UPDATE 3-Rank hit by smoking ban, eyes new casinos

Fri Mar 2, 2007 11:13am GMT
 
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(Adds detail, chief executive comment, background)

By Marc Jones

LONDON, March 2 (Reuters) - Leisure group Rank (RNK.L) said it was mulling bids for all of Britain's new casino licenses, including a Las Vegas-style supercasino, after its 2006 profit dropped as Scotland's smoking ban sapped its bingo revenues.

Rank, which runs Mecca bingo clubs and Grosvenor casinos, said on Friday that pretax profit from its ongoing business fell 12 percent as it swallowed 9 million pounds ($17.6 million) of costs after selling large chunks of its business and Scotland's smoking ban knocked bingo revenues there by 15 percent.

Chief Executive Ian Burke said the firm was looking at all of Britain's new casino licenses including the supercasino planned for Manchester.

"We are looking quite hard at all 17.. We think we are well placed to win a number of these licenses," he said.

"We think we can make a strong case to the local authorities if and when we need to."

He added that Rank expected the soon-to-be-imposed smoking bans in England and Wales to have a similar impact on its bingo halls as the Scottish ban.

"There is no reason to believe the impact would be any different from that in Scotland, however we are better prepared when it comes in in Wales and England."  Continued...

 

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