SEARCH NEWS:

 

Casino Win Worse Even with Borgata

ATLANTIC CITY, New Jersey – As reported by the Press of Atlantic City: "Not even a new billion-dollar casino could push the gaming industry into positive territory last month.

"September gross gambling revenue at the dozen casinos declined 0.6 percent, to $368.9 million, compared to the same month last year, when there was no Borgata.

"Executives and analysts blamed the effects of Hurricane Isabel and having most of Labor Day weekend in August for the downturn, but they admitted that did not fully explain a key statistic: Revenue at the 11 casinos open last year declined 11.9 percent.

"…`Those are terrible numbers for everyone,' Donald Trump said Tuesday after reviewing the Casino Control Commission report.

"Revenue at the three Trump casinos declined 13.4 percent.

"`September was likely an anomaly, but still an ugly number,' Deutsche Bank Securities analyst Marc Falcone said in a research note.

"…Borgata retained its No. 2 position on the revenue list at $42.1 million. It ranked first in table-games revenue despite having the worst luck of any casino and moved up two places, to fourth, in slot revenue.

"…Trump said bluntly, `The Borgata is not carrying its weight and they've taken from everyone else.'

"…Industrywide gambling revenue through the first nine months was $3.4 billion, or 1 percent of last year's pace. But only Harrah's and Showboat, both of which added hotel towers, have shown a year-to-date revenue increase.

"…Analysts warned of a market-share war if casinos continue to lose big chunks of business to Borgata. Jake Fuller of Thomas Weisel Partners predicted Tuesday that the intensified promotions will cost the industry $20 million in gross operating profit this quarter…"

< Gaming News