RubinBrown Gaming Stats 2013

2012 State Gaming Revenue and Growth Over 2011

ME $0.10B 66.9%

MI $1.42B -0.5%

IN $2.61B -3.1%

WV $0.95B -0.9%

NY $1.80B 43.1%

SD $0.11B 6.4%

RI $0.53B 2.9%

PA $3.16B 4.4%

IA $1.47B 3.0%

OH $0.43B

IL $1.64B 10.9%

NJ $3.05B -8.0%

NV $10.86B 1.5%

CO $0.77B 3.0%

MO $1.77B -2.0%

KS $0.34B 640.6%

DE $0.52B -5.0%

OK $0.11B 6.4%

MD $0.38B 142.6%

NM $0.24B -3.0%

MS $2.25B 0.6%

FL $0.44B 15.9%

LA $2.40B 1.2%

Ohio legalized gaming in 2012 States with negative growth States with positive growth

million in 2012. Gaming revenues increased by $141.4 million (7.3%) in the Chicago market (encompassing 9 casinos in Illinois and Indiana). However, Rivers Casino was the only casino in the Chicago market to generate growth, while the other eight casinos experienced a collective $98.5 million, or 5.6%, decline in gaming revenues. Missouri gaming revenues declined by 2.0% in 2012; however, all three markets that Missouri casinos operate in (Kansas City, St. Louis, and rural communities) experienced growth in gaming revenues. The decline of Missouri gaming revenues was the result of legalized commercial gaming in Kansas and gaming revenues going across the border to the new Kansas City, Kansas casino. In 2012, the Kansas City market saw revenue growth of 8.0% with the opening of the Hollywood Casino at Kansas Speedway; however, only one of the existing five casinos experienced revenue growth. The one casino that did experience growth in 2012 was closed for three months in 2011 from damage sustained by the Missouri River flooding. The other four casinos experienced a $64.4 million, or 9.1%, decline in gaming revenues. New York gaming revenues had the largest increase in terms of total dollars, generating $542.4 million more in 2012. Virtually all of the growth can be attributed to the New York City market and the Resorts World Casino operating for a full calendar year. The Resorts World Casino’s revenue increased by $582.7 million in 2012; however, its fortune came at the expense of the neighboring Yonkers raceway, which saw revenue decline by 12.8% or $79.7 million, and Atlantic City which saw revenues decline by 8.0% or $265.8 million.

Pennsylvania gaming revenues increased by 4.4% in 2012 to $3.16 billion, surpassing New Jersey as the second largest statewide gaming market. However, Pennsylvania still has a long way to go to surpass New Jersey’s peak year of 2006, when the state’s gaming industry generated $5.22 billion. Unique to the national trend, the positive growth in Las Vegas Strip gaming revenues proved that increased regional gaming does not reduce the destination gaming experience that Vegas offers. In 2012, 39.7 million visitors traveled to Las Vegas, which exceeded the previous peak, established in 2007, of 39.2 million visitors. While visitor volumes remain at an all-time high, the Las Vegas Strip gaming revenues have been slow to rebound. In 2012 Vegas gaming revenues only increased by 2.3% to $6.2 billion. While positive, total gaming revenues remain well below the $6.8 billion recorded in 2007. The slow rebound in revenues has been attributed more to the expansion of gaming in Asia and the decline in international high rollers visiting Las Vegas. The expansion of gaming has intensified the competition and come at a cost to pre-existing casino operations; however, gaming expansion continues to produce growth for the overall gaming industry. Furthermore, the trend of gaming expansion does not appear to be slowing down, as both tribal and state governments continue to view gaming as a vehicle to generate revenues for government programs.

2013 Commercial & Tribal Gaming Stats | 5