Check out the link to this recent Post-Gazette article. Pay close attention to the comments by Mr. Barden and especially those of Mr. Morehouse. Morehouse asserts that Harrah's may have grossly overestimated casino revenues in the past to win slots licenses, particularly in New Orleans.
Now check out the following link, which deals specifically with the New Orleans casinos...
http://www.hotel-online.com/News/PR2004 ... asino.html
Note the similarities in some of those numbers, particularly those between Harrah's projections for the Pittsburgh slots parlor and the projections that were being tossed around by various bidders on the New Orleans casino.
And then there's this from the New Orleans article...
"And annual gaming revenues, minus payouts to winners, are in the neighborhood of $300 million at the casino. That's $200 million to $900 million less than was projected by various bidders."
According to Morehouse, Harrah's is projecting the revenues from their casino plan to be in the neighborhood of $600 million in the casino's second year? With this article on the New Orleans casino as leverage, I would think Morehouse's concerns are very well-founded. Harrah's could be promising the area something it just can't deliver.
Even if it could, that begs the question...if indeed this casino of theirs could generate $600M in revenues in its second year of operation, how on earth could they not kick in funding for a new arena for the city?