Atlantic City's 11 gambling halls lost $39.4 million in the second quarter, compared to a profit of $34.8 million in the 2007 second quarter.
The balance sheets were not much better when measuring gross operating profit, which is considered a better comparison between casino properties. It excludes interest, taxes, depreciation and other charges.
Gross operating profit for the second quarter fell 16.5 percent to $247.3 million, according to figures released Tuesday by the state Casino Control Commission.
The seaside gambling halls have been hurt by new slot parlors in New York and Pennsylvania, rising gasoline prices, and a partial smoking ban.
The industry is heading toward its second consecutive year of declining revenue.
Atlantic City's 11 gambling halls lost $39.4 million in the second quarter, compared to a profit of $34.8 million in the 2007 second quarter.
