Butting out at bingo hurts profits to charities: report
Last Updated: Thursday, October 19, 2006 | 3:31 PM MT
CBC News
Edmonton's bingo halls have seen a $6.8-million drop in profits to charities during the first year of a smoking ban and predict a similar fate for Calgary's halls.
An August report from the bingo industry on the effects of an Edmonton smoking ban on revenues shows that the profits to charities are down 53 per cent.
Bingo groups predict Calgary halls will see the same problems when a ban on smoking in gambling establishments kicks in on Jan. 1, 2008.
Bingo hall patrons in Calgary can keep puffing until 2008.
(CBC News)
Bill Graham, spokesman for the Federation of Alberta Bingo Associations, had one word Wednesday to describe the impact of the July 1, 2005 smoking ban on Edmonton's bingo halls.
"Disaster. That would be putting it mildly," he added.
He said three bingo halls have closed, leaving sports groups, schools and cultural organizations scrambling to find different sources of funding.
Remaining organizations are dividing the much smaller bingo revenue pot, he said.
Graham predicts the same fate for Calgary.
"I would see some hall closures and at least a 50 per cent drop in profits for the charities," he said.
The report, prepared by Ian Taylor who heads Alberta Satellite Bingo, looked at bingo halls in Edmonton for one year, starting in July 2005.
"The only significant difference between the Edmonton area and the rest of the province was the smoking ban. Nothing else really has happened that would dramatically impact on bingo," said Taylor.
The report found that in that year:
- Profits to Edmonton charities declined by $6.8 million or 53 per cent from the previous twelve months.
- Bingo attendance declined by an estimated 25 per cent.
- Bingo sales declined by $25.7 million or 27 per cent.
