spa, Black Hawk's only swimming pool and meeting facilities.
"The increase in business volumes we have experienced since the rebranding indicates that we are on the way for the property to gain a solid presence in the greater Denver market, similar to our achievements in our other markets," Neilsen said. "We liked the market for its proximity to the two million-plus residents in the Denver metropolitan area, and felt that it was underserved by the current casino products in Black Hawk. Once we open the hotel and spa in late 2008, we believe it will transform the property into a true regional destination resort and attract even more visitors to Black Hawk."
In St. Charles, the company is building a 400-room all-suite hotel with first-class, in-suite amenities; an indoor/outdoor pool; an upscale full-service spa; a new 2,350-space parking garage; and a 55,000-square-foot conference and meeting center. In Vicksburg, there are plans for a significant casino and garage expansion.
"It's absolutely a core strategy to keep our properties fresh while adding new amenities that increase our market share," Neilsen said.
-Andy Holtmann
Ameristar Casinos Chairman, President and CEO Craig H. Neilsen is reaping the rewards of his tireless attention to detail
By Andy Holtmann
Ameristar Casinos has enjoyed success in recent years, growing into a solid performing mid-cap gaming company, with strong prospects for continued growth. In 2005, the company recorded its fourth straight year of financial gains, with net revenues of $961.4 million, an increase of 12.4 percent over 2004 revenue. Operating income and EBITDA reached record levels of $168.7 million and $254.1 million respectively. Diluted earnings per share increased from $1.11 in 2004 to $1.16 in 2005.
For the company's chairman, president and CEO, Craig H. Neilsen, the keys to success have been a strong business sense, tireless analysis of the market and trends, and attention to detail at the company's seven regional properties. But building a winner has meant more than improving financials year after year. It's also about creating gaming and entertainment experiences that his customers rave about-and come back for time and time again.
"The basic commodities of our business-the slot machines and table games-are fairly standard across the board. What sets Ameristar apart is our premier properties, superior product quality and wide range of gaming, dining and entertainment options that provide a total entertainment experience," Neilsen said. "Ameristar casinos generally include the most spacious gaming floors and typically have the greatest number of games in our markets. Our properties emphasize slot play and feature state-of-the-art slot machines, virtually all of which incorporate convenient ticket-in/ticket-out technology and the newest multi-coin nickel and penny denomination games. Ameristar also offers a greater variety of dining choices than the other casinos in our markets. Our total entertainment strategy includes a wide range of entertainment, showcasing live regional and national acts."
Family business
In 1954, "Cactus Pete" Piersanti moved his small slot operation from Idaho to a dusty little town in Northern Nevada, bordering Idaho. He called his new operation, fittingly, Cactus Petes. That same year, another Idaho native, Don French, also moved his gaming business into the town, creating his Horseshu Club casino. The previously unnamed town was later called Jackpot, Nev.
Two years later, the Cactus Petes Desert Lodge was incorporated as Cactus Petes, Inc. in Jackpot, Nev., by Piersanti, A.L. "Bud" Gurley and Dale Wildman.
In 1958, Cactus Petes retained the Twin Falls, Idaho-based firm of Neilsen Miller Construction to build a 15-room motel at the property, aptly named the Desert Inn. By 1964, Cactus Petes assumed control of the Horseshu Club as well. Three years later, Gurley passed away and the combined properties' were restructured. Three new partners were added: Ray L. Neilsen from Neilsen & Miller Construction, Al Huber of Elko, Nev., and George Detweiler of Twin Falls, Idaho.
Craig Neilsen, meanwhile, worked closely with his father in the construction business. In 1971, Ray L. Neilsen passed away.
"I inherited the business after my father's untimely death and then grew it into a major area real estate development and construction company," Neilsen said. "Until the early 1980s, I remained primarily an investor in the casino property. Over time, I became more involved in casino operations and in 1984, became president of Cactus Petes."
The following year, Craig Neilsen was involved in a traumatic car accident while driving from the casinos in Jackpot to Twin Falls. The crash left him paralyzed with a spinal cord injury.
"After rehabilitation, I re-immersed myself in the business and focused on its continued growth," Neilsen said.
By 1991, Neilsen had shepherded the completion of a $22 million hotel and casino expansion at Cactus Petes. And there were opportunities on the horizon in new gaming jurisdictions. The company went public under the name Ameristar in 1993. Neilsen's mother Gwen (who passed away in 1999) played a key role in that transition, and was instrumental in the organization's strategic expansion.
"She was the face of Cactus Petes for so many years because she would attend a lot of our marketing functions. She had awesome people skills, so she could talk to Spanish-speaking dish washers without knowing the language. Somehow she could hold a conversation with them. She would converse with our guests. She was an interesting woman, and she liked meeting people. She was one of my role models," said Craig Neilsen's son Ray, Ameristar's corporate vice president of operations and special projects, who also recently served as the general manager of the company's Vicksburg property. "I would call her frequently for business advice. One thing she had was a lot of common sense."
In the last decade, Ameristar has grown from its origins as a tiny roadside casino to seven Ameristar-branded properties-expanding first into Vicksburg, Miss. in 1994, the largest casino property to be built in that market; a distinction it still holds today.
