Casinos win up despite economy

Nevada casinos posted a 1.8 percent gain in winnings during 2007 despite a soft economy, hanging onto $12.85 billion of the nearly $170 billion bet by gamblers during the year, according to a state report released Tuesday.
While the win was the lowest since 2002 and down from the 8 percent gain in 2006, Gaming Control Board analyst Frank Streshley said an increase during tough economic times shows the gambling industry's resiliency.

'It says something about the industry when you are able to market the casino properties and increase revenues during these slow times,' Streshley said.

The win is what was left in casino coffers from the nearly $170 billion bet during calendar 2007. That means the clubs held onto 7.6 percent of all money wagered.

'Win' is a gross figure, with no operating costs or other expenses deducted. And it's casino revenue only -- separate from hotel, restaurant or bar revenues generated by the resorts.

A breakdown of the win shows that the Las Vegas Strip accounted for $6.83 billion of the total. That's also a record -- but it's well behind the more than $10.3 billion in gambling revenue in the booming Chinese territory of Macau during 2007. Macau eclipsed the Strip for the first time in 2006.

The Las Vegas Strip win of $6.83 billion was up 2.1 percent over the 2006 win. For all of Clark County, encompassing the Strip, downtown Las Vegas and other southern Nevada cities, the total was $10.87 billion, also up 2.1 percent.

Downtown Las Vegas won $632.9 million, up 0.4 percent. While slight, that's the first gain for clubs in that area in three years.

Resorts in the Reno-Sparks-North Tahoe areas in northern Nevada took in $1.05 billion, down 1.5 percent. That included $755 million for Reno, down 1.5 percent. The area-wide drop was the first in four years.

Clubs in Elko County, on the state's border with Utah, won a record $303.7 million. The 11.6 percent gain over 2006 was the largest for major markets tracked by the state.

Resorts on Lake Tahoe's south shore won $326.8 million, down 2.1 percent. The Minden-Gardnerville-Carson City win of $119.3 million was down 4 percent.

The $12.85 billion statewide win included a record $8.45 billion from slot machines, up 1.8 percent from 2006, and a record $4.23 billion from table games, up 1.9 percent.

A breakdown of games that produced the most revenue in 2007 shows the clubs won a record $1.4 billion on blackjack, a record $908 million on baccarat, and $478 million on craps.

In slots, multidenomination devices won $3.6 billion of the total. Penny slots won $1.6 billion, while quarter slots won $1.1 billion and dollar slots won $994.3 million.

Sports betting produced another $168.4 million in winnings, down 12.1 percent. Poker winnings for the clubs totaled $168 million, up 4.4 percent.

For the current fiscal year to date, the state's revenues from gambling total about $436.4 million, 6.7 percent below forecast amounts. That included $46.4 million in taxes based on the December casino win, which was down 14 percent from forecast amounts.

The club's win for December was $1.1 billion, up 3.1 percent. Streshley said factors that helped to produce the December win included a four-day New Year's holiday period and the Ricky Hatton-Floyd Mayweather fight in Las Vegas.