Las Vegas Sees Marginal Decline in Gaming Revenue

August 13, 2008




There was more apprehension than normal pending the monthly release of Nevada's gaming revenues. Last month's release, detailing May's revenue statistics, marked the second worst year-over-year performance for the state in more than ten years. May's gaming revenues were down 15% across the state, while the Strip, and Clark County as a whole, were off more than 16%. Las Vegas had been hit especially hard by the subprime crisis, but the falloff in gaming revenue, the life's blood of the local economy, represented a far greater threat.

So there was almost a sigh of relief when June's gaming revenues for Clark County were up 2% for the month of June, when compared to June 2007. The Strip still posted a decline, but only by 3%, which was a far cry from its double-digit decline in May. There were even some bright spots on the monthly report with Downtown posting a 10% increase, North Las Vegas revenues rising 41% and the Boulder Strip coming in up 25%. Overall, state gaming revenues for June were down 1.1%.

June's numbers also marked the close of the fiscal year. In what was considered to be one of the most challenging years for the gambling industry, and Las Vegas specifically, gaming revenues for the state declined only 1.87%. The Strip closed its fiscal year down 1.5% while Clark County was down 1.4%.

Last month we speculated that June might bring some signs of improvement for Las Vegas, with a full month of the World Series of Poker in town, and that most likely helped stem the double-digit decline. But future help for the Nevada gaming industry will most likely come from declining gas prices and the hope for a swift U.S. economic recovery.

Copyright: Pokernews.com
Author: Any Calistri
Story: CLICK
Newshawk: Jus Sumguy



---

BOO HOO, vegas has made its far share over the years. Im sure they will survive....

well between the decline in revenue, the hiring freeze(in vegas) and the decline in the US dollar, its no wonder that vegas is hurting. oH I forgot about high transportation costs. they"re even going up on food.
I understand that several thousands of chineese (Asian) poeple were visiting vegas a week. Now they go to Maca, China. They speak the same dialect. they also have better food.

You have local casino's and home games to attract your money away.

Please, people , I beg you go to las vegas and spend your lifes savings.
Vegas needs to keep their lights on.

Yeah living here in LA and OC, we basically feed most of the traffic for vacationers to Vegas. The problem is driving to Vegas is now 3 to 4 times what it used to cost us, so those of us that want to go out there just fly, which means a lot less people on the whole.

I know that the month of July poker rooms were bursting at the seams. From the WSOP overflow to the Caesers Mega Stack to the Venetian Deep Stack to the Binions Classic, etc. All the poker rooms were enjoying 24 hours of poker.
At my recent return from Vegas empty poker rooms were longing for those great days. Mostly Euro players with the american dollar at their mercy were there. I chopped one pot with a Spaniard, German, French, and Canadian. I was the lone American.
On the weekend though the strip was crowded. Even in these tough times people still have money to blow. At home in California restaurants were crying for customers and more people seem to be riding bikes instead of driving. Are people going to Vegas on their Credit Cards?

LOL! Maybe! What used to be a $99 round trip flight with minimal fees from Northern California just a few years back is now a $200 flight plus about $50 in extra fees. And the days of $20-$40 hotel rooms there are gone. It seems if they want to attract people, they're going to have to offset the cost of getting there. I mean, it really is out in the middle of nowhere. And is there any reason to let most of your 5,000 hotel rooms sit empty?

dave

Vegas is slowly but surely focusing more on revenue from retail and entertainment than from gambling. I think last year the strip properties actually made more money from retail and show tickets than any thing else.

"Vegas" will always be fine regardless of our economy. Worry about the people who live there.

How true... you lose your job in that industry, and what else is there? Moving, I guess. Oh well, maybe in 20 years we'll all be zipping around in hydrogen or electric cars. Until then, rough times ahead for most of us, entertainment industry or not.

dave