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11 PERCENT DIP IN ATLANTIC CITY’S JUNE REVENUES
11 New Jersey land casinos feel the pain of surrounding competition
Revenue for the second-largest gambling market in the United States – New Jersey’s Atlantic City - fell more than 11 percent to $286.8 million in June, according to statistics from the Associated Press news agency published late Friday.
The tough economic conditions which have hammered the gambling centre for the past two years have been exacerbated by growing competition for gamblers’ money from adjacent states.
Pennsylvania started offering table games on Thursday, a few weeks after Delaware did likewise.
The increased competition could cost Atlantic City about a quarter of its annual table games revenue, or about $300 million a year, according to analysts consulted by AP.
The competitive action at Pennsylvania slot parlours has been impacting Atlantic City since late 2006, and the state will soon have nine casinos offering the same gambling options as Atlantic City — but much closer to home for Pennsylvania players, AP reports.
Table games revenue for Atlantic City fell 16.2 percent in June 2010 to $79.9 million. Slot revenue fell 9 percent to $206.9 million.
Only one of the city’s 11 casinos posted a revenue increase; Trump Marina Hotel Casino, edged up scant 1.3 percent.
According to the Associated Press report, Resorts Atlantic City, which turned itself over to its lenders in December when it could no longer pay its mortgage, posted the biggest drop, nearly 20 percent.
Caesars Atlantic City’s revenue sank 17.8 percent, the Trump Taj Mahal Casino Resort dropped 13.5 percent, Trump Plaza Hotel and Casino fell 13.2 percent, and Harrah’s Resort Atlantic City fell 13 percent. Showboat Casino Hotel declined 12.4 percent, the Borgata Hotel Casino & Spa fell 11.7 percent, and the Atlantic City Hilton Casino Resort slid 7.7 percent.
The Tropicana Casino and Resort fell 5.9 percent and Bally’s Atlantic City was down 3.2 percent.
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