Australian companies bracing for US economic impact

12 May 2008

AUSTRALIA -- As reported by the Brisbane Times: "James Packer's publicly listed gambling company, Crown, and the poker machine maker Aristocrat are bracing for the impact of the strong economic headwinds undermining US casino earnings.

"In the past fortnight, the owner of the iconic Tropicana casino in Las Vegas has filed for bankruptcy and four of the US's largest gambling companies have reported earnings slumps.

"Most market observers said the falls illustrated that the industry was not as recession-proof as it liked to think.

"But some believe Crown's interests in US casinos could be protected from the worst of the downturn because they target local gamblers rather than top-drawer visitors from out of town..."

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