Shareholders push casinos to reassess indoor smoking

Core Viewpoint - A new strategy involving shareholder votes is emerging in the effort to ban smoking in casinos, with proposals being put forth by shareholders at Boyd Gaming, Bally's Entertainment, and Caesars Entertainment to assess the costs and potential savings of going smoke-free [1][2] Group 1: Shareholder Proposals - Shareholders at Boyd Gaming, Bally's, and Caesars will vote on proposals to study the financial implications of allowing indoor smoking versus adopting a smoke-free policy [1][2] - The proposals are backed by Trinity Health and the Americans for Nonsmokers' Rights Foundation, despite Trinity Health owning only a small fraction of shares in these companies [1] Group 2: Casino Operations and Legislation - The three companies operate a total of 75 casinos in the U.S. that permit indoor smoking, with approximately 14 states allowing such practices [2] - Some states, including Nevada and New Jersey, have broader smoking bans but allow exceptions for casinos, while legislation to end indoor smoking in casinos is being considered in several states [2] Group 3: Financial Implications and Research - Research by C3 Gaming indicates that smoke-free casinos can generate more revenue and outperform those that allow smoking [3] - Boyd Gaming claims that states with smoking bans have negatively impacted their business, arguing that decisions should be made based on local trends [3] Group 4: Industry Perspectives - Caesars board member Jan Jones Blackhurst stated that smoking ban decisions should be made by governments, acknowledging potential revenue drops of 20% to 25% if bans are enacted [4] - Workers' unions have mixed responses, with some concerned about job losses while others, like the United Auto Workers, are advocating against in-casino smoking due to health concerns [4] Group 5: Health Concerns and Market Responses - The CDC emphasizes that no level of secondhand smoke exposure is safe, advocating for 100% smoke-free environments [5] - Parx Casino, which remained smoke-free during the pandemic, reported no significant loss in market share and focused on guest satisfaction and employee morale [6]