\nHoward Stutz, Las Vegas Review-Journal <\/p>\n
\tA trust set up by the late CEO of casino operator Full House Resorts is siding with a group of shareholders looking to remake the board of the Las Vegas-based company.<\/p>\n
\tIn a letter to the company\u2019s board, the co-trustees of the Allen E. Paulson Living Trust said they will support holding a special shareholders meeting that is being requested by a shareholders group headed by gaming executive Dan Lee.<\/p>\n
\tThe trust controls 9.4 percent of Full House and was set up by Allen Paulson, who was CEO of Full House from 1994 until his death in 2000.<\/p>\n
\tCo-trustees Crystal Christensen and Vikki Paulson said shareholders want \u201ctransparency\u201d from the board concerning management\u2019s plans for the company\u2019s direction and prospects.<\/p>\n
\tFull House owns three casinos: one in Indiana, one in Mississippi and the Stockman\u2019s Casino in Fallon. The company also manages the Grand Lodge Casino at Hyatt Lake Tahoe under a lease agreement.<\/p>\n
\t\u201cWhile we are reserving judgment on the merits of the various proposals put forward by this group for consideration at the requested special meeting, we do believe it is important that the stockholders and the company have an open dialogue with respect to its management,\u201d the co-trustees wrote.<\/p>\n
\tAn investors relations spokesman for Full House said company officials were unavailable for comment Tuesday.<\/p>\n
\tLee is one of five shareholders controlling 6.2 percent of Full House. They are proposing to double the size of the board to 10 and change the company\u2019s direction.<\/p>\n
\tThe group has asked the Securities and Exchange Commission for permission to approach other shareholders.<\/p>\n
\tThe proxy fight will need 40 percent approval from shareholders to schedule a vote.<\/p>\n
\tLee\u2019s group has criticized the company\u2019s management and cited a 59 percent drop in the company\u2019s stock price. It also said executives are overcompensated and highlighted the failed acquisition of a casino in Tunica, Miss.<\/p>\n
\tThe shareholder group suggested Full House doesn\u2019t have the money to finish construction of a hotel at the Mississippi casino.<\/p>\n
\tFull House said it has been \u201cevaluating strategic alternatives for several months\u201d and called a proxy fight \u201cinappropriate and disruptive.\u201d In a statement, company officials said they were exploring options, such as \u201cpotential merger or sale of the company.\u201d<\/p>\n
\tAllen Paulson is considered one of Full House\u2019s founders along with automobile industry leader Lee Iacocca, who appeared with company executives in front of Nevada gaming regulators in 2007.<\/p>\n
\t\u201c(Paulson) invested significant amounts of his time and money into making Full House Resorts a successful and thriving company,\u201d the co-trustees wrote. \u201cFurther, our family has had a significant, long-term investor relationship with the company.\u201d<\/p>\n
\tShares of Full House jumped 15 percent Monday on Nasdaq when the letter was first revealed. On Tuesday, shares fell 1 cent, or 0.78 percent, to close at $1.27.<\/p>\n
No replies were posted for this topic.<\/p>\n","protected":false},"excerpt":{"rendered":"
Howard Stutz, Las Vegas Review-Journal A trust set up by the late CEO of casino operator Full House Resorts is siding with a group of shareholders looking to remake the board of the Las Vegas-based company. In a letter to…<\/p>\n","protected":false},"author":36,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-8189","post","type-post","status-publish","format-standard","hentry","category-latest-casino-news"],"_links":{"self":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts\/8189","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/comments?post=8189"}],"version-history":[{"count":0,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts\/8189\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/media?parent=8189"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/categories?post=8189"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/tags?post=8189"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}