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Cashing in on casinos in Manitoba

A deal signed by the Assembly of Manitoba Chiefs (AMC) will see the development of a destination casino on the Swan Lake First Nation near Carberry. It will be the third casino built under an agreement between the AMC and the province. Here is the current state of casino gambling in the province.

The Players

Manitoba Lotteries

A crown corporation owns and runs two casinos in Winnipeg as well as distributing and selling lottery tickets. Generated about 550 million in revenue before expenses in year ending March 2012. Of this, 236 million came from the two Winnipeg casinos. $329million came from lottery terminals.

Hemisphere Gaming MB Co.

Based in Minneapolis, this company. Runs the South Beach Casino as well as providing start up financing. In the first six years of operation South Beach paid the American company about $43 million in management fees, interest charges and a share of revenue. The management fees were initially calculated as 47 per cent of earnings before taxes, and then dropped to 37 per cent in 2008. In comparison, the Seven First Nations that own the casino have reaped a total of $17 million in profits since it opened.

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