February 11th, 2011 – by Glen Farmer
January of 2011 has continued the downward spiral that has gripped the casinos in Atlantic City. The gambling hub’s overall revenue has dropped another 13 percent in January, bringing the oceanside resort’s declining revenue to a period of four years.
The New Jersey Casino Control Commission has reported major declines once again, with slot revenue down collectively through the 11 casinos by a total of 16 percent from a year earlier. The slots revenue collected totaled at almost $165 million through January.
Table games experienced a slightly lower decline. Table game winnings dropped 8.3 percent over January of the previous year, with only $90.5 million in revenue generation being reported by the New Jersey Casino Control Commission.
Atlantic City has been contending with the challenge of gambling expansion in surrounding areas. While the state once enjoyed a near monopoly of gambling in the region, the state has been surrounded by new choices for gamblers to enjoy. Pennsylvania, Delaware, New York, Maryland, and West Virginia have all expended gambling or begun to be more convenient for those in the respective locations.
Several slots jackpots have also helped to punish Atlantic City’s income, as several multi-million dollar jackpots had been won off of the lower denominations of slots.
In order to help salvage the region’s casinos, legislators have been working at reforming the way the industry is regulated. The possibility of online casinos hosted by the state’s gambling companies has also been considered as a way to generate more revenue.