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MGM Resorts Copes With Las Vegas’ Tourism Slump

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MGM Resorts’ reported a drop in Las Vegas Strip revenue in the second quarter, pointing to broader signs of visitor softness in the city — especially at value-oriented properties.

The company’s dozen properties on the Strip saw their net revenues fall 4% year-over-year to $2.1 billion.

“All that’s going on in the global economy and the U.S. economy, there is impact [at the value-oriented properties],” said CEO William Hornbuckle during an earnings call Wednesday.

The company saw a “severely abnormally midweek weakness” at its budget resorts Luxor and Excalibur through July. Another problem spot was the MGM Grand, which had severe remodeling disruptions.

Starting in May, after the tariff announcements and lasting for nine weeks, the company saw year-over-year declines in bookings. However, it has more recently seen an increase in bookings “in 3 of the last 4 weeks in a row.”

Premium travelers didn’t pull back in Vegas. In the second quarter, MGM Resorts’ luxury properties saw gains. At the Bellagio, average daily rates were up 4%.



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Delta Says It Will Not Use AI to Target Customers

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Key Points

  • Delta Air Lines clarified it does not use AI to set individualized airfares based on personal data, following criticism from lawmakers.
  • The airline uses AI, via a partnership with Fetcherr, to assist in dynamic pricing for a growing portion of its domestic flights, but claims all fares are determined by market dynamics and are publicly available.
  • Lawmakers and officials have expressed concerns about potential predatory or ‘surveillance’ pricing, prompting Delta to stress its commitment to fair, competitive pricing and data privacy.

Summary

Delta Air Lines has publicly stated that it does not use AI to set individualized prices based on personal customer data, responding to recent criticism and inquiries from U.S. lawmakers. The airline acknowledged using AI technology, through a partnership with Fetcherr, to assist analysts in setting fares for a portion of its domestic flights, with plans to expand this use. However, Delta emphasized that fares are determined by market competition, not personal data, and all prices are transparently published, aiming to dispel concerns about privacy and potential predatory pricing.



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U.S. Dollar Slide Hurts Accor, Minor, and Meliá

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Some of the world’s largest hotel companies saw their earnings dented by currency swings in the first half of 2025, as euro and baht-reporting groups absorbed losses while U.S.-based chains appeared largely insulated from the volatility.

Accor, Meliá Hotels, and Minor International all reported currency-related losses that offset solid operational performance. Meanwhile, U.S.-based Hilton and Wyndham, which report in dollars, did not mention foreign exchange impacts in their earnings calls and appeared shielded from the same pressures.

The U.S. dollar index dropped 10.8% in the first half of 2025 following the Trump administration’s April tariffs and public clashes with the Federal Reserve. The resulting investor pullback caused the dollar to weaken sharply against the euro, baht, and other currencies.

Accor: Currency Among Its Biggest Headwinds

Paris-based Accor repo



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Winners, Losers, and Lots of Premium Seats: Europe’s Airline Scorecard

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Skift Take: Premium cabins still drive profits, but it's the low-cost threat that keeps Europe's legacy carriers up at night.

Read the Complete Story On Skift



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