Frank Fertitta: Look, at Durango, I have to say it’s one of the best openings that I’ve seen in terms of the guest experience. And again, like Scott said, special thanks to the other six properties and their executive teams and team members that filled in anywhere and everywhere that needed to make that as great an experience for the customers possible. It’s very difficult at the beginning, when we opened Durango. The visitation was off the charts. I mean, it’s very hard to keep up and make it a good experience. I think our team did that. While no opening is perfect, this is as close as I’ve seen to a perfect one. So take that initial three weeks, you have to realize everybody’s coming, everybody wants to see it.
There’s a tremendous amount of trial. And just like we’ve seen with other – every other property that we’ve opened, after that initial wave of the opening, you’re going to find out where your natural market settles into, right. And that’s the stage that we’re in right now. I think we’re settling into what is going to be like a base level of business. And then over the next couple of quarters, we’re going to start working to get more efficiencies out of that property. But the first focus for us there was to have a smooth opening, have good word of mouth on the street, have people want to go there and we’ll worry about getting the efficiencies over the course of the next two to three quarters. Do you have anything else to add?
Scott Kreeger: Yes, I would just say, I’ll go back – Frank said it well with Durango. I’ll just go back to the fundamentals, kind of the key fundamentals of acquisition costs being very stable in the market. Our cost of goods sold year-over-year in the quarter actually went down. Our labor as a percentage of revenue went down. So the teams out there at the properties are doing a super job of managing some of the key expense areas. We do still struggle a bit with energy costs. We were up about $1 million in electrical costs for the quarter. But otherwise, as we go forward, absent what Frank said, the base of our expenses looks pretty stable.
Carlo Santarelli: And just a quick follow-up on that. Previously you guys had talked about given the demographic and the location of the asset, you anticipated the table game side to be a little bit greater of the mix relative to slots than most other properties. Has kind of that held true thus far?
Lorenzo Fertitta: This is Lorenzo, Carlo. Yes, I mean, I think if you kind of take a look around the property, I mean, obviously we said we’re super happy with the way things are going. If you ask us, what are we not necessarily surprised about, but maybe a little bit. But the table games business has been – the drop has been better than we certainly projected. I would say that in addition to that, the customers kind of reaction to overall food and beverage, particularly the food hall, has just been a smash, grand slam hit so far, doing big volumes, big numbers, as well as people’s reaction to the sports book connected to the George restaurant with the indoor, outdoor feature and restaurant basically inside of the sports book. So people have reacted nicely to the different amenities. But yes, given the demographic in the area, table drop is stronger than we expected initially.
Frank Fertitta: Carlo, you can refer to the December market share report to kind of give you an indication. That data is never perfect, just given the schedule of drops, you saw that tables outperformed in December.
Carlo Santarelli: Yes, no, for sure. It’s just with that data, sometime, especially around New Year’s, it’s – you have to be kind of careful what you’re looking at. But I appreciate that guys. Thank you very much.
Operator: The next question comes from Shaun Kelley with Bank of America. Please go ahead.
Shaun Kelley: Hi, good afternoon. Thanks for taking my question. Just hoping as you kind of think a little bit forward about the natural maturation curve here. I’m just struggling a little bit to kind of get a sense of did this open better than sort of run rate expectation or typically we would expect the property to build and stabilize over time and it may be a combination of both. But I guess trajectory wise, I’m just getting a few mixed signals and I’m trying to kind of get my arms around is both the revenue and the EBITDA contribution of what we’re seeing so far way better. And we expect that to normalize a little bit down, or actually, is there just an implied ramp up, which I think many of us would expect, having looked at casino openings in the past. Just any directional help just given, again, the headline results here were excellent and clearly imply some great numbers for the property or the portfolio?
Stephen Cootey: Yes, Shaun, I think I’ll start and I’ll hand it over to the team. But I think the opening, as Frank said, was pretty damn near close to perfect. I mean, but we also said our focus was on guest service, our focus was on execution, and the property was overwhelmed at times. And again, as Frank said, the team did a fantastic job. We view this as a 40-year asset. And so right now, as we’re starting to find our footing in terms of what’s our normal business, we’re going to be in there, fine tuning Durango to make this the most efficient property that we can. In addition, any of the cannibalization we’re expecting to backfill at the core properties, just given the favorable long-term demographic profile in Las Vegas. But we’ve always said this is a several year ramp to get the stabilization, and so we think we’re well on track to hit that target.
