Photo: Lori SR (Flickr)
As many analysts predicted at the start of the year, Indiana casino revenue has shrunk this year, because of competition in other states. That is leading to layoffs for some companies.
In the last year, casinos have opened in the Chicago area, southern Michigan and Cincinnati, which are all in direct competition with Indiana’s gaming properties.
Ed Feigenbaum, who edits the newsletter Indiana Gaming Insight Editor, says from January to August of this year casino revenues dropped 1.5 percent, in part because attendance is down 1 percent.
“Through the first eight months in 2012, the casinos have brought in the 13 properties more than $1.6 billion in revenue,” he says. “They’re down by about $24.5 million almost $25 million from last year so that’s not a great deal in the huge picture, but you essentially double that by the end of the year and you’re starting to talk about some significant money.”
While casinos in the state still saw 14.5 million people come through their doors in the first eight months in the year, about 160,000 fewer people than last year.
Feigenbaum adds Hollywood Casino in Lawrenceburg, just down the Ohio River from Cincinnati, cut about 200 jobs last month because its business has suffered.