Ohio vote gives Penn National a victory

The measure was approved by 53 percent of voters, with 47 percent voting against it.

D. Eric Schippers, Penn National spokesman, said the initiative authorizes four casinos, in Toledo, Columbus, Cincinnati and Cleveland. Penn National will develop the Toledo and Columbus properties, and Dan Gilbert -- owner of the Cleveland Cavaliers and fathead.com, and partner with Penn National in the Ohio initiative -- will develop the other two.

Schippers said Penn National expects to spend $600 million in getting the properties licensed and bringing them to construction and operation.

He said the Toledo and Columbus casinos will be built simultaneously, and that the Wyomissing company hopes to have them operational by 2012.

Reports have indicated Penn National and Gilbert spent $35 million campaigning for the initiative, known on the ballot as Issue 3.

The parties argued that Ohio was losing more than $1 billion annually to neighboring states that have gaming.

They also noted that 34,000 jobs would be created in building and running the four casinos.

There have been four, failed prior attempts to bring gaming in some form to Ohio, which does permit and have horse-racing facilities.

Schippers said Penn National was involved in one last year, in which it opposed a ballot measure that would have proposed a single casino in what he termed a remote location; and another in 2006, in a proposal to bring slot machines to the state's racetracks.

Asked why voters approved this year's measure, he said: "Ohio recognized that it is surrounded by states that are enjoying the benefits of these kinds of economic development projects.

"They see the buses leaving Ohio every day, filled with people going to gamble in other states. And the economy was the major 'x' factor this time, given that unemployment was as high as 15 to 20 percent."

In a related matter, the Pennsylvania Gaming Control Board said that gross revenues from slot machines at nine state casinos rose 31.97 percent in October from the prior October.

Penn National's Hollywood Casino at Penn National Racecourse near Grantville reported slots revenue of $20.3 million, compared with $16.2 million a year earlier, a 25.42 percent increase.

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