The steep decline resulted in the lowest annual gambling total since 2003 and followed a 9.7% decline in 2008. It is further evidence that the state's main tourist industry continues to suffer under the weight of the recession.

"It's the fourth decline this decade after never declining since we started recording annual gaming win in 1955," said Frank Streshley, chief of the control board's tax and license division.

Declines of 1.3% and 0.3% were reported in 2001 and 2002 after the Sept. 11 terrorist attacks.

All major games posted declines for the year with the exception of baccarat, a high-roller game that attracts big spenders.

Baccarat winnings were up 26.6% for the year, with the majority coming in the last quarter of the year.

Winnings from other table games fell 7.6%, after gamblers wagered $28.6 billion, down 4%, the report said.

Nearly $112 billion was wagered on slot machines, a decline of 10.8%, with casinos winning $6.8 billion, down 11.8%.

Taxes paid by casinos make up about a third of the state's general fund. Nevada's gambling industry has been especially hard hit in the recession as tourists and residents keep a tighter hold on discretionary spending.

For the biennium that ends June 30, 2011, Nevada is facing a projected $881 million shortfall. Gov. Jim Gibbons has called a Feb. 23 special session of the Legislature to deal with the financial crisis.

Streshley said there were some positive signs in the report.

"Total win was down 13.4% in the first six months, but down 7.2% in the second half," he said.

"We are seeing improvement in the percentages, at least in the rate of decline."

The Las Vegas Strip reported an annual win of $5.5 billion, down 9.4%. In northern Nevada's Washoe County, the $805 million was the lowest since 1989 and was down 13.4% from 2008.

For December, casinos statewide reported a win of $859.3 million, down 3.2% from the same month a year ago. The state in January collected $33.4 million in taxes on those winnings, down 6.7%.

Casino properties on the Las Vegas Strip won $502.2 million in December, an increase of 5.9%, boosted by the Dec. 17 opening of Aria Resort & Casino, the 4,000-room, 61-story centerpiece of the $8.5 billion CityCenter complex.

In Washoe County, which includes Reno, the $53.4 million won by casinos was a 10.7% decline from the same month a year ago.

Elsewhere, December wins dropped 11.3% on the south shore of Lake Tahoe; 7.5% in Elko County; 25.2% in North Las Vegas; 12.4% in downtown Las Vegas; and 7.6% in Mesquite.

The Carson Valley area that includes Carson City and portions of Douglas County was up an unexplained 8.5%, the report said.

Economists have said that as the global economy begins to improve, the Las Vegas Strip will benefit because of its tourist draw.

But smaller tourist and local markets will take longer because of the fallout from the state's collapsed housing market and high unemployment that remains the second-highest in the nation at 13%.

Date Posted: 14-Feb-2010