Atlantic City's losing streak continued through May 2009 as its casinos reported a revenue decline of 15.4% to $351.3 million, compared with the same period last year.
The New Jersey Casino Control Commission's numbers released mid-week extend a downward trend for the gambling centre's 11 casinos, hit hard by a recession and the mass defection of gamblers to newer slot parlors in Pennsylvania and New York, reports Dow Jones. And more competition is looming with the completion of a new casino in Bethlehem, Pa., by gaming giant Las Vegas Sands Corp - it is less than 100 miles from New York City.
"Certainly one of the reasons why revenue is down in Atlantic City is the impact of new competition ... the opening of a new facility in Bethlehem will certainly contribute to that," said Daniel Heneghan, a spokesman for the regulator. He said the May numbers were in line with what the casinos reported during the first four months of the year.
Atlantic City industry suffered a 24.6% drop in gross operating profits in 2008.
Borgata Hotel and Casino, jointly owned by Boyd Gaming Corp. and MGM Mirage, continued to have the smallest declines as its casino revenue decreased 3% to $62 million in May compared with the same period last year. The biggest decline was recorded at the Atlantic City Hilton, which saw casino revenue drop 29.5% to $17 million.
Source: InfoPowa News