AC nosedive accelerating - Page 4

Eponymous · #31 10-14-2007, 10:33 PM

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We're talking about AC, not Vegas. The numbers show it's a dying market.

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There was bound to be some effect from the addition of all the nearby slots that recently sprung up. To extrapolate that adjustment to say it's a permanent downward trend and the market is dying is missing the big picture. A different customer base is being attracted by upscale properties like the Borgata, and that's why there are so many huge properties being developed.

AngusThermopyle · #32 10-14-2007, 10:37 PM

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We're talking about AC, not Vegas. The numbers show it's a dying market.

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What is your agenda?

phydaux · #33 10-14-2007, 10:42 PM

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If anything they should be promoting poker in AC.

Pennsylvania and other nearby locales have openned competing slot machines, but no competing poker rooms.

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Something I've always wondered was if a state allowed slots but not poker, and slots included "video poker," then might that allow the Poker Tek computerized poker tables?

Poshua · #34 10-14-2007, 10:49 PM

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Something I've always wondered was if a state allowed slots but not poker, and slots included "video poker," then might that allow the Poker Tek computerized poker tables?

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It depends how the law is written in each state. I assume they can't legally in Pennsylvania, or otherwise they would. On the other hand, Harrah's Cherokee in NC has computerized blackjack tables, because the state compact allows computerized games but not card games. I believe Delaware Park has electronic poker and blackjack, even though regular table games are illegal in Delaware.

pocketpared · #35 10-14-2007, 11:16 PM

I post facts from the NJ CCC. What's your agenda for jumping to the defense of casinos?

AngusThermopyle · #36 10-14-2007, 11:31 PM

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I post facts from the NJ CCC.

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And I am sure you will post a link next month to that month's report. And the month after that. And the month after that. And tell us the casinos in AC are losing money. They are dying.

Point?

NickMPK · #37 10-14-2007, 11:56 PM

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I post facts from the NJ CCC. What's your agenda for jumping to the defense of casinos?

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You are using really charged language by saying AC is "dying". It is still way ahead of where it was 5 years ago. The WSOP Main Event got fewer entries this year than last. Is it dying?

Why should we care if the casinos are making more money this year than last? The Borgata poker room isn't going anywhere.

Jimmy The Fish · #38 10-15-2007, 12:32 AM

Maybe everyone already gets this, but just in case...

A statement of year-over-year decline in gross revenue does not shed any real light on year-over-year profitability. Revenue is only one part of the profit equation; expenses, depreciation, taxes, interest (both accrued and owed), potential liabilities (lawsuits, employee pensions, union strikes, state government shutdowns, etc.) and other categories also must be taken into account.

A leap of logic from "revenue is lower than a year ago" to "the casinos are in a nosedive" is fallacious. The OP needs to bring more data to the table if he wants to make his case.

Diana Ross Fan · #39 10-15-2007, 01:02 AM

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And its not like there arent projects in the works to make this more of a destination that people are going to want to come to.

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There are some developments in place that indicate that at least some casino and development companies grasp the concept that medium priced, attractive properties tend to do better than cheap, dumpy places.

On the other hand, take a look at the upcoming "concert" events scheduled at some of the older properties. KC and the Sunshine Band, Kool & the Gang, and Aretha Franklin are among the recent "big concerts." It's as if some of these places are still stuck in the 1970s.

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About time I went to AC [img]/images/graemlins/grin.gif[/img]

afish · #40 10-15-2007, 08:58 AM

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Maybe everyone already gets this, but just in case...

A statement of year-over-year decline in gross revenue does not shed any real light on year-over-year profitability. Revenue is only one part of the profit equation; expenses, depreciation, taxes, interest (both accrued and owed), potential liabilities (lawsuits, employee pensions, union strikes, state government shutdowns, etc.) and other categories also must be taken into account.

A leap of logic from "revenue is lower than a year ago" to "the casinos are in a nosedive" is fallacious. The OP needs to bring more data to the table if he wants to make his case.

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This is true. In fact, some casinos have been known to lose money by giving away cash to customers to bump up their gross revenue numbers.

That said, it seems clear that AC is losing its local slot monopoly. The older casinos that rely on slot playing daytrippers are going to take a hit. Borgata and the yet-to-be-built casinos will be well positioned. The others will need to improve to compete.