RubinBrown Gaming Stats 2012

Regional Indian Gaming Analysis

Regional Performance The National Indian Gaming Commission (NIGC) monitors tribal gaming for seven different regions across the United States. The two largest regions, based on total revenue, continue to be Portland and Sacramento. Combined, these regions generated 50.9% of all tribal gaming revenues, but only make up 21.1% of the industry’s facilities. The Portland region has grown consistently since 2008, but the Sacramento region posted lower revenues in 2010 than in 2009. The next regional leader is St. Paul with 16.8% of the national revenues. St. Paul also posted lower revenues in 2009 and grew minimally in 2010. The Oklahoma City region has grown the most over the last three years posting growth of 17.6%, 12.0%, and 4.9% from 2008 to 2010, respectively. This region, however, only consists of 6.0% of the nation’s tribal gaming revenues. The region with the largest negative revenue growth over the last three years is the Phoenix region. The region has had a decline in revenues of -8.5% or -$235.1 million since 2008. The region does, however, still generate 9.6% of the nation’s tribal gaming revenue.

According to the NIGC, the number of casino operations only increased by 3 properties in 2010, increasing from 419 in 2009 to 422 in 2010. When classifying the casinos by revenue ranges, the fluctuations in the number of properties appeared to be the results of casinos shifting between different ranges. In 2010, casinos generating revenues less than $10 million experienced the largest increase, increasing by 7 properties, or 5.0%. Meanwhile, casinos with revenues between $10 million and $50 million decreased by 8 properties, or -5.1%, indicating the increase in smaller casinos is a result of the mid-size casinos generating less revenues. The tribal gaming industry has evolved into a mature market and is feeling the effects of the recession, saturation and increased competition from commercial casinos. To compete in the market, tribal casinos are looking to differentiate their facilities by expanding their service offerings and updating their facilities in order to attract a broader range of patrons.

Indian Gaming Revenues by Region

Alaska

St. Paul $4.4B (09 = $4.4B) 119 Ops (09 = 120 Ops)

Portland $2.7B (09 = $2.5B) 50 Ops (09 = 49 Ops)

Washington

Maine

Montana

Vermont

North Dakota

Minnesota

Oregon

New Hampshire

Idaho

Wisconsin

Massachusetts

South Dakota

New York

Michigan

Rhode Island

Wyoming

Connecticut

Iowa

Nevada

Pennsylvania

New Jersey

Nebraska

Ohio

Maryland Delaware

Indiana

Illinois

Sacramento $6.8B (09 = $7.0B) 62 Ops (09 = 62 Ops)

Utah

West Virginia

Colorado

California

Virginia

Kansas

Missouri

Washington D.C. $6.7B (09 = $6.8B) 27 Ops (09 = 28 Ops)

Kentucky

North Carolina

Tennessee

Oklahoma

South Carolina

Arizona

Arkansas

New Mexico

Mississippi

Georgia

Alabama

Phoenix $2.5B (09 = $2.6B) 48 Ops (09 = 47 Ops)

Texas

Louisiana

Florida

Tulsa $1.8B (09 = $1.7B) 65 Ops (09 = 64 Ops)

Oklahoma City $1.6B (09 = $1.5B) 51 Ops (09 = 49 Ops)

17 RubinBrown - Commercial & Tribal Gaming Stats 2012