Lowden: A Long Record of Laying Off Workers While Taking Bonuses
LAS VEGAS – Last week, Archon Corporation’s annual report provided Nevadans their first glimpse at Sue Lowden’s real record as a businesswoman…and it isn’t something to be proud of. Busting the myth that job creation is her top priority, her company’s filing revealed that a $200,000 bonus to her husband was worth more to her than the jobs of nearly ¼ of her employees in 2009.
And that wasn’t the first time.
Press reports and documents filed with the Securities and Exchange Commission (SEC) reveal that in 2004 she gave her husband another $200,000 bonus at the same time she laid off 52 casino employees at an Archon subsidiary and axed hundreds of jobs at Archon-owned Wet ‘n Wild Water Park in Las Vegas. That year, as workers stood in the unemployment line, the Lowdens raked in more than $775,000.
“Lowden’s track record clearly demonstrates she values massive CEO bonuses at the expense of the livelihoods of working Nevadans,” said campaign manager Brandon Hall. “In Lowden’s world, her employees’ ability to make their monthly mortgage payments comes in second to lining her own pockets.
“This Wall Street-type of behavior is not the kind of leadership Nevadans need.”
Last week, Sen. Reid led the Senate to pass a bipartisan Jobs Bill that the Las Vegas Chamber of Commerce said will “put people back to work.” Lowden came out in opposition to this legislation that cuts taxes for businesses and invests in job-creating transportation projects.
BACKGROUND ON SUE LOWDEN’S BUSINESS RECORD
2009 - Sue Lowden Cut Almost ¼ Of Her Workforce And Ended Employee 401(k) Matching While Her Husband Brought Home A $200,000 Bonus
Las Vegas Sun: “SEC Filing: Sue Lowden Cut Jobs, Got Bonus.” “Republican Sue Lowden’s company gave her husband a $200,000 bonus last year — bringing the couple’s combined paycheck to nearly $1 million — even as it slashed more than 100 jobs and eliminated the employee savings match, according to an annual report.” [Las Vegas Sun, 2/24/2010]
JANUARY 2004 - Lowden's Company Laid Off 52 Employees In Sparks With Little Notice
Archon-Owned Duke’s Casino In Sparks Closed With Little Notice, Leaving 52 Workers Out Of A Job. “In a move that shocked many of its 52 employees, Duke's Casino in downtown Sparks was scheduled to close at 2 a.m. today. ‘It completely stunned us,’ said Dale Jacobsen, a slot technician who has commuted to Duke's from his home in Dayton. ‘I've seen all the money they've been putting out for improvements, and none of us had a clue.’ ‘Hopefully, I'll find something else,’ Jacobsen said.” Duke's was owned by Archon subsidiary Archon Sparks Management Company. [Reno Gazette-Journal, 1/1/2004; Reno Gazette-Journal, 1/24/03; Exhibit 21 to Archon Corporation Form 10-K/A, 1/23/2004]
Duke's Owed More Than $14,000 To The City Of Sparks At The Time It Closed. In a timeline of the Duke’s Casino building, scheduled for demolition in 2005, the Reno Gazette-Journal wrote, “In a move that shocks its 52 employees, Duke's Casino abruptly closes it doors on New Years Day; at the time, the business owes Sparks about $14,008 for 886 square feet of land purchased from the city” [Reno Gazette-Journal, 8/9/2005]
AUGUST 2004 - Lowden’s Company "Pulled The Plug" On Hundreds Of Seasonal Jobs And Dozens Of Permanent Jobs When They Shut Down The Wet 'n Wild
Archon Corporation Reversed A Lease Agreement With Wet ‘n Wild Water Park In Order To “Tear Down The Park.” In 2004, the Las Vegas Review-Journal reported on Archon Corporations decision to “pull the plug” on the Wet ‘n Wild water park. “Las Vegas-based Archon Corp. owns the approximately 27-acre parcel beneath Wet 'n Wild and plans to tear down the park to make room for a new megaresort. Archon's Sahara Las Vegas Corp. subsidiary in May 2003 signed a lease extension that would have kept the park in place for 10 more years. But seven months later, it reversed course and said it would build a 3,250-room hotel-casino and observation wheel where Wet 'n Wild now stands.” [Las Vegas Review-Journal, 8/12/2004]
