Take me away to Tunica! How casinos hit the jackpot for Tunica, MS.

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To visitors who come to the area, it's called "The South's Casino Capital," but to people who have lived in Tunica for more than 15 years, they call it "The Tunica Miracle."

The year 2007 marks the 15th anniversary of the arrival of gaming in Tunica County. The once sleepy agricultural community has become one of the fastest growing gaming and tourism destinations in the U.S. Today, Tunica boasts nine world-class gaming facilities, 6,300 quality hotel rooms, growing resort amenities, and approximately $1.2 billion in annual gaming revenue.

There are many miracles in the economic resurgence of Mississippi. However, nowhere has there been a more profound impact on economic development than in Tunica County:

* 10-12 million visitors a year (85% out-of-state)

* 16,000 new jobs

* New schools and recreation facilities

* Improved public safety in roads, police, and fire protection

* New cultural and recreational attractions

All of this has happened in just 15 years. Tunica is now more well-positioned than ever to continue growing and contributing to Mississippi's economy, whereas 15 years ago, it was a drain on the economy.

The Tunica Miracle

In the early 1990s, Tunica was one of the poorest counties in America. Its 9,000 residents were almost totally dependent upon its agricultural economy, unemployment was in the double digits, average per capita income was just $10,611, and more than half of the county's residents lived in households receiving food stamps. That all changed in 1990 when the Mississippi Legislature legalized gaming as a way to create badly needed jobs and bring new industry to the river and coastal areas. Tunica's civic and business leaders adopted gaming as part of an economic development strategy, and the "Tunica Miracle" began.

Tunica Tourism

Starting in October 1992 when the first casino (Splash Casino) opened in Tunica, the familiar cha-ching sound of a slot machine payout wasn't the only thing in Tunica that had people talking. Splash Casino created jobs and world-class casino resorts almost overnight. More than $3 billion has since been invested in Tunica, and more than 16,000 new jobs have been created. Subsequently, Tunica County's budget grew from $3.5 million in 1992 to $56.6 million in 2007. Tunica County has created a diversified economy that lives up to its reputation for being one of America's great economic success stories.

More Bang for Your Buck

While the trend in the hotel industry across the country has been lower year-over-year occupancy and higher year-over-year average daily rates, fortunately Tunica is an exception to the trend. Since 2001, the average daily rate in Tunica has gone up less than $10, and in some years rates have even gone below the 2001 level. An even more impressive number is the average daily rate. For 2006, the average daily rate stayed under $62. This average includes luxury suites and completely renovated hotel rooms across the resort area that afford the convenience of staying in a casino with upscale restaurants, championship golf courses, relaxing spas, and outlet shopping, all 20 minutes away from Memphis. Even more remarkable is the year-round hotel occupancy rate for the 6,300 rooms: 92.4 percent for April to September and 81.4 percent for October to March, with most weekends reaching 100.0 percent year-round.

One of the reasons for the hotels' high occupancy rates is the large number of conventions and meetings held in Tunica, and the motor coach groups that travel to the area. From April to September of 2006, there were 480 groups that met in Tunica, ranging from conventions bringing in thousands of people to family reunions bringing in a few dozen visitors. For the motor coach industry, the passengers who came to Tunica last year at six of the casino properties totaled 376,193.

Today in Tunica

Today, Tunica has developed from a pure gaming destination with casinos to one that offers a more diversified tourism product. The area has activities to fit every visitor's interests, with nationally-known entertainers, top-rated sporting events, outlet shopping at Casino Factory Shoppes, or antiquing on Main Street in downtown Tunica, plus museums, golf, and tennis.

* Nine world-class casinos

* 6,300 quality hotel rooms

* Three championship 18-hole golf courses

* Museums--Tunica Museum and Tunica River-Park

* Five dedicated performance halls with headline entertainment

* Factory outlet shopping and antiquing in downtown

* Estimated 10-12 million visitors per year

* Annual revenue of $1.2 billion

Showcasing equine events, sporting events, and trade/ consumer shows, the Tunica Arena & Expo celebrates its 6th anniversary with an impressive record, having booked 182 event days with almost 40,000 attendees having an economic impact of $23 million.

The Tunica RiverPark has welcomed over 100,000 visitors since its opening, while receiving multiple accolades and awards during this time, including Southeast Travel Attraction of the Year. The RiverPark offers a place to discover and experience the Mississippi River with an interactive museum, four large aquariums, riverboat cruises, a walking trail, and an overlook view.

