Pennsylvania Slots Parlors Continue Strong Performance

On November 13th, 2007, after a year of slot machine gaming in the state of Pennsylvania, good casino profits are attracting envy from the neighboring states. The slot profits, which have surpassed the daily machine average in the Northeast, are astounding considering that most casinos in Pennsylvania are still operating in temporary establishment or operating in new establishments.

Joseph Weinert from the Gaming Industry Observer said that the slot parlors have more than exceeded expectation. The Mohegan Sun at the Pocono Downs opened on November 14th, 2007, the first of the six slots parlors that opened in Pennsylvania.

From November 4th, the players at the six slots establishments betted more than $10 billion or about $830 for every player. The $900 million lost by players was divided between the casinos and the state, which then divides the cash into tax relief, civic projects, local government cash aid and the horse racing market.

The influence of the slots in Pennsylvania is being felt in neighboring states. Gross profits at the eleven casino facilities in Atlantic City, New Jersey are about 2% smaller compared with the earnings of the slots in Pennsylvania. Horse racing supporters like Cricket Goodall, the executive director of the Maryland Horse Breeders Association said that the horse racing industry can really use some help so they are in favor of allowing the same kind of gaming that can be found in Pennsylvania in their own state.

The legislators of Maryland could give their final nod to a proposal this week for a November 2008 vote on whether or not to allow slots in the state. In March 2007, West Virginia allowed casino table game in order to help slot profits in their racing track. New York Gov. Eliot Spitzer gave permission to the Mohawk Indian Tribe to construct a casino in the Catskill Mountains.

The chief executive of Mohegan Sun at Pocono Downs, Bobby Soper commented that even with increasing out of state competition, the establishment in Wilkes-Barre can be successful if casino games will be allowed. It is difficult to say on how much cash Pennsylvania's slots parlor will produced over the next year. Current gross profits of about $25 million a week is equal to $1.3 billion yearly. Weinert said that such prediction is still not 100% sure because of some reasons like the weather and others.

A 7th slots facility, Hollywood Casino at Penn Nation racing track in Harrisburg is scheduled to open in February. Four more casino facilities are scheduled to be constructed in Philadelphia, Pittsburgh and Bethlehem. About $3 billion in gross revenues are needed in order to meet the profit projection of Gov. Ed Rendell of about $1.6 billion annually.

Tuesday, 04 December 2007
Cindy Alfonso