Wet ‘n Wild Water Park Employed Between 300 And 600 Seasonal Workers. Upon learning of the imminent closure of the Wet ‘n Wild water park as a result of Archon Corporation’s Decision, the parks spokeswoman said, “The park's 30 full-time employees could transfer within the company, though many will be laid off.” The Las Vegas Review-Journal reported, “In summer months, Wet 'n Wild employs between 300 to 600 seasonal workers, including nine-year veteran Jaylynn Nuckolls and Frank Chaney, a 12-year employee who'll turn 73 in September. Both said Wednesday they hope the park reopens so they can return to their current jobs.” [Las Vegas Review-Journal, 8/12/2004]
Archon Initially Planned To Build A Marina-Themed Resort On Wet ‘n Wild Site. After Archon Corporation announced their plans to close the Wet ‘n Wild water park and replace it with a new resort, the Las Vegas Review-Journal reported, “Wet 'n Wild's demise might not mark the end of aquatic-inspired development on the north Strip. Archon's most recent plans for the site, which were approved by the Clark County Planning Commission in January, call for a marina-themed project tentatively called Palace of the Sea. The development would include a 3,002-room hotel towering 611 feet above the Strip, replica yachts and a casino area designed to resemble the famed Opera House in Sydney, Australia.” [Las Vegas Review-Journal, 8/12/2004]
Instead Of Resort Project, Archon Rented Vacant Property For $400,000 Per Month For Construction Staging. In 2008, the Las Vegas Review-Journal reported on the status of the empty lot which used to be the home of the Wet ‘n Wild water park. “Archon, which owns the Pioneer in Laughlin, has been renting the vacant 27-acre site for $400,000 per month. The land has been used as a staging area for the construction of the $2.9 billion Fontainebleau resort.” [Las Vegas Review-Journal, 12/25/2008]
2004 – Lowdens Brought Home Hundreds Of Thousands In Salary And Bonuses
Archon CEO Paul Lowden Received A $200,000 Bonus In 2004. According to Archon Corporation’s annual report for the year ended September 30, 2004, Paul Lowden was paid a $200,000 bonus during 2004. [Archon Corporation Annual Report, 12/29/2004]
Archon CEO Paul Lowden Received $775,665 In Compensation In 2004. According to Archon Corporation’s annual report for the year ended September 30, 2004, the company’s CEO Paul Lowden was paid $775,665 in total salary and compensation. [Archon Corporation Annual Report, 12/29/2004]
###
Paid for by Friends for Harry Reid
Lowden: A Long Record of Laying Off Workers While Taking Bonuses
LAS VEGAS – Last week, Archon Corporation’s annual report provided Nevadans their first glimpse at Sue Lowden’s real record as a businesswoman…and it isn’t something to be proud of. Busting the myth that job creation is her top priority, her company’s filing revealed that a $200,000 bonus to her husband was worth more to her than the jobs of nearly ¼ of her employees in 2009.
And that wasn’t the first time.
Press reports and documents filed with the Securities and Exchange Commission (SEC) reveal that in 2004 she gave her husband another $200,000 bonus at the same time she laid off 52 casino employees at an Archon subsidiary and axed hundreds of jobs at Archon-owned Wet ‘n Wild Water Park in Las Vegas. That year, as workers stood in the unemployment line, the Lowdens raked in more than $775,000.
“Lowden’s track record clearly demonstrates she values massive CEO bonuses at the expense of the livelihoods of working Nevadans,” said campaign manager Brandon Hall. “In Lowden’s world, her employees’ ability to make their monthly mortgage payments comes in second to lining her own pockets.
“This Wall Street-type of behavior is not the kind of leadership Nevadans need.”
Last week, Sen. Reid led the Senate to pass a bipartisan Jobs Bill that the Las Vegas Chamber of Commerce said will “put people back to work.” Lowden came out in opposition to this legislation that cuts taxes for businesses and invests in job-creating transportation projects.
