Las Vegas Casino Industry Continues to Suffer
June 8, 2009 (CAP Newswire) — The revenues for the land-based gaming industry in Nevada continue to suffer, according to a recent report by the Las Vegas Review-Journal.
Across the state, April marked the 16th straight month in which gaming revenues fell from the previous year. In April 2008, revenues were $1 billion; this year, April’s revenues were reported to be $859.4 million. And on the Las Vegas strip, revenues fell from $524.1 million to $441.3 million from April 2008 to April 2009.
“We were disappointed with the number because we were comparing with a 5 percent decline a year ago,” said Frank Streshley, the Nevada Gaming Control Board’s tax and license division chief.
Given the persistency of the land-based gaming slump, it’s not hard to see why land-based giant Harrah’s is suddenly interested in starting online operations, and why it’s throwing its weight behind Barney Frank’s anti-UIGEA bill to further legalize the Internet-based gambling industry.
However, if the main factor behind Nevada’s slowdown persists — that being the lack of disposable income by consumers — then the Internet gaming industry could see the same problem in the months to come. On the other hand, there’s a growing consensus that the economic recession in the U.S. may be coming to an end, and given the popularity of this year’s World Series of Poker (WSOP) currently being held in Vegas, this downward spiral for the land-based industry might also be almost over.
To read the full story at the Las Vegas Review-Journal, please click here.