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Moody's: Established gambling markets faltering

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Established gambling towns like Las Vegas and Atlantic City are hurting as more states start welcoming bettors' dollars, Moody's Investors Service warned this week.

The credit rating agency issued a report describing a shift in casino tax revenue away from New Jersey, Indiana and Nevada to new markets in places like Pennsylvania, Illinois and Ohio.

The recession crushed gambling revenue across the county, and casino towns have been slow to bounce back.

"The previously recession-proof Nevada gaming market has seen only a partial recovery since the recession," the report stated.

In Atlantic City, where the national recession exacerbated an existing drop in visitors, gambling tax revenue has declined every year since 2006. Mississippi, home to riverboat casinos, has seen a 7.7-percent decline in gambling tax revenue over the last 10 years.

While casino taxes make up less than 1 percent of New Jersey's revenue, they account for a quarter of Nevada's general fund.

Meanwhile, struggling states have opened the doors to games of chance. Among those that have expanded legalized gambling in recent years are Pennsylvania, New York, Maryland, West Virginia and Delaware.

All this is more bad news for states that previously enjoyed casino monopolies.

Pennsylvania, which has a casino market a quarter the size of Nevada's, now collects more gambling taxes than any other state. The state took in $1.5 billion in such revenue last year.

Moody's predicts these trends will continue as more states harness gambling as a new source of revenue. The result could be a redrawing of the market share and tax revenue landscape.

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  • Forward Thinking
    Shocking news from our friends at Moody's. What industry is next, let me guess, companies that sell typewriters are going to face competition from home computers and printers. As soon as states approved casino gambling they should have seen this coming. For Ohio, that was like 3 years ago. Moody's and others are well behind, just like when they missed the housing bubble. Oh yeah, they get paid by the very industries they cover. Conflict of interest? Perhaps.

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  1. I had read earlier this spring that Noodles & Co was going to open in the Fishers Marketplace (which is SR 37 and 131st St, not 141st St, just FYI). Any word on that? Also, do you happen to know what is being built in Carmel at Pennsylvania and Old Meridian? May just be an office building but I'm not sure.

  2. I'm sorry, but you are flat out wrong. There are few tracks in the world with the history of IMS and probably NO OTHER as widely known and recognized. I don't care what you think about the stat of Indy Car racing, these are pretty hard things to dispute.

  3. Also wondering if there is an update on the Brockway Pub-Danny Boy restaurant/taproom that was planned for the village as well?

  4. Why does the majority get to trample on the rights of the minority? You do realize that banning gay marriage does not rid the world of gay people, right? They are still going to be around and they are still going to continue to exist. The best way to get it all out of the spotlight? LEGALIZE IT! If gay marriage is legal, they will get to stop trying to push for it and you will get to stop seeing it all over the news. Why do Christians get to decide what is moral?? Why do you get to push your religion on others? How would legalizing gay marriage expose their lifestyle to your children? By the way, their lifestyle is going to continue whether gay marriage is legalized or not. It's been legal in Canada for quite a while now and they seem to be doing just fine. What about actual rules handed down by God? What about not working on Sundays? What about obeying your parents? What about adultery? These are in the 10 Commandments, the most important of God's rules. Yet they are all perfectly legal. What about divorce? Only God is allowed to dissolve a marriage so why don't you work hard to get divorce banned? Why do you get to pick and choose the parts of the Bible you care about?

  5. Look at the bright side. With the new Lowe's call center, that means 1000 jobs at $10 bucks an hour. IMS has to be drooling over all that disposable income. If those employees can save all their extra money after bills, in five years they can go to the race LIVE. Can you say attendance boost?

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