Yemenidjian quits MGM Mirage board to pursue gaming projects

LAS VEGAS SUN
June 08, 2005

By Liz Benston, benston@lasvegassun.com

MGM Mirage Director Alex Yemenidjian — a longtime lieutenant of
majority shareholder Kirk Kerkorian — has resigned from the company’s
board and intends to strike out on his own in the gaming industry.

Yemenidjian is the former chairman and chief executive of movie studio
Metro-Goldwyn-Mayer Inc., which was recently sold to a consortium led by
Sony Corp. of America.

In an interview, Yemenidjian said he wants to be an owner rather than
simply an executive.

“In the next stage of my career, I prefer to be a principal,” he said.

He previously served as the former president and chief operating officer
of MGM Grand, the predecessor to MGM Mirage. Kerkorian brought
Yemenidjian over from MGM Grand to lead his movie empire in 1999.

Yemenidjian could become a potential competitor to his former boss, who
gained further influence when MGM Mirage acquired Mandalay Resort Group
for $8 billion last month and created the biggest casino company in Nevada.

He has known the billionaire investor for 16 years and has been a top
executive for Kerkorian for more than a decade.

Yemenidjian said he leaves MGM Mirage “with a sense of sadness, as so
much of my heart and history are tied up with this company.”

He wouldn’t specify his plans in the gaming industry, saying there’s
“nothing definitive at the moment.”

“I don’t feel geographically constrained,” he said. “I wouldn’t rule out
any particular opportunity.”

The casino business is a natural move, he said.

“I know a little bit about the gaming industry and I feel more
comfortable with it,” he said. “Ever since I have been in the industry I
can’t remember a bad time to pursue an opportunity.”

Yemenidjian will continue to serve on the board of Kerkorian’s Beverly
Hills-based charity, called the Lincy Foundation.

“We continue to be great friends,” he said of Kerkorian.

In a statement, MGM Mirage Chairman and Chief Executive Terry Lanni said
the company will “miss Alex’s wealth of experience and wise counsel” but
said the industry “will be stronger when he resumes his active involvement.”

MGM Mirage officials wouldn’t disclose Yemenidjian’s future plans or
could not be reached for comment by press time.

Deutsche Bank stock analyst Marc Falcone said he would expect to hear
details about the executive’s plans soon.

“He has been a very important part of the development of MGM Mirage over
the last 10 years or so,” Falcone said. “We think that he brings some
very important qualities and characteristics to the gaming industry.”