July Revenue for 12 Atlantic City Casinos Went Down
Revenues for the past seven months are good compared to the first seven months of 2005. However, this July Atlantic City casino revenue dropped 4.8 percent from July 2005. This is the result of the unprecedented three-day industry shutdown by the state budget impasse. This is the figure released according to the state Casino Control Commission last Thursday, August 10.
Commission Chair Linda M. Kassekert said, "Obviously, the shutdown of the casinos for three days in the beginning of the month had an impact on the industry. Despite the fact that casinos were closed for three days early last month, we are on track to surpass last year's casino win."
Next week the quarterly profit will be released.
From the 12 casinos in Atlantic City only 2 casinos did better this July than last year: Borgata Hotel Casino and Spa revenue went to 9.7 percent and the Caesars Atlantic City win rose by 0.2 percent.
July 5-7 all 12 Atlantic City casinos were shutdown by Gov. Jon. S. Corzine when he and the legislature could not agree on a budget for the state's new fiscal year, which began July 1.
After the three day shutdown, the casinos reopened July 8, Saturday. That three day closure cost the cash-strapped state about $4 million in casino tax revenue.
Joseph A. Corbo, president of the Casino Association of New Jersey said, "That weekend was nowhere near what it would have been otherwise. On the either side of the shutdown there was softness."
Corbo gave an estimate of $50 million reduction in revenue. In addition to the casinos loses, 46,000 workers were idled and lost again an estimated amount of $9-10 million in wages and tips.
July 2005 the revenue was $504.8 million and this year of July 2006 it dropped about $480.5 million.
Kassekert said, "Our number look very positive for another increase at the end of the year.
"We're seeing Atlantic City become more of a destination than a day trip."