SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 3, 1998
CIRCUS CIRCUS ENTERPRISES, INC.
(Exact name of Registrant as specified in its charter)
Nevada 1-8570 88-0121916
(State or other (Commission file (IRS Employer
jurisdiction of number) Identification No.)
incorporation)
2880 Las Vegas Boulevard South, Las Vegas, Nevada 89109
(Address of principal executive offices)
Registrant's telephone number, including area code: 702-734-0410
INFORMATION TO BE INCLUDED IN THIS REPORT
Item 5. Other Events.
This report is being filed solely for the purpose of
providing an updated description of the Company's Mandalay Bay
project.
In the Spring of 1997, the Company commenced construction of
Mandalay Bay, a 43-story, hotel-casino resort which will have
approximately 3,700 rooms and approximately 135,000 square feet
of gaming space. The resort, which is expected to be completed
in the first quarter of 1999, will be situated on approximately
60 acres of land just south of Luxor. Mandalay Bay's attractions
are planned to include an 11-acre tropical lagoon featuring a
sand-and-surf beach, a three-quarter-mile lazy river ride, a
30,000-square-foot spa and other entertainment attractions.
Inside, Mandalay Bay will offer internationally renowned
restaurants, as well as a House of Blues nightclub and
restaurant, including its signature Foundation Room sited on
Mandalay Bay's rooftop, and 100 "music-themed" hotel rooms in
Mandalay Bay's towers.
Within Mandalay Bay and as part of its 3,700 rooms, a Four
Seasons Hotel with approximately 400 rooms will provide Las Vegas
visitors with a luxury "five-star" hospitality experience. The
Four Seasons Hotel, which will be owned by the Company and
managed by Four Seasons Hotels Limited ("Four Seasons"),
represents the first step pursuant to the Company's cooperative
effort with Four Seasons to identify strategic opportunities for
development of hotel and casino properties worldwide. The cost
of Mandalay Bay, including the Four Seasons Hotel but excluding
the land, is currently estimated at approximately $850 million.
During the course of construction, Mandalay Bay's hotel
tower has experienced settling which has exceeded the level
contemplated in the building's original design and the amount of
settling has been greater in some portions of the structure than
others. The Company has retained geotechnical, structural
engineering and foundation consultants who are evaluating the
situation and have recommended remedial measures which are in the
initial stages of implementation. Completion of the recommended
remedial measures is not expected to delay the opening of
Mandalay Bay or materially increase the cost of the project.
However, until such remedial measures are completed and evaluated
and the ongoing evaluation of the site is concluded, there can be
no assurances that further corrective measures will not be
required or, if additional measures are required, as to the cost
of such measures or their impact, if any, on the scheduled
completion and opening of Mandalay Bay.
Mandalay Bay is the latest phase of the Company's
development of over 230 acres of land it owns at the south end of
the Las Vegas Strip which runs from Tropicana Avenue south
approximately one mile to Russell Road ("Masterplan Mile"). As
part of its development plan for Masterplan Mile, the Company is
constructing a 125,000-square-foot convention facility and a
12,000-seat arena. These facilities are expected to be completed
and opened concurrently with Mandalay Bay, and will represent
core components of Masterplan Mile which will be cross-marketed
to guests at the Company's existing and future hotel-casinos
within Masterplan Mile. The estimated cost of the convention
facility and arena is approximately $100 million.
The Company also plans to construct a monorail system which
will link the Company's resorts on Masterplan Mile. Furthermore,
the Company is planning a "Sea of Predators" aquarium exhibit
which will likewise represent a core component of Masterplan
Mile. Both the monorail and the Sea of Predators exhibit are
anticipated to be completed after the opening of Mandalay Bay.
The cost of these additional Masterplan Mile core components is
estimated at approximately $75 million. The Company may add
other core components to its development plan for Masterplan Mile
in the future.
Signatures
Pursuant to the requirements of the Securities Exchange Act
of 1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.
CIRCUS CIRCUS ENTERPRISES, INC.
By:MICHAEL S. ENSIGN
Michael S. Ensign
Chairman of the Board,
Chief Executive Officer and
Chief Operating Officer
Dated: August 3, 1998
