LAS VEGAS The founder of the gaming giant now known as MGM Resorts International will resign from the company’s board of directors in June.
Kirk Kerkorian, 93, will become a senior advisor to the company, retaining the title of director emeritus. He will not have any voting rights, although he will still have significant influence as his holding company, Tracinda Corp., owns 27% of MGM Resorts. Kerkorian has a standing invitation to attend any meetings of MGM Resorts’ board or executive committee, the company says.
“Kirk’s contributions to the growth and development of MGM Resorts are far too many to detail,” says Chairman and CEO Jim Murren. “Of even greater impact, however, have been the contributions of his time, talent and treasure to so many throughout the Las Vegas community, across the United States and around the world.
“Throughout the years, I have relied on Kirk far beyond his role as our largest shareholder. He has always been available to discuss any detail or issue, and I look forward to continuing to receive the benefit of his counsel for many years to come.”
Kerkorian will serve out his current term on the board, due to expire at the company’s annual meeting in June.
“One of the most rewarding aspects of my life has been my association with MGM Resorts and its predecessor companies,” Kerkorian says. “I am deeply indebted to the hundreds of thousands of men and women who have worked for our companies through these many years. Their hard work and dedication to success created the extraordinary opportunity to share our success with others. It has been a privilege to work with them all, and I look forward to continuing to regularly consult with Jim and the board of this wonderful company.”
Kerkorian is an icon of Las Vegas and, indeed, of the hotel industry. He has thrice opened the world’s largest hotel.
Kerkorian’s first venture in the gaming business was with a stake in the Dunes Hotel in 1955, and by the 1960s, he was actively buying land in Las Vegas for development. In 1969, his International Leisure company opened what was then the largest hotel in the world: the US$55 million International Hotel.
In 1973, Kerkorian’s company opened the original MGM Grand Hotel—now Bally’s Las Vegas Hotel & Casino—which was the largest hotel in the world at that time, with 2,084 guestrooms. The US$107 million megaresort was named for a 1932 MGM film, “Grand Hotel.”
Following the 1986 sale of the original MGM Grand hotels in Las Vegas and Reno to Bally’s, Kerkorian led the development of the present-day MGM Grand Hotel. At 5,000 rooms, it was the largest hotel in the world when it opened in 1993.
In 2000, Kerkorian led the first of two significant transactions—the acquisition of Mirage Resorts. The second occurred just four years later when that company, MGM Mirage, merged with Mandalay Resort Group.