Analyst predicts a slow recovery for NY casinos
Due to new government restrictions and reduced casino crowds, analysts fear a solid recovery could take years.
US.- An analyst at Moody’s Investors Services predicts a slow recovery for Resorts World Catskills and other New York state casinos following the financial damage inflicted by the coronavirus pandemic.
Moody’s research analyst Keith Foley believes casinos could face “at least 12 to 18 months of serious financial challenges” partly due to government restrictions imposed on the properties.
New York’s casinos were given the green light to open on September 9 while following requirements such as operating at 25 per cent capacity, installing physical barriers at table games and implementing social-distancing.
The restrictions mean casinos are cutting back on facilities. Resorts World Catskills has reduced its slot machines from 1,600 to 758, and table games from 151 to 70.
Catskills in particular was already in a precarious position before the pandemic given its small size and location 90 miles from New York City.
Foley said that even in the wake of a vaccine, crowds may be slow to return to the properties and that without relief from the federal government, recovery could take years.
