From Pine View Farm

AC Casino Profits Go Up in Smoke 1

Gambling’s down:

The 5.5 percent cut in its workforce of about 7,600 was unavoidable in the deteriorating economy, said Rob Stillwell, a spokesman for Las Vegas-based Boyd Gaming Corp., which co-owns the Borgata with MGM Mirage.

The Borgata layoffs follow Harrah’s Entertainment Inc.’s announcement last Friday that it was cutting hundreds of employees at its four Atlantic City casinos: Bally’s, Showboat, Harrah’s Resort and Caesars. The four casinos employed 16,034 in September.

So let’s light up:

The City Council had passed a total smoking ban in April, but then the financial meltdown rocked the economy and led to even steeper declines at the casinos.

The council changed its mind at the last moment and agreed to repeal the smoking ban for at least a year, but couldn’t legally stop the no-smoking rules from taking effect on Oct. 15.

The ban expired a minute after midnight Sunday, and gamblers can now light up again.

The theory seems to be that hoards of unemployed and laid-off smokers who don’t know where their next meal is coming from or whether they will have a house next month will flood the casinos and feed the quarter-eaters.

What a business model.

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1 comment

  1. Karen

    November 16, 2008 at 8:25 am

    In June of this year, it was reported that between January through April, profits in Cripple Creek, Central City & Blackhawk were down 10.7%. They have blamed the cost of gas to get to all 3 mountain towns & the smoking ban for the loss. People they asked said they used to go 3 & 4 times a week, but have cut back to 2 or 3 times a month because of both. Even with the amendment that was passed to increase limits & stay open 24 hours.