From the Indianapolis Star:
Two riverboat casinos in Southeast Indiana suffered big revenue declines during their first month of head-to-head competition with a new casino in Cincinnati.
Hollywood Casino in Lawrenceburg, the state’s second largest and the closest to Cincinnati, took the biggest hit. Attendance and revenue in March fell 25 percent compared to the same month last year, according to figures released today by the Indiana Gaming Commission. That’s represents a $9.8 million drop.
Rising Star Casino in Rising Sun also saw a steep decline. Revenue there fell 23 percent, or about $2 million. Attendance fell 20 percent.
Statewide, Indiana’s 13 gambling halls saw revenue fall 4.4 percent, with Hollywood and Rising Star making up the vast majority of the decline.
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The reduced revenue is a concern not just for casino owners, but also state officials. Indiana casinos bring in more revenue than those in all but three other states, and taxes on that money account for the third largest slice of state government’s revenue.
Lawmakers are trying to hash out legislation that would give Indiana casinos more tools to compete. Those tools would include removing a tax on free-play coupons that casinos use to entice visitors. Ohio does not tax free play. The casino industry is also pushing to allow riverboat casinos to move inland and to allow live table games at the state’s two horse track-casinos, which now only have slot and video machines.
“It’s really critical for the legislature to help us out,” Jimenez said. “It’s only going to get worse.”
In addition to the new Cincinnati casino — the fourth to open in Ohio since last year — horse racing tracks in Cincinnati and Dayton plan to introduce thousands of new slot machines at their facilities.
http://www.indystar.com/apps/pbcs.dll/article?AID=2013304090057