By adding Tunica National Golf & Tennis to the thriving golf product, including Cottonwoods Golf Course at Grand Casino and River Bend Links at Casino Strip Resorts, Tunica has already doubled the number of golf rounds played in a single year. In 2007, the gaming industry began a revitalization of its facilities. Renovations include:

* Fitz Casino & Hotel has completely renovated its lobby, pool/workout area, hallways, and 506 hotel rooms, plus it is remodeling the casino floor and building a new steakhouse.

* Gold Strike is renovating its 800-seat convention center, Millennium Theatre, and has begun remodeling 1,100 hotel rooms.

* In 2006, Harrah's purchased Grand Casino, Horseshoe, and Sheraton and began a multi-million-dollar renovation to the three properties:

[right arrow] Horseshoes 194 hotel rooms were renovated. The Diamond Lounge, Starbucks

[right arrow] Coffee, and a new restaurant, Magnolia: A Delta Grille, were added to the casino/hotel.

[right arrow] Grand Casino Tunica will undergo a $45 million rebranding to Harrah's in mid- 2008. Part of this rebranding effort will include the renovation of 1,150 hotel rooms and the opening of the first Paula Deen Lady & Sons signature restaurant outside Savannah, CA.

In just 15 years, Mississippi's (and America's) most impoverished county has become an economic engine for the state and the Delta region. More than $3.5 billion, both public and private, has been invested in Tunica County.

Economic Development/Industrial Recruitment

Tunica County leadership has made great strides over the past five years in aggressively positioning the county to take advantage of the opportunities associated with the gaming and tourism industry. The goal is to diversify the economy from one strictly dependent upon the service sector and the agriculture industry to a more balanced economy offering a wide array of employment opportunities.

The Tunica Economic Development Foundation has identified over 15,000 acres that are now zoned and suitable for industrial growth opportunities. Foundation members are now educating members of the economic development community of Mississippi and the Mid-South region, as well as national site consultants, on what the county has to offer as a growing community for industrial expansion.

Regionalism

The economic development and industrial recruitment strategy will not be successful by marketing Tunica's attributes alone. In today's competitive environment, prospects are now more than ever before paying greater attention to the attributes of the larger region.

Located just 30 minutes north of Tunica is Memphis, the "Distribution Hub of America" and one of the nation's busiest cities. Memphis enjoys a prime location on I-40, the major American coast-to-coast interstate, and is home to many ports on the Mississippi River as well as one of the most successful shipping businesses in the world--FedEx. With an MSA population of 1.4 million and a highly competitive workforce, Memphis is a national leader in commerce and industry.

Tunica is now part of a coalition with the Memphis Regional Chamber of Commerce to develop a logistics network showing highway access, ports, airports, and connectivity of Tunica to the Mid-South region. This, along with a recent partnership of economic development organizations within northwest Mississippi to market the region's strengths and assets, will further solidify the areas overall economic development objectives.

Together, Memphis and Tunica attract millions of visitors each year who come to enjoy the Mid-South's unique blend of Blues, barbecue, shopping, gaming, dining, and sightseeing. In the fall of 2006, the Tunica CVB formed a first-time partnership with the Memphis CVB to develop a campaign that focused on shared key markets, Birmingham and Huntsville. This was a great opportunity to promote Tunica and Memphis as one destination. And with the opening of I-69, it was even easier to travel between the two cities--just 20 minutes apart. Thus, "Memphis/Tunica--The Winning Combination" was developed.

Interstate 69

The highway infrastructure system of the northwest Mississippi region continues to improve with the opening of Mississippi's first section of Interstate 69. This new interstate makes the short drive between Memphis and Tunica even easier by linking Interstate 55 in Memphis with Highway 61 in Tunica Resorts.

Thousands of visitors and residents are currently utilizing the Mississippi Deltas first stretch of interstate highway. The continued development of this interstate system is critical to the economic growth of the region. DeSoto County officials are currently working to accelerate construction of 16 miles of the I-269 Memphis Outer Beltway from I-55 to U.S. Highway 78. Once this section is completed, distribution opportunities will be enhanced and ease of access to the area for tourism will be allowed.

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The continuation of I-69 in Tunica County south from its terminus at Mississippi Highway 304 to State Highway 4 is the next step in the county's overall economic development strategy. Completion of this next leg of I-69 will allow direct interstate access for the Tunica Metro Mega Site and the Tunica Airport. Both of these economic engines, along with the entire Mississippi Delta region, will benefit from this extension which will facilitate the growth of new jobs.

