Wynn Resorts Ltd is going the extra mile in keeping its key employees by offering them ownership in the company. And its CEO, Matt Maddox, is again leading the way by giving up his shares for the grant.
A Thursday filing with the Securities and Exchange Commission (SEC) showed the company is setting up a share grant and is using it to stimulate its top leaders in Las Vegas and Boston. 176,247 shares of Wynn Resorts will be given to roughly 240 key members of staff, including executive officers.
Loyalty and Effort Will Be Rewarded
One year from now, team members who get shares now in an act of acknowledgement for their efforts to keep the business afloat during the period of major disruption caused by the virus outbreak, will be able to cash out on the company stock, Wynn Resorts explained without giving further details which employees will be rewarded.
Back in March, as part of its strategic plan to navigate through the financial turmoil due to the violent spread of the virus and the casino closures, Wynn’s Board of Directors and top executives agreed to forego between 33% and 100% of their unpaid salaries for the year in exchange of stock. Wynn’s CEO, Matt Maddox, exchanged the remainder of his annual salary in full, to help the company offset ongoing employee payroll and other expenses. Wynn Resorts was among the first casino operators which pledged to pay their employees in full during the period of casino shutdowns, costing the company $3.5 million a day.
Lead By Example from the Top
This time, company’s CEO gave up the shares he got in exchange for his salary and added them to the share grant. In addition, Mat Maddox sent a letter to all key employees who would get a piece of the stimulation package.
“In recognition of the challenges we are facing and how much the Company needs you to stay focused and motivate your team, I’ve asked our Board of Directors to approve a stock grant that will vest and become your stock this time next year. I want you to be an owner of the Company. It is your dedication that will allow our culture and values to prevail. I know you will stay strong and lead.”Matt Maddox, CEO, Wynn Resorts Ltd
In the letter, Wynn’s CEO outlined his strong belief that the second half of 2021 would bring the expected rebound for the company and would allow the return of pre-closure levels of convention bookings, nightclub and theatres visitations, as well as hotel high occupancy rates. But until then, everyone in the company would have to stick to its culture and brand.
Like most of the casino and hospitality companies, Wynn Resorts had its first quarter revenues materially impacted by the ongoing spread of the virus. Its Las Vegas properties reopened June 4, while its Encore Boston Harbor casino resort resumed operations July 12.
After reopening of its properties, Wynn Resorts dedicated resources and efforts to keep its staff and guests safe, providing tests for 98% of its employees nationwide.