Alabama bound- update – from Biloxi


One of the major regional gaming trade shows, the Southern Gaming Summit, is being held in Biloxi, Mississippi this week.  Traditionally, the show has attracted the operators and vendors from Louisiana, Missouri, Mississippi, Indiana, Illinois, West Virginia and the Indian tribes that have casinos in the region; it has always clearly been a casino driven event.  But, this year, the Gaming Summit has a new addition, Bingo World is part of this year’s show.  In fact, judging by the stories surrounding the conference and bingo, it is close to being the most important element in the conference.  The newspapers in Alabama have more articles about the speakers, vendors and issues than the hometown Biloxi Sun-Herald has.

Like all gaming trade shows and conferences there are speakers from all parts of the industry talking about the issues, challenges and trends in the industry and  as is usually true the hot topic is the major factor impacting the industry currently; in Biloxi this week everyone is talking  and worrying about of the oil spill on the Coast’s economy and in particular the casinos.  And there is also the constant worry over hurricanes in the region, twice within in decade the Coast casinos suffered a direct hit by a major storm;  Biloxi had just about recovered from Katrina when the current economic storm hit it and now there is an oil slick lurking off the coast.

However, the real and constant threat to casinos in Mississippi is the same threat that faces the casinos in New Jersey, Illinois, Indiana, Nevada and the rest of the country – competition.  And that too is being discussed with much angst by casino operators in the region. The casinos in Mississippi have already had some bad news in April when Florida finally agreed to a compact with the Indian tribes in the state and at the same time authorized expansion of the existing non-Indian gaming in the state. Florida has been a traditional and major source of customers for Mississippi casinos.

The second and potentially largest competitive threat comes from Alabama; although slot machines are illegal in Alabama there are thousands of them, called bingo machines, in the state.  For months now the governor and attorney general have been trying to shut the bingo machines and the host bingo casinos down, the state legislature has been debating legislation that would authorize them and the courts have dealt will a variety of issues related to the issue. But in the meantime many of the “casinos” are still operating and taking business from Mississippi casinos and the threat of expanded gaming in Alabama is being taken seriously in Biloxi this week.

There is another side to the bingo machines, the manufacturers and they are not pleased with the current state of affairs; the bingo places not operating have caused some serious downsides to some of them; both Bally and Multimedia Games cited the loss of revenue from Alabama in their quarterly statements. Multimedia games lost participation revenue from nearly 2000 games – a number in its financial statement.

All of this fueled much of the debate in Biloxi, as one would suspect, the bingo guys are hoping for more “bingo” in Alabama and the casino guys are hoping for bingo to go the way of the dingo – away.

Advertisements

0 Responses to “Alabama bound- update – from Biloxi”



  1. Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s




Disclaimer

This is a personal blog and the information in articles posted here represents my personal views. It does not necessarily represent the views of people, institutions or organizations that I may or may not be related with, and is not sponsored or endorsed by them unless stated explicitly. Comments and other public postings are the sole responsibility of their authors, and I shall not take any responsibility and liability for any libel or litigation that results from information written in or as a direct result of information written in a comment. All trademarks, copyrights, and registered names used or cited by this website are the property of their respective owners. I am not responsible for the contents or the reliability of any articles excerpted herein or linked websites and do not necessarily endorse the views expressed within them. I cannot guarantee that these links will work all of the time and have no control over the availability of the linked pages.

Pages

May 2010
M T W T F S S
« Apr   Jun »
 12
3456789
10111213141516
17181920212223
24252627282930
31  

%d bloggers like this: