Atlantic City in Economic Decline

11/03/2008		Atlantic City in Economic Decline
Home History Games News Dictionary		Atlantic City casinos and resorts are feeling the strain of the economic woes hitting nationwide. While some industries have been minimally effected, the pleasure industries could be considered those hit the hardest, as the ‘extras’ in life- like going away for a weekend in Atlantic City, are the first perks to go when families tighten their belts for recessions. Atlantic City did have the foresight to prepare against such a dramatic decrease in business and hoped to counteract it by enticing customers with resorts, pampering, restaurants, spas, and the best in entertainment, hoping that breaking the link between ‘Atlantic City’ and ‘gambling’ would help tourism. Unfortunately, their actions may have come just a little too late, as revenue drops more quickly than expected and many locations put a stop to their renovations. September of this year suffered the sharpest drop in profits the city has ever seen. The New Jersey area has seen a decrease of gaming income by a radical 15%, the worst it’s been since gambling was legalized in the area in 1978. From the numbers gathered in September of 2007, slots profits are down 20%, and table games dropped 6%. It’s amazing that management teams are unwilling to acknowledge the troubles they’re facing as the reason for the decreasing revenue was officially cited as the rainy weather; an excuse that might work in the desert casinos of Las Vegas, but suspicious for New Jersey. Finally, the smoking ban that was scheduled to come into effect this week, was approved for postponement by the City Council, who generously agreed to push the law back to give the casino resorts an opportunity to stabilize themselves financially before smokers are begrudged the privilege inside buildings. Ironically, because of the Council’s calendar, the postponement was not able to be approved in time, and patrons in Atlantic City will have to forgo smoking for a full 7 days before the law can be withdrawn.

11/03/2008

Atlantic City in Economic Decline

Atlantic City casinos and resorts are feeling the strain of the economic woes hitting nationwide. While some industries have been minimally effected, the pleasure industries could be considered those hit the hardest, as the ‘extras’ in life- like going away for a weekend in Atlantic City, are the first perks to go when families tighten their belts for recessions. Atlantic City did have the foresight to prepare against such a dramatic decrease in business and hoped to counteract it by enticing customers with resorts, pampering, restaurants, spas, and the best in entertainment, hoping that breaking the link between ‘Atlantic City’ and ‘gambling’ would help tourism. Unfortunately, their actions may have come just a little too late, as revenue drops more quickly than expected and many locations put a stop to their renovations. September of this year suffered the sharpest drop in profits the city has ever seen.

The New Jersey area has seen a decrease of gaming income by a radical 15%, the worst it’s been since gambling was legalized in the area in 1978. From the numbers gathered in September of 2007, slots profits are down 20%, and table games dropped 6%. It’s amazing that management teams are unwilling to acknowledge the troubles they’re facing as the reason for the decreasing revenue was officially cited as the rainy weather; an excuse that might work in the desert casinos of Las Vegas, but suspicious for New Jersey.

Finally, the smoking ban that was scheduled to come into effect this week, was approved for postponement by the City Council, who generously agreed to push the law back to give the casino resorts an opportunity to stabilize themselves financially before smokers are begrudged the privilege inside buildings. Ironically, because of the Council’s calendar, the postponement was not able to be approved in time, and patrons in Atlantic City will have to forgo smoking for a full 7 days before the law can be withdrawn.