Las Vegas- the universal gaming capital in the world

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UPDATE: New Data Show Gambling Revenues Dip In Las Vegas
10.03.08 03:18:00- BNEU

By Riley McDermid


NEW YORK (Dow Jones) -- New data from the Nevada Gaming Control Board released
Friday show that revenues from casino gambling in the city fell 1.3% in January
from a year earlier, the first such slide in over half a decade.


Statewide, gaming revenues also dropped nearly 5% to $1.06 billion, the data
showed.


Similarly, gaming revenue for Washoe County -- which includes gambling havens
Reno, Sparks and North Lake Tahoe -- were down 9.4% countywide.


Las Vegas has long reaped the benefits of massive amounts of international
tourists capitalizing on the weak dollar to flock to the city for gambling and
shopping.


The gambler's Mecca has not seen a dip in gaming earnings since 2001, a marked
contrast to the rest of the country's year-long slump.


Major players have urged caution when predicting the future of Las Vegas, at
least for now. Steve Wynn, owner of iconic Wynn Resorts Ltd. (WYNN), is one of
them.


"It would be unsophisticated to think Las Vegas is a magical island unto
itself immune from the effects of the communities that serve it and its
visitors," Wynn said during a fourth quarter earnings conference call in
February.


Almost 40 million people visited the city in 2007, a 2.2% increase from a year
earlier, and spent close to $11 billion, the Las Vegas Convention and Visitors
Authority reported in December.


But the major boost to the economy traditionally enjoyed after Asian gamblers
flock to the city to celebrate Chinese New Year was not felt this year, the
gaming commission report showed.


Percentage fees collected by the state from taxable revenue were down in
February, the state said, falling to $81 million from $93 million in February
2007.


"This represents a 12.63% decrease compared to the prior year's February," the
gaming commission's report said.


Still, some of the largest operators on the Las Vegas Strip seem determined to
do well, despite the downturn. MGM Mirage (MGM) -- which operates the
hotel/casinos Mandalay Bay, MGM Grand and the Bellagio -- saw its
fourth-quarter net income climb to $872 million from $201.6 million a year
earlier, after profiting from the major CityCenter project.


The jump in earnings to $2.85 per share, a 69 cent gain, handily beat analyst
expectations of only a 55 cent gain.


(END) Dow Jones Newswires

03-09-08 2218ET

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