BACKGROUND ON SUE LOWDEN’S BUSINESS RECORD
2009 - Sue Lowden Cut Almost ¼ Of Her Workforce And Ended Employee 401(k) Matching While Her Husband Brought Home A $200,000 Bonus
Las Vegas Sun: “SEC Filing: Sue Lowden Cut Jobs, Got Bonus.” “Republican Sue Lowden’s company gave her husband a $200,000 bonus last year — bringing the couple’s combined paycheck to nearly $1 million — even as it slashed more than 100 jobs and eliminated the employee savings match, according to an annual report.” [Las Vegas Sun, 2/24/2010]
JANUARY 2004 - Lowden's Company Laid Off 52 Employees In Sparks With Little Notice
Archon-Owned Duke’s Casino In Sparks Closed With Little Notice, Leaving 52 Workers Out Of A Job. “In a move that shocked many of its 52 employees, Duke's Casino in downtown Sparks was scheduled to close at 2 a.m. today. ‘It completely stunned us,’ said Dale Jacobsen, a slot technician who has commuted to Duke's from his home in Dayton. ‘I've seen all the money they've been putting out for improvements, and none of us had a clue.’ ‘Hopefully, I'll find something else,’ Jacobsen said.” Duke's was owned by Archon subsidiary Archon Sparks Management Company. [Reno Gazette-Journal, 1/1/2004; Reno Gazette-Journal, 1/24/03; Exhibit 21 to Archon Corporation Form 10-K/A, 1/23/2004]
Duke's Owed More Than $14,000 To The City Of Sparks At The Time It Closed. In a timeline of the Duke’s Casino building, scheduled for demolition in 2005, the Reno Gazette-Journal wrote, “In a move that shocks its 52 employees, Duke's Casino abruptly closes it doors on New Years Day; at the time, the business owes Sparks about $14,008 for 886 square feet of land purchased from the city” [Reno Gazette-Journal, 8/9/2005]
AUGUST 2004 - Lowden’s Company "Pulled The Plug" On Hundreds Of Seasonal Jobs And Dozens Of Permanent Jobs When They Shut Down The Wet 'n Wild
Archon Corporation Reversed A Lease Agreement With Wet ‘n Wild Water Park In Order To “Tear Down The Park.” In 2004, the Las Vegas Review-Journal reported on Archon Corporations decision to “pull the plug” on the Wet ‘n Wild water park. “Las Vegas-based Archon Corp. owns the approximately 27-acre parcel beneath Wet 'n Wild and plans to tear down the park to make room for a new megaresort. Archon's Sahara Las Vegas Corp. subsidiary in May 2003 signed a lease extension that would have kept the park in place for 10 more years. But seven months later, it reversed course and said it would build a 3,250-room hotel-casino and observation wheel where Wet 'n Wild now stands.” [Las Vegas Review-Journal, 8/12/2004]
Wet ‘n Wild Water Park Employed Between 300 And 600 Seasonal Workers. Upon learning of the imminent closure of the Wet ‘n Wild water park as a result of Archon Corporation’s Decision, the parks spokeswoman said, “The park's 30 full-time employees could transfer within the company, though many will be laid off.” The Las Vegas Review-Journal reported, “In summer months, Wet 'n Wild employs between 300 to 600 seasonal workers, including nine-year veteran Jaylynn Nuckolls and Frank Chaney, a 12-year employee who'll turn 73 in September. Both said Wednesday they hope the park reopens so they can return to their current jobs.” [Las Vegas Review-Journal, 8/12/2004]
Archon Initially Planned To Build A Marina-Themed Resort On Wet ‘n Wild Site. After Archon Corporation announced their plans to close the Wet ‘n Wild water park and replace it with a new resort, the Las Vegas Review-Journal reported, “Wet 'n Wild's demise might not mark the end of aquatic-inspired development on the north Strip. Archon's most recent plans for the site, which were approved by the Clark County Planning Commission in January, call for a marina-themed project tentatively called Palace of the Sea. The development would include a 3,002-room hotel towering 611 feet above the Strip, replica yachts and a casino area designed to resemble the famed Opera House in Sydney, Australia.” [Las Vegas Review-Journal, 8/12/2004]
Instead Of Resort Project, Archon Rented Vacant Property For $400,000 Per Month For Construction Staging. In 2008, the Las Vegas Review-Journal reported on the status of the empty lot which used to be the home of the Wet ‘n Wild water park. “Archon, which owns the Pioneer in Laughlin, has been renting the vacant 27-acre site for $400,000 per month. The land has been used as a staging area for the construction of the $2.9 billion Fontainebleau resort.” [Las Vegas Review-Journal, 12/25/2008]
2004 – Lowdens Brought Home Hundreds Of Thousands In Salary And Bonuses
Archon CEO Paul Lowden Received A $200,000 Bonus In 2004. According to Archon Corporation’s annual report for the year ended September 30, 2004, Paul Lowden was paid a $200,000 bonus during 2004. [Archon Corporation Annual Report, 12/29/2004]
Archon CEO Paul Lowden Received $775,665 In Compensation In 2004. According to Archon Corporation’s annual report for the year ended September 30, 2004, the company’s CEO Paul Lowden was paid $775,665 in total salary and compensation. [Archon Corporation Annual Report, 12/29/2004]
###
Paid for by Friends for Harry Reid
