Global_Gaming_Business,_February_2019

50 Global Gaming Business FEBRUARY 2019

T

ony Rodio joined Affinity Gam-

ing in late 2018, directly after

directing the sale of Tropicana

Entertainment to Eldorado Resorts. At

Tropicana, Rodio increased overall financial

results with net revenue increasing more

than 50 percent through both operational

improvements and further expansion into

regional markets. Rodio also has experience

with Harrah’s Entertainment and Holly-

wood Casinos. At Affinity, Rodio takes the

helm of a company that operates 11 casinos,

five of which are located in Nevada, three in

Colorado, two in Missouri and one in Iowa.

He spoke with GGBPublisher Roger Gros

from the Affinity Gaming offices in Las

Vegas in December. To listen to the full

podcast of the interview, where Rodio talks

about the individual properties, his strate-

gies and the potential for sports betting at

the regional properties, visit GGB-

Magazine.com.

GGB: Tell us about the sale of Tropicana

Entertainment to Eldorado Resorts. Why

did you get back into the business so

quickly after the sale closed?

Rodio: Well, it was a six-month process,

from the time the transaction was an-

nounced until the time it closed. The Eldo-

rado folks were wonderful. They offered me

a position to stay on. But I thought it was

time for me to move on.

I’m too young to retire. I love the in-

dustry; I’m passionate about it. So, I felt like

I had one more good run in me, and this

was one of a number of opportunities that I

looked at. This one seemed to fit me best.

What was it about Affinity that really at-

tracted you?

I think there are a lot of similarities between

Affinity today and where Tropicana was

when I first got there, seven or eight years

ago—a regional gaming company, operations

throughout the Midwest, and no real cohesion

within the company. I really look to draw from

my experience at Tropicana of building a com-

pany and creating a new culture, and discover-

ing some new ways of looking at things—with

a fresh set of eyes.

You worked for a pretty demanding billionaire

in Carl Icahn at Tropicana. Now you’ll be

working with another one, Jim Zenni, the

head of Z Capital, which is a majority owner

of Affinity.

There are similarities, and there are some dif-

ferences. Tropicana was publicly traded, but

Mr. Icahn owned 80 percent of the company,

so there was only one vote that mattered. So,

for all practical purposes, it was privately held.

They’re both very passionate, obviously

both great investors. I think the difference is,

Mr. Icahn didn’t get involved in the day-to-

day operations. Given how this company has

been operating before I got here—it was four

or five months without a CEO—Mr. Zenni

was, in essence, the CEO. So, he’s much more

intimately aware of each of the properties, each

of the businesses, and the positives, the nega-

tives, and what we need to do to move for-

ward. So, that is a big difference. He’s

passionate about it, I think his leadership is

certainly a big support, and you know, he’s

looking for us to grow the company.

In that sense, they’re both identical. They

want me to add value. That’s why I’m here.

Affinity has so many different parts, not an

overarching brand and diverse operations.

Well, they are diverse. I’ve now visited each

and every business, and they are unique in the

customers that they serve, the markets that

they operate in, and the size of the facilities.

Some of our properties have hotels, some

don’t. But the philosophy that I used at Tropi-

cana is going to be the same philosophy that I

use here, which is a little different than previous

management. I believe in more of a decentral-

ized model. I will give a lot more autonomy to

the general managers and the local business

leaders. And I think it certainly plays well with

this company, because they are so diverse. What

works at Primm, at Stateline, isn’t necessarily

going to work at Rail City in Sparks, outside of

Reno. So, I’m getting to know each of the busi-

nesses, and again, we’re going to operate in a

more decentralized function.

What do you consider the strengths of the

company at this point?

I’m pleasantly surprised by the strength of the

corporate staff and the management teams at

each of the individual businesses. The GMs that

I’ve gotten to know, I think they all do a great

job. We’ve brought in some additional talent to

support the people that are already here: Eric

Fiocco is on board and we’re bringing in the

CFO from Tropicana, Joe Long, as well.

So, the talent that was here, and really

long-term loyal employees, interact with cus-

tomers, and you can see that it’s a family atmos-

phere, in those respects.

How about the shape of the properties? Do

you need a little more capital investment, or

were they in pretty good shape?

They’re in good shape from a physical stand-

point, but similar to what I did at Tropicana—

and I think what’s incumbent upon all of this in

this industry—we have to diversify the experi-

ence. You no longer can just offer slot machines

and table games. We have to look for opportu-

nities and ways to partner with brands, and to

diversify the experience. It’s more challenging in

smaller, regional markets, but there are defi-

nitely little things that we can do to tweak the

experience and add new amenities.

A

Q

CASINOCOMMUNICATIONS

& Tony Rodio

Chief Executive Officer, Affinity Gaming

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