By Timothy Boone, The Sun Herald, Biloxi, Miss.
Knight Ridder/Tribune Business News
Jan. 5--Mississippi marked the 10th anniversary of legalized gambling
in 2002, one of the few high points in what was a quiet year for the industry.
A slowing economy and maturing market kept casino revenues down for
the year. Through the first 11 months of 2002, casino winnings were only
slightly ahead of the 2001 pace, meaning Coast casinos could bring in less
revenue than the previous year for the first time since 1995.
| Oddly enough, one of the best signs
for casinos is the declining number of tourists who list gambling as their
main reason for visiting the Coast. When the first quarterly tourism study
was released early last year, 55 percent of visitors said they primarily
came to the Coast to gamble. That number had dropped to 34 percent for
the survey taken this fall.
Gambling and tourism officials said this indicates the Coast is more
than a |
Treasure Bay Casino Biloxi |
one-trick pony, offering a wide range of activities for visitors. The more
people who come here to fish, play golf or visit Beauvoir, the more people
who have a chance to gamble at one of the 12 South Mississippi casinos.
Speaking of 12 casinos, here's one semi-informed man's opinion on which
local gambling halls were the winners and losers in 2002:
Boomtown Biloxi: Loser.
A plan to move the popular locals' casino in order to solve parking
problems and offer greater visibility from Bayview Avenue was snarled up
when property owners filed suit.
Beau Rivage: Winner.
The Coast's top casino posted a modest increase in earnings during
the first nine months of the year, from $48.6 million in 2001 to $49.3
million in 2002. Parent company MGM Mirage announced in October it was
shifting plans to build a megaresort in Atlantic City, distributing millions
to Beau Rivage and casinos in Detroit and Las Vegas.
Casino Magic Bay St. Louis: Winner.
Hancock County's only casino opened a new hotel in 2002 and saw earnings
climb. The casino could get a makeover, with parent company Penn National
Gaming set to complete the purchase of Hollywood Casinos early this year.
Some Penn National properties will be made over as Hollywood Casinos, and
Casino Magic Bay St. Louis is a logical candidate for the change.
Casino Magic Biloxi: Winner.
Earnings at the Casino Row resort surged, from $12.6 million during
the first nine months of 2001 to $15.8 million in the same period during
2002.
Copa Casino: Winner.
The Coast's only privately, locally owned casino got a glitzy barge,
replacing the rusty boat that had been its home. replacing the rusty boat
that had been its home. After the barge opened in September, the Copa kicked
off an aggressive advertising campaign. The barge brought the Copa up to
the same standards as other casinos in the market, making the casino, already
a local favorite because of its customer service and Uncle Floyd's barbecue,
a tough competitor.
Grand Casino Biloxi: Loser.
Despite tweaking amenities, such as adding Wild Coyotes, a country
and western themed bar, and Corky's Ribs & BBQ, the casino saw earnings
slip. Increased competition from Beau Rivage caused the casino's earnings
before taxes to slip from $44 million in the first nine months of 2001
to $39 million in the first nine months of 2002.
Grand Casino Gulfport: Winner.
Earnings at the casino increased modestly in the first nine months
of 2002, making it one of the few winners for Park Place Entertainment,
which had a tough year.
Imperial Palace: Loser.
Ralph Engelstad, who founded the Back Bay casino and its sister property
on the Vegas Strip, died in November. Imperial Palace had been for sale
for the past few years while Engelstad battled cancer, but family members
said they will continue to operate the casino.
Isle of Capri: Winner.
The Coast's first casino celebrated its 10th birthday, then finally
reached a settlement with the city of Biloxi, the secretary of state and
Mississippi's university system, clearing the way for an expansion of its
Point Cadet property. Ground will be broken later this month on an $80
million expansion, which will include a parking garage, hotel tower and
multipurpose center.
Palace Casino: Winner.
The casino completed a $15 million renovation that overhauled the interior,
making it more glamorous. And the new Rock 'n' Roll Casino planned for
Clay Point, just behind the Palace, could make East Biloxi a casino cluster,
bringing more people to the resort.
President Casino: Loser.
Although the casino is faring well, its parent company filed for Chapter
11, increasing the possibility of a new owner.
Treasure Bay: Loser.
The casino had a horrible string of luck this fall. Tropical Storm
Isidore heavily damaged the casino, keeping it shut for more than two weeks
and causing millions in damage. The casino's reopening was delayed for
about a day, due to problems with the communications system. Then an employee
was diagnosed with tuberculosis; thankfully, no other employees or guests
contracted the disease. Too bad for Treasure Bay CEO Bernie Burkholder,
one of the nicest guys in the industry.
Timothy Boone can be reached at 896-2358 or at [email protected].
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(c) 2003, The Sun Herald, Biloxi, Miss. Distributed by Knight Ridder/Tribune
Business News. |
