Pinnacle offers stock rewards program to its best customers
In Las Vegas, some hotel loyalty card programs reward their members for the total amount spent at their property, while others offer discounts to the buffet, $50 in free slot play, or even a free two-day stay based on the amount wagered.
Pinnacle Entertainment Inc. is offering something a little different -- an ownership stake in the company. The unique reward is only being offered to its best customers.
Pinnacle Entertainment created the owner's club stock program within its "mychoice" loyalty program, rewarding customers with shares of common stock for their spending.
Customers who have earned or obtained 175,000 points are eligible to apply for membership in the stock rewards program. In a regulatory filing, the company said new members would be awarded 100 shares of common stock or a number of shares valued at $1,500.
"We believe that this sort of awards program presents a unique opportunity for our customers to realize value for their loyalty and to develop a greater proprietary interest in our casinos," the company said.
In its filing with the Securities and Exchange Commission, Pinnacle Entertainment registered 200,000 shares of common stock. The proposed maximum asking price was $12.47 a share.
Shares of Pinnacle Entertainment lost 43 cents, or 3.19 percent, to close Tuesday at $13.04 on moderate trading of 507,116 shares on the New York Stock Exchange.
The stock program was just one new benefit offered by the casino company, which relaunched its "mychoice" loyalty program on Tuesday.
"We're excited to relaunch 'mychoice' and unveil its many new and innovative benefits," Pinnacle Entertainment President and CEO Anthony Sanfilippo said.
Sanfilippo described the loyalty program as unique for giving members "greater control over both how and where they enjoy their rewards."
The program also offers a chance to earn annual lease payments on Mercedes-Benz vehicles and cruises on Royal Caribbean International. Pinnacle Entertainment will give its high rollers access to Wynn Las Vegas and Encore. Pinnacle doesn't own a hotel in Las Vegas.
The trips will be offered at the program's highest three tiers. Pinnacle has about 1 million customers in its database, 20,000 of which would qualify for the Wynn Resorts' reward program.
Las Vegas-based Pinnacle Entertainment operates seven casinos in Louisiana, Missouri, Indiana and Reno. The company also operates a racetrack in Ohio and is developing a $357 million casino in Baton Rouge, La., scheduled to open next year.
Contact reporter Chris Sieroty at
csieroty@reviewjournal.com or 702-477-3893.
