Detroit Casinos may Record Losses
Michigan Local News has reported that Detroit casino revenues could actually be down this year, as opposed to the constant growth marked by previous years.
The Michigan has reported that, aside from the new Greektown Casino, which continues to report revenue increases, older casinos such as the MGM Grand Detroit have been experiencing losses throughout the year.
However, whilst the losses are bad news for the casinos, Bill Eadington, a gaming analyst at the University of Nevada-Reno has suggested that a decrease in revenue should have been expected: "A maturing casino sees very rapid growth and then at some point, it levels out". Eadington went on to note that "now that Detroit is mature, it's not going to be having double-digit growth organically."
Analysts such as Eadington now believe that, rather than being recession-proof, casinos have, and continue to be, hit by the current economic climate. Eadington suggests that rather than leading the way out of the recession, casinos will “lag” behind.
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