Explanation Comes from Wynn Regarding Pokerstars Deal

Why did former online poker opponent change his mind? Recently, the industry was abuzz with the news that former arch-opponent of online poker, and the owner of Wynn Resorst, Steve Wynn, entered a partnership with online gambling giant Pokerstars. In an interview this week, however, he explained the reasons for his change of heart. "I thought it would be difficult to regulate, and if the Internet people got in trouble it would bring the wrath of the government down on us in the live gaming community out here in Las Vegas. I didn't see the business opportunity, I just saw problems," he said, adding that then the Democratic Party Nevada Senator Harry Reid approached him. "Harry Reid called me and said, 'Steve, there are millions of people playing poker, and it's as American as apple pie. I want my office to look into this and see if we can regulate it.' "Harry and I have been friends for 40-odd years, we ran marathons together. . . . And I got contacted by the people at PokerStars, who asked, 'Why are you not interested in this? Take a minute and learn the truth about this.' "That began my exposure to that company and that business and what they do, and I have to tell you I was shocked, " Wynn said, explaining that he had no idea on a number of aspects of online poker, including that Pokerstars are highly regulated in Europe, employing 1 300 highly skilled people with an average salary of $110,000. "One of my concerns was about young people playing," said Wynn. "It turns out they have more control about young people playing than we do." In the interview, Wynn also quoted his newly gained partner, Pokerstars founder and owner Isai Scheinberg, whose reported motivation for the partnership was that Pokerstars had a multitude of American customers, and the company therefore wanted to "do it right". "I don't want to look over my shoulder at this point of my life," he told Wynn, who answered that he would only take his company into a putative online gambling venture if it was legalized at federal level, and if it was a 50-50 deal. "I know that as a nonbeliever I was convinced by the logic of the argument," Wynn said. "And when I learn something and change my mind I may have the naive notion that other people might be enlightened by the facts themselves." However, he warned that his conversion "...doesn't mean I am right, especially in Washington."