Atlantic City casinos report a US$ 535 million profit for 2010

"The problem for the city as a whole has been competition and economics," said David Hughes, CEO for Trump Entertainment Resorts. "For 2011, I think you'll still see a decline in the market but it'll be much less."

The figure includes earnings before interest, taxes, depreciation and other costs, and is a widely accepted measure of profitability within the gambling industry.

Hughes said 2010 was a tough year because it includes a half-year of financial impact from table games in Pennsylvania, which began in mid-July.

The Borgata Hotel Casino & Spa claimed the biggest annual profit at US$ 174.6 million, while the Atlantic City Hilton claimed the greatest loss at nearly US$ 19 million.

The Hilton defaulted on its loan in July 2009 when it stopped making payments. It indicated in its tax filings that it has reached a deal with its lenders to stop the clock on its more than US$ 392 million worth of debt and interest, and has retained a financial advisory firm to find a buyer for the troubled casino.

But in percentage terms, the biggest decline was at Resorts Casino Hotel, which came very close to closing its doors last December before it was bought by casino veteran Dennis Gomes and New York real estate investor Morris Bailey. Resorts was owned by the same owners as the Hilton, Los Angeles-based Colony Capital, when it turned over the keys to its lenders in December 2009 because it, too, could no longer make loan payments.

For 2010, Resorts posted an operating loss of US$ 18.5 million, a decline of nearly 41 percent. The casino has since gone on an expense-slashing binge, including making all its workers re-apply for their jobs at lower salaries, and is trying an array of promotions to increase business volume.