Two years later, in 1996, Ameristar Council Bluffs opened its doors in Council Bluffs, Iowa. That same year the company relocated its headquarters from Twin Falls to Las Vegas. In 1998, the company made its first-and to date, only venture-into the Las Vegas gaming market by opening The Reserve, a safari-themed resort in Henderson, Nev. For the first time, the company's revenues topped the $200 million mark.
But Neilsen and Ameristar's shareholders had their sights set on even more emerging riverboat markets. In 2001, the company sold its Las Vegas property and purchased two Station Casinos ventures in St. Charles and Kansas City, Mo. Ameristar began vigorous renovation and expansion projects on its properties in Vicksburg (2001-$10 million), St. Charles (2002-$360 million) and Kansas City (2003-$64 million). Later expansions and renovations to its properties would follow, and since 2000, the company has spent in excess of $550 million on renovation and expansion projects. That commitment is not slowing down any time soon (see sidebar).
In late-2004, the company acquired the Mountain High Casino in Black Hawk, Colo. for $119.5 million, and Ameristar immediately began making multi-million-dollar improvements to the property.
"Ameristar has created more than 7,000 jobs and established a reputation for offering the highest quality products and services, as well as being a good corporate citizen," Craig Neilsen said.
"He always has and always will think big," Ray Neilsen said. "He wants to grow the company."
Business sense
So what separates Craig Neilsen from many of his other gaming industry peers?
"His passion, his dedication and his vision," Ray Neilsen said. "I think, more than anything, he's very analytical. He's focused, hard-driving and extremely demanding. But he's also very fair with the people who work hard for him."
He cites Ameristar's experience with The Reserve as an example:
"When we were transitioning out of The Reserve, it was a tough period, but we told the directors at the property that they could come over to corporate and we would create a position for them. We did that. The majority of those folks are still with the company. I think that speaks pretty loudly about who we are. He felt that we had created a strong team and that he wanted to move that group to corporate and continue to work with them."
While there were some skeptics of the company's decision to sell The Reserve, for Craig Neilsen, there was never any doubt about the opportunity it created.
"The strategic decision to purchase the St. Charles and Kansas City properties doubled the size of the company, expanded our geographic distribution, continued to build the Ameristar brand and allowed us to enter two very appealing markets that have earned an outstanding ROI," he said.
By positioning itself well in the riverboat gaming markets, Ameristar seized numerous opportunities to grow upon its "locals casinos" concept into regional powerhouses.
"Our experience with the Reserve certainly contributed to helping us become better operators," Craig Neilsen said. "During that time we developed more analytical tools to look at the business on a micro basis. We became experts at labor management, and we also learned to utilize promotions and direct mail more efficiently."
Yet, as the company has grown, Neilsen hasn't shied away from re-entering the Las Vegas market, as evidenced by Ameristar's recent participation in the bidding war for Aztar Corp., operators of the Tropicana hotel-casinos on the Las Vegas Strip and Atlantic City. The back-and-forth bids for Aztar between four companies-Ameristar, Colony Capital, Pinnacle Entertainment and Columbia Sussex-raised the cost of the potential acquisition well beyond the value estimated by Wall Street gaming analysts. Ameristar's final offer was $47 per share, one that was exceeded by eventual winner Columbia Sussex's $54 per share offer, or $1.94 billion, plus assumption of the company's $676 million in debt.
"Our decision not to pursue the bidding for Aztar was an internal one. That said, I have to agree with analysts that the price for Aztar had reached very high levels," Neilsen said. "Shortly after we submitted our $47 per share bid, we decided that would be our best offer, based on our analysis of the value of the company."
"We'd like to be (in Las Vegas), but we need to be reasonable and rational," Ray Neilsen said. "We want to do what is right for the stockholders. If that means entering Las Vegas with a facility that creates solid ROI and would build the brand, that would be a good opportunity. But we have to make sure we have the right project to make our company stronger and better."
Positive influence
Neilsen's business sense and management style have had positive impacts on the company's other executives as well.
"I have a very hands-on management style, which is one that I encourage among all of our leaders at Ameristar," he said. "Our company also values a high level of collaboration and communication, which is essential to the pursuit of excellence. I'm also very analytical, pay attention to the details and am quality-driven. What's most important to me, and the message I try to impart to my staff, is to set high standards and not to compromise on them. That's true in every aspect of our business."
"It has been a great privilege to work with Craig. He is incredibly analytical, intuitive and intelligent, and I learn something every time I have the opportunity to meet with him," said Michelle Shriver, general manager of Ameristar's Black Hawk property. "His leadership style is quite collaborative, and he is well-known for asking others their opinion. Even when I was a mid-level manager in marketing, he would solicit my thoughts during a discussion."
Shriver noted that even though she had walked the Black Hawk property every day leading up to Ameristar's rebranding in April of this year, Neilsen, on a visit to the property, found things she had overlooked..."things that would make the property even better, and improve the guest experience."
