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UPDATE 1-Moody's sees Sandy hit to casinos, benefit to retailers

Tuesday, 6 Nov 2012 | 4:02 PM ET

Nov 6 (Reuters) - Credit agency Moody's Investors Service said on Tuesday that superstorm Sandy will slash revenue and earnings at New Jersey's Atlantic City casinos and benefit home repair and discount retailers but will have limited impact on other sectors.

Electric utilities including Consolidated Edison suffered costly damage but will likely recover their costs. Wireless telecommunications service providers such as Verizon and AT&T were also hurt, but the affect on these carriers will be ``negligible,'' Moody's said.

Building product companies that provide roofing-related materials are apt to see stronger-than-usual fourth-quarter results, Moody's said.

Sandy's impact on the gaming and lodging industries is centered on Atlantic City, Moody's said. Revenues there will be down by 25 percent in both the fourth quarter and the first quarter, and earnings will be down by up to 50 percent, Moody's said, affecting Caesar's Entertainment, Tropicana Entertainment and single-property operators Revel Atlantic City and Marina District Finance Co.

The hurricane will not have material effect on U.S. retail sales, but beneficiaries will include Home Depot and Lowes Companies Inc, as well as discounters such as Wal-Mart and Target.

U.S. airlines Delta, United and JetBlue will see a minimal impact on their credit profiles, Moody's said.

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