West Coast Connection Forum
Lifestyle => Train of Thought => Topic started by: Twentytwofifty on October 03, 2006, 08:48:15 AM
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LONDON, England (Reuters) -- Online gaming firms faced their biggest-ever crisis on Monday after U.S. Congress unexpectedly passed legislation to ban online gaming there, threatening jobs and hitting stocks by as much as 70 percent.
Britain's PartyGaming Plc, operator of leading online poker site PartyPoker.com, and rivals Sportingbet and 888 Plc said they would likely pull out of the United States and warned on future profits.
PartyGaming's shares fell 59 percent by 0725 GMT, while Sportingbet lost 64 percent, 888 was down 45 percent and gaming software provider Playtech fell 55 percent. Austria's bwin.com Interactive Entertainment fell as much as 22 percent in the first few minutes of trading.
U.S. Congress unexpectedly approved a bill early on Saturday that would make it illegal for banks and credit-card companies to make payments to online gambling sites.
The House of Representatives and Senate approved the measure and sent it to President George W. Bush to sign into law. Most analysts think his approval is certain.
"We believe that this will have a very material impact on the long-term prospects of online gambling, and in particular poker," said analyst Julian Easthope at UBS. "This will lead to a rapid decline in the use of online poker sites."
PartyGaming generates about 78 percent of its revenue from the United States, while Sportingbet gets about 62 percent there.
PartyGaming said in a statement: "If the president signs the act into law, the company will suspend all real money gaming business with U.S. residents, and such suspension will continue indefinitely.
"Any such suspension would also result in the group's financial performance falling significantly short of consensus forecasts for 2006 and 2007," it added.
PartyGaming's smaller rival Sportingbet said the likely ban would hit trading, and said it had scrapped a planned merger with World Gaming as a result of the passing of the legislation.
888 Plc said the move would hit its results, but stressed it remained a profitable and viable business.
Any ban would also hit payment-processors like Neteller Plc and Optimal Group's FireOne subsidiary.
Neteller Plc said the legislation would have a "material adverse effect" on its U.S.-facing business.
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Now I really have a problem with Bush and his goons. :baseballbat:
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online gambling not gaming.. you'll give motherfuckers a heart attack
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I just copied the title from the CNN article.
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thats insane
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online gambling not gaming.. you'll give motherfuckers a heart attack
LOL i was thinking the same thing
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online gambling not gaming.. you'll give motherfuckers a heart attack
LOL i was thinking the same thing
lol i was thinking the same thing
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so we can't share our websites with foreigners now great ::)
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that US ban on gambling websites is kinda fucked up, ours looking to open up my own gambling websites in the future, well down the road you know, when man had raised enough capital an that you know, thats put a spanner in the works for real, the USA is the biggest customer base for internet gambling websites you know, damn, screwing, it ain't like there banning gambling in las Vegas or horse betting, the republicans are just trying to look hard for the next upcoming elections for there conservative voters you know, thats all its about, its looks like its only Bush an his crew an his puppets who can eat, everbody else who dosen't eat the way bush wants you to eat ain't eating, its real, true stories, lets go