— LCD News (@lcdnews) November 1, 2012
Hurricane Sandy made landfall near Atlantic City, New Jersey, but the damage did not set back the city’s gambling and hotel economy by much. Fitch Ratings reports:
Gaming operators in Atlantic City, NJ, and across the mid-Atlantic region appear poised to re-open properties affected by Hurricane Sandy relatively quickly, limiting the storms impact on cash flow. However, Fitch believes longer term effects on physical infrastructure and consumer sentiment in New Jersey and surrounding states could have a material impact on fourth-quarter gaming demand.
Atlantic City casinos have been challenged by slumping demand since the financial crisis, according to the Wall Street Journal:
New Jersey Governor Chris Christie two years ago pushed through legislation designed to help Atlantic City crawl out of its hole. Among the changes were infrastructure improvements around town, a $30 million “Do AC” marketing campaign and a regulatory structure that is supposed to be cheaper and easier for casino companies to navigate. Gambling revenue this year through September was down 4.8% from a year earlier.