The economy has claimed yet another casualty. This time it was the family of Station Casino’s turn to fall victim to the economic downturn that has been plaguing the industry for the past year. Last Tuesday Station Casinos Inc. voluntarily filed for Chapter 11 bankruptcy protection. The company had reported losses for $33.7 million for the first quarter, which had been the trend continued on from 2008 when they allegedly lost over $70 million.

When asked, Chairman and CEO, Frank J. Fertitta III said in a statement, "The restructuring of our debt will provide us with the financial flexibility necessary to meet the challenges of the current economic environment."

This change of economic pace into a recession-like stage, has forced many major casino groups to reassess their business model due to the fact that the decline in tourism will probably continue for the years to follow.

 

Source: Yahoo Finance