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Wynn Abandons Philly Project

Wynn Resorts Ltd.  has abandoned its plan of a casino project construction in Philadelphia, Pennsylvania.

Last Thursday, the company announced that it had terminated all agreements and negotiations related to its potential investment in the Foxwoods Casino project in Philadelphia. The project was slated for the Philadelphia waterfront.

Though the legalization of table games in Pennsylvania had attracted Wynn Resorts, management said that the particular project was not suitable for the company. This particular project in Philadelphia has gone through too many problems, both political and financial, since its approval.

However, Wynn Resorts remains right on track and is expected to open its second property, Encore at Wynn Macau, later this month. The company is completing the construction of this project, which is a further expansion of Wynn Macau. This will add a fully integrated resort hotel to Wynn Macau, including approximately 410 luxury suites and four villas along with restaurants, additional retail space and additional gaming space.

Wynn Resorts reported fourth quarter earnings of 8 cents per share, which missed the Zacks Consensus Estimate of 12 cents. The company had earned 7 cents per share in the year-ago quarter.

For the fourth quarter of 2009, net revenues were $809.3 million, up 31.7% from the prior-year period. The increase was driven by a solid performance of its Macau operations and a full-quarter contribution from its Encore property in Las Vegas.

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