Tunica Metro Mega Site

The focus of recent efforts has been the development of the Tunica Metro Mega Site. The 2,221-acre, "shovel-ready" site was named an Entergy Premiere Site in 2005. Less than two miles from Interstate 69, the site is located southeast of the intersection of U.S. Highway 61 and State Highway 304.

During the past year, it is estimated that the site has been seen by companies that represent an initial investment of over $4 billion, with potential employment of 5,200.

The Tunica Metro Mega Site's great location (just south of Memphis) and its ease of access to I-69, along with Tunica's low property taxes, make it a perfect location for reaching the Southeast manufacturing and distribution supply chain. The successful development of the site will enhance the growth of the Mid-South region.

Mid-South Residential Development

The opening of Interstate 69, coupled with the extensive growth of the travel and tourism industry in Tunica and the Mid-South, has been the catalyst for the development of much needed housing opportunities. DeSoto County has become one of the fastest growing counties in the U.S. over the last 20 years. As its population explodes and the infrastructure of the Tunica area continues to expand, more and more residents are crossing county and state lines into neighboring Tunica County.

Tunica County population continues to grow year over year. This trend will continue at a much more rapid pace over the coming years due to major housing developments.

Tunica National Community, a mixed-use planned development surrounding Tunica National Golf and Tennis, broke ground in September 2006. The 268-acre development will bring 600-700 homes, 600 apartments/condos, and retail shopping and office space to the Tunica Resorts area. Also currently under construction is another new housing development called Canal Park in the Tunica Resorts area. When completed, the development will include 100 brick homes and 60 vistas for people 55 and older. It will also have a community clubhouse and a pool.

These housing developments will be the catalyst for other types of retail services to locate in the Tunica Resorts area. It is expected that this will lead to additional jobs and residents and compliment the area's already thriving economy.

Tunica Airport

Tunica Airport opened in September 2003 and has continued to grow and expand to become Mississippi's third largest airfield, and the largest north of Interstate 20. In November 2005, Tunica experienced an historic moment when the first Boeing 737 aircraft landed, beginning a series of charter flights arriving at this thriving gaming and entertainment destination.

Charter Passenger Activity

During the past year of airport operations, Tunica's gaming industry charter flights have more than doubled from 214 arrivals in calendar year 2006 to 420 flights in the first ten months of 2007.

The continued growth of charter service at the Tunica Airport is evidenced by the recent announcement by Allegiant Air to base two MD-80 aircraft at the airport. The fixed-fee agreement between Harrah's Entertainment and Allegiant Airlines will provide charter service at the direction of Harrah's from cities around the United States to Tunica and Biloxi/Gulfport, MS; New Orleans and Shreveport, LA; St. Louis, MO; and Council Bluff, IA.

The agreement was made possible by the continued support of Tunica's Congressional Delegation and the Federal Aviation Administration. The continued development of the Tunica Airport has remained a priority since its opening in 2003, with the most recent development coming in the form of a $6 million grant to extend the airport's runway from 7,000 to 8,500 feet. This project is currently under construction.

"Cha-Ching"

With 16,000 slot machines ringing and people from all over the world coming to play craps, blackjack, poker, and roulette, Tunica is on a roll. With nine world-class casino resorts, 6,300 hotel rooms with low rates, 175,000 square feet of meeting space, new housing options, industrial recruitment, championship golf courses, award-winning museums, outlet and antique shopping, headline entertainment, new interstate access, and a larger airport that will continue to bring people to Tunica, the once sleepy agricultural town has become a thriving tourism destination. Based on the growth and development of the past 15 years, Tunica is set to stay "The South's Casino Capital? So, as luck would have it, the Tunica Miracle continues.

Special thanks to Claire Pittman and Kathy Loveless for their help with this article.

For more information concerning Tunica, contact the Tunica Convention & Visitors Bureau at:

P.O. Box 2739

Tunica, MS 38676

(662) 363-3800

www.TunicaMiss.com

Photographs courtesy of the Tunica Convention & Visitors Bureau.

by Webster Franklin, President and CEO, Tunica Convention & Visitors Bureau

Tunica National Golf & Tennis Club

The Mark McCumber-designed championship golf course hosted more than 30,000 rounds of golf in 2006; the Club's indoor tennis courts were awarded the USTA's Outstanding Facility Award.

