Delta Downs and Youbet Sign Co-promotion Agreement

Delta Downs Racetrack and Casino in Louisiana (a subsidiary of Boyd Gaming) and Youbet.com, an online wagering company focused on horse racing, signed a co-promotion agreement yesterday that sent Boyd's shares 5.7% higher to $47.15, but left Youbet's down 0.4% to $2.53. Youbet will provide online advance deposit wagering and other services for Delta Downs, while Delta will promote Youbet at its racetrack and casino and in media advertising. Delta Downs' GM commented, "Delta Downs' racing product has experienced tremendous growth in recent years, and with the help of Youbet we expect that trend to continue well into the future." In a press release, Youbet said it has nearly 200,000 customers who wagered more than $463 million last year.

Sources: Press release [pdf], Associated Press
Commentary: Boyd Gaming: Q4 Earnings Beat Despite Sales Decline • Hands Off Boyd • A Closer Look at Casino Stocks
Stocks/ETFs to watch: Boyd Gaming (BYD), Youbet.com (UBET). Competitors: Magna Entertainment (MECA), Harrah's Entertainment (HET), MGM Mirage (MGM), Station Casinos (STN)

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