RubinBrown Gaming Stats 2013

COMMERCIAL GAMING ANALYSIS

Commercial gaming revenue in the U.S. returned to the levels seen in 2007, prior to the recession. In 2012, gaming revenues increased by 4.9% to $37.4 billion. Of the twenty-three states offering commercial gaming, fifteen experienced revenue growth, seven experienced revenue declines, and Ohio welcomed its first four casinos. While revenues climbing to 2007 levels is a significant milestone for the commercial gaming industry, today’s environment looks significantly different with competition between neighboring states at an all time high.

Top 15 United States Commercial Gaming Markets

Eleven of the fifteen states that had increases in gaming revenues benefited from either a new casino opening in 2012 or having a casino that opened in 2011 operate for a full twelve months. Of the states that experienced revenue declines, six of the seven states saw a neighboring jurisdiction expand commercial gaming operations. New Mexico was the only state without neighboring commercial casino expansion, but experienced increased tribal gaming competition as the Navajo Nation continued their casino expansion. Outside of casino expansion, favorable regulations also catered to gaming growth. Midway through 2012, South Dakota increased the maximum bet limits from $100 to $1,000, which in turn, had a substantial impact on both table games and total gaming revenues. Examining the market-specific data illustrates how gaming expansion has helped return total industry-wide gaming revenues to pre-recession levels at the detriment of pre-existing gaming operations. Illinois gaming revenues increased by $160.8 million, or 10.9%. While impressive, this growth is solely attributed to the revenue generated from the new Rivers Casino, located near Chicago. The casino opened in July 2011, and after benefiting from a full calendar year of operations, saw revenue increase by $239.9

Las Vegas Strip, NV $6,207.23M

Atlantic City, NJ $3,051.87M

Chicagoland, IL & IN $2,068.29M

Detroit, MI $1,416.73M

Saint Louis, MO & IL $1,113.64M

New York, NY $911.36M

Philadelphia, PA $871.02M

Biloxi, MS $830.01M

Tunica, MS $809.49M

Kansas City, MO $801.03M

Boulder Strip, NV $796.67M

Shreveport, LA $713.30M

Lake Charles, LA $686.99M

Reno, NV $644.84M

New Orleans, LA $622.19M

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4 | 2013 Commercial & Tribal Gaming Stats