Hold the Excitement for Table Games

Hold the Excitement for Table Games

Much is being made of the Rivers Casino’s success with table games. Through the first two full months of action, table games has brought in $4.2 million and $4.9 million in gross revenues respectively in August and September. These totals rank them in the top three or four table games earners among the state’s ten casinos. Undoubtedly, casino management is feeling pretty good about the situation.

But before the excitement gets too out of hand and we’re ready to pronounce the casino a success, keep in mind that even with the additional revenues brought in by table games, the casino is still not reaching its lofty revenue projections as a slots parlor. To recall, before its opening the Rivers Casino was forecasting to earn $427 million per year in gross terminal revenues-about $8 million per week. Even the more tepid Gaming Commission forecast of $362 million breaks down to nearly $7 million per week. Thus far through 2010, gross terminal revenues from slots are $4.7 million per week.

Combining the two revenue sources-table games are averaging about $1.1 million and slots about $4.7 million-the weekly total is approximately $5.8 million and still falling woefully short of initial projections. Also keep in mind that table games bring with them higher costs of operations which will cut deeply into those revenues. Thus, while on the surface, table games are helping casino revenue, the casino is still far below revenue expectations and now has higher costs to absorb. A reason to tamp down the excitement.