The sexual misconduct allegations recently levied against American casino magnate Steve Wynn (pictured) could reportedly have a negative long-term impact on his Wynn Resorts Limited casino-operating enterprise by affecting its ability to successfully renew or maintain its gaming licenses.
Seventy-six-year-old Wynn serves as Chief Executive Officer for Wynn Resorts Limited, which runs a string of luxury integrated casino resorts in Las Vegas and Macau, and he was accused via a Saturday story published in The Wall Street Journal newspaper of possibly pressuring some of his workers into performing sexual acts.
According to a report from the MarketWatch financial information service, these allegations have led to the share price for Las Vegas-based Wynne Resorts Limited dropping by as much as 9% since Monday while credit rankings firm S&P Global Ratings subsequently decreased the company’s BB- ratings outlook from ‘stable’ to ‘negative’.
S&P Global Ratings reportedly declared that its downward revision had reflected ‘the significant uncertainty surrounding the resolution of various investigations into the misconduct allegations against’ Wynn including one recently announced by the Massachusetts Gaming Commission regarding the billionaire’s ‘suitability and integrity’ to run gambling at the under-construction Wynn Boston Harbor Resort.
“This includes the extent to which these allegations impair Wynn Resorts Limited’s brand and hurt cash flow, whether the company is able to maintain its gaming licenses, whether there will be a transition in leadership and, if so, what form that might take,” reportedly read a statement from S&P Global Ratings.