Item 8.01 Other Events.
As previously reported by MGM MIRAGE (the "Company") on its Current Report on
Form 8-K with a filing date of May 19, 2009 (the "Prior Report"), in the
June 2005 report of the New Jersey Division of Gaming Enforcement (the "DGE") to
the New Jersey Casino Control Commission (the "New Jersey Commission") regarding
the application of Borgata for renewal of its casino license, the DGE stated
that it was conducting an investigation of the relationship of the Company with
its joint venture partner in Macau and that it would report any material
information to the New Jersey Commission it deemed appropriate.
Also, as previously reported in the Prior Report, on May 18, 2009, the DGE
issued a report to the New Jersey Commission on its investigation. While the
report itself is confidential, at the conclusion of the report, the DGE
recommended, among other things, that: (i) the Company's joint venture partner
in Macau be found to be unsuitable; (ii) the Company be directed to disengage
itself from any business association with its joint venture partner in Macau;
(iii) the Company's due diligence/compliance efforts be found to be deficient;
and (iv) the New Jersey Commission hold a hearing to address the report.
In furtherance of its request that the New Jersey Commission hold a hearing
to address the report, on July 27, 2009, the DGE filed a letter with the New
Jersey Commission requesting that it reopen the 2005 casino license renewal
hearing for Borgata pursuant to applicable New Jersey law. New Jersey law
requires that the casino licensing hearings be reopened at the request of the
DGE. As a result, the New Jersey Commission will hold an evidentiary hearing on
the allegations contained in the report at which time the Company will be able
to present evidence and legal argument. There can be no assurance that the
outcome of the proceedings will not have a material adverse effect on the
Company.