The Detroit Metropolitan Airport is negotiating with the Michigan Lottery to bring gambling machines and other lottery products to the airport as it looks to improve revenues amid declining flight and tourist decline. Both the Wayne County Airport Authority and the Michigan Lottery confirmed on September 10th, 2009 that the negotiations are under way.
Andi Brancato, the public relation direction for the state lottery said that the lottery and the Detroit Airport are finalizing arrangement and they hope to sell tickets in the next few months. She said that what will be offered are not yet determined but any games that the lottery currently offers is possible. The airport's director of public affairs, Michael Conway, said that where the gaming machines are in terminal stores and restaurants has not been decided.
Conway said that the lottery previously approach the Detroit Metropolitan Airport about placing its keno game in some of the restaurants in the airport but that was rejected by airport officials. Now, facing with declining revenues, discussions are back on. Keno, instant ticket games and pull tabs are the possible and the airport (under a licensing agreement with the Michigan Lottery) would get a portion of the revenue from the tickets sold and from prizes.
The authority board, during a meeting on September 8th, 2009, tabled a decision on a proposal that would offer airline landing costs rebates on any new non-stop route from the city of Detroit for at least one year. The initiative, which also features additional credits for local marketing of a new flight route, was made to produce more passenger traffic and the associated parking and concession earnings.
The proposal was set aside from additional discussion. The authority also plans to cut its overall spending to minimize losses: The airport's 2010 budget, which starts on October 1st, 2009, will be scaled down by nearly $9 million to $264.5 million.
Conway said that includes the elimination of one hundred nine positions, some of which will not be filled that are open now, voluntary departures like retirements and layoffs. Metro has seen traveler traffic drop about 8% compared to last year and the Airport Westin Hotel is on track to lose $4.5 million this year. Recent airline industry study estimates that Metro will see an average of twenty seven fewer flights daily in the 4th quarter and the authority had been forecasting a $6 million deficit.
The authority is also trying to sell naming rights to the airport and recently signed a 7-year, $9.8 million advertisement deal with Pepsi distributor PBG Michigan LLC that makes Pepsi the official beverage of the Detroit Metropolitan Airport.
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John Sullivan
