Casino deal involves thousands of St. Louis area workers and millions in taxes | St. Louis Public Radio

Casino deal involves thousands of St. Louis area workers and millions in taxes

Dec 18, 2017

A major shift in the national gaming industry will impact at least four casinos in the St. Louis region. Penn National is acquiring Pinnacle Entertainment in a nearly $3 billion deal.

Regulators still need to approve what would be the combination of two of the nation's largest casino operators outside Las Vegas. The companies employ thousands in the area and pay millions in taxes every year.

There are four local properties connected to the companies:

  • Ameristar Casino in St. Charles
  • Hollywood Casino in Maryland Heights
  • River City Casino in south St. Louis
  • Argosy Casino in Alton, Illinois

A review of reports from the Missouri Gaming Commission and the Illinois Gaming Board shows the four casinos employ more than 4,300 people. Most are at the St. Charles property, which has 1,500 workers. 

Penn National already owns the Hollywood Casino and Argosy in Alton. It will acquire Pinnacle's River City Casino if the deal goes through. Pinnacle owns the St. Charles property, which is being sold to Boyd Gaming in Las Vegas.

Numbers from the state of Missouri show the gaming properties are significant to tax bases throughout the area.

Ameristar Casino in St. Charles

  • Real Estate/Personal Property Taxes - $7.2 Million
  • State Sales Tax - $3.3 Million
  • State Withholding Tax on Jackpots - $3 Million
  • Federal Withholding Tax on Jackpots - $2.9 Million

Hollywood Casino in Maryland Heights

  • Real Estate/Personal Property Taxes - $11.4 Million
  • State Sales Tax - $1.7 Million
  • State Withholding Tax on Jackpots - $2.6 Million
  • Federal Withholding Tax on Jackpots - $2.1 Million

River City Casino in south St. Louis

  • Real Estate/Personal Property Taxes - $9.5 Million
  • State Sales Tax - $1.7 Million
  • State Withholding Tax on Jackpots - $2.4 Million
  • Federal Withholding Tax on Jackpots - $2.9 Million

(Information from Missouri Gaming Commission Fiscal year 2017 Annual Report)

Argosy Casino in Alton, Illinois

  • State Share of Taxes - $7.8 Million
  • Local Share of Taxes - $2.9 Million
  • Total Gross Receipts - $49.1 Million

(Information from Illinois Gaming Board 2016 Annual Report)

The deal is expected to close next year. Once that happens, Penn National will operate more than 40 properties, around 5,300 slot machines and more than 8,300 hotel rooms throughout the country.

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