Tunica Tourism Indicators Top 10 States for Convention & Visitors Bureau Visitor Inquiries, 1998-2006 (000) MO 66.2 IL 65.4 TN 48.1 AL 45.6 OK 39.3 AR 32.1 GA 30.4 FL 29.6 TX 25.6 IN 25.4 Source: Tunica Convention & Visitors Bureau. Note: Table made from bar graph. Hotel Occupancy Rates & Average Daily Rage, 2001-2006

Hotel Occupancy Average Daily

Rates Rate October 2000 to March 2002 81.5% $53.48 April 2002 to September 2002 88.0% $52.98 October 2002 to March 2003 80.6% $51.47 April 2003 to September 2003 87.6% $52.05 October 2003 to March 2004 83.4% $52.05 April 2004 to September 2004 84.9% $53.62 October 2004 to March 2005 80.4% $54.77 April 2005 to September 2005 84.2% $54.99 October 2005 to March 2006 81.4% $58.32 April 2006 to September 2006 92.4% $61.70 Total Available Rooms Estimated: 6,300 Source: Tunica Convention & Visitors Bureau. Note: Table made from bar graph. Meetings and Conventions Seasonal Statistics, 2000-2006 (00) October 2000 to March 2001 446 April 2001 to September 2001 448 October 2001 to March 2002 336 April 2002 to September 2002 263 October 2002 to March 2003 331 April 2003 to September 2003 212 October 2003 to March 2004 365 April 2004 to September 2004 197 October 2004 to March 2005 251 April 2005 to September 2005 431 October 2005 to March 2006 447 April 2006 to September 2006 480 Source: Tunica Convention & Visitors Bureau. Note: Table made from bar graph. Registered Visitors at the Tunica Visitors Center, January-December, 2001 51,672 2002 58,925 2003 59,335 2004 60,025 2005 54,631 2006 56,044 Source: Tunica Convention & Visitors Bureau. Tunica Gaming Statistics as of December 31, 2006 Casino Resorts 9 Employees 12,783 Gaming Square Footage 530,119 Slot Games 3,082,879 Table Games 443 Source: Mississippi Gaming Commission.

Tunica Economic Development

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Gaming Revenue Tax Distribution

12.0% Tax = 4.0% Local + 8.0% State County/State Gaming Revenue Growth, 1992-2006 (in $Millions)

Country State 1992 0 0 1993 $0.9 $1.8 1994 $6.0 $11.4 1995 $22.6 $45.3 1996 $27.2 $54.5 1997 $32.5 $65.0 1998 $36.9 $84.2 1999 $42.1 $84.2 2000 $43.5 $87.0 2001 $44.2 $88.3 2002 $44.0 $88.1 2003 $43.4 $86.8 2004 $45.5 $91.0 2005 $43.1 $86.2 2006 $46.6 $93.2 Source: Tunica County Administrator's Office. Note: Table made from bar graph. Tunica County Job Growth, 1992-2006 (000) 1992 2.4 1993 4.5 1994 10.0 1995 11.4 1996 14.4 1997 15.2 1998 17.0 1999 17.6 2000 17.8 2001 17.5 2002 17.1 2003 16.2 2004 15.8 2005 15.6 2006 15.6 Source: Mississippi Employment Security Commission. Note: Table made from bar graph. Tunica County Unemployment Annual Averages, 1992-2006 1992 13.8% 1993 10.2% 1994 10.4% 1995 13.7% 1996 7.8% 1997 7.7% 1998 7.6% 1999 6.6% 2000 5.4% 2001 6.1% 2002 7.1% 2003 10.8% 2004 8.6% 2005 10.3% 2006 9.6% Source: Mississippi Employment Security Commission. Note: Table made from line graph.

Other Tunica Economic Indicators

[ILLUSTRATION OMITTED] Tunica County New Construction Projects, 2006 Commercial Construction Permits 14 Total Commercial Cost $3,397,821 Residential Construction Permits 41 Total Residential Cost $3,200,013 Source: Tunica Planning Commission. Tunica County Annual Average Wage, 1990-2005 (000) 1990 12.7 1995 19.8 1997 21.8 1998 22.0 1999 22.2 2000 23.0 2001 23.4 2002 26.0 2003 26.7 2004 26.0 2005 26.5 Source: Mississippi Employment Security Commission. Note: Table made from line graph.