New Castle News

Local News

Discussion

August 11, 2008

Slots license process proceeding

By Nancy Lowry

The Pennsylvania Gaming Commission is still considering the slots casino license request of Indiana-based Centaur Inc.

Despite dire financial news this week that Centaur may be canceling its Pennsylvania casino development or considering selling its Valley View license, the commission has not been asked to remove the organization from its agenda.

The commission is scheduled to meet at 10 a.m. Thursday in Harrisburg.

Debtwire, a financial news service, published an article Thursday speculating that Centaur’s lenders are pushing it to abandon the local casino development to repay the lenders.

Centaur, the article said, “has been in technical default on its loans since failing to obtain a gaming license for the planned Valley View Downs slots parlor ... by a July 15 deadline.”

Unnamed sources in the article also said the tight credit market is hurting plans for Valley View. It also speculates Centaur may take on additional partners to make the project work.

In October, Credit Suisse and other lenders provided almost $1 billion to upgrade its holdings and construct Valley View.

Centaur, the Debtwire story said, is in negotiations and seeking concessions.

Centaur is still in the running, according to gaming commission spokesman Richard McGarvey.

“We have received no word that Centaur has withdrawn its application,” he said. “We will proceed with the on-going investigation, hold a suitability hearing and if everything checks out, award the license this fall.”

Centaur has requested a casino license entitling it to 3,000 slot machines for Valley View Downs a racetrack/casino complex planned for Mahoning Township.

The development is estimated at $455 million and expected to provide 1,000 construction and 1,200 part-time and permanent jobs after the facility is built.

“Centaur is continuing to negotiate with its lenders to amend its credit facility,” according to Susan Kilkenny, spokeswoman and director of corporate marketing and public relations for Centaur.

“The current uncertainty of the credit markets and the (state gaming board’s) decision not to grant Valley View Downs a conditional license by July 15 necessitated revisions to the original credit agreement,” she said in an e-mail. “Additional details will be available upon reaching a resolution.

“Speculating publicly on the outcome of those discussions would not help advance the process. Therefore, we are reserving comment until definitive information is available,” the e-mail continued.

Centaur officials did not directly respond when asked by the New Castle News if the company was denying Debtwire’s reports or if it was seeking a retraction.

The Indiana-based company is involved with developing and operating entertainment venues that include horse racing and gaming.

Centaur currently operates Hoosier Park, a racetrack/casino in Anderson, Ind., Fortune Valley Casino in Central City, Colo., and three off-track betting sites in Indianapolis, Merrillville and Fort Wayne, Ind.

Text Only | Photo Reprints
Local News
  • money.jpg City pension fund sees gain in final quarter

    The city of New Castle’s employee pension fund gained in value during the last quarter of 2011. The gain is attributed to a strong showing in the stock market during the period following poor performance in the previous three months.

    February 7, 2012 1 Photo

  • gavel.jpg Judge denies new trial in McGaffic case

    Senior Judge Michael J. Wherry has denied a new trial regarding a property in downtown New Castle. In an order of court handed down yesterday, Wherry denied a new trial “because the plaintiffs lack standing as explained in the order of court dated Dec. 21, 2011.”

    February 7, 2012 1 Photo

  • Olszak.jpg Mitchel Olszak: Scammers learn to feed off human fear

    A few weeks ago, my computer went crazy. Boxes filled with warning notices and ominous-looking yellow triangles popped up on my screen, to tell me my system was filled with dangerous viruses. I was in imminent danger of having all sorts of personal information, passwords and financial data stolen.

    February 6, 2012 1 Photo

  • manna.jpg John K. Manna: State Supreme Court explains fault with redistricting plan

    A couple of things: We finally have an opinion. A week after it threw out a redistricting plan for state legislative districts, the Pennsylvania Supreme Court released its opinion yesterday.

    February 4, 2012 1 Photo

  • Mitchell.jpg Elected councilman contests disqualification

    A New Castle City Council candidate contends he should not be disqualified from holding office because he is seeking clemency.

    February 3, 2012 1 Photo

  • Ramsey.jpg Dave Ramsey: Proper insurance can transfer risk

    “Dave Says" is a weekly column featuring financial advice from nationally syndicated radio host Dave Ramsey. His column is filled with timely, relevant questions and answers taken from actual letters and calls on Ramsey's radio program, “The Dave Ramsey Show.”

    February 3, 2012 1 Photo

  • City planning OKs school addition

     The New Castle Planning Commission has recommended a conditional use be granted for a school addition. The New Castle Area School District plans to construct an addition to the Harry W. Lockley Kindergarten Center and create an early learning center.

    February 3, 2012

  • money.jpg Mortgage rates trigger surge in buying, refinancing

    Some sectors of the economy may still be sluggish, but the housing market in Lawrence County isn’t one of them. Mortgage loans, both for refinancing and home purchases, are up significantly in the last several months in the county, according to local banks and real estate agents.

    February 2, 2012 1 Photo

  • Brothers.jpg Lori Brothers: Organic is good, but it’s not always necessary

    How often do you have a great conversation with your produce man? I encourage it. I got quite an explanation about how organic veggies are handled. I also found out there are certain guidelines about where they can even be located to be sold as “organic.”

    February 2, 2012 1 Photo

  • Mastrangelo.jpg Our Opinion, Part 2: Mayor’s hiring of his son raises more serious questions

    If you ask New Castle residents to identify the biggest problem in local government, one word will stand out:
    Nepotism. The term, of course, refers to the hiring of one’s relatives for positions, regardless of the fact others are equally — or more — deserving of available positions.

    February 1, 2012 1 Photo 1 Story