Steve Wynn absolutely destroys the Obama administration in response to an analyst question on an earnings call yesterday. A bit lengthy, but a great answer from one of our business leaders who does not pull punches.
There are more questions afoot in this market in America that will impact ’11 than I have hair in my head, I am happy to say, and I still have a full head of hair.
No, you’ll not get any of that from us. I don’t see it. I’ve got more questions than answers. I have more pessimism than I have had before. And it’s based upon the political environment in which we are living today. And it definitely is impacting Las Vegas. The President of the United States hasn’t missed one single opportunity to swelch [ph] Las Vegas. In our particular case it’s cost us millions of dollars from companies affected by the President’s remarks that had no connection whatsoever to federal bailouts. But we get phone calls, and I am not going to mention the names of the companies, from Chairmen, who say we don’t want to appear to be profligate because Barack Obama said this or that about Las Vegas. But it’s had an effect on us. The hospitality industry in the United States of America as a whole has suffered disproportionately during this recession. Maybe automobile workers got a break. But all of the hundreds and hundreds of thousands of people that work in the hotels, restaurants, and bars in the United States of America have been totally and completely overlooked in this aborted rescue attempt that has squandered billions of dollars in the United States. And I am being very harsh about it. And I’ve got the data to back it up and so is everybody else in the hospitality industry
Job formation and the kinds of companies that make jobs are under attack in the United States of America. You know, MGM – aside for a moment – in – last year we created almost 5000 jobs. And immediately became the target of the administration. Businesses that created jobs, little own gaming companies have created jobs, had to be no good. I mean, it is preposterous that businesses are under attack in the United States of America.
Anybody that makes over$250,000 in the form of a personal income tax return is now by Washington definition ‘a rich person’ when everybody who has got a college degree knows that the personal income tax rate in the United States of America is the business tax of America. Every subchapter S, every individual proprietorship, and every partnership in the United States of America files tax returns as individuals. And when they do, and they show that they made $2 million, or $3 million or God forbid $4 million, they pay the income tax rate. They deduct their working expenses, their living expenses and then they invest in a new store, a new shop, and most of the time 25% of their “profits” are tied up in accounts receivable or inventory. But all of a sudden, all of those people who make over $250,000 are rich folks to be fleeced. And if that’s job formation stimulation in America, (inaudible) providence. And if I sound angry about it, and disgusted, I am disgusted and angry at the apparent ignorance of the administration and the Congress to recognize the fact that the individual tax rate in the United States of America is in fact the business tax of America. And if you keep banging on that, you will destroy in the incentive for job formation in the United States of America. And that’s simple truth. Simple truth. And whether politicians like it or don’t like it, it means nothing to me.And that’s why I am pessimistic about Las Vegas, because those are our customers. Those people out there, hustling their businesses, and God forbid, showing that they made a million dollars as a partnership or as an individual, yes, they are the enemy now. They are the rich folks. Well, until we get over this America is in for hard times because what’s going to happen is the people that are going to suffer from what’s going on are the working class of America. My 15 to 20,000 employees they are the ones that are in trouble. The reason they are in trouble is this demolition of the dollar. It’s going to reduce the buying power of the working class of America as sure hell as if we gave them a salary cut of 25%. And that’s another thing that doesn’t seem to be clear to the brilliant people in Washington, D.C. They are not just our customers, they are my employees. And until my employees get the drift of what’s being done to them America is in trouble.