"The Mashantucket Pequot Tribal Nation is no stranger to risks. Its gamble on high-stakes bingo, and later Foxwoods Resort Casino, paid off handsomely — until recently, that is. The downturn in the economy and increased competition has had an impact.
This makes the tribe’s latest venture an even bigger risk. This weekend, the grand opening of the new MGM Grand at Foxwoods will be held. It’s an expensive expansion — $700 million — of the tribe’s resort and gambling empire coming at a time when business is slowing.
Foxwoods’ slot revenue has seen a steady decline during the past year. Profits from the casinos that fund the tribal government have also slowed, forcing tribal officials to re-examine how it operates — and how it can continue to operate in the future. Tribal officials are asking for voluntary early retirements in an effort to avoid large layoffs.
Foxwoods is not alone in trying to weather the uncertainty of a slumping economy. The Mohegan Tribe, owners of Mohegan Sun, also in the early stages of expansion, are being impacted. Earlier this month, the casino announced the elimination of 600 jobs to be accomplished through attrition and no actual loss of employment for workers."
Get the Story:Our View: Casinos' success critical to health of local economy (The Norwich Bulletin 5/16) Related News:
Slot revenues continue slide (The Norwich Bulletin 5/16)
Casino Slots Revenue Continues To Slide (The New London Day 5/16)
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