Possible smoking ban and new taxes could affect profits

SWISS CASINOS FACE FUTURE CHALLENGES

2007 was a good year for casinos in Switzerland, according to the Swiss Casino Association (FSC). Visitor numbers to the seventeen casinos rose to 5 million from 4.7 million in 2006, and profits increased by 5.4%. Gross gaming revenue was SF862.3 million (US$ million) in 2006 and increased to SF908.8 million (US$ million) in 2007.

The SFC reports that 78.4% of GGR came from slot machines, the rest from gaming tables. Swiss casinos presently employ 2,400 people of which 2,200 are full-time workers. A possible ban on smoking and new tax laws may make the casinos less profitable in the future. The casinos pay between 40% and 80% of GGR in tax. Last year a total of SF482.2 million (US$ million) was paid in gaming tax by the casinos.

There are two types of casino licence in Switzerland – ‘A’ and ‘B’. The seven ‘A’ licensed properties (Baden, Basel, Bern, Lucerne, Montreux, Lugano, and St. Gallen) are allowed to offer many different table games and slot machines. ‘B’ licensed properties are generally restricted to Black Jack, American Roulette and Poker, and maximum bets on tables and slot machines are capped. (E-05.08.08)

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