Shriver added that Ameristar is a collaborative company, and that Neilsen values others' opinions. She recalled a particular meeting to discuss an agency presentation for a new advertising campaign. The meeting included: Shriver, who at the time was corporate director of marketing; Neilsen; the senior vice president of operations; the vice president of marketing; the vice president of administration; and several others.
"After the agency presentation, true to Craig's style, he wanted to hear others' thoughts before giving his opinion. Much to my surprise...and anxiety...he asked me first. After being as respectful as I could about a concept that I thought completely missed the mark, Craig said, 'So, you didn't care for it?' I answered, 'No, I don't think it will accomplish what we're trying to achieve.' He smiled and said, 'You're being too nice...it was one of the worst concepts we've seen.' Relieved, and laughing, I agreed with him," she said.
Ray Neilsen said his father has also made an impact with the company's 7,000-plus employees.
"I think we want to make sure our team members understand how important they are. It's important for people to have access to my dad. If they send an e-mail, he'll respond," he said. "I think there are very few primarily family-controlled companies left in the industry, and I think that does separate us from the competition. People know that we care."
He also notes that one of the things he and his father are both proud of is that Ameristar has not been shy about advancing women to executive positions.
"I have never encountered a glass ceiling at Ameristar," Shriver said. "I am one of three female general managers for the company, and I have always felt that I am rewarded for my talent and contributions, not based on what gender I am or who I know. I am proud to work for a company who truly values the diversity of people that work for them."
And as for Craig Neilsen's disability? Ray Neilsen said it's more of a motivator than a deterrent.
"He was just as strong before the accident," he said. "I think what he's trying to do is instill in others that there is hope. You can have these deficits, whatever they may be, but you can be successful. He never looks at himself as having a handicap. I don't think we should either. I think it inspires his employees and people around him. He's very capable in what he does, and at times it is inspirational."
Giving back
With Craig Neilsen at the helm, Ameristar has become a philan-thropic force in the gaming industry as well.
"I'm proud to point out that my success allowed me to establish The Craig H. Neilsen Foundation in 2003," Neilsen said. "The foundation's primary purpose is to help those living with a spinal cord injury by supporting cutting-edge research and innovative rehabilitation programs throughout the United States. The foundation also matches funds for donations made by Ameristar's team members for designated SCI rehabilitation organizations through the annual Ameristar Cares workplace giving campaign."
In addition, the Craig H. Neilsen Foundation and Ameristar jointly created the Ameristar National Charity Golf Classic in 2005. The Miami Project to Cure Paralysis has been the beneficiary of more than $1.6 million in proceeds from this event. This year's event is September 11-12 at Ameristar Kansas City.
Ray Neilsen said one of his father's priorities has been giving back, and many charities have benefited from the company's philanthropic efforts.
"He spends a lot of time thinking of ways to help people," Ray Neilsen said. "If you look him up on the Internet you'd probably find more articles on his charity work than you would in terms of gaming. He really enjoys helping people."
The company's Ameristar Cares charitable giving program is a key example.
"It encompasses our direct financial contributions to community nonprofit organizations, our annual team member workplace giving program and team member volunteerism," Neilsen said. "In 2005, we gave more than $9 million to our local communities in direct donations. Also last year, Ameristar team members donated more than $1 million to the five causes in our workplace giving campaign. I'm proud to say that we have an extraordinary participation rate: more than 75 percent of our team members gave to the campaign. To support their efforts, the company matches each dollar they give, and my foundation matches each contribution to the local spinal cord injury rehabilitation organization-so our total impact was $2.3 million. We have truly made a significant difference to many worthy organizations. Giving back to our communities is an important part of the Ameristar culture."
Sidebar:
Reinvestment strategy
Part of Ameristar's success stems from constantly refreshed facilities; and more projects are on the way
Since 2000, Ameristar Casinos has invested more than $550 million in expansion and renovation projects. But that doesn't mean the company or its chairman, president and CEO, Craig Neilsen, are content or will become complacent. In fact, the company has another $500 million worth of projects underway.
Neilsen said the company has committed to investing $380 million in the Ameristar Black Hawk property (formerly Mountain High Casino) in Colorado-a property it spent $119.5 million to purchase. Ameristar completed its first phase of rebranding the property in April, with expanded parking, refurbished dining venues, additional gaming space and new slot product.
Additional development will include an upscale hotel and spa, Black Hawk's only swimming pool and meeting facilities.
"The increase in business volumes we have experienced since the rebranding indicates that we are on the way for the property to gain a solid presence in the greater Denver market, similar to our achievements in our other markets," Neilsen said. "We liked the market for its proximity to the two million-plus residents in the Denver metropolitan area, and felt that it was underserved by the current casino products in Black Hawk. Once we open the hotel and spa in late 2008, we believe it will transform the property into a true regional destination resort and attract even more visitors to Black Hawk."
In St. Charles, the company is building a 400-room all-suite hotel with first-class, in-suite amenities; an indoor/outdoor pool; an upscale full-service spa; a new 2,350-space parking garage; and a 55,000-square-foot conference and meeting center. In Vicksburg, there are plans for a significant casino and garage expansion.
"It's absolutely a core strategy to keep our properties fresh while adding new amenities that increase our market share," Neilsen said.
-Andy Holtmann
