January 2015 – ECONOMY – For what appears to be the first time on record, Powerball Lottery Sales declined year-over-year. As the following slides show, lottery sales declined 19% in FY14 vs FY13 and even more stunningly reflective of a nation whose disposable income (and hope) is in such short supply, sales in the first half of FY15 are down 40% from the first of FY14. As LaFleurs concludes, this will make it very challenging for most Lotteries to manage their budgets… -Zero Hedge
Casinos going bust: ATLANTIC CITY (AP) — Atlantic City has lost nearly half its casino revenue over the past eight years as competition in nearby states cannibalized its market and drove four casinos out of business. Figures released Wednesday by the state’s Gaming Enforcement Division show the casinos took in $2.74 billion in 2014, down 48 percent from a high of $5.2 billion in 2006. The decline would have been greater without the $122 million that Internet gambling provided last year. Four of Atlantic City’s 12 casinos closed in 2014 — The Atlantic Club, Showboat, Revel and Trump Plaza. In 2014, Atlantic City’s casinos took in 4.5 percent less than they did in 2013. Excluding casinos that closed last year, the surviving eight gambling halls saw their revenue increase by nearly 8 percent, to $2.48 billion. –Press of Atlantic City
Las Vegas troubles: Caesars Entertainment Corp.’s largest unit is preparing to file for bankruptcy protection as soon as Thursday, the final gambit of a years long attempt to salvage a soured buyout. Caesars Entertainment Operating Co.’s Chapter 11 filing would launch the final stage of Apollo Global Management LLC’s effort to save some of its $1.7 billion investment in the company, which it took private in 2008 with fellow buyout firm TPG. A Chapter 11 petition would follow months of contentious negotiations with creditors, a who’s who of Wall Street investors. The unit’s collection of casinos and hotels, including much of the Las Vegas Strip’s iconic Caesars Palace, is expected to operate normally as it works to persuade a judge to approve a restructuring plan that would transform it into a real-estate investment trust. –WSJ
